How Should a Newly Married Couple Plan Their Finances?

A couple who has recently begun a new journey of their life, in the form of marriage, need to discuss an utterly important topic; finance. There should be a common understanding relating to the financial aspect of their lives. When two people embark on a common journey together, then they should deal and handle their finances in a planned way. 

This is where a skilled financial advisor comes into the picture. In this case, a newly married couple should consult the best advisors in town in order to get a clear picture of how they should handle their finances in the right way. Wealthclock Advisors is a name that stands true to its reputation. So, what should be the ideal financial planning for a newly married couple? Let's find out below.

4 financial steps that one should take in this respect

An understanding of the existing finances

Both of them should clearly understand each other's post-tax income, financial position along with current savings. Calculation of their existing monthly expenses and prioritizing them should be taken into serious consideration. The couple should also ideally save at least 30% of their combined post-tax earning, as it is a recommended step by most financial advisors.

Discussion about important goals and milestones

There has to be a common understanding of both short-term and long-term goals. The former will include elements such as buying a house, retirement planning, children's educational expenses etc. They need the Best Investment Plan With High Returns In India, and for this, a session with their chosen advisors will be fruitful. 

The short-term goals include purchase of cars or going on a holiday and also saving for emergencies.

Fruitful investments

The emergency funds can be invested in different liquid funds in order to ensure easy liquidity, optimal earnings along with tax efficiency. For tax savings the couple can engage in those mutual funds investment plans that help to save taxes like ELSS. For long-term goals such as retirement, children's education, home purchase, a diversified portfolio would be quite useful.

Operational aspects

The couple should make the other partner a nominee in their respective investment and bank accounts. This will lead to a smoother asset transfer if there is a demise of one partner. There should be a transparency in case of bank account details like account number, ATM password among the couple as it will lead to easier access during an emergency.