Help clients save for their marriage

Wedding season is just around the corner and bridal parties abound. Everyone picks out the perfect ring and plans their proposal outfit, but do enough couples think about making a savings plan for the wedding?

Money may not be romantic, but couples about to tie the knot should create a savings plan for the big day. This includes a comprehensive list of major upcoming costs such as booking the venue, the caterer and, of course, the honeymoon.

Between dancing lessons and cake tastings, it’s worth booking time with an advisor to look at your financial situation and manage costs so that you and your partner can have the ideal wedding.

“Planning a proposal and wedding involves juggling emotions,” says Ahmad Dajani, vice-president of investments, GICs and sales tools at Scotiabank. “Couples about to spend at least $20,000 on a wedding are also a little nervous and having a savings plan for the wedding will go a long way towards calming those nerves.”

He adds, “You might also consider building a short-term financial plan that looks at the first few years of marriage, which considers when you will buy a new home and when you plan to travel. Choose your focus and help make your goals achievable.”

Talking points for clients planning a wedding:

1. Identify goals and have a plan: What will the wedding and costs look like? Put it on paper and plan how to pay for it now.

2. Plan beyond ‘I do’: Creating a five-year plan with short, medium and long-term goals for the clients’ first five years of marriage.

3. Are they a financial match? It’s crucial to remember that everyone has their own style when it comes to finances. How will your clients manage their finances together?

For more on advising the newly engaged and newlyweds, read The Wedding Planner.