Household financial decision making: Qualitative research with couples

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Conclusions
5 Conclusions
This chapter draws together the research findings, and explores possible implications with regard to 
policy aimed at increasing couples’ pension saving.
5.1 
The process of couples’ decision making
While couples admit they do not typically enjoy managing their household finances, they recognise 
the importance of keeping abreast of incomings and outgoings. Many of those we spoke to 
mentioned exercising financial prudence, and gave examples of ways in which they did this.
Couples are typically moved to actively make financial decisions by ‘life triggers’ such as getting 
married or having children. Discussions tend to increase in momentum from the outset to the point 
where a final decision is made.
Couples find short-term decisions with short-term consequences, such as holidays or purchases 
for their children, the easiest to make. Even the most financially daunted partners engage with 
household finances at this level. Conversely, only a small number of people engage successfully
with long-term decisions entailing long-term consequences. 
5.2 
The respective partner roles in financial decision making
In most couples, one partner fulfils an ‘alpha’ role, exhibiting greater financial control, both over 
day-to-day matters and in the longer term. Alpha partners are not necessarily financially savvy 
or confident; often their behaviour is dictated by their partner’s reluctance to take on financial 
responsibility, rather than by their own eagerness. The ‘beta’ partner’s level of responsibility tends 
to be limited, but this partner generally provides at least some input to decisions. These respective 
roles are often self-reinforcing, with beta partners becoming accustomed to relying on their alpha 
counterpart over time.
Women are more often than men the alpha partner, and so tend to be the instigators of financial 
decisions, and to carry out the research that informs its outcome. The internet in particular emerged 
as a channel used frequently by alpha partners to inform significant household financial decisions. 
While couples’ financial decisions are collaborative, their responses generally indicate that it is the 
final stage of the decision-making process that involves both partners to the greatest extent.
Policy communications could leverage this pattern of decision making by appealing to the 
female alpha partner during the research stage of decision making. Additionally, the suggestion 
that women are more ‘stressed’ about household finances may be relevant to the framing of 
communications aimed at encouraging retirement planning and provision. Reaching out to beta 
partners may not be as effective as reaching out to alpha partners, given that the former usually
rely on their partners for long-term financial planning.
5.3 
The existence of household decision-making typologies
This research found that patterns exist in the way that couples go about making financial decisions 
together, and the way they feel about finances. We have identified three broad groups: Unbalanced 
Responsibility, Cautious and Content, and Organised Aspirational. On the surface, decision making 
appears to be carried out as a couple; in reality significantly personal roles and tasks make up
the process. 

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