The recession has forced all of us to re-examine how we spend our hard-earned cash. With consumer bankruptcy up by 36.9% over last year, many of us can no longer deny that we are terrible at managing our money.

But what affect does this new financial reality have on our personal relationships?

A recent survey of Canadians commissioned by Credit Canada and Capital One found that for one in five Canadians (20%), the primary bread winner has suddenly changed. For many couples, this shift has altered the dynamic of their relationship. Perhaps seeing your partner lying in bed while you’re getting up for work doesn’t necessary stimulate those lovey-dovey feelings. Or maybe the stress of this new financial responsibility is just too much pressure when the bills are piling up.

One thing is for sure, financial stress can have a negative impact on your relationship and your health. In fact, the survey found that 47% of people who have become the new bread winner of the family in the past year have been kept awake at night worrying about their finances.
But why has it come to bankruptcies, relationship problems and sleepless nights?

Well, like religion and politics, money can be seen as a taboo subject. With over one in three couples not communicating about their finances before entering into a commitment and 20% of the population hiding debt from one another, more and more Canadians are destined to a life of relationship and financial troubles.

A lack of communication may lead to arguments and strife within your household, but Spenders and Savers can get along if they set out some ground rules first. Credit Canada and Capital One offer the following money tips for couples:
1. Keep it positive. Always start the conversation on a positive note and keep an open mind rather than blaming each other.
2. Honesty is the best policy. Always share your financial situation and spending habits. If you feel uncomfortable, share your discomfort. This will not only show your partner you trust them, it also encourages a more supportive response.
3. Focus your conversation on the future. Not much can be done on money that is already spent, so focus your conversation on what you are going to do take control of your financial future.
4. Roll with the punches. Financial priorities change as people lose their jobs, have families, or experience medical emergencies. Working together as a unit through these changes will only make your relationship stronger.
5. Celebrate good times. Celebrate when you meet financial goals, no matter how big or small they are.
To find free tools and tips to help you and your partner get your finances in order, or to take the Couples Financial Compatibility test, visit www.crediteducationweekcanada.com.

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~ By Laurie Campbell, Executive Director, Credit Canada. For shorter versions or additional stories about managing your money, contact Laurie Campbell at 416.228.2565 or lcampbell@creditcanada.com.