All this talk of money inspired an idea … and we know Who that came from (hehYES).
So every household has income and expenses … even if one severely outweighs the other, they are still that. And presuming that if one must work with another adult to manage the aforesaid household, both parties on the same page is usually, typically, generally more beneficial that doing/handling everything separate.
Was watching an old OG video and Mr. Samuels was … castigating a divorced MF who stated that the reason for the split was that they just could not get along / delving a little deeper, she disclosed that she earned a higher income that her ex, and she did not allow him to handle the family finances.
AhHA/gotcha moment commence.
The OG proclaimed that, as a MF, she likely contributed to the demise of her marriage because she didn’t “let” him lead, that she kept her $$$ to herself and functionally financially emasculated her ex.
Methinks me gotta disagree here.
Now, there are some guys who are just money savvy. He sees the bills, he conquers the bills, he creates savings/investment and stability for the family, and she can rest in her feminine.
And then there is life.
Unless she is a full-fledged, certified SAHW&M / total trad wife, methinks most women are not comfortable with the idea of working 40 and receiving an “allowance” subject to his whims. Most women do not like being infantilized and presumed money-idiot.
Methinks … now, could be wrong, but think not. Anyhoo.
One suggestion is to have both adults participate in the direction of the family finances via the “6-In-One Plan;” that is, the One household has 6 accounts to manage the collective money.
Sounds like a lot, but bear with.
6 accounts:
#1: Savings (ER fund, vacation plans, lottery winnings [DON’T PLAY THAT], happy windfalls,
bonuses
#2: Household (day-to-day … groceries, gas, kidstuff, petstuff, carstuff, Costco run, housestuff
like utilities/repairs … the expenses that are recurring and ongoing and unending … gah.
#3: Debts (the payments with a balance due that can/will eventually end … credit cards, auto loans,
student loans [maybe/dreaming a little here], mortgage, personal loans … stuff that can be paid
off/with a spending plan to PAY it off)
#4/#5: Fun money x2 (him/her … personal grooming, baubles-trinkets-doodads,
mad money/that angry cash)
#6: Investments (could be a money market account [what’s that, you ask? More to come],
retirement funds, business opportunities, real estate)
The idea is to have all income from whatever source dropped directly into the #1 Savings then disbursed according to the SPENDING PLAN worked out and agreed to by the adults. That way, the household always pays itself first, everybody has input and shares a common goal – financial stability, security, and freedom.
Free at last, free at last, thank GOD ALMIGHTY I am free at last— well not yet but this might help getting there.
#6: Investment Account might only get $10 or $100 or $5 for a particular month/pay period but the real beauty is those funds build overtime … like investments should.
Added optional wrinkle … for the #1 Savings and #6 Investment accounts, either party can deposit but it requires two signatures to withdraw cash … that way, no unpleasant surprises/sneaky tactics, and forces the couple to work together. If either (i.e., she) needs more funds from the #2: Household then that requires a discussion and possibly a reorg … but overall methinks folks do well within expectations.
Now, if a household is comprised of a single adult and/or single adult with offspring, still works.
Option #B: Single … unmarried, childfree gets a “BigDoins” account.
One of the major beauties/benefits of being S&CF means you get to live your life for you. All props, not mad. That being said, as a S&CF person, big plans are almost always in the wings … travel, buying a home, dream car, etc. Replace a FunMoney account with the BigDoins account … done.
Option #C: BM/BD … unmarried, but have children, either with/without custody — enter: FlyFreeFund.
Replace one of the FunMoney accounts with a FlyFreeFund, an account dedicated to building a lump sum to give to the kid(s) at 18. Can be a 529 account (more later) or just life startup funds for the child(ren) to be used for whatever … down payment for a home (yehright), car, college (see 529 account), travel (what? no) or starting a business.
What’s really going to be interesting is sharing the idea with Half … methinks me been a $$$ problem our entire marriage, wonder if Half will even want to try. We (the collective) shall see.
More to come …