Private economy

Love and money: Why talking finances can be a romantic gesture

On Valentine's Day, when romance is in the air, why do we as a bank think it's important to join the conversation? Because we consider advising and improving people's financial skills to be one of our core businesses. And what can be better advice than how to talk about money as a couple?

couple-kissing-while-sitting-against-lake

When it comes to couples economy there are different, what could be called as, strategies we advise for a healthy economy. Some main topics to cover in your talks to each other:

  1. Talk openly and regularly about finances
    Regular conversations create a safe framework where both feel heard.
     
  2. Distribute expenses fairly, not necessarily in the same way
    Find a solution that feels fair to both and takes individual financial situations into account.
     
  3. Combine joint finances with independence
    Consider having a shared card and account for fixed expenses and separate accounts for personal use.
     
  4. Take into account unpaid work, part-time work, and other periods
    Find a good solution to balance out the economic consequences of leave periods or part-time work.
     
  5. Plan for both present and future
    Clarify how joint assets, debts, and properties should be handled, in a cohabitation agreement or prenuptial agreement.
     
  6. Give each other financial freedom
    Consider setting aside a sum each month that each of you can freely dispose of. 

Did you know ...

There are gender pay gaps still across the EU, in average 13%. In the Nordics, Sweden have a 12%, Denmark are at 14% and Finland highest at over 15%, numbers show from 2022.

The pension gap is 28% in Sweden, 24% in Finland, 23% in Norway and only 8% in Denmark. Calculated on the total gap 65+. 

Ensure you get an equal pension

How big your pension will be depends, among other things, on what you earn and how many years you work and how your country has set the rules for this. In general, the higher your salary is and the longer you work, the higher your pension will be. The same applies in reverse: the lower your salary and the fewer years you work, the lower your pension will be.

Large differences in pensions for women and men

Women's and men's pensions are not equal today in the Nordics, as shown by statistics from the Nordic Council of Ministers. This is mainly because women, on average, earn less money than men. Women also work part-time to a greater extent and take more days of both parental leave and care for sick children.

Something to discuss: Make sure to compensate your partner or be compensated

How you share time at home is important from both an economic and equality perspective. Not sharing equally can, in the worst case, mean money lost in both lower income and pension in the long run. But there are ways to financially compensate your partner. Read more on our local pages on how to plan this in your case: 

Private economy
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