Question:
What should each spouse know about finances? We are recently married, and I’ve been paying all the household bills, while he’s been working on our savings and investments. Honestly, I don’t know what he is doing with the investments. I know we are saving for retirement and children someday, but the details of investing escape me. How much should I know?
Answer:
We believe that both spouses should be involved in the financial decisions for the family. We too often see a couple where one spouse has been taking care of everything, while the second spouse doesn’t know how much money they have much less where it is. It can be problematic when one dies unexpectedly and the surviving spouse does not have access to the accounts or even online access to the financial records.
When we work with clients, we articulate what they want to accomplish with the savings and investments, and where all the important documents are for estate planning purposes. We believe that couples should discuss their savings goals, and both spouses should be comfortable with the style of investing. Money can cause a lot of tension in a marriage, if one is a spender while the other is a saver. We believe spouses should have a discussion about their long-term goals and develop a plan together to achieve them. Both spouses should be contributing to their 401(k) or individual retirement plans, in addition to a joint savings plan.
By working as a team, a couple should maximize their returns and minimize their taxes and take advantage of deductions. While a division of tasks is fine when one person handles the day-to-day operations while the other handles the investments, both spouses should know how they are invested. Each spouse should know the plan for those investments to help them reach their financial goals.
At Henssler Financial we believe you should Live Ready, which includes understanding your investment strategy. If you have questions, the experts at Henssler Financial will be glad to help. You may call us at 770-429-9166 or email at experts@henssler.com.
Disclosures
This article is meant to provide valuable background information on particular investments, NOT a recommendation to buy. The investments referenced within this article may currently be traded by Henssler Financial. All material presented is compiled from sources believed to be reliable and current, but accuracy cannot be guaranteed. The contents are intended for general information purposes only. Information provided should not be the sole basis in making any decisions and is not intended to replace the advice of a qualified professional, such as a tax consultant, insurance adviser or attorney. Although this material is designed to provide accurate and authoritative information with respect to the subject matter, it may not apply in all situations. Readers are urged to consult with their adviser concerning specific situations and questions. This is not to be construed as an offer to buy or sell any financial instruments. It is not our intention to state, indicate or imply in any manner that current or past results are indicative of future profitability or expectations. As with all investments, there are associated inherent risks. Please obtain and review all financial material carefully before investing. Henssler is not licensed to offer or sell insurance products, and this overview is not to be construed as an offer to purchase any insurance products.
