Are You a Member of the 'Facebook Generation' where it Comes to Money?

24-Mar-2010

Recent research by Tesco Bank shows that 21-35 years olds have no qualms about sharing "love, life and money", and are happy to reveal details of their earnings and savings.  Unlike previous generations for whom money has traditionally been a difficult subject to broach, this age bracket - dubbed 'the Facebook generation' - see no problem with discussing their finances.   

The moniker stems from the keenness of younger generations to lay bare their lives on social networking sites such as Facebook and Twitter.  Growing up with this level of openness seems to have led to a breakdown in the social conventions that prevent talking publicly about money.  

The research shows that 80% of couples aged between 21-35 regularly discuss money management, which is an encouraging development considering the detrimental effect that debt can have on a relationship if kept secret.  Similarly, 75% would happily discuss the value of their life savings.

The consequences of keeping schtum about money worries have been well-documented. Finances are a factor in many break-ups, and recent FSA research shows that up to 24% of UK adults are hiding some form of credit from their partners.  So, on one hand it is positive that many younger couples are comfortable revealing all about their financial situations, but on the other, it's essential that these discussions are constructive, and truthful.

Make sure your financial expectations and priorities are aligned when you live with a partner.  This is particularly important if you plan to pool all or a proportion of your incomes.  Do you both prioritise savings?  What kind of spend is acceptable on holidays, cars and clothes?' Do you share the cost of going out together?

To find out how compatible you are in terms of how you spend your earnings, each make a list of monthly 'musts' and 'nice-to-haves', and see how they compare.  If necessary, agree on compromises that you can both make to ensure that you pre-empt any potential spending conflicts.  It's also important to bite the bullet and reveal any niggling debt issues to your partner.  

If you need help with your debt and don't feel comfortable discussing the situation with your other half, there are specialists you can talk you.  Fill out our short debt management form to request a callback from a specialist who can talk you through your options.