Financial Fortune Teller
Get a sneak peek into your financial future to see how well you are saving and planning for retirement.
Welcome to the Workforce
You’ve just landed a job. Congratulations! What now?
Goal and Career Planning
As a married couple, evaluating where you are financially and setting shared goals is important. Once you define your goals as individuals and as a married couple, it will help you plan the means to reach your goals.
Retirement
A comfortable retirement should be a top priority for every individual. Since people are living longer than ever, retirement savings need to last longer and work harder. Develop a plan to ensure you are each contributing enough to your retirement funds to ensure the life you want during your golden years.
Debt
If you or your spouse has considerable debt, one of your first goals should be to pay it off so you can focus on other financial goals. The first step is to get an accurate picture of how much you owe. Next, review your budget and construct a plan to pay off your debt as quickly as possible. The more you can pay per month, the less you will pay in interest overall. For more information on tackling debt, click here.
Together or Separate?
Every couple has a different approach to how fully they would like to integrate their finances. Here are a few of the decisions you are likely to face as a married couple:
- Taxes – Once married, you and your spouse can choose whether to be assessed individually or jointly for tax purposes. Under joint assessment, the Inland Revenue Department will add your income and allowances together to determine your tax liability. This way, you may achieve some savings. It is always a smart idea to obtain professional advice when making tax-related decisions like these.
- Bank Accounts – When it comes to whether to maintain joint or individual bank accounts, every couple is different. There are numerous options: you can maintain separate bank accounts and each pays a portion of your bills; deposit a set amount into a shared account each month and pay your bills using that account while maintaining separate accounts for your own expenses; or pool all of your money in one account. If you decide to hold any of your accounts jointly, be sure to keep track of your transactions carefully and to communicate them to your spouse. With two individuals using one account, tracking cash flow can be difficult.
- Credit Cards – You should each keep at least one credit card in your own name to maintain your own individual consumer credit data. Financial institutions in Hong Kong review your credit data to determine whether you qualify for loans, and the interest rates you pay.
Source: GovHK
