You are not alone if you go over budget for your wedding. Nearly half, around 45%, of couples spend more than they originally planned, with the average around $7,300. It is certainly easy to do, especially with so many last-minute purchases you had not budgeted for. Now that you can enjoy married life, you might be concerned about getting your finances back on track.
If you put items on credit cards, consider using a loan to consolidate that debt to avoid paying high-interest rates, making it harder to pay off. You can use wedding personal loans to pay back and reduce wedding expenses. This makes it so you have one monthly payment to deal with and a fixed interest rate that will likely be lower than your credit card.
How to get your finances under control after your wedding
As newlyweds, this might be the first time you have joined your finances with someone else, so it can be confusing when you start out. Talking about money can be difficult, so set up open and honest discussions about your finances and refrain from judgment. Here are five easy steps to get your finances under control after overspending on your wedding.
You will need to become highly familiar with your partner’s income, debts, taxes, loans, and everything else finance-related. Not everyone has the same approach to money, so there might be a learning curve in understanding how your partner deals with their finances. Start thinking of your marriage as a team, where income and debts are shared if you choose. Avoid hiding anything, as it always comes out at some point.
Once you have laid everything out, you can start making financial goals. Do you want to buy a house? Or pay off your student loans? How about paying back loans or family members for your wedding? Think both short-term and long-term. Set rewards for meeting your goals to make them even more enticing. Creating these goals will help you with step three.
Now that you know your goals, set monthly budgets. Include line items for needs, wants, and plans. Be realistic while making these budgets, and have a buffer in case you go over some categories. Add whatever categories match your lifestyle closely and prioritize things as you see fit. There is no one size fits all budgeting method, as it depends on what each couple finds most important.
Make sure you are both on the same page regarding who pays the bills, handles taxes, and oversees the daily spending. Setting clear and realistic expectations ensures that no one gets upset and that no bill gets left unpaid.
Continuous conversations about your finances allow you to move forward as a married couple. Even if you overspent on your wedding, following these steps will enable you to start fresh as newlyweds and achieve financial goals together.