Tag Archives: financial tips

8 Expert Ways Canadians Can Stretch Their Money

How far can Canadians stretch their money today? Seriously–how far can that one paycheck take you? Unfortunately it isn’t very far for most Canadian families. Economics are definitely upside down across Canada and even more so within the US. The goal is discovering how you can stretch your money without feeling restricted doing so. It might sound difficult, but really–it’s not. You have to develop the right attitude and mindset regarding your money. We do understand if you’re already on a shoestring budget this can feel almost impossible. However, there is always a way for those who are intent on improving their financial lives!

We don’t recommend accepting payday loans, or taking out any kind of high interest loan to make ends meet either. You have to be smarter than this. If you’re in a situation where you know you can pay a payday loan back in full, that’s fine. But, don’t ever take one of these out and get trapped. Too many Canadian families do this and find themselves renewing it week after week–or pay period after pay period.

Expert Tips To Guarantee Canadians Stretch Their Money

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Let’s get right to it and help families begin to feel more comfortable about their finances. Remember, it’s all about that mindset!

  • Make a rule to not spend a specific kind of currency! Whether this be $1 dollar bills or $5 dollar bills, start putting these aside each and every time you have them. You’ll feel satisfaction watching that nest egg grow
  • Have you ever considered making your very own cleaning supplies? We all know how expensive these have become through the years, right? Well, if you make your own–Canadians stretch their money in unbelievable ways like this!
  • Put your children on a budget, and don’t buy everything your children want either. This will teach them good money habits as they get older. If you do otherwise you’ll be sitting up your kids for ultimate failure.
  • Write absolutely everything you spend down, it absolutely helps you keep track of where your money goes. This kind of habit can also help you reign in unnecessary spending.
  • Stop eating out every week! Begin planning meals at home ahead of time, and do the prep at the beginning of the week so it keeps everything simple. This way you don’t have the excuse there is nothing for dinner!
  • Plan a weekly budget and stick to it. If you don’t allow for extra spending, then don’t spend. If you’re on a goal oriented plan, give yourself incentive to not be persuaded.

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Following these simple tips can help you learn how to stretch your Canadian dollars further and feel good doing so. As we’ve said before, it isn’t hard to save or put more of your money to good use when you have the right plan in place.

What Money Lessons Have You Learned From Dear Old Dad?

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Father’s Day is right around the corner so it only made sense to talk about the impact father’s have had in their children’s lives, specifically in how they have learned to manage money.  Now, fact, we learn a great deal from our parents and those closet to us, some good, some practical and some not so much. When it comes to finances, dad is often the key character most young adults have paid the closest attention to. Why?  Because father’s are the central providers of a family and carrying on that kind of ability really does mean something for today’s young adults.

We do feel it only fair to say many money lessons most of us have learned have stemmed from both mom and dad’s blunders and successes, right? Yes that is probably a fair analogy–but with Father’s Day approaching, it’s just nice to point to dear Dad to give him some rightful praise. Now, the majority of Canadian parents are more than aware that financial education is sorely lacking in the educational system, which is why many take it upon themselves to teach their kids the value of money.

Now, for those good old fathers who are from the Great Depression–you’ve probably had a great deal to teach your children, and hopefully it has paid off!  Let’s take a look now at some treasured and timeless financial tips passed on from generation to generation to ensure financial stability for a lifetime!

Financial Learning Tips From Fathers Who Lived Through The Great Depression

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Yes, you’re one of the lucky ones if you’ve been raised by a father who lived through this era.  Managing money was certainly critical day to day then, and it is just as critical now.  You’ll be amazed at how some of these tips really make practical sense and aren’t difficult to follow either.  So, let’s get started:

  1. Don’t waste or throw away good money–So, what does this really mean?  Exactly what it says.  You do get what you pay for.  If you buy cheap, or invest in something too good to be true, then you’re throwing away good money and it just isn’t practical.  Invest in something with value for the long-term, not just because it’s on sale.  The same philosophy applies to stocks and other investments.
  2. Become more self-reliant and think practical–Yes, being self-taught on a number of things can help you save money for the long-term.  From cleaning your own gutters to changing your car’s oil, to building your own home porch–it’s all about self reliance.  You can become empowered and stay ahead!
  3. Remember those little expenses add up–It might not seem like a big deal to get that Starbucks latte a couple times a week, or that artisan deli sandwich, but these little things add up quickly. If you’re constantly wondering where your money is going, it’s time to plug those holes. Even extra visits to the convenience store for gum or other non-essentials can suck money from your wallet.
  4. Saving and maximizing income are both important–There is too much thought that goes into making more money versus saving more money.  Both are extremely important. However, more need to plan for their future and start that nest egg for retirement.
  5. Keep a penny cent collection–Saving your change is a great way of getting in the habit to save. You’ll be amazed at what you might have put away at the end of a month. This doesn’t mean take out the coins either, but continue adding to them. At the end of the year you might have a record savings, something you never thought you might do, but under good old dad’s advisement–you’ll find you can!
  6. An income increase should not mean you spend more–Forget about keeping up with the Jones’s. This is the problem in this country. Don’t let you income increase give you an excuse to spend more than before. Save that extra money from that raise like your dad before you did and you’ll see how much easier getting what you want really becomes–without going into debt!

We hope Father’s everywhere enjoy today’s celebration and remember what they’ve been taught by their Father’s before them. You can achieve financial freedom and have life security when you follow timeless tips that work! It might seem hard, but adaption is natural. Happy Father’s Day!

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3 Friendly Financial Tips For Those Twenty Somethings

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Living in your twenties is not what it used to be, and in no way is it easier.  In fact, thinking practically, living on your own in your twenties has become quite challenging.  Many young Canadians have actually returned back home, finding the financial strain too much to handle.  Balancing finances, work and school is hectic–but having to struggle just to keep the lights on is not something 20 somethings in Canada should be having to confront.  This is a fact everywhere!

It might not feel fair, but that’s life.  It has become truly chaotic for young people today.  The job struggle is very real, and though unemployment is supposedly lower–too many young Canadians, it doesn’t feel like it.  It can be hard trying to manage money properly, at any age.  The following information will hopefully be a guide for those in their 20’s. The main goal here is to help young adults learn strategies and tips to make finances a little bit easier for them, or for anyone at all!  More importantly, these top tips should help young people avoid gathering debt that can pose harm for the long-term!

Top 3 Financial Tips To Help Young Canadians Avoid Money Mistakes

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Group of college students studying at campus

1)  Discover the power of negotiation

Yes, you’re never too young or too old to learn how to negotiate when it comes down to financial decisions and purchases.  Often times young people get suckered into a raw deal that just isn’t beneficial at all.  Understanding the power of negotiation can change everything.  From negotiating your salary to a job promotion and more–you need to learn to be in control of this area of your life in particular as it has a huge impact through your life!

Let’s not forget that negotiating for a good mortgage, car financing, medical services (and other consumer services/items) is very important.  Learning how to get the best from your money takes some investigating and even bartering.  However, all of this is really beneficial to your financial portfolio!

2)  Start investing for your retirement now

You’re never too young to invest in your retirement, and the sooner you do the better off you’ll be.  When you begin investing at a young age your money has a longer life to make a difference for you.  We’ve all seen the advertisement on investing for retirement, and they don’t exaggerate.  This will ensure you keep your normal life on the most successful path possible, and you won’t regret investing in your future!

3)  Avoid consumer debt and don’t make brash decisions

You should think and plan before you make the wrong financial decisions.  Debt can be crushing, and if you continuously make the wrong choices you’ll soon be drowning versus swimming–or even treading water.  Be smart and stop, think–then act.  Don’t use credit cards.  Make only cash purchases to keep your credit intact.  This is the easiest way to avoid harmful debt so many across Canada are dealing with.

Also, let’s never forget the importance of establishing an emergency fund.  Having money set aside to cover those unforseen disasters is not only crucial for your sanity–it is necessary for your wallet!

 

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7 Simple Steps To Achieve Financial Security Before 30

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Everyone desires to be financially secure, especially when planning for that retirement.  However, for young Canadians, this is often the last thing they are thinking about–at least before they turn 30! This mind-set really needs to change.  Every Canadian needs to work towards financial security for their future. This alone alleviates a great deal of the anxiety and stress that comes with being an adult.  It’s a fact that financial insecurity leads to a great deal of health problems for many, but if you manage your money wisely and plan, you’ll live happier and longer!

If you’re worried you’ll have to sacrifice your short-term goals to realize your long-term ones, you’re wrong. You don’t have to do so. The following tips and advice being shared with you now will guarantee you can achieve financial security without having to really deprive yourself of anything.  It’s all about financial budgeting and being accountable of your own spending habits.

The following 7 tips will point young Canadians in the right direction if their goal is to have sound, dependable financial security before the age of 30. Remember, you don’t have to sacrifice entertainment and other extracurricular activities if you budget right!

The Top 7 Tips To Reach Financial Security Before 30

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Tip 1:  Understand your most important asset

Your most important asset, when it comes down to finances and financial security is yourself!  Your career, your experiences, and any opportunities you’ve had, or will have play a role in establishing you as an adult and your financial future. It is your career and career opportunities which help to build your financial independence, so making the right choices is critical to the future.

Tip 2:  If you set short-term goals, the long-term will fall into place

It’s a fact! Planning too far into the future can leave you feeling defeated and let down, but planning short-term, realistic goals can get you on the right track and keep you there! Short-term goals should be kept realistic so they can be achievable.

Tip 3:  Develop an action plan and then worry about saving

Become a planner before you start trying to save and meet financial goals. If you plan right and stay goal oriented, you can meet the majority of financial goals you establish. For instance, setting a timetable to pay on specific bills like: credit card bills, school loans–and more, will help you prepare for a better road to financial independence.

Tip 4:  Stick to frugal spending habits

Teach yourself the value of money early, while in college even. If you can stick to those frugal habits you were forced to while in graduate school you’ll make better decisions for your financial future!

Tip 5:  Don’t live beyond your means

Don’t be like so many others and worry about making an impression in the crowd.  Living beyond your means open up the door to more debt, something you clearly want to avoid. When you do have excess funds, don’t fall into the trap of using this as an excuse to spend.  Saving your hard earned money is far more important than a new gadget!

Tip 6:  You have to become financially literate

This is a critical one!  Taking the time to research and educate yourself on saving and investing will ensure you stay on top of your financial future. Financial education will help you achieve all your financial endeavors and assist you in making the right investment decisions throughout your life.

Tip 7:  Always take advantage of the financial freebies!

You would be wrong to not take advantage of what is free!  From free seminars to free monthly savings accounts; freebies are meant to help you! Take advantage of the new Canadian tax laws and benefit funds without feeling embarrassed!  Many of these will allow you tax savings and help you get money back at the end of the year.

Savings for life

 

 


5 Real Life Reasons Why Canadians Need An Emergency Fund

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There is no doubt you’ve read and heard about the importance of having an emergency fund.  In today’s questionable economy, an emergency fund is more invaluable than ever.  You never know when life is going to give you some blows, but they’re sure to happen.  From your water heater going out, on to your car breaking down–you don’t want to be left down and out.  But, without an emergency fund that is exactly where you could find yourself.

Now, this article isn’t about preaching to you, the reader. However, this is about making you more aware of how an emergency fund can really benefit you when you need it the most.  If you’d like to live with less stress in your life, it all starts with maintaining and managing a proper budget!  The emergency fund is a huge part of this.  Let’s take the time to examine why an emergency fund might just be your life saver in a time of crisis.

Why Canadians Should Have An Emergency Fund

According to statistics, within British Columbia 45% of Canadians don’t have an emergency fund and no immediate way to deal with an adverse life circumstance.  The CBIC shows that other residents within British Columbia and surrounding areas have less than a month worth of savings to handle an unexpected life event.  Neither of these classifications are good for anyone, but Ontario and Alberta residents appear to be the most at risk with regard to being prepared for an actual life emergency.  You’ll find several significant reasons listed below as to why an emergency fund will allow you to live more comfortably and with peace of mind.

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5 Reasons To Maintain and Manage An Emergency Fund

While you might be familiar with some of the points within these reasons for an emergency fund, it is hoped you might gain more encouragement to prepare and plan ahead.  Establishing a financial plan now can save you significant stress and heart-ache down the road.

1.  What if your car breaks down?

You have to worry about it, unless you have some other form of protection, but most people don’t. Having some funds set aside to protect yourself for this kind of emergency is absolutely necessary.  How would you get to work, pick the kids up from school, run errands?  Think about it!

2.  What if you lost your job or were laid off?

No one is expendable today and you could be laid off without a moments notice.  Without a cash reserve to keep you afloat how would you make ends meet?  How would you take care of a family?

3.  What if there was a serious illness within your immediate family?

While we hope to remain healthy throughout our lives one never knows, sickness is inevitable.  This can create stress due to a loss of work and a lower income.  Without any kind of fall back plan or savings this can be disastrous!

4.  Could you be financial independent if faced with divorce?

Some couples rely on one another to stay financially healthy, but what if there was an end to your relationship?  Divorce is at an all time high so it makes sense to consider the risks of this happening. Could you manage everything on your own?

5.  What if you face major home repairs or improvements?

If you’re a homeowner you understand the expense this can create and if you don’t have enough home equity built up this can fall on your shoulders.  If it is your AC or a roof repair, it simply can’t wait. Planning ahead is certainly vital to a circumstance such as this.