Do you like spicy food, while your partner prefers bland comfort food? Do you and your partner share the same enthusiasm for scary rides? Of course, both you and your partner don’t have to like the same thing. After all, opposites attract.

Not liking the same thing is not the issue, but not knowing and understanding what your loved one prefers can lead to conflict – especially when it comes to money.

Before both of you decide to dump a lot of money in an investment – be it property, shares or even your child’s education fund – here are some hard questions you need to ask each other.

What did you dislike about the money management strategies of your parents?

Most people’s view of finances is influenced by how they were raised. Some learned from their parents when they were young, while others learned from the circumstances. Understanding the history of your spouse’s money management is key to understanding how they manage it.

To get a better understanding of the situation, you might also ask these basic questions:

  • What amount of money do you really need to have a savings account in order to be financially secure?
  • What assets do you consider to be wealthy?
  • Would you rather have a job that is commission-based than one that is salaried?
  • What amount are you willing to spend on your family, and not just yourself

2. Are you comfortable with high-yield + high-risk investments?

You may not even be aware that you and your spouse have different perspectives on what risk is or the risk appetite when it comes to investment.

Are you the daredevil in the relationship or are both of you contented with just putting your money in a savings account? These are the things you will find out by asking this question.

It is important to draw up an investment portfolio based on both of your risk appetites to avoid conflict in the future.

3. How much can you afford to lose right now and still maintain your current lifestyle?

If there is a difference in priority when it comes to financial security, it is best to find out before anything untoward happen to your joint investment.

Know each other’s limit. This question will open up a different side of your spouse that you may not find out in your usual conversation. Will losing the money invested completely put the two of you in the dog house? Or can it be easily brush off as a lesson learnt? Determine this before putting the money into your investments.

Always look at the numbers: when you have low income, little savings, not much time to accumulate or high amount of debt, you probably don’t want to be investing at high risk levels.

4. Are you comfortable with making a joint investment?

In order to collaborate financially, the risk is spread between two people. If you and your loved one decide to merge your finances both should decide on how to handle the money and can even consider splitting the investable between the two of you. For example, one can take on retirement accounts and the other on external investment portfolio, or vice versa.

It pays to track individual’s progress towards the common goals– to make sure your overall household finances balance well.

5. What are your financial goals?

Both of you need to be clear about your long-term and short-term financial goals before you can invest your money together. The first question you should ask each other is: When will you buy your first home? When will you finish paying off your first house? What age do you want to retire? What age do you plan to retire?

These five questions will help you both understand where your financial management stands. Having this knowledge will help you to avoid future disputes.

A suitable portfolio of investments can be created keeping in mind the other’s investment preferences to reach the goals. However, investments shouldn’t be a hindrance to the building of an emergency fund. The fun starts when you’re financially secure in both areas.

This article was originally published in 2014. It has been updated to reflect current accuracy, completeness, and freshness.

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