What are your plans for your tax refund?

I have a novel idea for you

First answer this question.

What do you plan to do with your tax refund?

Answer: Pay off my Credit Card

Splurge. It’s found money,

Naturally that has always been the recommended thing to do with your forced savings for the entire 2016.

This is how you generate a tax refund

Your employer took taxes based on the T1 you signed when you were first employed. You decided to put money into your RRSP. You had not informed your employer so he sent the required amount of taxes base on your T1. This creates a refund. Since the money you contributed to your RRSP is tax sheltered. There are other methods of decreasing your taxes, but the RRSP is the most advantageous for the regular person.

Group No. 1 – Pay off my credit card

These groups are the ones who do the same thing every year with their refund and expect a different outcome throughout the remainder of the year.

That group uses their tax refund and pay off their credit card year after year. Then they wonder why they cannot create a savings plan. They will tell you if you ask them in October what did you do with your tax refund. Paid off my credit cards and boy that felt so good. To that you answer great, so you are free of debt that must feel truly wonderful. Then with a sad look on their faces they reply. Well you remember when Joan got married that cost me a mint, then my car broke down, then I went on vacation that was a hefty cost. Now I am just waiting for my refund this year to pay off my card. You are left dumbfounded.

Group No. 2 – Splurge its found money.

These groups are people who wait to see what comes up to spend it on. They play the wait and see game. They wait and see gamers have no plan for the refund. You know for sure that, if you have no plan, things just go wherever the wind takes it. The same applies to your money, if it has no purpose it will certainly disappear. Then in a month if you ask the wait and see gamers what they did with their refund. The answer will surprise you. It might go something like that…you know I have no idea, oh wait, I bought me a lovely pair of boots they were on sale 50% off then I just spent the rest. This is the money story of a wait and see gamer.

Now its time to tell you about my novel idea

What I recommend you do with your tax refund no matter if its $50.00 or more is to stash it away. Save it. If its more than $50.00 divided into two of your savings accounts with a purpose. Some in Tax Free and the rest in a vacation account. You are now paying yourself first and have just sown the seed of investing in your future.

You were paying the credit card every month well continue paying it. Stop using it. Do not carry it with you. If you do this you are changing what you have done since you filed you very first Income Tax.

What I am asking you to do goes against the conventional thinking. Which is, why would I save money and have debt to pay. Well that method has not netted you a positive financial statement.

What do you have to loose. Try this for say one year and then let me know. I am sure six months into this new plan you will feel emotionally better and amazing in a year.

Hope this help.

If you have questions or if this has helped you let me know at:

tessamarieshillingford46@gmail.com

Two Financial Advisors Walk Into a Bar

If two financial advisors walked into the bar, the financial advice they give would be completely different.

Depending on the company they represent and experience, these advisors are going to offer advice on how to invest money.

What these two advisors have in common is that they both have an interest in investing people’s money to make their 1%.

This isn’t necessarily bad, this sort of financial advice benefits individuals with money to invest. These individuals are already financially healthy and can benefit from the ‘financial advisor’ bar discussion.

Those with money to invest can listen to the investors and decide where they want to invest. Everyone at this proverbial bar: the investors and the advisors, clink glasses and drink beer to the possibility of investment growth.

But what about the rest of us? Those of us that don’t have money to invest? For some of us, this is not a joke. The reality is there is no money to invest and so it doesn’t matter what type of financial advisor walks into the bar.

There’s no money to invest. Only debt owed.

There aren’t many financial advisors that will show you how to get out of debt. This is what I do. I am a financial advisor that will help you get out of debt and create a financial plan.

I educate, enlighten and encourage you to manage your money successfully. I help with your financial journey in a different way, I advise on your financial well-being. I help you:

Save money
Pay down debt
Plan before making purchases
Create a spending plan

I call these the 4 Financial Building Blocks to a Healthy Financial Well-being. I advise on how to create a plan by using these 4 Building Blocks. I do this without using the dreaded word “budget”. Budget is a bad word. I don’t like it. I help you develop a plan depending on your lifestyle and what you want out of your life. There is no budgeting; only planning and achieving your goals.

I help put your financial health in order.

The key to a happy life requires balance life. Balance can be broken down into the following areas:

Financial
Mental
Physical
Emotional
Spiritual

These are what I call the 5 Pillars of Health, only when the five pillars of your life are in order, will you find yourself living a focused and purposeful life.

In order to achieve balance in the 5 Pillars of Health, you first need to focus on your finances, the 4 Financial Building Blocks:

Saving

Saving money is the main pillar and the key to a balanced life. The reason why we accumulate debt is always because of the lack of cash flow. This is why saving money no matter how small is paramount to a successful life.

Paying off Debt

Having debt to pay off every month is like an albatross around your neck or a shackle around your ankle, you can barely move. You think about your debt first thing in the morning, all throughout the day and it’s the last thing you think about before closing your eyes. In order to break free from this, you must pay off your debt as quickly as you can. The very worst debt is revolving debt, your credit card and lines of credit. You have to break from that shackle or albatross by creating a plan to pay the debt off, focusing on your revolving debt first.

Planning Before Making Purchases

A lot of us are impulse buyers. We buy something because we see it and we want it. It’s why magazines and candy are at the check-out at grocery stores. There’s a psychology behind this. The grocery stores are hoping that you will buy the candy and magazines and give into your impulse tendencies. You get the immediate feel-good reward of having that magazine, but at the end of the month, you don’t have any money saved because you didn’t plan.

Planning is what determines your financial success and eliminates impulsive buying behaviour. You need to determine in advance how you are going to spend your money, and on what and when.

Regardless of whether it is planning a long-term purchase or planning a two-hour shopping spree, the planning aspect of money management is the major contributor to financial success. Having a plan eliminates impulse buying, because you know what you can afford and what you’re financial plans and goals are. Having a strategic plan doesn’t guarantee your success though. Very often, even when plans are prepared, they are not implemented. It takes effort, purpose and focus. Having a goal you are committed to is the first step.

Creating a Spending plan

The name speaks for itself. Create. You are the one formulating this plan, the choices of how and when you spend your money. It gives you a certain amount of confidence knowing you are making the decisions on how to spend your money. After creating your spending plan you feel empowered. You then make an effort to work with the financial decisions you made. It takes time to make this spending plan. You have to invest time. Managing your money without a spending plan is like going to an unfamiliar place with no GPS. We all need a spending plan in order to navigate our goals.

If you would like help with your own financial journey and goals please contact me. I am passionate about helping others with their own financial plans and will help you for free.

Thanks

Tessa-Marie

Contact me at; tessamarieshillingford46@gmail.com

SETTING UP THOSE SPECIAL SAVINGS ACCOUNTS

Know what you want

Today I am going to share with you my number one tip, I call this tip, the power of perseverance, and staying focused on your goals. Where attention goes energy flows.

When you know what you want you set a goal. Then you do whatever is legal to bring this goal to fruition.

On my financial journey, I developed many tips to enable me to meet my financial goals.

I discovered very early in my adult life that owning only one savings account did not work for me. You noticed I said for ME that meant it could work for someone else but just not for me. It actually felt uncomfortable owning one saving account. In my mind that one savings account became a big pot of Irish stew. Everything is in there and no ingredient is able to hold its flavor. Sometimes you could taste the carrots or the potatoes and so on but generally it was that unique stew taste. It was important to me that each category of savings be distinct one from the other. In one account, this was not happening for me.

I began to search for ways to make each project separate one from the other. It was imperative for me to know how much exactly I had to spend on a particular project. Now in order to accomplish this, I realized it would require having several accounts.

While listening to the news one day, the minister of finance spoke about special accounts with very distinct names. They were: Registered Retirement Saving Plans, Home Buyers Plan, Canada Pension Plan and Unemployment Insurance. I had a moment of clarity. I realized from hearing him speak that these all have a name for a specific purpose. They are unique and had different objectives. This method is not one pot fits all. How can I accomplish that I thought? We want a house, a car, and an annual vacation etc.

I had to be very resourceful during my journey of learning to manage my money successfully. I had to jump through many hurdles. One of those was the banking system. It had not yet come to terms with women making financial decisions on behalf of their family. The push back was difficult to deal with when it came to interacting with men working at those financial institutions. The women working in similar positions were worse. They thought that we were breaking our marriage vows if we came to the bank with any financial plans without our husbands. My husband detests going to the bank.

Empowered and focus with this new information I marched into my bank ready to open five new savings accounts.

When the bank officer approached me and I told her what I came in the bank to do. She looked at me like I had three heads and told me that I did not need another savings account one should be sufficient, especially since I did not have lots of money. I tried again to explain to her my purpose for wanting those accounts, but she was not having any part of it. She then said after looking at my hand does your husband know you are doing this? I don’t know I replied, my husband does not speak, he can’t see and he can’t hear. She sat there starring at me with an opened mouth. I calmly stood up with a smile on my face and left.

Dejected, I felt a little bit down but not defeated. I went home and thought what would the nuns do? The nuns taught me from the age of three, one of their strongest lesson was never to give up, when the door shut try a window, or when you face a wall stop, look at the wall until you find a chip or crack and then start to dig. So I started to wonder what I could do. After three days of intense contemplation I had this idea. What is stopping me from opening one savings account at all five major banks or trust companies? With that thought I became hopeful and energized.

The following Friday, I choose the intersection of St Clair avenue west and Yonge Street, close to my office. All five banks were at that intersection. I walked in bank one, opened an account and off I went to the other banks. I made it to the fifth bank at 2 minutes to six and left at 6:15pm. Now I had my five accounts. Mission accomplished.

With the accounts now opened it meant I had to visit five banks every week to get my deposits done. Sometimes it was at lunchtime or Friday evenings. It was a little time consuming. When my balances began to grow I felt amazing, I would skip to the banks look at my passbooks and smile.

Eventually when the banks became more competitive they started letting you hold more than one savings account. Also, automatic transfers gained popularity. I moved them all to one bank. Set up automatic transfers. Life was easier. No more walking across to do my banking.

Over the years, I have shared my method of purposeful savings with many, many others. I am thrilled to report I have witnessed hundreds of success stories.

Sometimes I do get a story from someone who has had a similar experience with someone at his or her bank. The most popular questions the bankers ask, is why do you need more that one savings account. I am pleased to say that some bankers when they hear the reason and purpose they in turn have introduced this method to their clients.

If you ever encounter someone with all the reasons why you do not need another savings account, thank them for their opinion and move on to another bank.

To be financially successful you must never give up. Look and learn from everyone. Most importantly, stay focus on your goal.

Thanks

Tessa-Marie

Tessamarieshillingford46@gmail.com

Living Pay Cheque to Pay Cheque

Standing on the edge of a precipice looking down at a chasm hundreds of meters below covered with tons of jagged rocks. This is what living from pay cheque to pay cheques is all about. A strong wind, some dizziness or a slip is all you need to take you over the edge. This is absolutely one of the scariest financial situations to be in. Today a large percentage of our population is living in those precarious circumstances. What is more frightening is, there are people earning income of $60,000.00 to $70,000.00 who is balancing on that tight rope. It’s a tough position to be in, especially when there is a family to support. This is extremely stressful and difficult to maneuver oneself out of this canyon. Usually there is no lifeline up. It’s all up to you. You are all alone.

Here are six things you can do to avoid living pay cheque to pay cheque.

Create and maintain an emergency account with automatic deposit on a regular basis each and every payday. The amount does not have to be hundreds of dollars. Start with a small amount that you can afford which will not interfere with your regular monthly expenses. A good place to begin is from your entertainment or impulse-spending amount. Begin with $5 or $10 every payday.
Change your life style. Begin by bringing your lunch. Skip one or two of your daily lattes. Borrow books and magazine from the library for your book club. Shop with a grocery list. Buy only the things you need. Only buy sales items if they are needed. Next month another supermarket will have the very same item on sale.
Create a Spending Plan. It is well worth it to spend sometime looking at your income and expenses. Do not round out the numbers when creating your spending plan. Put in the exact amount. Pay your bills the same way you get paid. If you are paid bi-weekly pay your bills bi-weekly.
Stick to your Spending Plan. Carry a copy of your spending plan on your phone. You need to know where your money is going and how much you have to spend on an item. Do not leave your spending plan on your laptop at home; it should be with you at all times.
Find a higher paying job or get a part-time job. It maybe time you get out of your very comfortable position. If you do not take the time to look for another job you will not find one. Start by networking with friends and family.
Sell some of the items you have not used in the past year. There are many places that will pay you cash for gently used items of clothing and household articles.

The most important thing you can do to get you to stop living from pay cheque to pay cheque is to be aware of where your money is going. Stay focus on managing your money. Read blogs such as this and seek professional help that is free.

I offer free financial money management.

WHERE ARE THEY NOW?

Tina and Patrick Part 2

Proper Preparation Prevents Poor Performance.

A lot has happened since we bought our home with the help of Tessa all those years ago. We are now less than a year away from renewing our mortgage and we have accomplished so much in the last four years.

Patrick proposed to me the day we walked into our home for the first time and after we dried our tears and drank the champagne we knew we would need to visit with Tessa again very soon. And we did, we met with Tessa to figure out how we could have the wedding of our dreams. We made the sacrifices we had to over the next two years in our new home to have the wedding we wanted and to insure we wouldn’t have any debt from it. So unlike most new home owners we didn’t feel the need or pressure to furnish our entire home at once. And as Tessa would say on several occasions all a young couple needs is a bed and a kitchen table. We furnished our home with hand me downs and modest new furniture slowly and when our wedding came and went we were ready for the next stage in our lives without any debt.

Now the wedding was over but the honeymoon continued because we were in such a wonderful place in our lives, newly married, fairly new home owners, so what’s next for us? The answer was clear for both of us; it was time to start a family. So it was time to revisit our finances with Tessa. As a self-employed RMT we knew we needed to save for all the money I wouldn’t be making and discussed with Tessa the benefit of opting into paying EI because it was important to both of us that I could be home with our little bundle the first year. That was step one, step two was still saving to have a little cushion for when baby arrived for any extra expenses that come along with a baby. With all that said and done we knew we could comfortably try to start our family a year after our wedding. And we ended up having the best one year anniversary gift by finding out we were pregnant that very day!

On top of saving and preparing for a baby we like most home owners had things to do around the house we had had a flood but took our time refinishing the basement ourselves to save money and make it work for us. We finished what needed to be done by the fall of 2014 so we could start the nursery for our baby arriving in February 2015 again doing all this without creating any debt because of all of Tessa’s help and the emergency account we had established as soon as we bought our home.

Now our son Kieran is here and 5 months old! Where has the time gone?! Our babymoon has been amazing and fairly stress free because we were mentally and financially prepared for our son. But there is more to do, it is time to get that minivan, so we have literally just met with Tessa to find out what we can afford comfortably and should be able to purchase a brand new car by the fall.

We are so amazed at what we have been able to accomplish with a little sacrifice and hard work. On top of all of these goals that have been reached we have been continually working towards another goal of ours, to be mortgage free by age 40. And with Tessa’s help that goal is becoming more and more attainable with every passing mortgage payment. There is still a lot we want to do both in our home and personal lives. From renovations, to expanding our family again, travelling, saving for Kieran’s education and our own retirement all of which we know we can and will accomplish with all that we have learned from Tessa. Everything has its own account and we have set up automatic transfers so there are no excuses and saving is practically on auto pilot which reduces stress.

I truly believe that part of the reason we have been so successful is our semi-annual financial check-ups we have with Tessa. It makes us accountable and it helps to put everything into perspective. Just like your annual physical with your doctor or cleanings with your dentist or maybe even your regular treatments with your massage therapist you’re able to identify a problem before it becomes a serious concern. So just like preventing high blood pressure, cavities or chronic back pain you’re preventing financial hemorrhaging which can lead to debt.

Patrick and I cannot wait to see what the next four years has in store for us but one thing we are confident in is that debt is not in our future.

My Journey To Financial Freedom By Lisa

I was introduced to Tessa Marie Shillingford at church; she was the speaker at one of our women’s meeting. The topic was financial management.

Boy, am I glad I was present to meet her! She not only spoke about ways to save, she also spoke about the importance of getting and staying out of debt.

After hearing her speak, I knew in my heart of hearts that I needed to approach her and ask for her assistance with financial planning.

I approached her with tears in my eyes and explained how overwhelmed I was with my current financial situation. She reassured me that she would be able to help. I was excited because I was ready for change.

I phoned Tessa Marie the next day and made an appointment to meet with her. Little did I know she was going to be tough on me from meeting number one, I needed help, so I didn’t mind.

She asked to see my expenses and my income. After reviewing it, we were able to make a spending plan, which is the name she uses instead of the word budget. At the end of it all I was so shocked that I had money left over. A hallelujah moment! I was on my way to financial freedom. I understood that this was going to be a lifelong change so I made sure to soak up everything she said like a sponge.

Tessa Marie works tirelessly with you to achieve your goal. She provides this service free of charge, as she believes helping others with their finances is her calling. Her only ask is that we speak to others about what we learn.

In the last two years with her help, I’ve been able to pay off debts that I never thought I would be able to pay off in such a short space of time. I’ve also been able to take two trips without using credits cards. That’s huge for an individual like me who always thought my income was less than my expenses.

Hats off to Tessa-Marie Shillingford for her dedication and helping me come to the realization that if I create a spending plan and stick to it I will have savings and absolutely debt free. Now I am.

Lisa

I HAVE BEEN THERE – PART TWO

I noticed that the attitudes shifted and the body language changed, some of them were staring at me as though I had two heads and one eye. I asked them to put away their blackberries, their red berries and their yellow berries, which made them laugh. Finally, everyone settled down.

“Today, your topic is saving on a low income. I have changed the name, just for you, to SAVING INSPITE OF A LOW INCOME.” You see, although I have changed the name I am still not able to change the destination of your choice”, I said.

“I would like everyone to tell me what they would like to learn about saving money today, write your answer out and then you can read it out loud one by one”, I said.

There were eleven women; they read out their responses, which fell in two categories:

How much should we save each month?
How do we stop from dipping into our savings account?

I wrote those questions on the board and asked if this was what the group wanted to learn and whether there were any additional questions.

Everyone agreed.

How much is the correct amount or percentage to save each month?

“The answer to question #1 is = There is no fixed amount or percentage that will work for everyone. Each person or family has a number that is unique to him or her and what works for me or for your sister or cousin cannot work for you. Your circumstances and needs are entirely yours and yours alone. The one thing that matters the most is to put your savings before, RENT, FOOD, CLOTHES and any other expenses you might have. Your savings must be first and the amount does not have to be hundreds of dollars, you can save one dollar a week or ten dollars a month, what is important is to do it regularly and automatically.”

“The bank would never take a $1.00 a week from my pay cheque and save, that amount it is too small.” One of the women volunteered.

1. How much should you save each month?

There is no fixed amount or percentage that will work for everyone. Each person or family has a number that is unique to him or her and what works for me or for your sister or cousin may not work for you. Your circumstances and needs are entirely yours and yours alone. The one thing that matters the most is to put your savings before, RENT, FOOD, CLOTHES and any other expenses you might have. Your savings must be first and the amount does not have to be hundreds of dollars, you can save one dollar a week or ten dollars a month, what is important is to do this regularly and automatically.”

“The bank would never take a dollar a week from my pay cheque and put it into my savings account, that amount is too small,” volunteered one of the women.

“Yes, they will. All of our dollars are important to the bank and they want it. You see, this is how it works: the bank promises to pay us .25% on our money every month and they then take it and invest it in your brother’s mortgage at 3% which he pays every month. They give us the .25% on our money and the rest belongs to the bank. So yes, our money is very important to the bank.”

“My message to you is to begin small and have the bank make an automatic transfer from your chequing account to your savings account for the amount you want and on the date you want. This method is called the automatic millionaire and with consistency you may actually become a millionaire one day.”

2. How to stop dipping into your saving account:

Give your savings account a name and have a purpose for saving the money. Throughout our lives, every one of us in this room has heard our parents say, “SAVE YOUR MONEY.” They were only able to teach us what they were taught. They passed the same information to us and we are doing the same thing they did, we save today and we use it tomorrow. Now if we begin to name our savings account and have a purpose it, it has been proven that we will not touch the money, because we have a reason for saving that money. The Government of Canada is an awesome teacher. They have a name for every type of savings account they recommend:

REGISTERED RETIRMENT SAVINGS ACCOUNT
REGISTERED EDUCATION SAVINGS ACCOUNT
TAX FREE SAVINGS ACCOUNT

Savings accounts have no particular identity and can be used for different purposes by giving them a name we give them an identity.

You see, they all have a name and we know what we are saving for. We would be hard-pressed to take the money out, not because we can’t but since the purpose for the money is staring us in the face, our memory for saving the money will contribute to us leaving it alone. Name your accounts, all the banks allow you to give your accounts a name that helps you identify the purpose of the money. Use that method and see whether it works for you.

The ladies were pleased with the workshop. The woman who first spoke stood and told everyone this was the best workshop they have ever had. They received tips they could try knowing that I too had to do it the way they now have to.

Sometimes, you have to do what you have to do to take your message across rough seas.

Tessa-Marie

I HAVE BEEN THERE – PART ONE

When I am asked to facilitate a workshop, I am prepared to facilitate whatever subjects the coordinator requests for their group. There is the odd occasion when I arrive and meet members of the group then realize the topics requested are not going to work for them. I may know that, but the customer is always right so I stick with what was requested and deliver with all the passion and knowledge I can offer.

Last Tuesday was one of these occasions. The moment I arrived I could sense that these ladies were not happy to be there and were not interested in anything I had to say. They sat with their cell phones on the table directly in front of them and their hands folded across their chest or holding on to their chins.

Great, I thought when I walked into the room and observed the situation, I really need divine intervention; I took a deep breath and silently said, “I need guidance to be able to reach these ladies.”

The coordinator introduced me and I began by telling the participants a little about JVS Toronto. The moment I was done, one of the ladies said, “What can you teach us that we do not already know, you come here with your high and mighty attitude and think you can teach us how to survive on a low-income when you have no idea what living on a low- income is like. You people come here and speak from your pulpit and expect us to go out there, do what you say, and our world will suddenly be ok.

Thank God for yoga and deep breathing. I did my breathing exercise, smiled and said, “Who told you that was what I am here to do? If they did, I am extremely sorry to say I will have to disappoint both you and the person who gave you this information.”

“You see, I am a Financial Advancer, my job is to take you from where you are and advance you to where you want to go. I am not able to do that unless you first tell me where it is you would like to go financially, think of me as an airline company: it will not take you to Montreal when you paid to go to Disney. The customer is always right and I aim to please.”

Let me tell you a story about a young woman I met 37 years ago. This young woman was 22 years old when she got married. At that time, she worked for the Government of Ontario, Ministry of Education and every six months the Government gave them a $3.50 rise in pay. Her philosophy then and even now is that she did not have it last week so she is going to pretend she did not have it this week and would save it. Now this young woman and her husband wanted to buy a home so she decided that she would save every pay raise they received until they had sufficient funds for a down payment to buy a home. She went to the Credit Union on MacDonald Block and opened an account. She then asked the clerk to have $3.50 come out of her pay cheque every two weeks.

The young woman had to have her lunch right in front of the clerk as this transaction took an entire hour since there were no computers. Today, it would take one minute to put together. This continued and with each raise she or her husband received she would go back to Credit Union to increase the amount. At the age of 29, the bi-weekly amount had grown to $80.00 and they now had a savings of $7,500. They were able to purchase a home with a down payment of $5,000.00. They did not buy new appliances; they went to Queen West and purchased a used stove, used washing machine and a used fridge. They did not buy a dryer; instead they went to Honest Ed’s and bought a ball of twine, a package of clothes’ pegs and a small packet of nails. Her husband picked up a couple of stones to use as a hammer to knock the nails in the walls of the basement to use as their clothes’ line. Three months later their daughter was born, so they took the dresser drawer and padded it to use as her crib for the first two months of her life. No matter where this family ended up they cannot deny the beginning of their financial journey. If this young woman did not start that very small savings plan they could not be where they are today and she would not be standing in front of you today.” There was an audible gasped. I continued, “The reason I wanted to tell you this true story is to let you know that, I do not want you to believe because a person comes to facilitate a workshop that they have never walked in the shoes you are wearing today. Are we ready to begin the workshop?”

To Be Continued…

Tessa-Marie

LIVING FRUGALLY

My friend asked me the other day, why I teach people to live frugally and to save money, when I do whatever I want, whenever I want?

When my friend asked that question it made me realized that perhaps I should better explain what frugal living is all about.

I have always been a frugal person while I believe in living frugally; I never deprived myself of needs or of some wants. Living frugally meant I had to always have a smart plan, which I followed until I met that particular goal.

Living frugally does not mean you have to wear the same clothes over and over or lower the temperature in your home to just above freezing. It does not mean that you have to sit in the dark and keep the lights off. Frugal living does not mean that you never go out to dinner or to a show.

Frugal living is always working on your goals; create a plan to find out what you really want.

It is being able to have financial choices. The choices may give you a chance to find some level of happiness and contentment. It allows you to say no or say yes with ease.

My decision to live frugally has caused me many small family frictions. I remember my brother – in – law saying “Tessa-Marie wants me to turn off the lights whenever I leave a room so she can save ten cents worth of electricity.” Yes I did, because it was my ten cents not his, it just made no sense to me leaving the lights on when no one was in the room. Today, Toronto hydro has all types of incentives to encourage the consumers to save on the cost of electricity. As an example they have provided us with a chart, which explains the peak period and the non-peak period of the cost of electricity. So as far as I am concerned I was way ahead of the curve on saving small amounts and that made me a trailblazer.

Being frugal enabled me to make a choice to publish my book “Controlling the Debt Monster”. I made the choice to have my book published and changed my career. I am doing what I love, advancing others to financial independence. When I discussed publishing the book, one of my co-workers told me why not continue to work for TD Canada Trust until I am 65 then publish my book. It was tempting, but I knew I had saved and invested well so I could do something I loved while I had the energy to do so.

Being able to do what I am doing today was more tempting than continuing to work at something that had run its course. I enjoyed my time at TD Canada Trust. I love that company and I am grateful. TD Canada Trust educated me and paid me a salary. The education I received from them I am using today to do something I love which does not feel like working. Even getting my education from TD Canada Trust to be a Financial Planner was living frugally since they paid to educate me. I did not have to pay for the training I received. Guess what, the education and training I received at TD Bank is mine to keep and use however I choose.

I know that my responsibility to serve others is to be the example they need. I have walked in the shoes they are now wearing and I tell them my story. Now I serve by enlightening, educating and encouraging others to follow a frugal way of life early in their career so later on they will be able to enjoy doing what they truly love.

The entire idea is to LIVE LIKE NO ONE ELSE WHILE YOU ARE YOUNG SO WHEN YOU GET OLDER YOU CAN HAVE THE OPPORTUNITY TO LIVE LIKE NO ONE ELSE.

Frugal living as a young person let you choose to winter in the Caribbean for six months of the year as a senior. Frugal living means that you do not have to work because you have to. Frugal living is choosing to work in the flower shop because you always wanted to and now you can. It also means that you can tick off all the things on your bucket list because you can.

Frugal living does not mean that every time an item is on sale you purchase it, whether you need it or not. Frugal living is, knowing the difference between your needs and your wants. Frugal living is shopping with a list of the things you need to purchase, it is not entering a store and purchasing whatever is on sale. Frugal living is bringing your lunch to work instead of spending $7.00 on lunch and another $4.00 on coffee and a donut everyday.

Frugal living means knowing what you want and where you want to be financially in the future. Frugal living allows you to have many choices. Frugal living is watching your savings grow year after year; frugal living is having your house paid off and being completely free of all types of debt.

Frugal Living equals Financial Freedom.

Tessa-Marie

CHRISTMAS SHOPPING

I went to the mall today with my girl friend; she wanted to get an everyday coat and needed my help with choice. We found the ideal coat at a great price. The coat was marked down from $278.00 to $119.00 plus as a bonus you would be given a gift card worth $25.00.

We went to the cashier to pay for the coat, the sale price went on just as it was listed on the flyer, then the clerk told my friend if you use our credit card you will receive an additional 10% off to which my friend declined. The clerk was so intent on getting my friend to use the department store’s credit card; she forgot to give her the $25.00 gift card which was part of the promotion. My friend reminded the store clerk that the advertise price came with a gift card. The sale clerk who obviously had not been briefed by her manager did not know about the additional gift card. After she checked with her manager the card was given to my friend. My friend wanted the gift card and needed to shop from one more items where the card would make a difference so it was important to her to get the card. The clerk’s goal was to encourage my friend to charge her purchase and naturally to use her store’s credit card. Do not get caught in that 10% trap, it is not worth the years it will take you to pay off that purchase.

I am not a big supporter of gift cards given after purchases, they usually come with conditions and some of those conditions mean you will have to spend more money on a purchase in that store and only on certain items. If you are not a wise shopper you could end up spending much more than you anticipated just to get the additional discount.

The Holiday season is just around the corner and the stores are ready and waiting for us to show up to make our purchases. They are ready and willing to help you find that special gift. If you have chosen to make your purchases at the last minute be aware of what is on sale and what you are really getting for your money. Read the advertisement and bring a copy with you just in case. The clerks are busy and they have quotas, so you are on your own. You have to be a smart shopper. Do not let the sounds, smells and the crowds get you to make some decisions you will regret in January and February when the credit card bills show up in your mail box.

It would be best if you could make a list of the people for whom you have to purchase gifts and have an amount set for each person. I use a small note-book to write my Christmas list in, with the names and the amount I want to spend on that particular person. You should carry the list with you whenever you are going out of the house. If you see something you think would be a great gift for uncle Harry and aunt Lucy, pull out your list and see exactly what you intended to spend on their gifts. It is never a good idea to have set a price for a gift and just because you did not have your list, you made a purchase way above what you had priced on your list.

If you do your shopping in November, give yourself a date when you want to be done with your Christmas shopping, do not let it drag into the week of Christmas, if you do, you will purchasing way above your means. Avoid the stores on the weekends you will find hundreds of people all doing their Christmas shopping and you will not be able to get the attention of the clerks if you need their help. If you are going into a big mall with lots of stores wear a light coat something that will not drag you down. Also take your weekend purse which you can sling across your body with just the items you will need, do not carry a heavy purse it will only get heavier over time. Be aware of your surroundings the purse snatchers are out doing what they can do best which is to take your money and important things away from you. If you find that you are loaded down with parcels and bags make a trip to the car to drop some of your purchases off, also when doing so do not leave purchases on the seats of the car, place them in the trunk or cover them over with a blanket so that they cannot be seen by someone looking into your car. Lastly make sure you have locked your car and your keys are safely in your purse. When you get home from shopping put all your receipts in a shoebox or a large zip lock bag you may need them in a few weeks.

I hope this will help you make your Christmas or Holiday shopping much easier and safer.

Have a Happy Holiday

Tessa- Marie

CONTROLLING THE DEBT MONSTER

WHOSE MONEY IS IT ANYWAY?………YOURS, KEEPIT

Category: Emergency Account

What are your plans for your tax refund?

Two Financial Advisors Walk Into a Bar

SETTING UP THOSE SPECIAL SAVINGS ACCOUNTS

Living Pay Cheque to Pay Cheque

WHERE ARE THEY NOW?

My Journey To Financial Freedom By Lisa

I HAVE BEEN THERE – PART TWO

I HAVE BEEN THERE – PART ONE

LIVING FRUGALLY

CHRISTMAS SHOPPING