#BadassBudgeting Tip of the Day: Build Equitable Partnerships

Do you and your partner make differing amounts of income each month/year? Building an equitable partnership will make finances more fair in the household by splitting up recurring bills, like rent or mortgage payments according to how much each person makes each month.

For example, does your partner make $120,000 per year while you make $50,000 per year? This would be a household income of $170,000 per year with the partner making 71% of the income per month while you for example, at $50,000 per year, make the remaining 29% per month. Say the mortgage payment is $1500 per month. This would mean your husband pays 71% of the $1500 mortgage payment, being $1065 and you pay 29% of the $1500 which is $435.

Building an equitable partnership with a significant other, makes expenses easier to manage when the expenses are allocated based on each person's respective individual incomes. This makes paying off debt more manageable and saving for an emergency fund easier to achieve. Try this out for a few months and let me know how it goes! Signed, Filipina Budget Girl.