Top Ten Tips: Newlywed finances

ZARA Phillips and Mike Tindall, getting married in Edinburgh this week, are unlikely to struggle for money during their lives together. But for many newlyweds, joint finances can pose the first big challenge.

Callum Kennedy, a private client partner at Lindsays, shares his money tips for couples setting out on the marital road.

1. Having Your Cake

A wedding costs a lot of money, so the couple need to know how they are paying for their big day. Booking a wedding band may be one thing, but the band of the Coldstream Guards is something else entirely. Once upon a time, the burden of payment fell on the father of the bride, but nowadays most couples accept paying for their big day is a team effort. Try to ensure that your happiest day doesn't lead to unhappy months and years of debt repayment, if possible. If debt is to be incurred, ensure you can afford to repay it.

2. Know where you stand

A prenuptial agreement may not sound like the most romantic way to kick-off a marriage, but it is very sensible. Sorting out key issues at the start can provide peace of mind for both parties. Where, as in Zara's case, you are part of a successful family firm, it can also provide security for the ownership of the business. Romantic? Maybe not. Sensible - absolutely.

3. Wedding Presents

Your wedding presents don't have to be confined to toasters, towels and crockery. Each parent can give inheritance tax-free marriage cash gifts of up to 5,000, and each grandparent or great-grand-parent up to 2,500. You have to make the gift - or promise to make it - on or shortly before the date of the wedding or civil partnership ceremony.

4. Home Sweet Home

Whether it's a first-time buyer maisonette or a bit of a palace, it's important that couples are happy with their first purchase. The couple needs to decide on ownership - joint ownership will be the way forward for most, but couples can take a different view. For example, what is the value of any separate properties being sold to finance the new pad? Has the property been in the family for some time? Is one partner providing all of the deposit finance? Then there's the question of a mortgage, and who is paying what.

5. A Little Insurance

The only certainties in life are death and taxes, so couples getting a mortgage and buying a home together need to take out life insurance. The amount to be insured is entirely up to the couple concerned, but certainly should cover the mortgage in full and, ideally, should provide income cover as well.

6. Peace of mind

Couples marrying or entering a civil partnership must consider drawing up their wills. Those involved in active and dangerous sports (such as Mike and Zara) should be particularly attentive in this regard. Too many people make false assumptions about what happens to their estate when they die. The only way to have absolute peace of mind is to take the simple step of having a will properly drawn up.7. Asset Management

Consider transferring assets between spouses to ensure both maximise their 7,475 personal income tax allowances. Couples should also consider taking advantage of the 10,600 annual capital gains tax exemption, but any transfer would need to be a "no strings attached" transfer to avoid the attentions of HMRC.

8. Patter of Tiny Feet

At some stage, most married couples will be considering children. Childcare and school fees may be needed once they arrive. Depending on your circumstances, you may be in a position to make financial gifts to help children out during their time at university, with buying their first home, or with a wedding. Alternatively, it might be worth setting up trusts to protect assets for their future. In any case, married couples should get advice on the different ways in which they can assist their children financially with a view to saving inheritance tax and capital gains tax in the future.

9. Growing Old Gracefully

Retirement seems a long way off, but with more of us living for longer, the state pension age is likely to get higher and higher. So talk about your aspirations for your retirement lifestyle and start planning now. The sooner you start, the more likely you are to enjoy a settled and prosperous retirement.

10. Communication is King

A lack of communication, especially about money, can destroy a marriage. You now have to consider another person in financial matters and many people find it difficult, embarrassing or just plain unromantic to talk about finances. But arguments over money are a leading cause of marital problems and divorce. Being open with one another about what you spend and save is critical to a balanced relationship.