Financial literacy vital when starting a family

by Trust Matsilele 0

According to financial experts, most marriage collapse due to money disputes, and in most cases, new couples face financial strains within their first two years of marriage.

Ricardo Teixeira, management consultant at Acsis Limited noted that from trends observed over the years, they suggest that individuals believe don’t need any coaching through financial decisions in life.

“Another trend we have seen is that there is still a misconception that financial planning is selling a product,” he added.

“It is absolutely vital to have someone independent, a person outside of your family, to talk to about with regards to financial implications of key life events.”

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Ryan Switala, head of risk product development at Liberty, added many that got married only realised the new emotional responsibilities of caring for a child or partner, but failed to also recognise the equally demanding financial responsibilities. 

Teixeira noted that financial planning and financial conversations were avoided topics between partners as they are viewed to be passion killers.

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“If you are really serious about marriage, what you should be doing is tackling these conversions right up front and addressing them. The relative is that most relationships breaks down because of money matters,” he added.

Teixeira added that it was vital for couples to discuss issues such as debt that partners bring into marriage and how the couple share expenses.

“The key point with any financial planning is to find the life that you can afford as opposed to starting the life that you want,” said Teixeira.