RICHMOND, Va - Love is in the air, but don’t let that lead to financial mistakes. CPA Phil Umansky, Ph.D. is in the studio talking about some common money mistakes people tend to make in the name of love.
Money Mistakes Persons Can Make In The Name of Love—Valentine’s Day Edition
by Philip H. Umansky, CPA, Ph.D. Member of the Virginia Society of CPAs
Valentine’s Day is about the emotion of love in its many different forms, but successful relationships must have a practical component of which money is one factor.
1. Spending too much so as to impress the other person (lavish trips, gifts, etc.) before the relationship has matured. Also spending too much on the first date or at the outset of a relationship.
2. Uprooting living arrangements or careers until it is known if a long term relationship is possible.
3. Being financially “unfaithful” or excessive secrecy about money. Also, misrepresenting financial or job status.
4. Income Shaming which means because one partner makes more of financial contribution he/she rules the relationship.
5. Not discussing finances/goals as the relationship matures and/or merging finances too quickly, and fights breaking out over finances.
6. Letting emotions override real legitimate concerns one may have about how the other person manages money.
7. Spending too much on the wedding.
8. Letting the other person manage all the finances.