Simply Budgets

I recently had a client ask me a question about how to deal with the household budget management when you are in a relationship and finances are shared.
It is EXTREMELY rare to find two people in a relationship who are both on the same page when it comes to money. There is almost always one who ends up with the responsibility of looking after the money and it is usually the other who is more inclined to spend and less inclined to save.
The problem is that neither party really understands why their partner is like they are. E.g. why are you so hell-bent on saving? Or why are you so worried about spending? Or why can’t you see that we need to save for the future?
It is very difficult for this to change because as human beings we are all different and have different things that we are good at and bad at. If both of you are prepared to at least take the time to sit down and work out a way to satisfy both personalities then there is a good chance a successful household budget management system can be achieved. On the other hand, if one is just not interested and refuses to change (or even listen), then there is definitely trouble on the way!
The secret, as I see it, is for a shared household budget is to give both partners as much of what they want as possible. You must have a family or shared budget of course, and it should cover the basic expenses that are essential. Then there needs to be some money that is totally for each person to spend (or save) as they please. If your husband or partner is not interested in saving but is happy to let you manage the household budget, then you should get him to agree to sit down with you while you prepare the budget so he can see what you are up against. If you use the Simply Budgets Personal Edition software you will be able to see a year into the future and together you will be able to see exactly what is coming before you get there. You will see when your tight times occur and when you have surplus. You will also know how much spare money you actually have. There is nothing like actually looking into a crystal ball and seeing your future before you get there to get your partner to be more co-operative!
Good Luck with your household budget and feel free to contact me if you need any more advice.
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