Starting Your Financial Life Together
Here are some financial items that recently married couples will need to consider.
Nashville, Ark. – Summer, especially June, is a popular time of the year for many couples to say, “I do”. Once the wedding is over, everyday life together begins. In addition to dividing household responsibilities, couples will also need to determine who will pay the bills, track investments, review bank statements and more. Although it’s not necessary to assign each task to one person, it is critical that you develop a system to make sure these tasks get done. Here are some financial items that recently married couples will need to consider.
Review your beneficiaries – Go through each of your accounts – including retirement plans and insurance – and ensure that the beneficiaries listed are still accurate. If you would like for your spouse to receive the funds from your accounts in the event of your death, you will need to make them the beneficiary.
Revisit your insurance – Upon getting married, it’s important to sit down and review both of your medical, life and car insurance plans. Review whether your coverage overlaps in certain areas, or whether you could be saving money by combining coverage.
Changing your name – If you change your name upon marrying to your spouse’s last name or to a hyphenated name, it’s important that you notify certain organizations of the change. You should notify the Social Security Administration immediately to ensure that your retirement account is properly credited, and also to request a new Social Security card. Change your name on all important documents and accounts. And remember to change your name on your driver’s license, which serves as the primary form of identification for most Americans.
Develop a budget – Whether you already have individual budgets and want to combine them or you are new to budgeting, marriage marks an important time to sit down and create a plan for your spending and savings. Your new budget should reflect your shared living situation and both of your incomes and expenses.
Prenuptial agreements – A prenuptial agreement outlines how assets will be divided in the event that the marriage ends. While some people consider prenuptial agreements to be unromantic or to represent a lack of faith, others feel they can ensure some security for both partners and help them know what to expect in the event the marriage ends.
It may be wise to develop a prenuptial agreement if either spouse has:
- Wealth to preserve
- Children from a previous marriage
- Ownership of a company
- An expected inheritance or other assets
- Ongoing family-related financial obligations
- A much higher income than the other partner
Research has shown that agreeing on how to spend money is the thing that most separates happy couples. There are many factors that influence how we spend or save money. Working these out before marriage can save lots of headache later on.
The University of Arkansas Cooperative Extension Service has a wonderful program designed for newlyweds or any couple (no matter how many anniversaries you’ve shared) help them better understand their finances. The program, “Financial Smart Start for Newlyweds” fact sheet series contains units in the following areas:
- Understanding and Sharing Your Financial History
- Debt in Marriage
- Realistic Expectations About Expenses and Income
- Creating and Sticking to a Budget
- Credit and Overspending
- Money, Manipulation and Power
All of these fact sheets are available at no charge. To receive your free copy, visit the Howard County Extension Office located on the second floor of the courthouse.
Source: Practical Money Skills for Life e-newsletter series, www.practicalmoneyskills.com and Financial Smart Start for Newlyweds program.
Recipe of the Week
Tomatoes are starting to ripen or will soon be ripening on the vines. Here is a great way to serve tomatoes. This recipe is from the “Mediterranean Cooking School” recipes.
Two Tomato, Corn and Bean Salad
1 big red tomato, diced
1 big yellow tomato, diced (or any large red and yellow colored heirloom tomato)
1 cup whole kernel corn
1 can black beans, rinsed and patted dry
½ cup red onion, sliced into thin strips
1 cup loosely packed fresh basil leaves, chopped
For the dressing:
2 cloves garlic, chopped
Pinch of salt and pepper
Red wine vinegar
Extra virgin olive oil (2-3 parts oil to 1 part vinegar)
Combine salad ingredients. Mix salad dressing ingredients together. Toss dressing into salad and serve. Yield: 8 servings, serving size 1/8 of recipe.
Nutrition Facts per Serving: 205 calories, 14 g. fat, 2 g. saturated fat, 0% cholesterol, 320 mg. sodium, 16 g. carbohydrates, 5 g. fiber, 5 g. protein.
By Jean Ince
County Extension Agent - Staff Chair
The Cooperative Extension Service
U of A System Division of Agriculture
Media Contact: Jean Ince
County Extension Agent - Staff Chair
U of A Division of Agriculture
Cooperative Extension Service
421 N. Main St, Nashville AR 71852
(870) 845-7517
jince@uada.edu
The Arkansas Cooperative Extension Service is an equal opportunity/equal access/affirmative
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