One of the biggest things that couples argue about is money. According to a survey reported by CNBC, 35% of couples experiencing stress say that it is because of money issues. And probably the biggest concern when it comes to money is how to prioritize your earnings. Before getting married, my husband and I sat down to have the “Money Talk” — one of the essential questions to ask before tying the knot. We determined that he was the saver and I was the spender, and that this is going to be something that we need to carefully negotiate throughout our life together.
As with many couples, we have a lot of debt that we want to get rid of. However, like most millennials, we also want to prioritize travel. But that’s where we come to the difficult question of: Should we travel together or pay off debt? When it comes to making important financial decisions, I’m a fan of talking to experts who can help figure things out and, if I’m really lucky, help me and my partner come to a decision together. Since this is such a common issue for most couples, HipLatina spoke to four experts about how to prioritize paying off debt but also traveling together. Here’s what they had to say.
1. Prioritize getting your debts under control.
“I don’t recommend living like a monk to pay off debts (unless for a short, specific period of time – this leads to burnout), and I definitely don’t recommend living as if you have no financial obligations either (this leads to bankruptcy and very sad retirements). How, exactly, they’ll divide their resources for this will go back to how much they have available, and what their priorities are – but I would not recommend prioritizing “enjoying the now” over dealing with debts. That doesn’t mean you have to wait until everything is paid off to take a vacation, but until you’ve got your debts under control, it’s time to live a bit more frugally.” – Lynne Somerman, Financial Coach, The Wiser Miser.