Getting engaged is one of the most important milestones of your life. While things can be exciting and you may be tempted to splurge in celebration, remember that you still have the rest of your married life that you want to enjoy. Think about all the money spent on a diamond ring that could have instead been used to buy a comfy mattress for your new home that will last you years.

Today, let’s discuss a few ways engaged couples can spend their money wisely while still enjoying the bliss of being newly engaged!

Have a Reasonable Wedding

Everybody has different values, careers, and opinions on how important their wedding is. Some consider it as a purely legal benefit and has no impact on their love for each other, while others have lavish weddings to celebrate their love for each other. Whichever kind of wedding you decide to have, make sure you stay well within your means.

The average wedding can set you back thousands of dollars on the reception alone. A modest wedding is no less valid than an expensive wedding. While it is ultimately your choice about how prestigious you want your wedding to be, it is important to remember what comes next. That lavish wedding could have been the down payment for your first mortgage. Set a budget now and have an amazing wedding without breaking the bank.

Set Priorities and Goals

Whatever relationship you lead, it’s important to take stock of what’s important between the two of you. Communicate your goals in life to your partner before making any final decisions. It’s important to find the goals that both of you are united on and prioritize those first. Do you want kids? Are you adopting? Will you be buying a house together? These are only a few of the questions you’ll have to face as a couple.

Before anything else, make sure you set your priorities. Right now, simulate your future together and plan accordingly.  If you decide on a house together, make sure you are both happy with the choice. Will you be renting or owning your home? Will the both of you be continuing your careers or will one be home-based to take care of potential children,

Open a Joint Account

Now that you’re about to get married, having a joint account is incredibly handy for new couples who want to share their expenses moving forward. Doing this now can let you enjoy the first stretch of your marriage before you even start. Joint bank accounts allow for your savings and checking accounts to be useable. Most importantly, it lets you save up before getting married.

When you transfer your money into the account, think of it as your “important stuff” vault. Now that you have a separate account purely for family, both partners are free to spend on what they want without any input on their personal accounts. It makes personal expenses much less complicated for both people. Plus, it can make surprise purchases of gifts to your partner much easier.

Have an Emergency Fund

Once married, there will be a lot of rocky financial times, whether you planned for them or not. In such cases, using your emergency fund is an important safety net in times of crisis. Setting aside money every month that you both agree to be emergency funds should be a practice even before you are married. In today’s economy, you should make sure to cover yourself in case of an accident or sudden unemployment. Being able to live moderately in hard times can ease your stress and allow you to plan accordingly.

In addition to emergency funds, you should both start discussing the life insurance policies you have applied for and start naming each other as beneficiaries. Doing that now means you’re all set once you’re married.

Pay off your Debts Now

It’s best to open up about any debts you have to your partner at this stage. Paying for stuff such as student loans, which is probably going to stick around for a while, is unlikely. However, small credit card debts should be paid for or reduced now. Cutting back on excess spending now to pay debts will be good practice for important financial decisions in the future. You are less likely to be stressed out over future debts now that you know how to deal with them alongside your partner.

Conclusion

Being engaged is only the first step in your financial journey as a couple. There’s a lot more to worry about besides having a cheaper wedding once you’re actually married. The important thing here, above all else, is that you and your partner are completely transparent. Make sure there are no surprise debts or any doubts about spending a majority of your life together.  Make sure your savings are in order and that your financial goals are aligned. The bane of every couple is miscommunication, so always talk!


Sophia Young is a content writer covering lifestyle and fashion topics. She’s actively participating as a guest blogger for various lifestyle blogs and has been co-authoring some articles of her colleagues. She’s currently enrolled in a content marketing course hoping to expand her knowledge in digital marketing.

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