3 Potential Retirement Challenges for Married Couples

Are you and your spouse on the same page, regarding retirement planning?

NerdWallet recently conducted a survey that uncovered some surprising truths about couples and their retirement plans. For example, 30 percent of couples don’t talk about retirement at all. That might explain why 23 percent of survey respondents said they don’t know how much their partners are saving for retirement.

We all know that communication is the key to a happy marriage, and that rule doesn’t stop at romantic issues. If you aren’t talking about your retirement plans, you might be making one or more of the following mistakes.

Lack of commitment. An alarming 33 percent of the NerdWallet respondents have saved nothing for retirement! Even among those who have begun saving, a lack of communication has led to a lack of commitment to any particular retirement plan. It’s difficult to arrive at a destination together if you don’t discuss where you’re going!

Lack of strategy. Just 39 percent of the couples surveyed were utilizing an employer-provided retirement account, such as a 401(k). The rest were either ignoring this option, or it was not available to them. If your employer does not offer a retirement plan, you can still prepare for the future by opening an Individual Retirement Account (IRA). In fact, you can even fund an additional spousal IRA – a good option when one spouse earns much less than the other, or is not employed outside the home.

Arguments. You and your spouse might have different investment styles, different goals, or diverging opinions on spending versus saving money. While you might believe communicating about these issues is just asking for a fight, the opposite is actually true in the long run. What might be a difficult conversation or a small squabble today, could become a major point of contention in the future if you allow it to fester.

The bottom line is that you and your spouse should be communicating about all financial matters, particularly retirement planning. If you find it difficult to discuss these issues, involving a third party can often be helpful. Call us to schedule an appointment, and we can help you identify your priorities and decide upon savings and investment goals.