Budgeting as a couple: what do you save?

When you were living alone, you probably spent as much as you wanted on Thai takeaway and didn’t give a hoot what anyone thought about your impulse shoe splurges. Now that you’re sharing your bank statements, however, it’s a whole other story. Having someone looking over your shoulder as you spend can be daunting. That said, life has become a whole lot cheaper now you’re budgeting as a couple.

Rent and bills

If you’re used to living alone (in a capital city), you’d be spending at least $350 per week on a one-bedroom apartment, plus bills.

As a couple, it’s far cheaper to get a two bedroom (circa $550 for the house/apartment) and you’ll be splitting the lease and all the ongoing electricity, gas and water costs.

So, for a bigger place, you’d still be paying less per person or, if you both stay in the one-bedroom apartment, you’re basically halving your costs.

Ditto for your Netflix subscription, internet and pay TV.

Groceries

Again, sharing the costs of groceries is a lot cheaper when you split them between two. As a single, there’s often a lot of food waste because it’s hard to buy small portions, particularly of some fresh items (eg. Punnets of tomatoes and strawberries, entire lettuces, bulk sized slices of cheese etc.) Bulk-buying groceries is always cheaper, too.

But there are two caveats here:

1. Men typically eat more than women. Particularly when it comes to meat and protein-rich foods, which are generally more expensive. And when you were single, you may have cooked up a batch of food that lasted for a few dinners or lunches during the week. Your new beau may not leave the leftovers for you!
2. If one of you has an expensive addiction to cheese or the most expensive coffee in the supermarket, etc, the other partner will be subsidising this cost. Have a chat about your individual food loves, and make sure the cost isn’t widely imbalanced.

Eating out and alcohol

Couples tend to eat in more often than singles, who go out to socialise (and meet new people!), and this is a lot less expensive. The same goes for alcohol – it’s more expensive to drink out at a bar than to share a bottle of wine at home.

There are also those home-made Sunday brunches (as opposed to when you were single and meeting your friends for smashed avocado and poached eggs!). No longer having the need to date can also save money coffee dates and dinners.

Holidays

Even holidays are cheaper when you’re a couple! You’re sharing a hotel room, or if it’s a package deal, you’ll generally pay less for a couple’s deal versus booking the same package as a single. The same goes for flights – you often get a discount if you pay for two at once.

Car

If you decide to share a car, obviously splitting the costs will halve it. But if you both keep your individual cars, you’re still paying registration and insurance and all the ongoing costs just the same.

Tip: In most cases, it’s cheaper to live as a couple than a single, but when things go wrong, and if your partner has a debt or a gambling addiction or something that you’re not aware of (not to mention the cost of divorce and splitting any assets), this all goes out the window.

Keep your finances (and your relationship!) healthy by talking about your money values and deciding what you’re both willing to spend. In almost all cases, it’s cheaper to split the costs.

General advice disclaimer

The information contained in this document is provided for education purposes only. It has been prepared without taking into account your particular financial needs, circumstances or objectives. You should consider the appropriateness of the information as it relates to you. You may wish to consult an adviser before you make any decisions relating to your financial affairs.