Wealth Planning as a couple

Effective wealth planning involves the active participation of both partners in a relationship. It is essential for wealth planners to educate and engage both partners to make the wealth building journey a success. Here are reasons why it is important for couples to plan together.

Aligning Goals and Priorities

Wealth planning is a good opportunity for couples to align their goals and priorities. You will have discussions like when and where you would like to retire, and how much money you need to realize your desired retirement life. There will be instances where your priorities are different and you need to compromise, but setting goals together as a couple helps keep you mutually committed to achieving those goals, increasing the probability of your plan’s success.

Growing and Maintaining Wealth

Whether you choose to commingle your finances or keep them separate, a good wealth planner can develop a plan that aligns with your family’s objectives and risk tolerance. For married couples planning together, you could make the most of tax reliefs and rebates to reduce your income tax liability and/or achieve specific financial objectives. There are tax strategies involving the use of child reliefs and the CPF retirement sum top-up scheme, depending on your circumstances. As you build your wealth together as a couple, it is important to plan how you want to transfer and distribute your wealth when one person dies. A sound estate plan provides you and your surviving partner peace of mind.

Preparing for the Unexpected

When faced with unforeseen events like sudden death, it becomes imperative for each partner to possess knowledge about the family’s savings, investments, and insurance details. In such situations, are you confident in handling financial decisions in the absence of your partner? If you and your partner had been actively involved in the planning process, you would already be familiar with your family’s wealth planner and know who to go to for advice during this difficult time.

Relationship Well-Being

The topic of money is a common reason for arguments. When couples have open and honest communication about financial decision-making, they are not only reducing conflict but have better financial outcomes as they are working together toward their shared goals. 

In conclusion, successful wealth planning for couples is a collaborative process involving both partners and their wealth planner. "Alone we can do so little; together we can do so much."—Helen Keller

This material is intended for educational and informational purposes only. It is not intended to provide specific advice or recommendations for any individual. Additionally, you should consult with your Financial Advisor, Tax Advisor, or Attorney on your specific situation. The views expressed in the material are that of the author and do not necessarily reflect those of any market, regulatory body, State or Federal Agency, or Association. All efforts have been made to report or share true and accurate information. However, the information may become materially outdated or otherwise rendered incorrect due to subsequent new research or other changes, without notice. The author nor the firm are able to always verify the content from third-party sources. For additional information about the firm, please visit the MAS Website at https://www.mas.gov.sg/ and the SEC Website at www.adviserinfo.sec.gov. For a copy of the firm's ADV Part 2 Brochure, please contact us at info@avriowealth.com.