This Is the #1 Biggest Venmo Mistake You're Probably Making

No cash? No problem. Since its founding in 2009, Venmo has made it a cinch to pay people back, purchase items from local creators and split the bill without counting pennies on a white tablecloth.

But it actually opened the door to some unspoken expectations around money—and that's a huge (but predictable) red flag.

"Money has been a taboo topic for multiple generations, and it may be preventing people from achieving financial success or building wealth," says Courtney Burrell, a financial advisor at Empower. "To break this taboo, we need to focus on moving forward—and this starts with our most basic conversations."

Burrell says that means everything from tackling debt to paying people back on Venmo. Speaking of the latter, people have a big question: Should I round up to the nearest dollar amount when repaying someone on Venmo?

Fortunately, this financial advisor has weighed in with priceless knowledge. 

Related: This Six-Word Phrase Summarizes the Best Mindset for Financial Planning, According to a Money Expert

What's the Biggest Mistake People Make on Venmo?

Not agreeing on rounding up to the nearest dollar amount.

Burrell says it's a question so many people have, but no one is coming out and answering it. According to a Money Talks survey by Empower, 64% of respondents weren't sure whether or not to round up to the nearest dollar when repaying a person via Venmo (or Zelle).

Burrell blames the taboo around financial discussions. But since we're talking about it now, what's the answer? Yay or nay to rounding up? Burrell says the answer is actually up to the person requesting the payback.

"Money, like everything else in life, is personal," she explains. "Do what feels comfortable to you."

The problem? People aren't coming to an agreement on it because they aren't talking about it—leading to confusion at best, and angst and bitterness at worst.

How To Avoid Venmo Awkwardness

Rounding up (or not) when requesting money doesn't have to be a source of internal or external grief. First, set an internal policy you can live with.

"Take the time to find clarity," Burrell recommends. "Think about how you would like to handle these situations ahead of time."

She says you can ask yourself, What is important to you about how you handle your money? How do you want to feel when handling money, including in situations with friends?

"Come up with your own process and own it," Burrell suggests. "There is no need to compromise on your own integrity. You work hard to earn this money, and you get to decide how to work with it."

From there, own the conversation with friends.

"If you’re the one paying and you expect people to pay you back, own the conversation by taking charge and setting your own boundaries with confidence," she explains. "If you’re getting the bill at brunch with a group of friends, say something like, 'I can go ahead and pay the bill so it’s easier for us. I will round up the total and split it down the middle. Are you able to pay me back with cash or Venmo?'"

Prefer to make it exact? Go right ahead. "Make sure to communicate that message beforehand to make it clear and stick to the same process," Burrell says.

If talking about money is hard for you, these conversations may take a lot of work. "It's OK if you don't get it right every time or perfect your process straight away," Burrell says. "Have patience with yourself and with others."

In time, the awkward conversation will become anything but...in fact, it'll feel like second nature. "It will get easier to ask each time, and eventually, people will know what to expect from you, and you won't even need to ask," she explains.

Splitting restaurant checks is a huge reason people use Venmo. But Burrell says these tips apply to any reason you'd use the service, such as traveling or bridal party expenses.

"The key is setting boundaries and letting others know what to expect from you," she explains. "This will avoid miscommunications, decrease awkward conversations and likely have other people relieved you took control of the situation."

Your pals may follow suit. "It may even inspire them to start making money boundaries of their own," she adds.

Related: The #1 Worst Financial Mistake Americans Make and How To Fix It

Unspoken Venmo Etiquette Tips

Once you've tackled rounding up, Burrell says you can continue to angst-proof your Venmo use with these tips:

• Don't Blindside Someone. A surefire way to not get a second date: sending your date a request to pay their portion of the bill after you seemingly graciously picked up the tab in full. "Make sure to be upfront and set expectations from the beginning," she says.

• Ask for Money in Advance. You can ask people to fork over their share before an event or trip. "In some instances, like group parties, or preplanned events, it may be appropriate to ask for money ahead of time," she explains.

• Don't Dawdle. "It's best practice to request or send funds within 24 hours of purchase and ideally at the time of the purchase," Burrell shares.

• When in Doubt, Keep It Short and Private. There's no need for mental gymnastics—or blowing up someone's spot on TikTok. Be direct and speak directly to the person who owes you money. "Be clear, be honest, be concise and don't be afraid to ask," she says.

Ultimately? Talking about finances is healthy, and that includes discussing expectations when you're using services like Venmo.

"Setting clear boundaries around money is not only healthy. but your friends and family will begin to know what to expect from you and appreciate the decrease in awkward conversations and feelings," Burrell shares.

Up Next:

Related: The One Easy Money-Saving Tip Financial Pros Swear By