I didn’t grow up with money.
In fact, it was quite the opposite.
We lived on a small farm in an even smaller town in Eastern Canada. My father never graduated high school and most of my life, my mother didn’t work. Some years were better than others, but I remember the rough years the most. I remember being hungry, with clothes that didn’t fit. Growing up, it became normal to answer the phone and lie to the bill collectors about my parents whereabouts. That means, they never sat down and taught me about saving for my future since they didn’t know how to save for their future either.
I recently read that if someone save $100 a month from the age of 18 onwards, they could make a millionaire by the time they retire by smart investing and compound interest. This was shocking to me. Growing up poor and living paycheck to paycheck, I never thought about saving for retirement. I was to busy trying to keep food on the table.
At least I am not alone. According to the Huffington Post, “Half of Canadians aged 55 to 64 who don’t have an employer pension have less than $3,000 saved up for retirement.”. What’s even worse is that only 52 per cent of Canadians under the age of 34 are making contributions to retirement savings, according to a recent TD survey. They also did another survey and found that nearly one-third of young Canadians admitted they are “not at all knowledgeable” about retirement savings plans. All of this data is scary to me. I am 34 years old and not at all prepared for my retirement!
I came across all of this data because I was disappointed with how much interest my current savings was accumulating. With a little over $10,000 in the bank, I am earning about $6.67 a month in interest. That figure is very disappointing. If I leave that money all year, I will make $80.29. Pathetic. This money is already sitting in a High Interest Savings account with Tangerine. So, I started researching all the things I wish I had known when I was still in high school.
Canadian Couch Potato is a mecca of great information. It made me realize that I have to start saving NOW!! I am shifting my focus on trying to save as much money as I can every month. I opened up a Tax Free Tangerine Balanced Portfolio account and set up my automated payments!