RIAs Tag

Looking for something special to do with your one and only this Valentine’s Day? Perhaps an activity that shows how much you want your relationship to last, not just emotionally, but financially as well?

How about sharing a “money mimosa”? Or what about a cozy afternoon mixing “coffee, cash, and credit”?

Those are just a few of the ideas Caroline Wetzel, private wealth advisor at Procyon Partners, recommends to clients wishing to express their “financial love” to each other. In her view financial planning done right provides couples a “safe space to be vulnerable, express themselves, and grow individually and together.” She adds that frank financial discussions also enable couples to deepen their relationship through conversations about their needs, wants, and wishes.

And they also provide a flexible framework for making financial goals reality, like another one of Wetzel’s favorites: The “travel transfer.”

“Introduce automated monthly savings and make paying for travel a fun challenge that brings you together,” Wetzel said. “Keep a map on your fridge illustrating where you want to travel along with when you want to go there. Set and stick to a regular savings plan to build funds to pay for your trips.”

Added Wetzel: “And each trip you take make it a game to see how many deals you can apply to minimize costs and maximize fun, like applying airline miles, membership rewards points, and hotel discounts!”

Budget simulations are another creative way for couples to show their devotion to each other, according to Peter Halbrook, advisor at TritonPoint Wealth. And his firm has the AI technology to get folks in the mood.

“Couples always enjoy running various what-if scenarios, especially when it has to do with shared discretionary goals like vacations, buying that second home, early retirement, or perhaps gifting to the grandkids or favorite charity,” Halbrook said.

One of the most common reasons for divorce is money. That’s why Halbrook believes that by planning early together and being open with one another, couples will have a better chance of avoiding common “money problems” that often detract from having a healthy and harmonious relationship.

“In my opinion, the planning process is almost like therapy,” Halbrook said. “Talking is good and when couples openly engage in the planning process together it always leads to meaningful conversation and a better outcome.”

Along with coaxing communication, budgeting can also be a stress reliever, believe it or not. Just ask Matt Liebman, founding partner and CEO of Amplius Wealth Advisors.

“Financial matters are one of the key drivers of stress in individuals and couples. Conversations and open communication can remove stress. Removing stress can lead to healthier relationships,” Liebman said, adding that travel, events, and experiences are often “more impactful and memorable financial expenditures than material goods.”

(Of course, gold is up over 40 percent in the past 12 months. So maybe that’s not such a bad gift too. Financially speaking of course.)

Along those lines, a study released last summer showed that the more financial stress people are experiencing, the less likely they are to speak with their partner, perhaps exacerbating an already challenging situation and potentially exposing the partner to risk.

Emily Garbinsky, associate professor in the Samuel Curtis Johnson Graduate School of Management, co-authored the paper with Suzanne Shu, professor in the Charles H. Dyson School of Applied Economics and Management, and Nirajana Mishra, a postdoctoral associate at Yale University.

They found that a staggering 70 percent of participants in their study said they are or have been affected by financial stress, typically from being overwhelmed by spending, unable to meet their financial obligations, or being concerned about money management.