Are you ready to settle down and take your relationship to the next level? That’s great, but don’t forget to talk about finances while you’re at it! After all, you’ll need money to build the future you’ve dreamed of together.
This also involves broaching hard conversations like debt, which is especially important seeing as how a recent study revealed that 3 out of 10 young adults in Singapore are not confident about managing debt. Money can be a sensitive topic, but when properly managed, it’s also one of the hallmarks of a successful relationship.
As a young couple looking to start a new life together, here are three things you can do to better manage your finances.
1. Save for common goals
As a couple, there are many milestones to tick off the list. It could be your first stayover, your first trip overseas together before eventually progressing into your wedding, your honeymoon, your first home, and your first car together. Or in true Singaporean style, applying for your first BTO together before planning a proposal. Most of these things need money, and they can be pretty expensive.
For this reason, it’s important that you plan ahead and save up for these milestones together. Because these savings are meant for an important, shared purpose, make sure they’re placed somewhere safe that also offers decent returns at the same time. For instance, in an insurance savings plan like Dash PET by Etiqa Insurance.
Insurance savings plans allow you to earn returns on your money while protecting you at the same time. In the case of Dash PET, you’ll enjoy one of the highest rates available among similar products in the market as well as free insurance coverage! All you need is to save from as little as S$50 (and up to S$30,000) to enjoy a host of benefits.
- High interest rate of 1.5% p.a.: Enjoy 1.3%* p.a. and 0.2%^ p.a in bonus interest when you opt in for FREE protection, on the first S$10,000 of your savings.
- Enjoy free protection: Get free COVID-19 coverage, including vaccine side effects, and complimentary Death & Total and Permanent Disability^ coverage of up to S$50,000.
- Capital-guaranteed savings: Safe from market fluctuations, so you’ll never lose what you’ve put in.
- No lock-in period: Top up and withdraw your funds anytime – great for emergency use!
Imagine putting S$10,000 in Dash PET and assuming you didn’t make any withdrawals, you’d earn S$150 in a year, which could easily pay for the door gifts in your upcoming wedding, or that side table you’re eyeing for your new home. While you can’t have a joint account for Dash PET, the beauty is you earn more with two policies compared to just one.
2. Protect your future with affordable insurance
When you’re in a committed relationship, you’re no longer responsible for just yourself. You have your partner (and future family) to think of. This is why you should always review your health and life insurance as you tick off life events like getting married or having a kid. Having insurance helps to defray the costs of unexpected events in life, such as accidents or illnesses.
Thankfully, Dash PET offers free insurance coverage that ensures you’re protected. For starters, you can opt in for complimentary Death & Total and Permanent Disability^ coverage up to five times your account value (capped at S$50,000).
Dash PET also offers three add-on protection plans – Major Cancer, Accidental Death and Death & Total and Permanent Disability – at affordable premiums that start from S$0.02 per day (based on S$10,000 sum assured for a 17 year-old female non-smoker). These are handy if you’re looking for extra coverage, as well as extra interest on your savings.
That’s right, for every add-on protection plan that you activate, you’ll enjoy additional interest of up to 0.25%# p.a. on your savings. Don’t forget that you’ll also receive 0.2%^ p.a in bonus interest when you opt in for the free Death & Total and Permanent Disability^ protection. Activate all plans and you could find yourself enjoying returns of up to 2.25% p.a.*^#!
This is a great opportunity to upsize your savings while boosting your protection at the same time – talk about saving time and money!
3. Work out a joint budget and expenses
If you’re entering the next phase of your relationship by moving in together, you should consider drawing up a joint budget and figuring out how to split your shared expenses. For instance, who will pay for the bills or other household items like groceries? Should you have a joint checking account for daily expenses, or keep your accounts separate with each person responsible for a specific list of items each month?
Both methods have their pros and cons. Having a shared account makes things much easier and convenient to manage, but it could also lead to conflicts if you and your partner’s spending habits don’t align. Keeping your budgets separate may help you avoid that, but it’ll also take more planning to manage your household expenses effectively.
Perhaps the best way is to have a mix of both, where personal expenses are kept separate from shared expenses. You could do this easily with Dash PET and the all-in-one mobile wallet it is housed on – Singtel Dash. Did you know the Dash wallet lets you pay at more than 12,000 Fave merchants and also comes with a Dash Virtual Visa Card for easy payments online and through your mobile? This makes it an ideal place to store the budget for your shared expenses.
You’ll also earn Dash reward points each time you shop, dine, commute or remit with Dash, which can then be exchanged for vouchers at merchants like Cold Storage, Singtel Shop, Grab, and foodpanda to bring you even more savings each month.
Want to get more savings? Just transfer any excess cash you have in your Dash wallet into your Dash PET policy for extra returns. You can also top up or withdraw your funds from Dash PET at any time! The great thing about this is that you can transfer amounts as low as S$1 between your Dash wallet and Dash PET policy anytime, with no fees or frequency caps.
Manage your finances well for a better relationship
Money matters can put a strain on your relationship, so don’t underestimate the importance of having an open and honest conversation on finances. Besides setting expectations on your spending habits and setting ground rules, it’s also worth thinking about how you can better manage your finances as a couple.
For a start, look for tools like Dash PET that tick all the boxes. High returns? Check. Affordable protection? Check. A convenient way to save and pay as a couple? Check.
One more major check that you should know is that your savings with Dash PET will earn you extra S$10 cashback. Simply sign up for Dash PET and save at least S$5,000 to qualify.
If you’re not on Dash already, check out the sign-up promos to receive up to S$13 cashback on eligible Dash transactions from payments to remittance.
Do note – both promotions end 31 March 2022, so you may want to get your thumbs moving on your mobile phone!
Plan ahead with Dash PET today. To apply, launch Dash > Home screen > Grow Money. Singtel Dash is available to all users, regardless of telco. You can download it here.
This article is written in collaboration with Singtel Dash
- The information is meant purely for informational purposes and should not be relied upon as financial advice.
- *For the first policy year, 1.30% p.a. up to S$10,000 and 0.30% p.a. for subsequent amount in Account Value. Crediting rate is non-guaranteed.
- ^Additional 0.2% p.a. to the existing 1.3% p.a. returns for your first S$10,000 Dash PET savings during the first policy year while the complimentary protection is active. Complimentary Accidental Death coverage will be offered for the same duration if you are not eligible for this add-on protection. Sum assured will be based on your age and occupation.
- #Additional interests of up to 0.25% p.a. from each activated payable add-on protection applies to the first S$10,000 account value of your active Dash PET policy.
- Dash PET is not a bank account or a fixed deposit. It is an insurance savings plan that earns a crediting interest rate. This policy is underwritten by Etiqa Insurance Pte. Ltd. (Company Reg. No. 201331905K). This advertisement is for general information only. Terms apply. Full details of the policy terms and conditions can be found in the policy contract on dash.com.sg/dashpet. Protected up to specified limits by SDIC. As buying a life insurance policy is a long-term commitment, an early termination of the policy usually involves high costs and the surrender value, if any, that is payable to you may be zero or less than the total premiums paid. You should seek advice from a financial adviser before deciding to purchase the policy. If you choose not to seek advice, you should consider if the policy is suitable for you. This advertisement has not been reviewed by the Monetary Authority of Singapore. Information is accurate as of 1 March 2022.