On Monday’s blog post, I shared a little bit about my thoughts around the subject of financial infidelity and today, Paul Golden from The National Endowment for Financial Education, or NEFE, joins me to discuss this in greater detail. NEFE has been following this issue closely for the last 6 years, and Paul shares with me some of the reasons why this happens and how couples can avoid or move forward from financial infidelity.
This episode is sponsored by new podcast sponsor DIY Fund. I hope that you check them out to support the podcast and support their site which gives people the tools they need to invest like professionals.
WHAT ARE WE DRINKING?
PAUL — Basic martini
SHANNON — A Cosmo
- Financial Infidelity ranges from a person hiding purchases, receipts, cash on the side, to people hiding entire accounts, the amount of debt they have, etc.
- NEFE wants to get to the bottom of this issue and find out why this happens.
- 42% of people in relationships and have combined finances are saying they are committing financial infidelity.
- It’s not the most romantic thing to talk about, but it is critically important!
- Paul advises those that have committed financial infidelity to:
- Acknowledge your problem
- Figure out why you did it
- Are you not talking to your partner for fear they will judge you or disagree with you?
- Talk to your partner about it and have a money conversation
- Shannon advises her clients to have money dates to address financial issues.
- Money dates often bring couples closer together.
- Shannon says she sees the most success with clients who have a joint checking account.
- That joint account is a connector for couples.
- 32% of people say there are some financial things you shouldn’t share.
- However, Paul & Shannon both agree that sharing all financial issues early in a relationship is the best for both partners.
- If you are not involved in your relationship’s finances and want to be more involved, you need to step up and tell your partner so.
- Paul suggests taking a financial quiz to show your differences on finances.
- Newlyweds will have a completely different perspective on this than re-married couples.
- This Valentine’s Day, have a money conversation with your partner!
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