​Finance talk: How to have a money conversation

Finance talk can seem taboo or sometimes feel intimidating, but the good news is that things are changing. 

At Loqbox, we believe that open, honest finance talk is key to unlocking all sorts of positive change. If the thought of talking about money makes you feel a bit uncomfortable, stressed, or even anxious, we’re here to let you know that you’re not alone. Learning to talk about money might be easier than you think, and we’re here to guide you through the process. 

Working towards your financial goals as a team can be a great way to strengthen your personal relationships. So whether you’re wondering how to talk to your husband, wife or partner about money — or looking for tips on talking about money with friends and family — this guide is here to help you get the most out of your finance talks.

Why talking about money is so important

Money affects all sorts of things in life — from where we live, to the experiences we have — so talking about it is important. It can help us learn more about ourselves, and our loved ones, and ultimately opens the door to new opportunities. 

If that doesn’t already have you convinced that it’s time to have money conversations with the people in your life, here are four more reasons to give it a go: 

1. Your finances can impact one another

Being in a relationship with somebody — or even just living with a friend or flatmate — can connect your finances together. Your credit score can be positively and negatively affected by financial connections like this. That means that your actions, and the actions of the other person (or people), can have a long-term impact on your financial wellbeing. Knowing how to talk about money can help you build a plan to move forward together. 

2. Sharing goals boosts motivation

Staying motivated is key to achieving your financial goals. And sharing your goals with others is a great way to boost your willpower.

When you’re working on a goal, you’ll often have to re-evaluate how you manage your money. Making those sorts of decisions can feel easier when the people around you know what you’re aiming to achieve.

3. You could save money

Being able to break the ice and have meaningful money conversations can lead to real savings. 

When you’re honest with your friends and loved ones about your financial situation, the mental load of managing your finances is shared. As a group, you might decide to find fun new things to do together that don’t cost the earth. Maybe even take money-saving challenges together. It all starts with a money conversation.

4. Reduce stress and anxiety

While finance talks can seem a little intimidating at first, once you’ve learned to feel comfortable talking about money, you might find these conversations actually help to relieve stress and anxiety. 

We spoke to wellness experts who said that talking about money is one of the best ways to deal with financial overwhelm. Money is an emotional thing, so it’s often easier to approach the facts of your financial situation when you talk things through. 

Talking about money in a relationship

Talking about money with a mate is one thing but talking about it in a relationship is a whole different kettle of fish which is why we’ve got an entire blog dedicated to having a money conversation with a partner. You can check it out here.

How to get ready for a money conversation

Knowing how best to approach your finance talk will depend a little bit on both you and the person that you are chatting to. Some people are direct, others need a softer touch. Are you both compatible on how you approach these things? You don’t have to be, but it’s important to prepare realistically for these kinds of conversations.

It can also help to have an understanding of both of your goals and future plans so sometimes it can be a good idea to have a chat about that first if you’re not sure. Once you have a handle on that, here are some tips on how to prepare for a money conversation:

• Choose when to chat: Instead of waiting for  the right moment to start a money chat,  you could suggest the idea and decide on a time together.
• Choose where to chat: This depends on you and the other person, but finding a good place for a money conversation can help it go smoothly. What’s the most relaxing environment for you both?

Practise your point: You don’t need to over-prepare or learn a script, but taking some time to be really clear of exactly what you want to say will help you to communicate it better.

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