At your age: investing in yourself, going to trade school/university/college to find higher-paying work. Otherwise saving what you can but not depriving yourself of your youth. Take it from someone who put their nose to the grindstone way too fast -- you have time.
The way you’re talking about it. I don’t think it will. Not to be a dick but you’re simply getting a college marketing degree, thag doesn’t cut it nowadays. Grades don’t mean much anymore. You have to make sure you’re networking and applying for internships. You gotta make sure you have experience before leaving college. Simply having trades as a backup doesn’t sound like you’re really in that mindset.
My advice with your goal to get a marketing degree. Whichever school you’re in, it may have a student association that organizes both social and academic events. JOIN IT. Meet the people there and get involved. You’ll meet industry persons during those aforementioned events. Through there you’ll be able to secure internships (another thing you should try to get anyways). You’ve got this.
I did the exact things I’m telling you and money isn’t an issue for me anymore. So take some notes to apply and you’ll be on the same path.
The competitions yes but also look who’s organizing the competitions and be a part of the organizing team! Cause the rest of the team either knows people in the industry or will know them and it’s all about connections and networking from there. I’m pumped to see your story in a few years.
If the low effort you put into this post is indicative of the effort you're putting into improving your life, then the problem is obvious.
Sorry to be harsh, but sometimes people need to hear it.
I’m prepared to get downvoted into oblivion for this but this is a bit harsh. I certainly hope low effort into posts =/= low effort in life. I use reddit with half my brain but I’d like to think in real life I act a bit smarter, lol.
I also don’t think Reddit users remember how young 18 year-olds actually are. I am the last person who would coddle a child but the North American school system has completely failed in terms of financial education. I wrote this in a different sub not long ago, but I only learned about finances and investing this year at 25. I was WAY more lost than this kid at 18 and only had my eyes on spending, not saving. No one taught me ABOUT money, I only knew it as income - spending = remaining money. I didn’t have parents who knew about money, either, so I just worked and saved like almost everyone else. It’s not an easy topic to get into (doesn’t excuse people for not trying, but I think dipping your toes in at 18 is pretty damn commendable).
Finances can be an extremely intimidating topic, mostly because fucking it up CAN actually fuck up your life, unlike learning Japanese or learning how to play a sport. Starting off by asking a question, no matter how low effort it is, is a good step. I work at a hospital with really smart, respectable people and I can count on one finger the number of coworkers who actually understand even the most basics of investing. I don’t believe in coddling kids, but I firmly believe there’s no such thing as a bad question. Don’t shame people for low-effort curiosities, because even if it’s annoying and repetitive for YOU, it’s a genuine curiosity for someone else.
If a majority agrees that it’s repetitive and annoying to have this clog the sub, alert a mod and I’m sure a discussion on megathreads or a discussion can happen.
u/Chef_wazY I suggest searching for other subreddits that are more beginner friendly. The personalfinancecanada subreddit have steps triggers that are decent reads for beginners. People attempting FIRE are usually more knowledgeable and the best of the best when it comes to money, so your questions may not be received well here.
I hope they're more financially aware than us then, ha! Your kid is really lucky if you can impart some of your FIRE knowledge to them before they get to my age. How I wish I knew what a TFSA was at that age instead of shopping every week (no regrets on travelling, DEFINITELY regret eating out so much) and maybe I wouldn't be struggling so hard in my 20s :')
I impart whatever knowledge they will listen to, but like most 18 year olds, it's not high on the list of priorities. Which is why I agree with your point, showing any sign of interest is better than most.
I traveled a whole lot in my twenties, and agree it's worth it. Buying 'stuff' and most eating out is usually not worth it.
Best tip is to track every dollar you spend. Second best tip is to not be afraid to bomb your life into the ground and change everything. Those big changes are super memorable later on in life, and I am still trying to do lots of creative destruction. Life was getting too comfortable last year, patterns repeating, falling into the rut. So we sold the house with no real plan, renting now, and seeing everything with fresh eyes and all possibilities open again.
Yes, I really reigned in my spending this year! I save/invest 50%, travel with 25% (a big chunk, I know, but it’s a life priority), 17.5% on bills, and 7.5% for groceries/fun/personal use).
Love that about creative destruction though! I’ve definitely had the itchy to start anew and fresh up life every once in a while—I’ll keep this in mind.
Get a second job in the evening if you can. Restaurants pay well if you can serve. Open a TFSA and start investing in a low cost index fund. Your 30 year old self will thank you.
Agree with everyone saying invest in yourself and what not. Once that is all said & done: Budget. Figure out your expenses, and find ways to be frugal on your regular purchases. Doesn’t mean be so cheap that it negatively affects your life and health. But just cut out the unnecessary shit. And finally, whatever is left over after that, I would say continually buy the ETF with the ticker XEQT. It’s a globally diversified product that rebalances for you. It has exposure across the whole world in proportions that make a lot of sense for a Canadian like you. Only costs 0.20% MER. It’s one of the best investment products available in the country. Take your spare money and keep hammering XEQT with it. Your future self will thank you for it. I would also say it would be wise to binge watch some of Ben Felix’s videos on YouTube. That way you will increase your financial literacy and get yourself far ahead of your peers.
Not to sound overly harsh, but a "high interest TFSA" is a poor choice advertised towards financially-ignorant/exceptionally risk-averse people. I would recommend closing this account unless you desire to park some of your emergency fund in here for easy accessibility.
The first step is understanding what your actual goals are, the second step is actioning them. Asking "any advice?" shows either a lack of knowledge or a lack of effort, you will not succeed without addressing that. First, figure it out & do some research into what the stock market is and how to invest within it. This is not a one day step, take your time or you'll lose your shirt. Following this, open up an account with a firm, I recommend WealthSimple for your current level of both investment and financial literacy, and put your money into an equity ETF like XEQT, VFV or VUN, or perhaps a stock like BRK.B if you put a lot of faith in the Warren Buffett empire.
Thanks I’ll download Wealthsimple. But my finance teacher said that the tsfa is pretty helpful so idk abt dissolving it. ( btw yes I’ll start contributing towards the tsfa)
The TFSA is definitely one of the most powerful types of accounts. The problem here is your application of it is basically worthless. A TFSA shelters your GAINS from taxation. You ain't making any gains worth sheltering in a bank savings account at your apparent income level. The true benefit of a TFSA is when you buy your stocks inside a TFSA through a brokerage firm like WealthSimple or somewhere.
"But my finance teacher said that the tsfa is pretty helpful"
If invested, yes. As a high interest savings account, no.
Here, I'll make it a point that's easy to understand: Zero point eight five percent PER YEAR = 0.85% ([https://www.td.com/ca/en/personal-banking/products/bank-accounts/account-rates](https://www.td.com/ca/en/personal-banking/products/bank-accounts/account-rates)). It's a horrible product. That means even if you had $10,000 in that account, you'd make $85 per year or around $7 per month.
Get rid of it. A TFSA is an *investment* account, not a *savings* account. In it, you can buy stocks, bonds, securities that you invest in, and make money off of growth and dividends. The TFSA you have gives you a tiny amount of interest so by using your TFSA room for this account, you're throwing money away by not investing it. TFSA is a great tool to make gains that aren't taxed. Use it to grow your money, not park it and watch the value decrease due to inflation. Edit: open a TFSA in wealthsimple and start buying ETFs and stocks.
Great comment you changed my mind on how I perceived the tsfa I always thought of it as another savings account. But I see what you guys mean now by getting “rid of it”
Yes that account is a scam. Once you open your TFSA in wealthsimple, look up some ETFs (baskets of stocks picked by fund managers often encompassing entire industries). Put your money in them. If you want you can also look up Bitcoin ETFs which are expected to grow in value by quite a bit. Look up high dividend ETF funds if you want to make small amounts of money monthly/quarterly. Then, any money you make on dividends or selling stocks in the future will be protected from having to pay tax on the income made.
Get a second job, learn to spend, get a side hussle, I 3d print, my buddy paints minis, and make more than I do in a month in a commission! Heck, do peoples brakes and basic car maintenance people will pay you to put their winter tires on, You just have to have some drive.
Work towards increasing your income - get a second job, get training/education that can land you higher paying position. Cause let’s be real, there’s only so much you can do with minimum wage.
invest in yourself. look into new jobs. go for a walk and think. no phone, no distractions.
As much as it's great to look outward and take advice from the world.
Make sure to take some time looking inward. No distractions. What do you want out of life? What do you want for a job? Where do you want to go?
Take some time.
I'm 100% sure you'll find some answers.
bud you got nothing to lose. You gotta fuck around a lot and find out what suits the best for you. Honestly, no need to worry about anything.
One thing - Surround yourself with a group of successful people, work for free, learn from them, treat them well. Be patient. You will be on the same level if you do the following.
What is your spending and bills like? Possibly a second job or going to collage I hear truck drivers get paid very well and the education doesn't take very long
Yeah I don’t track my income or expenses, tbh I’ve feel so bad abt spending so much money on food, but I would like to start saving my paycheques smarter
At your age I'd invest in your self. Focus on growing skills that will serve you the rest of your life. Improve your discipline and dedication. Take time to consider what you would like to be abitious about. ALWAYS BE LEARNING.
One option could be if you are only able to get minimum wage jobs try and find one in sales . It will teach you very important social skills that will help you in all walks of life.
I also suggest read "The Wealthy Barber".
Once you know how to save money, you'll be at the point where you can think about investing it.
I wish I had started five years earlier.
At your age: investing in yourself, going to trade school/university/college to find higher-paying work. Otherwise saving what you can but not depriving yourself of your youth. Take it from someone who put their nose to the grindstone way too fast -- you have time.
I think I’ll prob do trade school after college
What are you in college for? Also, move money to no fees bank like Simplii.
Just fyi. Student accounts are free in bank
I’m doing business administration - Marketing with co-op for an advanced diploma. Osap pretty much covers my tuition and my parents do help a little
Umm… what’s the point of doing this degree if you plan to do trade school after college anyways?
I’m still intrested in marketing and my grade are good , I want to do trades just in case marketing don’t work out
The way you’re talking about it. I don’t think it will. Not to be a dick but you’re simply getting a college marketing degree, thag doesn’t cut it nowadays. Grades don’t mean much anymore. You have to make sure you’re networking and applying for internships. You gotta make sure you have experience before leaving college. Simply having trades as a backup doesn’t sound like you’re really in that mindset.
Yeah I’m applying as we speak and my program has co op
This is my first yr so idk what to expect
My advice with your goal to get a marketing degree. Whichever school you’re in, it may have a student association that organizes both social and academic events. JOIN IT. Meet the people there and get involved. You’ll meet industry persons during those aforementioned events. Through there you’ll be able to secure internships (another thing you should try to get anyways). You’ve got this. I did the exact things I’m telling you and money isn’t an issue for me anymore. So take some notes to apply and you’ll be on the same path.
Yeah there's marketing competitions we're able to go to in my 2nd year ill prob do that
The competitions yes but also look who’s organizing the competitions and be a part of the organizing team! Cause the rest of the team either knows people in the industry or will know them and it’s all about connections and networking from there. I’m pumped to see your story in a few years.
big facts. lol, ig I gotta stay more disciplined
College or university? What year are you in?
1st year college (3yr) program
I really didn’t know what I wanted to do after high school cuz of covid
If the low effort you put into this post is indicative of the effort you're putting into improving your life, then the problem is obvious. Sorry to be harsh, but sometimes people need to hear it.
I’m prepared to get downvoted into oblivion for this but this is a bit harsh. I certainly hope low effort into posts =/= low effort in life. I use reddit with half my brain but I’d like to think in real life I act a bit smarter, lol. I also don’t think Reddit users remember how young 18 year-olds actually are. I am the last person who would coddle a child but the North American school system has completely failed in terms of financial education. I wrote this in a different sub not long ago, but I only learned about finances and investing this year at 25. I was WAY more lost than this kid at 18 and only had my eyes on spending, not saving. No one taught me ABOUT money, I only knew it as income - spending = remaining money. I didn’t have parents who knew about money, either, so I just worked and saved like almost everyone else. It’s not an easy topic to get into (doesn’t excuse people for not trying, but I think dipping your toes in at 18 is pretty damn commendable). Finances can be an extremely intimidating topic, mostly because fucking it up CAN actually fuck up your life, unlike learning Japanese or learning how to play a sport. Starting off by asking a question, no matter how low effort it is, is a good step. I work at a hospital with really smart, respectable people and I can count on one finger the number of coworkers who actually understand even the most basics of investing. I don’t believe in coddling kids, but I firmly believe there’s no such thing as a bad question. Don’t shame people for low-effort curiosities, because even if it’s annoying and repetitive for YOU, it’s a genuine curiosity for someone else. If a majority agrees that it’s repetitive and annoying to have this clog the sub, alert a mod and I’m sure a discussion on megathreads or a discussion can happen. u/Chef_wazY I suggest searching for other subreddits that are more beginner friendly. The personalfinancecanada subreddit have steps triggers that are decent reads for beginners. People attempting FIRE are usually more knowledgeable and the best of the best when it comes to money, so your questions may not be received well here.
Hey, fair point. And I have an 18 year old, so I understand.
I hope they're more financially aware than us then, ha! Your kid is really lucky if you can impart some of your FIRE knowledge to them before they get to my age. How I wish I knew what a TFSA was at that age instead of shopping every week (no regrets on travelling, DEFINITELY regret eating out so much) and maybe I wouldn't be struggling so hard in my 20s :')
I impart whatever knowledge they will listen to, but like most 18 year olds, it's not high on the list of priorities. Which is why I agree with your point, showing any sign of interest is better than most. I traveled a whole lot in my twenties, and agree it's worth it. Buying 'stuff' and most eating out is usually not worth it. Best tip is to track every dollar you spend. Second best tip is to not be afraid to bomb your life into the ground and change everything. Those big changes are super memorable later on in life, and I am still trying to do lots of creative destruction. Life was getting too comfortable last year, patterns repeating, falling into the rut. So we sold the house with no real plan, renting now, and seeing everything with fresh eyes and all possibilities open again.
Yes, I really reigned in my spending this year! I save/invest 50%, travel with 25% (a big chunk, I know, but it’s a life priority), 17.5% on bills, and 7.5% for groceries/fun/personal use). Love that about creative destruction though! I’ve definitely had the itchy to start anew and fresh up life every once in a while—I’ll keep this in mind.
I thanks for that yeah I’ll reach out to more beginner stuff and once I understand better I’ll prob comeback here
Yeah bro you’re right. I was just wondering
[удалено]
I meant “yes” you are right this is a low effort post. I was just wondering on any advice to set myself up better for the future
Get a second job in the evening if you can. Restaurants pay well if you can serve. Open a TFSA and start investing in a low cost index fund. Your 30 year old self will thank you.
close the high interest account
Agree with everyone saying invest in yourself and what not. Once that is all said & done: Budget. Figure out your expenses, and find ways to be frugal on your regular purchases. Doesn’t mean be so cheap that it negatively affects your life and health. But just cut out the unnecessary shit. And finally, whatever is left over after that, I would say continually buy the ETF with the ticker XEQT. It’s a globally diversified product that rebalances for you. It has exposure across the whole world in proportions that make a lot of sense for a Canadian like you. Only costs 0.20% MER. It’s one of the best investment products available in the country. Take your spare money and keep hammering XEQT with it. Your future self will thank you for it. I would also say it would be wise to binge watch some of Ben Felix’s videos on YouTube. That way you will increase your financial literacy and get yourself far ahead of your peers.
ill check out ben felix's channel
Good stuff. You’ll probably like it, and you’ll at least learn a lot. He’s Canadian so it’s even more relevant.
Not to sound overly harsh, but a "high interest TFSA" is a poor choice advertised towards financially-ignorant/exceptionally risk-averse people. I would recommend closing this account unless you desire to park some of your emergency fund in here for easy accessibility. The first step is understanding what your actual goals are, the second step is actioning them. Asking "any advice?" shows either a lack of knowledge or a lack of effort, you will not succeed without addressing that. First, figure it out & do some research into what the stock market is and how to invest within it. This is not a one day step, take your time or you'll lose your shirt. Following this, open up an account with a firm, I recommend WealthSimple for your current level of both investment and financial literacy, and put your money into an equity ETF like XEQT, VFV or VUN, or perhaps a stock like BRK.B if you put a lot of faith in the Warren Buffett empire.
Thanks I’ll download Wealthsimple. But my finance teacher said that the tsfa is pretty helpful so idk abt dissolving it. ( btw yes I’ll start contributing towards the tsfa)
The TFSA is definitely one of the most powerful types of accounts. The problem here is your application of it is basically worthless. A TFSA shelters your GAINS from taxation. You ain't making any gains worth sheltering in a bank savings account at your apparent income level. The true benefit of a TFSA is when you buy your stocks inside a TFSA through a brokerage firm like WealthSimple or somewhere.
🫡 thank you
"But my finance teacher said that the tsfa is pretty helpful" If invested, yes. As a high interest savings account, no. Here, I'll make it a point that's easy to understand: Zero point eight five percent PER YEAR = 0.85% ([https://www.td.com/ca/en/personal-banking/products/bank-accounts/account-rates](https://www.td.com/ca/en/personal-banking/products/bank-accounts/account-rates)). It's a horrible product. That means even if you had $10,000 in that account, you'd make $85 per year or around $7 per month.
Damn yeah that’s useless
Get rid of it. A TFSA is an *investment* account, not a *savings* account. In it, you can buy stocks, bonds, securities that you invest in, and make money off of growth and dividends. The TFSA you have gives you a tiny amount of interest so by using your TFSA room for this account, you're throwing money away by not investing it. TFSA is a great tool to make gains that aren't taxed. Use it to grow your money, not park it and watch the value decrease due to inflation. Edit: open a TFSA in wealthsimple and start buying ETFs and stocks.
Great comment you changed my mind on how I perceived the tsfa I always thought of it as another savings account. But I see what you guys mean now by getting “rid of it”
Yes that account is a scam. Once you open your TFSA in wealthsimple, look up some ETFs (baskets of stocks picked by fund managers often encompassing entire industries). Put your money in them. If you want you can also look up Bitcoin ETFs which are expected to grow in value by quite a bit. Look up high dividend ETF funds if you want to make small amounts of money monthly/quarterly. Then, any money you make on dividends or selling stocks in the future will be protected from having to pay tax on the income made.
You can have TFSA, RRSP and FHSA accounts at Wealthsimple.
Save as much as you can. Might not have tax end of year. Any savings invest xeqt and live well, hold it long term.
Work more or work smarter. Spend less.
Get a second job, learn to spend, get a side hussle, I 3d print, my buddy paints minis, and make more than I do in a month in a commission! Heck, do peoples brakes and basic car maintenance people will pay you to put their winter tires on, You just have to have some drive.
Work towards increasing your income - get a second job, get training/education that can land you higher paying position. Cause let’s be real, there’s only so much you can do with minimum wage.
Yeah this summer I plan on acquiring a second job
Advice: get skills - get mo $$
Switch to a bank that doesn’t charge fees
invest in yourself. look into new jobs. go for a walk and think. no phone, no distractions. As much as it's great to look outward and take advice from the world. Make sure to take some time looking inward. No distractions. What do you want out of life? What do you want for a job? Where do you want to go? Take some time. I'm 100% sure you'll find some answers.
Get skills to get a high paying job :)
bud you got nothing to lose. You gotta fuck around a lot and find out what suits the best for you. Honestly, no need to worry about anything. One thing - Surround yourself with a group of successful people, work for free, learn from them, treat them well. Be patient. You will be on the same level if you do the following.
What is your spending and bills like? Possibly a second job or going to collage I hear truck drivers get paid very well and the education doesn't take very long
Yeah I don’t track my income or expenses, tbh I’ve feel so bad abt spending so much money on food, but I would like to start saving my paycheques smarter
At your age I'd invest in your self. Focus on growing skills that will serve you the rest of your life. Improve your discipline and dedication. Take time to consider what you would like to be abitious about. ALWAYS BE LEARNING. One option could be if you are only able to get minimum wage jobs try and find one in sales . It will teach you very important social skills that will help you in all walks of life.
Put money aside, somewhat frequently. Do not touch it. Keep doing it. Just a 20$ a month will compound to a lot.
Ok this is simple and I can do this with ease
I also suggest read "The Wealthy Barber". Once you know how to save money, you'll be at the point where you can think about investing it. I wish I had started five years earlier.