True love means huge expenses. Oops! This must be the most unromantic way to start an article but seriously I can’t help it. Most of my friends (who are in serious relationships) are either planning for a romantic vacation or intending to buy a house. And those whom I don’t find planning for a vacation or a new home, are busy in making wedding plans.
Vacation, wedding and home-buying process are truly very costly affair. You need to pinch pennies wherever you can in order to make your dreams come true. If you aren’t sure where to start, then check out these 7 ideas to get started.
1. Evaluate your debts and create a repayment plan
If both of you have debt issues in life, then the very first thing that needs to be done . Find out how much both of you owe to your creditors. Your next task will be to calculate total income (your and your partner’s) and then devise a repayment strategy that will work. Create a strategy wherein you can cut down interest rate and get rid of debts quickly.
2. Come up with cheap yet romantic dating ideas
Stop going out to classy restaurants and music concerts. They can make your bank account dry within a month. If you’re really interested in saving money, then think about the cheap yet fun date ideas. For example, you can have a picnic at the beach. Or, you can enjoy a happy hour dinner at your favorite restaurant. That’s not all. You can take a pedal boat ride in a local lake and spend a beautiful day too.
3. Create a joint account and a budget for bills
Do you guys live together? If yes, then create one joint account. Both of you keep a certain amount of money there. Use it to pay monthly bills. Create a budget based on that amount and then pay together for all the bills. This will help to accelerate the saving process as well.
4. Move in together instead of living separately
This will help you share rents, living expenses, manage utility bills easily. This will help to save a huge amount of money. Most importantly, it will help you decide if both are really made for each other. Here are a few tips that may come handy before moving together:
- Buy used furniture instead of new ones
- Give a coat of spray paint to give a new look to used furniture
- Create cleaning solutions with natural ingredients and use them
- Buy necessary and non-perishable items on sale and in bulk
- Cook together instead of ordering out
5. Handle your insurance policies carefully
High insurance premiums can affect your finances. Yet, this is something you can’t ignore. Neither can you opt out of insurance policy. So, take care of your health and adjust your insurance policy. Find out why you’re paying a high premium first and then take a constructive step.
6. Both of you start using cash instead of credit cards
Stop your habit of swiping credit cards for shopping or paying your bills. Your partner may squirm a little bit but at the end of month both of you’ll save money. Always remember that this plastic card can harm your money seriously. So, it’s better to depend on cash.
7. Get rid of student loans to save more
Try to consolidate both of your student loans. Always remember, if you’re planning to buy a new home, your credit score and debt-to-income ratio will play a big part in it. The sooner you get rid of this loan, the better for your financial life. Both of you can save the origination fees and other penalties.
Last but not the least,
Respect your differences. Both of you are separate human beings with different thoughts and perspectives. So, it is but quite natural that both of you’ll have different financial outlook. In that case, sit together and try to find out a midway. If your spouse loves to spend, then make sure you save money. You can even think about a strategy. If your spouse really can’t save money, then ask him/her to pay all the bills. You on the other hand will save money for the wedding or the vacation or for the down payment of a new home. At least, your spouse will spending money for the necessary expenses only.