Living Unmarried Like a Married Couple

Weddings are overrated. At least that seems to be the message that a new generation of young couples in their 20's and 30's are saying by not waiting to move in together, purchasing property together, and having a family. With the laws in some states and all of Canada providing almost as much legal recognition to common-law couples as married couples, a wedding is a financial burden and a deliberate afterthought. What hasn't changed, however, is that more and more couples are feeling the squeeze and find their relationships are crumbling beneath crippling debt. There are ways to avoid this from happening, it just requires some hard work and serious commitment to working toward common goals.

Each individual in the relationship needs to take responsibility for his or her debt. It you decide that you are going to enter into a relationship with someone, and you come to find that you are both in debt, there are some serious decisions that need to be made. Ideally, no one should be paying the other's debt. My mother always taught me never to take on someone else's mistakes, even if I marry them. Each of you need to sit down and work out your own debt repayment plan. If the two of you decide to combine your debts and pay them off as a couple, you need to put it in writing. Go to a notary public, and sign a document that states who is responsible for what financially in case anything unfortunate happens, be it an accident, a death or more likely, a break-up.

A household budget is crucial. If you're going to play house together, than that also entails being financially responsible together. Be cautious about combining bank accounts. I have been living with my partner for the last four years, and though we share the household expenses, we do not share a bank account. Other couples find it beneficial to have a chequing or savings account to pay household bills, or save for something significant like a house or car. This needs to be done with eyes wide open, and if you ever feel uncomfortable, get everything in writing! 

Combining your income can mean big dreams achieved! My partner and I make significantly different incomes. I am a full time writer and university student and my partner is a lawyer. Because of the income discrepancy, we divide our bills according to our financial ability to contribute. Because we are cautious with  our money, we able to achieve our financial goals much faster. Our vice is travel, and we do it as often as we can!