How Do I Set-Up My Finances As A New Couple?! - Money Q&A
Jun 3, 2024
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The podcast discusses setting up finances as a newlywed couple, optimizing Roth IRA investments, and the need for an LLC with rental properties. It also covers financial considerations for engaged couples, including merging finances, setting goals, and discussing financial matters openly for success.
31:38
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Quick takeaways
Clear communication and goal setting are crucial for newlyweds merging finances.
Transfer Roth IRA to lower-cost index funds for smoother transition and long-term savings.
Deep dives
Investing in Real Estate through Fundrise
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Setting Up Finances as a Newlywed
As a newlywed preparing to merge finances, clear communication and goal setting are crucial. Discuss saving for a home, planning for children and associated costs, retirement goals, and values regarding spending and saving. Creating a joint budget, prioritizing saving goals, and automating the budgeting process can streamline financial management.
Transferring Roth IRA to Lower Cost Funds
Consider transferring a Roth IRA invested in higher-cost actively managed mutual funds to lower-cost passive index funds offered by providers like Vanguard or Fidelity. Opening a new Roth IRA and initiating a direct transfer can facilitate a smoother transition. Lump sum investing is favored over dollar-cost averaging for transferring a substantial sum.
Importance of LLCs for Rental Properties and Businesses
Establishing LLCs for rental properties and businesses offers liability protection by separating personal and business assets. Setting up an LLC is a relatively straightforward process involving choosing a business name, filing articles of incorporation, appointing a registered agent, drafting an operating agreement, obtaining licenses, and announcing the business. Maintaining an LLC involves filing annual reports to stay in good standing with the state.
In this episode of the Personal Finance Podcast, we are going to do a Money Q&A about how do I set up finances as a newlywed couple.
Today we are going to answer these questions:
Question 1: How do I set up Finances as a Newlywed?
Question 2: How do I move my Roth IRA?
Question 3: Do You Need an LLC with Rental Properties and Businesses?
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