ENGAGED OR MOVING IN TOGETHER?
TIME TO TALK MONEY!

Communication is key

• Don’t keep spending secrets — know each other’s debts and obligations beforehand.
• Discuss large purchases in advance.
• Set a regular schedule for discussing money to make sure you’re both on the same page.

Who should pay the bills?

• Find out who is good at paying the bills, saving, and managing a budget.
• Decide if you are comfortable with a joint account for bill paying.

Make a budget

• How much income do you each bring home?
• What are your monthly expenses?

• Pay yourself first by contributing to your employer retirement accounts.
• Housing should be less than 28% of take home pay.²
• Total debt should be less than 36% of gross monthly income.²
• Make sure you have 3-6 months’ worth of living expenses saved in an emergency fund.
• Establish a joint savings account for your goals like a new car, home, children and/or vacation and agree on a monthly amount to save.
• Try to pay off your credit cards every month.

Know your credit ratings

• A credit rating of 680 or higher is generally considered good.
• A lower rating may negatively affect your ability to get car loans and mortgages.
• With higher ratings, your interest rates may be lower.
• Some things to do to improve your ratings:

Who is going to own what assets?

• Will investments, insurance and other assets be left to each other?
• Will the house and cars be in joint name?
• Are there assets that have to stay in your respective families?
• See an attorney to ensure assets are left to your desired beneficiaries.

Helping each other understand your personal thoughts on finances and working as a team can help create a solid financial foundation for your future together.

This material was prepared by LPL Financial, LLC.

Securities and advisory services offered through LPL Financial (LPL), a registered investment advisor and broker-dealer (member FINRA/SIPC). Insurance products are offered through LPL or its licensed affiliates. To the extent you are receiving investment advice from a separately registered independent investment advisor that is not an LPLFinancial affiliate, please note LPL Financial makes no representation with respect to such entity.

This material is for educational and informational purposes only and is not intended as ERISA, tax, legal or investment advice. If you are seeking investment advice specific to your needs, such advice services must be obtained on your own separate from this educational material.

1 Revealing Divorce Statistics In 2023 – Forbes Advisor
2 What Is a Reasonable Amount of Debt? This Rule Can Help You Know (investopedia.com)
3 How Much Credit Should I Have, And Does It Impact My Credit Score? – Forbes Advisor