Have you decided to move in with your partner? If so, you will have a mix of feelings like fear and elation. Millions of people move in together before marriage, but many feel that it slowly brings forth tension, and in the end, they break up, and one of the causes of parting ways is nothing but rising debt.

Finances are essential to look after when you finally get married, but they are equally important when you are living together. It is not just finding fun in having the company of the opposite sex but taking up the responsibility toward everything to take the relationship ahead.

Although you two are different personalities, you both need to be on the same page when it comes to finances.

Tips for managing your finances when moving in together

Here are some tips that you should consider while moving in together

·         Discuss your goals

Since you have moved in together, you should discuss your goals to ensure that you are on the same page, and with your partner’s different goals, you are not affected at all. Find out whether you both want to move into a bigger place, or do you both want to get married and then plan for buying a house?

You will be solely responsible for certain goals like saving for retirement, but you will have to make a contribution plan for some purposes.

For instance, if you have decided to get married, you will have to determine how much money you both will contribute toward your wedding expenses. So, you will have to be careful about your individual goals as well as combined goals.

·         Split expenses

Since you live together now, you both will have to take up the responsibility for shared expenses. There are a lot of costs like groceries, energy bills, rent, etc., that you will split up. You will be bearing these expenses equally.

It is recommended that you make a plan for sharing the cost. Most of the time, it is not always possible to share 50/50. For instance, one of you may have taken on instant decision loans, and because of that, it is difficult to pay half of the expenses.

These loans are meant for small funding that comes after an instant decision. These are unsecured loans where no collateral is required, and sometimes, no guarantor is needed too.

Applying for these loans from loan lenders can be useful if you need money fast. However, the interest rates may be higher, and you cannot apply for the longer amount.

The size of your earnings and personal goals can come in the way. In that situation, you should not feel less by paying more because you can compensate that the other way around. You both don't need to share all expenses equally.

For instance, one of you can decide to pay electricity and household expenses while the other can pay rent. There is never one right way to manage your regular expenses. Based on your financial condition and personal and combined goals, you will have to find a way.

·         Be careful with borrowing money

Sometimes you can come up with financial emergencies, and that time you may not have enough savings to dip into. Just because you can borrow money easily, it does not mean that you will do it. Borrowing often puts more burdens on your finances in the long run.

Make sure that you do it when it is quite urgent. Through you can get loans at home at affordable interest rates when you have a stellar credit report, it does not mean that you will chase loan providers. First off, you should try to dip into your savings.

As you live with your partner, you can expect them to take up the responsibility of all household expenses until you land a new job, and once you get the job, you will start covering up the loss suffered by your partner.

It is suggested that you have enough savings so you can easily manage your individual expenses without compromising with a contribution towards household expenses.

·         Set a date to discuss money

Fighting for money is not appealing at all. Even though you both have been managing your finances strictly and following the set schedule, it is essential to sit down at least once a month to discuss money. This will help you get an insight into your current financial condition.

You will know where you currently are and where you have to go. Are you making progress toward achieving your financial goals? If no, what do you need to do to make it happen? Since you are talking about money, you cannot make it an emotional subject.

There can be no sort of thing like overcontribution or under contribution. Otherwise, money will automatically be the subject of the altercation, and your relationship will start withering. Try to review your finances every month, so you know if you are on the same page.

Wrapping up

If you are moving in together, you should ensure that you do not compromise with your financial goals. It is crucial to be on the same page. Otherwise, you will end up breaking up.

Follow the tips mentioned above to avoid making money as a subject of heated arguments and fighting in your relationship.