Financial conflict among married couples is quite common in today’s society. In fact, money and financial conflict are the primary factors that lead to a divorce.
Couples should make monetary issues clear before marriage. Even if you have decided upon a prenuptial agreement, there is no guarantee that you will be free from financial conflicts.
But is the lack of money the only reason for financial conflicts? Well not really.
Even high net-worth couples are not free from this problem. A high net worth individual earns an income of more than RM180,000 per annum or collectively has RM3million worth in assets. Most divorce lawyers would say that rich couples always have their own set of problems.
However, financial conflicts can be overcome if both parties are willing to work things out. Let’s look into some of the ways in which financial conflicts can be minimized for high net worth couples:
Having open communication:
Communication is the foundation of every relationship. You should be open to the person you are willing to spend the rest of your life with. Once both of you are clear with each other’s view, it will become a lot easier to tackle financial conflicts and reach a compromise.
Change your attitude towards money:
If talking about money gives you negative feelings, try to find out the root cause. Could it be your past that is controlling your reaction towards money? For instance, it might be because of something you learned as a child. Once you free yourself from all that negative energy, you will be able to make better and wiser financial decisions and solve any financial conflict.
Learn your partner’s spending habits:
It is crucial to know your partner’s spending habit. Try to learn their reaction and attitude towards money. Put yourself in their shoes and try to understand him or her instead of criticizing.
Your partner might be investing in new businesses while you think of it as an overspending. Don’t assume the outcome, clarify and communicate. It might be a great prospect which is going to give high returns in the near future.
Keep personal expenses separate:
Everyone has got their own personal expenses, and your partner may not want to share everything about their personal expenses. Keeping them separate will help you avoid financial conflict. With personal budgets, both of you can spend on whatever you want and wherever you want.
But try to stick with a limit when spending and in case of important financial decisions don’t forget to get the consent of your better half.
Qualified financial professionals:
In the case of financial conflicts, the involvement of the third party can come as a great help. Take the advice from trained professionals such as your financial planner or an accountant. They can help figure out better financial plans for you.
Moreover, with the involvement of a third person, you will get an unbiased opinion. It will help you to make informed decisions instead of being influenced by emotions.
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