Navigating Finances and Relationships: A Guide for Couples in New Zealand
- lucindaterry5
- Feb 12
- 4 min read
Finances and relationships are deeply intertwined. While love may be the foundation of a strong partnership, financial compatibility is the glue that holds it together. At Naked Finance, we understand that managing finances as a couple can be challenging, especially when navigating New Zealand’s unique financial landscape. From budgeting for a first home to planning for retirement, couples often face hurdles that can strain even the strongest relationships.
In this blog, we’ll explore the common financial struggles couples face, share relevant statistics, and provide practical advice to help you and your partner build a secure financial future together.
Before we deep dive in, we wanted to introduce one of our favourite budgeting tools here at Naked Finance. SortMe was founded right here in New Zealand so it is highly relevant to our financial landscape. By following the link below, you can sign up for a free 30 day account without having to input any credit card details. It is a great tool for budgeting and planning your finances. Give it a go and see if it can help you with your personal financial management.
The Financial Challenges Couples Face
1. Different Money Mindsets
One of the most common issues couples face is differing attitudes toward money. One partner may be a saver, while the other is a spender. According to a 2022 survey by the Commission for Financial Capability (CFFC) in New Zealand, 45% of couples admitted to having disagreements about money, with spending habits being the top cause of conflict.
2. Unequal Financial Contributions
In many relationships, one partner may earn more than the other, leading to feelings of imbalance or resentment. This can be particularly challenging when it comes to deciding how to split expenses or save for shared goals.
3. Lack of Communication
A study by the Financial Services Council of New Zealand found that 1 in 3 couples rarely or never discuss their financial goals. This lack of communication can lead to misunderstandings, missed opportunities, and financial stress.
4. Debt and Financial Obligations
Many couples bring existing debts into a relationship, such as student loans, credit card debt, or mortgages. Managing these obligations while planning for the future can be a significant source of tension.
The Impact of Financial Stress on Relationships
Financial stress doesn’t just affect your bank account—it can take a toll on your relationship. Research from the New Zealand Families Commission shows that money-related stress is one of the leading causes of relationship breakdowns. Couples who struggle with finances are more likely to experience arguments, decreased intimacy, and even separation.
The good news? With open communication, mutual respect, and a solid plan, couples can overcome these challenges and build a stronger financial foundation.
Why not start by understanding the various ways couples manage their money, and see which method, if any, resonate with you.
Finances and Relationships: Tips for Budgeting and Planning as a Couple
1. Start with an Honest Conversation
The first step to financial harmony is open and honest communication. Schedule a time to sit down with your partner and discuss your financial goals, values, and concerns. Be transparent about your income, debts, and spending habits.
2. Set Shared Financial Goals
Whether it’s buying a home, saving for a family holiday, or planning for retirement, setting shared goals can help you stay aligned and motivated. Break these goals into smaller, actionable steps and track your progress together.
3. Create a Joint Budget
A joint budget is a powerful tool for managing your finances as a couple. Start by listing your combined income and expenses, then allocate funds for savings, bills, and discretionary spending. Tools like the SortMe budgeting tool can help you get started.
4. Divide Responsibilities Fairly
Decide who will handle which financial tasks, such as paying bills, tracking expenses, or managing investments. Make sure these responsibilities are divided in a way that feels fair and sustainable for both partners.
5. Build an Emergency Fund
Life is unpredictable, and having an emergency fund can provide peace of mind. Aim to save at least three months’ worth of living expenses in a separate account.
6. Seek Professional Advice
A financial adviser can help you navigate complex financial decisions, such as investing, retirement planning, or managing debt. At Naked Finance, we specialise in helping New Zealand couples achieve their financial goals with tailored advice and strategies. Reach out to the team for more tailored advice.
Some (Scary) Statistics: Couples and Finances in New Zealand
Homeownership Dreams: According to the Stats.govt.nz, only 59% of New Zealanders in the late 30's + own their own home, down from 79% a few decade ago. For couples, saving for a deposit can be a significant challenge, especially with rising house prices.
Retirement Savings: The Financial Services Council (FSC) released a report suggesting that many New Zealanders are facing the tough choice between relieving immediate financial pressures or saving for the future and retirement.
Debt Levels: The average household debt in New Zealand is $218,770, with mortgages being the largest contributor. Managing this debt while saving for the future is a common struggle for couples.
Final Thoughts
Managing finances as a couple requires teamwork, patience, and a willingness to compromise. By addressing your financial challenges head-on and working together toward shared goals, you can build a stronger, more resilient relationship.
At Naked Finance, we’re here to support you every step of the way. Whether you’re planning for a major life event or simply want to improve your financial communication, our team of expert advisors can help you create a plan that works for both of you.
Remember, financial harmony is within reach—it just takes a little effort, a lot of communication, and the right guidance.
Ready to take the next step? Contact Naked Finance today to schedule a consultation and start building the future you’ve always dreamed of.
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