Whether you’re starting up a new business or travelling the world, there are many risks associated with starting new ventures. Entering into a relationship, although emotionally beneficial, can be financially tricky for both parties, especially if you decide to live together. Taking risks is a part of life, however that doesn’t mean that we can’t manage those risks, positive or not. Finances are usually the last aspect we consider when we meet someone and start a new romance, but by planning ahead, with or without your new partner, will certainly benefit you in the long run.
Some things are built to last, however sadly and more increasingly, relationships and marriage fail to stand the test of time. No matter how much you love you partner, or how enjoyable the relationship was, the last thing you want to do is lose out financially, and this is why planning ahead is very important. By securing your finances before you start a relationship, you’ll always have something to fall back on. Some people embrace sharing parts of their lives, however sharing finances intimately will certainly leave you in the lurch if you ever break-up or divorce.
From having a savings account to finding the right financial accountant, there are a number of ways to protect yourself from financial turmoil if your relationship turns sour. We’re not saying that joint finances should be avoided, because sharing money shows commitment, and commitment is what all relationships are based on. However if you share every aspect of your life, no matter how much or little you contribute to joint finances, you will definitely be out of pocket if you and your partner choose to go your separate ways. Here are a few ways to secure your finances before you enter into a relationship.
You must have a good proportion of your finances in accounts registered in your name, and your name alone, if you’re going to successfully emerge from your broken relationship unwounded. Anything in joint names, whether its property, cars, accounts or assets, will evenly divided between both parties, no matter how much you’ve financially contributed to the cause. By having your finances safely tucked away in your own accounts, you’ve got something to fall back on if your assets are split. Furthermore, by visiting www.switalskisfamilylaw.co.uk and making sure that you have your accounts in your name, your partner will not be entitled to any proportion of it.
If you share any form of credit with your partner, whether its bank cards, store cards or loans, make sure you terminate these financial ties. For all you know, the account could be overdrawn or suspended due to your partner’s debts, and the fact that you share it means you are also liable for those debts. If you and your partner are separating, make sure you remove your name from anything that could have a detrimental effect on your personal credit.