Breaking up, moving out? Top tips to avoiding financial heartbreak
SPLITTING up can leave you with more than just heartbreak. Here's how you can avoid a massive hole in your bank account too.
THEY say breaking up is hard to do with messy bust-ups leaving some couples thousands of dollars of out of pocket.
And in order to avoid finding yourself in situations similar to Jennifer Aniston and Vince Vaughn in the hit film The Break Up, one relationship expert says it pays to be prepared.
Dr Michelle Callahan, who has appeared on US talk shows including Dr Phil and Oprah, claims couples planning on moving in together should have a plan in place to avoid messy break ups later on.
Dr Callahan says while no couple plans on parting ways, small things like keeping financial records and even signing a dating pre-nup will save couples thousands in the long run.
In the 2006 film, Gary Grobowski (Vaughn) and Brooke Meyers (Aniston), resort to drastic steps to keep their luxurious condo following a messy and costly break up with neither willing to move out.
It's a scene familiar to some warring couples and, according to Dr Callahan, one which can be easy avoided.
In her blog, Dr Callahan writes: "One situation that is particularly hard on both parties is when a break up occurs while the couple is living together.
"Suddenly the couple is hit with the hard reality that they need to sit down and sift through a roommate break up protocol that they never thought they would face during their honeymoon bliss."
According to Dr Callahan, these tips will save agonising financial stress later on:
• Have a conversation about how you’d both like to handle things in the event of a relationship breakdown
• Consider a dating pre-nup agreement that spell out exactly how things will work, which covers who gets what and how final bills will be handled
• Keep financial records such as bank statements and receipts for purchases and even a journal for shared expenses
• Buy items individually where possible which can be easier than splitting the cost of each item, making it easier to divide property up later on and;
• Add your name to the lease so you’re in the best position to keep rights to the home
According to research compiled by Relationships Australia, 55 per cent of US adults living with a long-term partner fail to regularly discuss their financial issues.
Relationships Australia expert Lynn Fletcher said it was vital couples discuss finances to avoid any unnecessary stress later on.
She added many people find their discussions about money end in arguments but talking about it can’t be avoided forever.
"Make a date to talk about your finances in the same way as you’d make a business appointment," she said.
"Find a place where you both feel comfortable and allow enough time to talk and listen to each other.
"Make room for differences and sort out together how you handle money in your relationship."