Money Matters

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So, you're moving in to save money. You're at your partner's place basically every night, so why not?

Both of you need to pay off some bills, and how else will you be able to save for a down payment on a house?

The first few weeks are like most honeymoon phases of anything - totally blissful.

After a few months, or maybe it's a few years, the sweetness slowly melts away when you realize you're the one paying most of the bills and cleaning the place.

Arguments over finances are becoming more frequent. Living conditions at times are very stressful and eventually, you find yourself on high blood pressure pills or anxiety medication to deal with the stress.

Every conversation seems to end in argument, as money ends up being part of the discussion. You find yourself doubting your love for this person.

Where did those honeymoon feelings go that you once had for each other? What went wrong?

Looking back, did you ever sit down to discuss who was going to pay what household bills and how you were going to run your household finances?

Did you have a monthly budget and financial plan?

Even though you now share household costs, these should have been discussed beforehand, as they may or may not be something you can afford.

There are many ways to run a household on two incomes. One simple way for couples is for each to pay 50/50, or that shared expenses be prorated based on incomes.

Have a household account and pay all costs to run the household out of this account. It is your shelter and food account.

This account needs its own budget and must be managed well.

Remember that we all need to eat and sleep in order to go to work and earn a paycheck to pay for our food and shelter.

Whatever money you have left over from your contributions to the household costs is yours to spend, but bear in mind your household goals and wants.

Do you want to own a home, to go on vacations, and most of all to be financially sound? If so, then it is important you both be like-minded in your goals.

Should you find yourself financially overwhelmed by years of living together without a financial plan, and now arguing frequently over how you are going to get out of this unhealthy financial situation, please speak with a financial advisor specializing in debt to help you along the road of financial recovery.

Sometimes he or she has the best medicine to prescribe for your health.

* Andrea Mailman is a financial advisor specializing in debt restructuring with the Moncton office of PricewaterhouseCoopers.

Utilizing her experience in banking and working with debtors, she assists people to address and deal with their financial challenges.

Andrea can be reached at 859-8822 or by e-mail at andrea.j.mailman@ca.pwc.com.