Should couples have financial secrets?
Regardless of a couple’s net worth, how a partner spends or invests money can cause friction in a relationship. This brings up issues of control and trust which cut to the core of any union. Money is a sensitive subject and one that many couples would prefer to avoid—until a situation arises, such as divorce or death, that forces the issue. Often this brings unpleasant surprises. For those couples who are ready to tackle communicating about money, here’s one way to make the experience more playful and a lot less stressful.
Here’s how to play...
Either as a couple or individually, open four separate accounts:
Account #1: Income
This is where you will deposit earnings and make bill payments. (Treat contributions to RRSPs, TFSAs, and RESPs as “bills”.) Next, withdraw ten percent of your total income from Account #1 and make three equal or unequal distributions to the remaining three accounts.
Account #2: Financial Independence
The only rule associated with this account is you don’t touch the principal. This account sends two very powerful messages to your subconscious: 1) “I always have money”; and 2) “I don’t need to tap the money.”
Account #3: Spending
The only rule for this account is to spend the money in it from time-to-time. This is for guilt-free personal expenses. Do I hear spa vacation?
Account #4: Couple or Us
Spend these funds on things that will enhance your relationship, such as romantic meals, travel, hobbies, charities, etc.
Playing for keeps
By playing the Banking Game, you'll not only become more relaxed and confident about the wealth you create as a couple; it will also allow your net-worth—as well as your self-worth—to grow.
It's a win-win.