It’s wedding season and as many couples get ready to say their vows, they might want to have a talk about fidelity — financial fidelity.
A study by Harris Poll for the National Endowment for Financial Education finds that two in five Americans who have combined finances admit to lying to their partner or hiding information about money matters. And it’s on the rise — 42 percent of those surveyed admitted to financial infidelity compared to 33 percent just two years ago.
It could be something as minor as hiding a recent purchase or something more significant, like hiding a bank account. There are sometimes pleasant surprises, such as money set aside for a gift or trip, but those who study the matter say it’s typically more devious.
As with many things in relationships, communication is key. Whether a couple is just getting started or is trying to recover from a financial infidelity, the recommended steps are similar: Start with an open conversation, get on the same page and follow up regularly.
That’s not to say that couples need to report every dime they spend. NEFE says each couple needs to find a budgeting and money-management system that works for them. And the threshold for what can be spent without checking in with the other varies with each couple.
There is some good news for recent newlyweds. Research by credit reporting bureau Experian found that couples who have gotten married after the recession are more apt to talk about finances early on. But Sandra Bernardo, manager of consumer education at Experian, says they still aren’t talking to the extent they should.
“(Money is) a major dynamic in a marriage and you need to think about your goals,” she said. “And sooner or later you need to talk about it and address it, and it’s better to do that sooner.”
