Article: Iona Minton from True Love

It's the season of red roses, champagne, fine fragrances and sweaty palms. The romantic among us view this as the best possible month for proposals.

If you have found that special someone with whom to share your life and you are considering saying "I do", take some time to read this first. It may be of far better value to you than that R500 bottle of perfume! You may know that your partner leaves the cap off the toothpaste and towels on the floor, but how much do you know about your future spouse's financial situation?

Statistics reveal that 90% of divorces have financial problems at their roots. So if you have not discussed the rands and cents of the partnership, you could be in for some tough times. Here are some questions you should consider before committing to those vows.

1.Who is going to manage the money?
This is probably the number one question you should ask yourselves. The answer should be both of you. Many people enter marriage hoping that their partner will take on the financial responsibility, only to discover that neither party ends up doing a good job.

You both need to keep track of expenditure and make investment decisions. Divide the tasks if necessary, but meet once a month to discuss progress and goals. Keep good records of all your investments and debts. Both parties should have copies of the documentation in case there is a calamity in the form of an unexpected death or disability.

2.Are we both going to work?
Sometimes the woman in the relationship sees marriage as an opportunity to kick back and take time out from the grind of work. This is not a good idea, because if you both have an income and don't have any dependents, this is a great opportunity to maximise savings and gather the funds to purchase that all-important first home. If you do plan to have kids down the road, make sure you plan financially, as educating your child can cost as much as a home loan. Discuss issues like day care, living on one salary and retirement savings. If you take time out from work, try to keep up your retirement savings; you'll probably live longer than your husband so you need to save more.

3.If you both work, how will you divide expenses?
Decide how to divide up expenses before you start arguing about who paid for the last movie. You should keep separate accounts for your separate incomes and hold a joint one for household expenses to which you both contribute a percentage of your income. How much should each of you contribute? Should it be equal amounts, or a certain percentage? Weigh your options carefully and come to a consensus before the wedding!

4.How much disposable income is there?
You both need money in your pockets that does not have to be accounted for. It could be used for meeting friends for lunch, hobbies or luxury purchases. Decide on an amount that you are both comfortable with – and don't cheat!

5.What is the spending limit?
Agree on a limit to how much you can spend without the approval of your partner. This is very important. If you both buy a big-ticket item in one month it could really strain your finances and your relationship.

6.What's your attitude towards money?
The way we handle money is often formed when we are children. We may not even realise the full effect that our parents have on our views. So it's a good idea to talk about how money (or the lack of it) makes you feel. Do you want to be rich or just comfortable? Does not having money scare you or are you prepared to live from hand to mouth? Discuss how you feel about financing purchases and how much debt is too much.

7.How much debt are you currently in?
Both parties need to know how much debt their partner is carrying. If one party has excessive debt, then it is reasonable to expect him or her to deal with it. Set a time line for when the debt must be paid off and make sure that the account is closed. Once you're married, that debt load is shared.

8. How do you feel about budgeting?
Most people try to "wing" it instead of setting up a spending plan. People who do not have a set plan for their money are the ones who end up mismanaging it, and falling into the debt trap. A well thought out plan is a key ingredient for a successful financial future. A business would collapse very quickly without a system to keep costs under control. You need to balance what is coming in and how much is going out.

9. Do you review your finances regularly?
Regular meetings to plan your finances are vital. Once a week is enough to ensure that things are under control. By doing this you will know how much money is in the bank and you can discuss the expenditures for the upcoming week. Also plan to set aside a small savings plan to accommodate emergencies; this will make sure you don't dip into retirement savings.

10. Do you discuss your long-term financial goals?
Where do you see yourselves in 20, 30, 40 years? How would you like to retire? Would you like a castle in Spain or a cottage on a beach? Different retirement objectives will require different savings strategies. Choose a financial planner that you both like and use his or her expertise to craft a plan for you.

You should both have a retirement plan in your individual names because it is rare that one spouse saves enough for retirement. In addition, should the marriage fail, at least both parties will have accumulated some financial security. Finally, make sure that you draw up a good marriage contract. Granted, it's not nice to think about divorce when you are full of love and wonder for each other, but this is a critical document.

Get your own lawyer to draw up the contract as using the same lawyer as your spouse (especially if it is his golfing buddy) may compromise your position. Most people opt for ANC with accrual. This means that what's yours is yours, and what's his is his, but anything you accumulate during the marriage is shared in the event of a divorce.

Sometimes women agree to a lesser split of the accrued assets if they are earning less than their husband at the time. This is a bad idea. Who says you are not the next Oprah? Go for 50/50! Getting married is an exiting and rewarding time, but be cautious: take stock of the important issues and keep a level head.