Our relationship with money is complex. Money is everywhere and it affects just about everything we do. Despite this, a lot of us spend very little time trying to fully understand it. We will avoid taking the time to think about how we relate to it and even less time talking about it.

Money is part of any relationship and one of the most helpful things you can do when it comes to managing your money is to talk to other people in your life about it. Having regular conversations about money with your friends and whanau can help you manage your finances better. Being honest about your financial situation and agreeing on a budget can help keep your relationships and your bank balance healthy.

Why talking openly about money helps

Talking openly about money allows you to get input and advice from others. You can learn new financial habits, and better understand your own relationship with money. These conversations can be with your partner, family, friends, or even your kids.

Sticking to a budget isn’t always easy but not being open about spending habits and hiding purchases are risky for relationships. That’s why it’s so important to have frank conversations about money with close friends and family members, and especially with your partner.

While it may not be the most comfortable subject to discuss, managing your finances is an important part of life.

In this article, we’ll look at financial habits and how talking can lead to managing money better. We’ll cover the following ideas:

1. Why talking about money can be difficult for some people.

2. The benefits of talking about money openly.

3. How to discover helpful budgeting tools and tricks.

4. How to have productive conversations about money.

5. The importance of financial literacy.

Talking about money can be a difficult subject for some

For many people, money is a conversation topic they’ll go to great lengths to avoid. For some, money is seen as a taboo subject that should not be discussed in social settings. Others may feel awkward or uncomfortable discussing their personal financial situation. For others, it causes relationship stress.

There may well be good intentions behind avoiding the topic of money. However, not talking about it can put people at a disadvantage when it comes to managing their finances. Money matters are something that everyone has to deal with, no matter where they stand financially.

Becoming comfortable with money is a journey. Open, candid conversations with a free flow of information almost always benefit the people involved. By being open to talking about money, you can put yourself in a position to be better informed and share those skills with those who matter to you. The more you talk about your finances, the more you can open doors for others to do the same.

There are several benefits to talking about money openly

For starters, it allows you to get input and advice from others. You can learn new financial habits from these conversations and better understand your own relationship with money. You can set yourself up for success. You can discuss your financial goals and find ways to save for them. You can discuss how you and others you know typically spend money and find out if there are better ways of going about it.

Discovering useful budgeting tools and tips

When you have conversations about money, you can learn budgeting tools and tricks from others. You can also get an idea of what financial habits are working well for other people.

For example, do your friends and family work with a financial advisor, what are their strategies for paying off debt, do they have a debt consolidation loan, do they use debit cards as opposed to credit cards, do they avoid “buy-now-pay-later” purchase, do they use a money app?

Finding multiple small cutbacks on household bills, such as power bills, gas bills and phone bills add up over time. Who are your friends and family using for these services? Try using comparison sites to see if you’re on the best plan for you.

You may not agree with their financial strategies or necessarily want to adopt them for yourself. Their various plans might not suit you, but talking about them will help you become better educated about financial matters.

Productive conversations about money

Discussions about money may be hard to start with, as people can often have differing views on spending and saving, but they can help you make more informed financial decisions.

When discussing money, it is important to be productive. This means being respectful of other people’s opinions and experiences. It also means being open to learning new things.

Here are some tips for having productive conversations about money:

  • Choose the right time and place: Make sure everyone involved is comfortable and there are no distractions.
  • Be respectful: Listen to what others have to say and avoid judging their financial choices.
  • Keep an open mind: You may not agree with everything you hear but be open to learning new things.
  • Share your own experiences: Share your own money stories and advice respectfully.
  • Be honest about your financial situation. This includes sharing any debts or financial concerns you may have.
  • Ask questions: If you’re unsure about something, don’t be afraid to ask questions.

Financial literacy is an important skill

Everyone should be financially literate. Talking about money is one way to promote this important life skill. The best way to educate children about financial literacy is by modelling healthy, smart behaviours and being open about them.

Money is an important part of our lives, but it’s not always easy to talk about. For some people, having conversations about money matters can be quite stressful. However, if you are open about

finances, you can help people overcome their hesitations so they can benefit from a healthy, two-sided exchange of information.