Use your time wisely during the lockdown. Top Tips for Constructive Financial Conversations
Money affects all our relationships. It is the most common cause of stress in marriages and among the top reasons for divorce. Money issues can also place a strain on our relationships with our children, our parents and our family.
Honest communication is the foundation of all solid relationships, and it’s especially true when it comes to money. Money conversations with your partner – and with other family members – are among the most important conversations you ever have.
If you, like most people, feel uncomfortable discussing money, remember that a constructive money conversation can potentially relieve financial stress from impacting on your personal relationships, opening the way for building trust and teamwork with those closest to you.
During this COVID-19 lockdown, schedule time for an honest and open talk with your partner about money. This is not an opportunity for blaming or judging, but rather for exploring your and your partner’s money values and beliefs. Remember, we all view money differently and that it is possible to agree to disagree. Instead of just talking about numbers, focus on each other’s strengths, and how – together – you can make your money work better for you.
The lockdown allows for learning – It is also crucial to have money conversations with your children. Financial literacy is not taught at school or anywhere else, so it is your role to teach your children how to budget, save, invest and use credit wisely. Particularly if you have adult children living with you, regular money conversations and clear money boundaries are important. It will also ensure your kids feel more secure about money and will improve their chances of a financially healthy future.
Money conversations with siblings and parents are also important, especially if you provide financial support – a common situation, given that 47% of people in retirement are financially dependent on their families. Honestly and openly discuss what you can afford to give, without putting yourself at financial risk.
If you need help with these important money conversations, remember your financial coach is ready to guide and assist you to improve your financial life, one money conversation at a time.