You meet the love of your life, enjoy the courtship and dating, and if all goes according to plan, you get married. For many, this is the fairytale, and it’s a lovely one. However, there is a myriad of factors to consider before making the jump.
Carefully defining your goals and coming up with a sound plan is the first step in achieving the life you want for yourselves. After all, love doesn’t pay the mortgage or the utility bills, so if you want your married life to be smooth-sailing, it would be ideal if you can tick off the essentials in your to-do list.
- Have a stable source of income.
Have you noticed that nowadays, dual-income households have become the norm?
Aside from choosing the right life partner, you must also find the career path that is best suited for you. Once you’ve decided on a career, it will be clearer and easier for you to secure your perfect job, and gain a stable source of income. Establishing yourself and having a good grasp of your finances will go a long way in allowing you and your partner to work as a unit when deciding on your future.
In getting and keeping a steady job — or setting up a business — you can confidently stand on your own two feet, sustain your lifestyle, and be well-equipped to handle whatever life throws at you.
- Protect your future and get a life insurance plan.
Life insurance protects you and your future family. For this, you should consider it a vital pillar in your personal finances. However, despite its value, people remain skeptical of its significance, especially when weighing it against paying off current debt.
Others may delay getting life insurance at an early age without putting much thought into its economic impact in the future. As life insurance in the Philippines has rapidly evolved, it can give you peace of mind knowing you and your family are protected while having the option to expand your financial portfolio, including retirement and tax-free investments.
As rates are lower when purchased earlier in life, consider exploring the wide range of life insurance options available before you get married. If both you and your partner have yet to decide on a life insurance plan, you can take a look at options like Family Care Plus which provide coverage for both of you for the price of one.
- Pay your outstanding debt before you wed.
While debt is a fact of life, it is good to note that there actually are good kinds of debt like car and housing loans, and there are bad debts like salary loans and credit card debt. Entering into a marriage with large amounts of bad debt can be overwhelming and toxic for the relationship. Rather than focusing on the future, bad debt can pull you and your partner in a rather messy marriage, feeling stuck in a financial drain.
Manage your finances and your debt while you’re single. In paying off your outstanding debt before you wed, you can start your marriage fresh, without being tethered to any loans.
- Have an honest discussion about finances.
Before tying the knot, it’s common to know one another first — likes, dislikes, quirks. Make sure to go over things like each other’s financial situation, too, along with other essential conversations before walking down the aisle.
Have an honest discussion about both the positives and negatives so that both of you know what you’re getting into. It’s worth your time to understand each other’s spending habits, outstanding debt, and plans for further studies, especially when financial issues are one of the most common reasons why marriages break down.
- Have an emergency fund.
Having financial problems can be very stressful, especially for newlyweds. Aside from ensuring you and your partner are compatible and mature enough to deal with unavoidable money issues, it is always a good idea to set up an emergency fund early on in life. If you haven’t started saving yet, it’s best to read up on some wedding budget rules to achieve financial harmony.
Establishing an emergency fund can make married life a lot easier. You can start by saving up about three months’ worth of expenses. This will help you get by in case one gets sick or loses a job.
By managing your finances and being self-reliant, you can sleep easy at night knowing no matter what happens, you can handle the more difficult yet rewarding challenges ahead and have a healthier, better, and longer married life. If you need more information about setting up a solid financial plan, talk to an expert such as a Bancassurance Sales Executive at any of the BPI branches.