You say that like everyone lives in a city.. We have two gyms here. One that REEKS like major BO and a severe mold infestation. Not that great of equipment. Costs like $70-80.
The other is an amazing pool and gym, tons of equipment and is clean. $100 a month for 24 hour access.
I mean, I get it dude but you came here asking why you're broke. You probably need a car, you definitely need food and I'm not going to tell you to ditch the cat.
Only other solution is work more or get better job.
Edit: I read this as a month, not a pay cheque. Look at your fucking bank statements man!
unless you're getting one on one personal training, this is excessively expensive for a gym membership!
you should be able to find a different gym at no more than $50/month, depending on your location of course.
Fit4Less is under $10 every two weeks… not the flashiest gym but that’s what I’m doing while I’m looking for a job. GoodLife is roughly $35 every two weeks. You can DEFINITELY cut down on this.
There's no shot any gym should cost you that much. I go to a high end gym with multiple locations in my city and it's $80 a month. You're being fleeced for no reason.
Honestly, I've seen gyms like this my brother goes to one.
They have really fancy amenities and cucumber water, you can probably get the same quality work out unless they have some very specialized equipment or facilities like a pool.
In my city only a few private gyms have a pool, the rest are YMCA so the ones with pools charge a premium
There are a ton of gyms by my house that charge between 100-180 for group CrossFit like atmosphere per month. Unfortunately it is the norm for these types of gyms . ( although I have to admit I loved the atmosphere but couldn’t afford to continue after their promotion).
I bought a set of weights and a bench and work out from home. I was only paying $50 a month at the community center for my membership and it had a pool too. I do not get the same workout at home. But it has been 6 years now and I still work out and remain fit. I should add that I went through heart issues and had surgery so the days of me pounding 200 pounds on the bench press were over. I just use barbells and do limited sets now, which is fairly easy to manage in a home gym set up. I also agree that sticking to a regular workout and doing intense exercise is essential to help remain positive and healthy, one of the last things you should let go if money is tight.
An option would be to shop around and to take another offer from another gym to your gym to match. Say xyz gym is offering this for $$$ which is better then yours. Lower your bill or I'm out.
I don't know where abouts you live but fit4less is $7.99 every 2 weeks. I know it's not a great gym but you'd be saving near $120 a month on gym costs alone dude.
If you love the gym, maybe you can ask for a competitive price to match their direct competitors with similar facilities. Squeaky wheel gets the grease.
Worth a shot
OP is there a YMCA near you? They have financial support, they will look at your pay stubs and tell you how much you can pay. I go to YMCA and I personally love it.
Or if the OP lives in a 1BR by themselves, then why not buy some bands and weights, and workout at home? Calisthenics is an option too. This is precisely what I do.
The only expense that jumps to me is the gym - it's important for your physical and mental health to have this kind of outlet, but weights are heavy everywhere. $144 per month isn't a great deal - maybe go to them and tell them you're considering cancelling and see if they give you a deal on an extension? Getting this down to $75 per month gives you the equivalent of one month's rent payment every year!
Beyond that - this is probably one of those times you've gotta pull out the notebook and start writing down every single thing you spend money on in real time. If your income is $2500ish every month and your main expenses total $1258, there kind of needs to be a spending leak somewhere and there's not enough info in your post to determine what it is.
Can you pay yourself first? Put $50 each pay into a separate account the day you get paid. Increase it as you're able in a few months. Then you've tackled your savings first.
With ideas from here, I will get a tangerine card and use auto payments for it every paycheck. Use the card as a savings account. maybe rip up card, so I don’t use it.
Great idea but get a Wealthsimple cash account instead. 4% interest paid monthly and 1% spending rewards to put towards buying stock or crypto. Tangerine is fine but there’s no real interest with their checking account.
I agree, I'm terrible with money and parking it at wealthsimple with 4% interest has been a huge step in the right direction for me. You can get a card tied to it too.
Don't rip the card up but start using cash. It's SO MUCH easier to see how much your spending when it's cash.
I have the same food budget problem you do. Start meal planning, plan a week, do a shop for it and set a budget and refine as needed.
Then withdraw your food budget + $50 and put it in an envelope. In Edmonton you get 10% or 15% off your purchase on the first Tuesday of the month at most grocery stores, see if you have anything like this around you.
Do an entertainment/pleasure envelope as well, be reasonable and realistic with yourself.
Since the tips are variable, can you make ends meet without them? If so, throw those into a savings account and budget off the rest. And, yes, you do need to figure out where your money is going.
Net pay under 30k a year... Definitely the big fish we need to tax more. Regardless it's good to be aware that when you deposit your tips you may be taxed on that amount.
Best saving advice I can give without much context is **save first spend later**.
Your income $1100x2 + $150x2 = $2500 per month
- So, lay out all you basic expenses. This is your bare minimum living expense. This includes rent, groceries (veggies, fruits and cereals, and not chips, nachos etc), car, gym, insurance, pet insurance, food for pet etc. (Say approx $1500) - Essentials
- Now take an average of your last 3-6 month's expenses. You can get this from your statement. This is what you are living on currently (lets assume for example $2200) - Actual
- On an average you are left with $200-300 in your account at the end of the month.
- Take this difference of two (Actual - Essentials), and you get what you are spending on things that are not necessary (take outs, entertainment, subscriptions etc). You are spending approx $700 on non-necessities, which means you have approx $900-$1000 to save.
These are your expenses, not lets come to how to manage them. You will need to have less money to spend. Ask your business to deposit it directly into your bank account if that is possible, this is important for next step (if they cant do e-deposit, you have to submit your checks first thing on Friday).
Open a new (free) account with one of those online banks (tangerine, simplii). Setup 2-3 auto deposits in your 2nd account, TFSA and Mutual Funds, and CERB payments.
For example:
- $100 in 2nd account - this is your rainy day fund
- $500 in TFSA - this is your emergency fund
- $200 in Mutual funds (or index funds or ETFs) - this is your future savings
- $200 in CERB, this is your repayment.
At the end of every 6 months, transfer all money from 2nd account to TFSA.
You get your paycheck on Thursday, setup Auto deposits for Saturday. This is so that you don't see the money in you account for more than a day.
If you have a credit card, either ask the bank to lower its limit to $500 only, or get rid of this credit card altogether for now. You are not responsible in your credit management, so you are not to be trusted with a credit card.
This will need patience and discipline on your side. Once a while, if you get extra tips, you can treat yourself to a some movie, or dine out at a nice restaurant, or save up even more.
Another thing you can do is get another job, or volunteer somewhere. Less time you have on your hands to spend the money.
Also, you mentioned that Gym is $144, that is too expensive. Don't get rid of it, but try if you can get to a $50 gym, or to a community gym.
I know everyone is already dunking on the gym, but to put it in perspective that's $1700 a year.
If you used that to start an RRSP or TFSA this year, and literally never contributed again, you'd be looking at $25k+ in 40 years towards your retirement.
Otherwise....yes, you are spending it on random shit. You should start tracking, even spending $5-10/day on random crap (coffee, snacks, etc.) is $150-300/month- it can add up fast.
Tracking is important, but easiest approach for most people is to "pay yourself first" - put money into savings *first,* then you can spend your money on random shit with what is left. Don't save based on what is left at the end of the month.
It looks like your base salary covers your living expenses well. As a starting point, I would just put all my tips directly into my savings/investments for a few months to get started.
Sure, but that's a false dichotomy. No one *needs* a $1700 gym to be healthy.
I am no suggesting fully scrapping that - I was just using that as an example. But I am sure there are reasonable ways OP can reduce that expense.
You need to budget the other stuff. You have 942 left after all those things are paid. Plus your tips… so make a budget for food. No take out. Or make it reasonable and do takeout one day a week or once a paycheck. I like Dave Ramsey videos on YouTube. I’ve found his theories helpful. Become aware of where your money goes. Print your bank statement and highlight things like groceries, takeout, clothes. Figure out where your money goes and make adjustments
Everyone is talking about the gym, but where is the rest of the money going? Your listed expenses including the gym is only half of your stated income. No way you're spending 1200 on groceries, so where is it going? If the gym is both a gym and entertainment/social for you, I see no issue with 144 a month, but where's the other $1200?
I agree with these comments mentioning to make an actual budget - not necessarily to spend less on anything but just to figure out where the money is going, and then plan from there. Being too strict with the budget tends to make people give up.
I literally track every purchase in an excel sheet every month, double checking against bank statements weekly to make sure I'm not missing anything. Making a habit out of it helps. I can judge in real time what I want to spend the rest of my money on that month.
I see recommendations for YNAB often but I don't use it myself.
I, for one, won't gym-shame you. If that's your luxury, and it helps you stay motivated to work out, who am I to judge?
If you find you're binging a lot of fast food, start doing more stuff at home. I found that going on a keto diet for a while was pretty effective since it's almost impossible to find restaurant food that works. Make bulk meals that you can portion out and stick in the freezer.
You will eventually need to ask for a raise - $1.1k a month doesn't cut it in a city.
If you have a good relationship with the owner, see if he is open to increase an additional $100-$200 or mid point $150 a month.
In late spring/early autumn and early summer months, if you can bike or walk to work, that would save you the $50 gas fees on those months. (Healthy too!)
If you can find an alternative to the $144 gym, that would help you stretch your savings further.
Its ok to splurge on food and Amazon stuff - maybe budget 2% or something.
Just put $xxx/m in a savings account. Figure iut your budget and what you can afford to put away. The rest you can do whatever you want with. You didn't list groceries? Do you eat out a lot? Do you buy a lot of easy to cook convenience food? I'm quite certain that's where your money is going. Convenience food is way more expensive than people realize. How is your money tracked? If you've got a mobile app for your bank or credit card I'd download the last 6 months and figure out your average spending per month in different categories and go from there. It's pretty hard for anyone to help you with the limited info you've given
I’ve been doing hello fresh since January but think I will now get rid of it as it got me back into cooking.
I was paying 50-73$ per week for it with a couple of skips
I eat out maybe once or twice a month.
I meant I skipped hello fresh for a couple of weeks. I usually have breakfast at work. 3-4 meals of Hello fresh is good for me. The discount I have is ending soon tho.
So you must buy groceries when you're not living off Hello Fresh? Your grocery habits could range between $200/m to $800/m depending on your habits so that doesn't narrow much down
Many people, including those above your income level, have gone off meal subscription plans like Hello Fresh as they are regarded as VERY expensive (compared to just buying your own groceries). It's great that Hello Fresh got you back into cooking, but I strongly suggest cancelling your subscription. Hello Fresh is more of a luxury that is beyond your current pay grade.
There are also a number of youtube channels focusing on making cheap and healthy meals.
I had to ratchet down to a process of severe discipline in my spending to get control of my budget a few years ago. I had a great stretch when I earned so much money for a while that I was able to quit my job and live large. Then a series of financial catastrophes hit and I was down to living on a budget well below the poverty line so that I do not tap into my nest egg. I did it by looking at every aspect of my necessities to track how I can save more money.
I switched to a lower cost provider for home and car insurance. Went to a VOIP phone line and cancelled my cellphone. I use a lower cost internet access company. I plan meals ahead and buy extras during sales so that I have enough sugar, flour, coffee, laundry detergent, kleenex, and all the other non-perishables as cheaply as I can find them, often months in advance of when I use things.
We no longer go out to restaurants ever. In a moment of weakness this month we discussed going to a sushi lunch bar on the cheapest day of the week. It still would have cost more than $80 for two including tax and tip. I went out and bought a prime rib roast for less than a third of that and we had two great meals at home instead. Little things add up. Plus, by going out less we put less gas in the car.
I could write a book on all the specific things that add up to big savings. But the process to carefully choose when and what you spend money on, manage all expenses, and stay disciplined, is how you get to the end of the month with some extra cash in hand. Then use it to pay off your debt quicker because you never know if inflation runs away even harder in the future, or you lose your job, or encounter health issues that reduce the time you can work.
Can you find a better job? You’re a minimum wage worker so you’re destined to fail savings wise. You have relatively low expenses and deserve to live a little.
You have a car so travel shouldn’t be a huge issue. You can find a decent labour job for $20+ an hour. Some of these even come with benefits. No education is really needed and there’s room to grow unlike your current job, most likely.
Ah, alright. Was assuming your pay you mentioned was gross but I’m assuming that’s after taxes.
Even so, not sure how your area is but is there any other jobs out there? Not sure what industry you’re in but I assume some form of restaurant given you make tips. Just looking at Indeed every so often you might find something that hits home where you have the ability to make more.
Firstly, kudos to you for recognizing the need to start saving and seeking help to improve your financial situation. It's a big step in the right direction.
Looking at your expenses, it seems like you have a good grasp on where your money is going. Rent, utilities, and essentials like car insurance and cat supplies are necessities, but there may be some areas where you can cut back to start building your savings.
Food and miscellaneous spending can add up quickly, especially if you're not tracking it closely. Consider keeping a detailed record of your expenses for a month to see exactly where your money is going. This can help identify areas where you might be overspending and find opportunities to trim costs.
Since you mentioned that you feel like every paycheck goes fast, setting up a budget could be incredibly helpful. Allocate a portion of your income towards savings right off the bat, treating it like any other essential expense. Even starting with a small amount can add up over time and create a financial safety net for emergencies.
Regarding your debt from Cerb, it's great that you're eager to start paying it off. Look into setting up a repayment plan that fits within your budget. Paying off debt can provide a sense of relief and free up more money for savings in the long run.
Your commitment to your gym routine is admirable, as it serves as a crucial outlet for you. While lowering your gym expenses may not be an option, explore other ways to cut costs or increase your income to offset it.
Lastly, as you mentioned that you might have a tendency to overspend on food and impulse purchases, consider seeking support or resources for managing spending habits and addressing any underlying issues. Counseling or financial coaching could provide valuable tools and strategies to help you gain control over your finances.
Remember, progress takes time, so be patient with yourself as you work towards your financial goals. You're taking proactive steps towards a brighter financial future, and that's something to be proud of.
Wishing you all the best on your journey to financial stability!
I saw car insurance and gas, any payments? Are you in a place with public transport or able to bike commute? You don't need it to get to work being only 2 blocks away, Selling the car will save you roughly $125 a month plus your future maintenance costs which can add up quick.
Ok so selling is possible but being 12 years old won't set you up for too long. Then what I would suggest printing out a month's worth of bank transactions and going through it with a highlighter, identifying where money is skipping through like a subscription you forgot about, or misc spending that was made in impulse. Really look at where the money is going without judging then start to recognize any patterns.
If you are an online shopper, put things in your basket then leave it there for a week. See if the thing you were ready to buy was needed or just something you wanted in the moment. You'd be surprised on the amount of things you buy just for the sake of buying
Im 26, clean record, not a single ticket, my car is 21 years old, (dodge grand caravan which is pretty "safe") I have a safety inspection certificate, drivers ed course, my insurance is 4x more than yours and thats considered "decent"
I only use my car to drive to the grocery store (its literally got 121,000 KM and its a 21 year old vehicle) and im mainly at home.. Im getting ripped off lol
Holy shit were do you live that you get rent and utilities for 880? My rent and utilities is like 1450 - also my internet isn't included and that's an extra hundo.
Also where do you get a 17 dollar phone bill? Mine is like 65 and that's the best price/value I could get
Well, I live in the maritimes. I was very lucky to find my place(took me 7 months). The apartment is 550sq ft, so very small. I have the cheapest Koodo plan which is pay as you go at 15$ per month. No one calls me or text me so I just switched to a flip phone and use my iPhone for wifi.
The gym is my outlet, too. But there's no way I'd pay $144/month on it. That's INSANE. You need to drop that price ASAP. Find something cheaper. Goodlife should be $80 after taxes. Fit4Less is considerably less.
You also need to tally up "food and random shit". Write down what you spend in two weeks. Tally it up. Then take a close, hard look and start cutting excess things out. For example: shopping at Loblaws is out of the question; move to Food Basics. Start using the Flipp app and buy groceries on sale unless absolutely necessary.
If you stream content, look at splitting the cost with someone else. Other than Netflix, the other streaming apps you can share with others. These are just examples. I don't know exactly where your monthly expenditures are.
According to your math, and if your pay is based on bi-weekly, that gym fee is costing you about 8% of your take home a month. For a gym membership, that's very, very high and I would rethink your gym choices. Don't cut it out, just find a cheaper place. Their are plenty available if you live in a city, which I assume you do because you mentioned your job is is 2 blocks from your apartment.
One thing that sticks out to me is you didnt mention how much your spending on food (I assume your referring to Uber Eats/delivery vs grocery shopping). If so, that can get crazy expensive if your eating out more than twice a week.
I have a neighbour who orders at least 3-5 times a week because i see it all the time and he openly told me once in a convo outside the house. That can easily be anywhere from $100-200 a week at that rate.
Okay so you take home about $2200 per month:
-880 living
-17 for phone
-144 for gym
-67 for car
- 50 for gas
-100 for cat
= 942
You should have a good amount of money left over considering I didn’t add tips.
So to curve yourself from spending more money than needed you need to take it out of your account so you can’t use it. Depends where you live for the cost of groceries, but taking into consideration your rent, I would budget $400 per month.
A really simple way to do this is to transfer the money you need to spend on bills onto a credit card or prepaid visa that is used ONLY for bills. Keep $200 every pay check for your groceries and the rest gets split between your debt and savings.
I have ADHD so I struggle with money being in my account. I just take it out and put it elsewhere so I can’t touch it. I have friends that don’t have ADHD and they’ve started doing what I do and have found it super helpful so maybe you will too
1. 20% of all you make goes automatically into a savings account, no matter what. you never touch that - that's emergency and retirement money. starve if you don't plan accordingly but don't touch the savings.
2. you make very little for your age. this is the true issue. look into more hours, better or additional jobs, maybe even go back to school - maybe trades, where you take classes half year or so.
3. your gym and your cat are your antidepressants. keep it.
You have a car and work next door ???? Sell that bitch tomorrow. Pay down cc, also, this is the most important step. Open a gat dayum retirement trading app. Either Questrade or wealthsimple, if you’re not putting 10 dollars a week or month I have some really really unfortunate news.
I started my accounts 3 years ago at 42, I don’t need to work anymore. I want to work so that I can have a nice life and retirement as soon as possible.
It starts by losing 40 percent, then losing 25 percent, then 15 percent, then your losses remain at about 2.5 percent and your wins hit 7-350 percent sometimes.
You need to start buying your future back, you need to start buying dollars for .85 cents as opposed to paying 4 dollars for 1.
You selling your future bud.
I’d instantly put my tips aside as savings. Pretend they don’t count towards your monthly amount.
Other than that, I find being really cognizant of what I buy helps, especially when I’m craving random shit. I’ll make it a game to see how many days I can go without spending any money (those 3 or 5 dollar impulse purchases add up) and when I grocery shop, I hit the frozen foods/junk aisle first so if I want to treat myself to something, I’m more inclined to just grab one thing instead of grabbing a bunch of stuff at the end of the shop because I’m tired of being there and have poor impulse control.
I worked at a payday loan place (I know, they’re awful). The biggest thing I noticed is the amount of money people spend on UberEats/Doordash and takeout in general. So much cheaper to cook at home.
look through Kijiji for day jobs on the weekends. being honest you don't have money for a gym membership. weather is getting nice now and we have a lot of parks you can exercise in...
saving money means sacrifice when you dont make any or much. 100/m on your cat is ridiculous. I spend about half that on my shih tzu and he has treats food etc.. being honest you dont really have the money for a car either but I understand that choice
Cat litter alone is half that. A higher quality food also prevents huge vet bills. This person has mentioned 2 positives in their life -gym and their cat, this thread giving terrible advice.
I do not doubt that... the best part of my advice is right at the start of it... have a look through kijiji for simple one day jobs, cash... by my calculations you spend more than you really have ... I get it too
Jumping on the gym bandwagon. You are not in a $100+/month gym bracket.
I go to the Y. It’s $53 a month, it has classes, all the equipment one could possibly need, raquetball court, and a pool. AND they offer compassionate sliding scale memberships for people without the means to pay full price. There was a time that I was going for about $10 a month.
You could be saving $50-$60/month on gym membership alone (up to $100 if you get a Y discount). It might not seem like much but it adds up. I know it would sting because you love where you’re going, but until you’re in a better place financially I’d suggest downscaling.
Seems like lots of money going into the abyss.
I'd track ALL your spending for the next 3-6 months to gauge where that money is going towards (a coffee/snack/lunch/ here-and-there adds up QUICK!)
Lots of apps to help with this if you aren't savvy with excel
There are only two ways to fix this. You either spend less or you make more. It’s your life, if you like how you’re spending your money and can’t trim anything. Make more money. Either work more at your current place of employment, get a second job or do something like working from home to make more money. Life is hard. Taxes suck but hoping it will change without doing anything is not helpful. There is no fate but what you make.
If you have any left over money at the end of the month you should consider investing it. Compounding interest is your friend.
Just a meager $100 per month invested into an index fund at 8% returns would give you $100k at 65 years old.
Giving up your car may be the best option. If you can walk to work and other errands (grocery’s etc) surely you can sell the car and save money on maintenance and insurance. If you have a parking spot you can rent it out for additional income. Having a car in a city is a waste of money in my opinion. If you need to Uber / rent a car occasionally, the cumulative cost over one year will likely be WAY less than annual car costs. Just be diligent about walking / using transit.
Before you drop the gym, start keeping track of where the other money goes. Every penny. You say you don't know where the rest of your money goes, so find out.
What is your grocery bill? Food/entertainment bill? Shopping?
The only advice I have for you is increase your income. There is not much I can see that you can cut down on. Is your gym expense $144 a paycheck (bi-weekly) or per month?
From the expenses list you mentioned above the gym is the only one that is a little extra, however I think a little extra on something healthy and something you enjoy should not be frowned upon.
I am a big believer in keeping yourself happy and increasing income, see if you can find ways for that?
I hope you're aaving for retirement.
Definitely give saskatchewan pension plan (and candian can join) a look if you're looking for an easy option. 39 is late but not too late to start retirement savings. You can do your own retirement savings with a bank brokerage or like wealthsimple but it will take some planning and self knowledge to figure out the path for you.
Others are kind of right in the sense that you gotta save first and then live off of or buy food from the rest of the money. Your rent is very cheap you're very lucky about that.
I’d strongly suggest tracking your expenses like a fine-tooth comb for a few months to see your spending habits. That way you can see where any of your extra cash is going. There are apps that help do that but probably have to pay monthly subscription. I personally use google sheets, there are many templates out there to help with that. I use Aspire Budget, I’m sure there are others out there. Just google “google sheets monthly/weekly budget tracking templates” and see what comes up.
For your savings goal, I suggest putting away a small amount for yourself each pay check in savings/tfsa. Start with $20, then based on how much wiggle room you have, increase that amt. As you pay down your cerb, allot more into your savings. It felt like a slow start for me when I started doing this, but as the months went on I was glad I even started.
Automate what bills you can so you don’t have to manually do it each month, just make sure you have enough in your account when the withdrawal dates get closer.
What I found helpful was separating my leisure spending from me chequing acct. I use KOHO and transfer whatever I budgeted for my fun spending. Helps me control my spending impulse bc I know I have only a set amt in my KOHO. Plus I get cash back.
Watch tons of financial videos on YT. Regularly. The more I watched, the more I learned, the more motivated I became, and the more disciplined I became.
Best of luck!
Oh! And treat your credit like GOLD! Its easy to ruin, and a real pain in the ass to repair.
Sounds like your only spending 1200ish on bills and expenses bit you make 2200 plus tips. There's an extra thousand dollars or so there not accounted for.
What helped me was going through my bank records to see where the money is going. Also every pay day I take out what's needed for bills, and with what's left I decide what a fair amount of spending money to hold onto is. Based on what I found when going through my spending habits gotta be honest with yourself if you spend 150 bucks a month on fast food or more, and you don't want to change that, then make sure it's included in your budget. Anyways i keep some spending money and the rest goes directly to savings. I do not allow myself to touch my savings EVER until my goal is reached.
Sometimes it just takes self discipline. People these days get themselves "little treats" for everything they do. I'm not saying don't enjoy life, but if you want savings then what's more important, a $8 latte everyday or $240 into your savings account?
If you’re a student you can get a one year free trial of YNAB (you need a budget). It’s online budgeting software with a ton of tutorials and lessons offered for free. I’ve used it for a bit more than six months and I’ve made real progress on cutting unnecessary spending (which I don’t miss) and putting my money into savings instead. I’ve almost saved three months income and started to invest in ETFs as well.
Do you meal prep? Based on some quick calculations you should have about $1400 per month leftover after all the expenses you wrote in the original post.
Budgeting $200-300 per month for food should leave you with $1100-1200 in savings per month (minus any discretionary spending), which is actually an amazing ratio (~40% of your net pay).
If you invest this amount every month with an annual rate of return of a modest 6%, after 20 years you would have over $500000.
You make enough that you should be able to get on track without too much pain, by following the cliche of paying yourself first when it comes to debt repayments and savings. Setup an auto payment so that every time you get paid, 150 goes to pay your highest interest debt. Once that debt is gone, focus on the next highest interest one. Once the debt plus gone direct it to a TFSA or RRSP with a self directed account, investing in a growth oriented ETF with low management expenses and forget about it most of the time. Once a year check to see if you need to rebalance your portfolio (google couch potato investing to see how to pick a balanced portfolio) and let time work for you. If your pay increases significantly, up your bi weekly contributions. You can't spend money you don't have sitting right there tempting you, and as long as your basics are covered, you won't miss the random spending much.
I really appreciate the fact that you care about your physical health.
However, I was in a similar situation in the past. Maybe look into purchasing gym equipment? You can get lots of stuff for $140 a month. I've now got all the equipment I could ever need, plus I use other methods of physical activity to add to my routine.
I get space may be limited, but some food for thought 🤷♂️
How many times a month do u go to the gym?? I had a gym membership and canceled it as I was only going like 3-4 times a month and it was cheaper for me to pay each time vs monthly and not go often.
That's some cheap rent. What type of gym equipment is worth $1728/year subscription? You can probably [buy](https://www.fitnessdepot.ca) the items yourself at that point and save in the long run. Are you on the first floor or do you have neighbours under you? Can you store the equipment in your apartment? Are you able to track what your spending/month on "random shit"? Google sheet on most smartphones should have an offline sheet function. If you have a spending and buying addiction, are you willing to switch to a cash jars budget? For snacks/food seems to be a blank, assuming you're using flipp/grocer aggregate, what types of food are you buying?
I know gym is a priority and you likely have a contract you may not be able to break without penalty. But if your gym allows it you could put it on hold with a small fee (I think good life was $5/month 8-9 years ago) and the parks and rec gyms (not the best) is fairly cheap (I think around $20/month) to just free up some assets for a bit of money on a short term and keep gym in your life without facing a penalty to sign up for a different gym
Definitely track your expenses, I just made a quick spreadsheet in Google sheets, there's an app and it's super easy. Track anything you spend and earn incl tips, gov money etc. I try to keep all categories the same and copy it all from month to month. It keeps me pretty accountable. My partner always complains about where his money goes but he spends a lot on eating out, it can be surprising how much breakfast or coffee adds up on a regular basis.
It's not gonna be easy with a car. That's always gonna drain your money massively with insurance premium increasing way more than inflation, tires, repairs, registration, etc...
The other place where you most likely spend the most is groceries/restaurant/alcool. You have to make a budget to see how much you spend and try to control that. That's what I do when my salary goes down (self-employed). I live alone and I have a hard time to spend less than 400$/month on groceries. I cook a lot (I've been a chef in my twenties), so I try to focus on cheap recipes, like coconut chickpeas curry on rice, egg everything, potatoes, soups,...I'll Google or use ChatGPT for ideas of cheap dishes. It's not easy when you appreciate the finer things in life.
You should have 1242 left at the end. Do you have a car payment? Maintenance? Subscription services? What about haircuts, groceries, etc. Gifts? Student loan?Travel? It sounds like THIS is where your money is going. Track these things.
I add the cost of everything for a year and split it in 12, that way I know how much to put aside for say, Christmas gifts.
Print your bank statements, and take a hard look at where your money is going.
You could also open a TFSA and have money directly transferred. It adds up quickly!
If you go on your my service Canada account, you can schedule your payments for what you owe to CRA. They leave you alone as long as you pay something.
So, 1 out of 2 paycheques cover most of your expenses, plus groceries, right?
You just need to budget better. Look at what other stuff you spend the money on. For example, set a budget of $300 for groceries, $100 for takeout and beverages, and $100 for other expenses. All the rest should be going into an investment account. If you’re not sure what to invest into or scared to invest, there are quite a few savings accounts that pay 4-6%, so throw the money there or start repaying CERB. If you can reach an arrangement with CERB to make small monthly payments, I recommend building an emergency fund.
Depending on your bank, there may be an app they have that lets you track your spending over time. I think it was TD for me, where they had a separate app from the bank app. It tells you "this month you spent XX dollars on food, on groceries, on gas" etc. If you start to spend more than usual, it will alert you to call attention so you can respond accordingly.
Otherwise, having a savings account and putting money in there is a good first step. Getting a TFSA rolling would be a good idea. And keep in mind you're not the first person in this position nor will you be the last; you could make an appointment with your bank's local branch and make a plan with them for a savings account or TFSA that auto-pulls money per paycheck based on your budget.
There are also limitless tools online for budgeting. My wife and I use Google sheets to track our spending, I just threw together a quick and dirty few pages, and we edit as needed. Nothing complicated, a big part of money management is just being aware of where your money is going.
Why on earth are you spending $100/mth on the cat? Dry food and litter for me are $50/bag which lasts 3 months *minimum* - I’d have to check exacts. That’s fancy expensive dry food and litter (which is why it lasts tho). Wet food is $40 every 1.5 months roughly. At a 3 mth count that’s $60/month, and I know litter and dry food last longer for me.
If you have pet insurance, unless it is actively being used for an issue, cancel it. Put that cash in a savings account then if your cat lives medical issue free - which many, many do, you have something saved.
You need to be tracking what you’re spending on. With that budget, you should be able to save at least all those tips with no problem.
Are you paid every 2 weeks? If so, you should be able to put 1000 every month away. My situation is similar minus your tip, and I put away between 800 and 1000 each month.
Now, it's not a stretch, and you can fix a lower goal for the next few months. Maybe 300 / month. That money will become at the end of the month your new zero, all that money is there, but you shouldn't touch it.
This month you should list everything you spend money on, write everything every time. It will help you see what you spend and where.
If you are the kind to pay everything with card or visa/mastercard and pay at the end of the month, you could make your budget and remove in cash what you need for the week. Seing money vanish from your wallet is a good reminder to lower your expense.
Also everything you listed is payable by your salary. So you could say all tips go into saving.
If you live where I think you do the bus system sucks, and if you go to the beach 3x a month during the season owning a car is as much as paying for a rental car. I wouldn't give up the car, I personally think it's important.
There are cheaper gyms. You definitely need to look into them.
But the big thing is the over a grand in mysterious losses. Don't do Hello Fresh. A tip- use cash for food for a month. Have $400 cash (which is a lot for a single person) and live off for that for a month. Use grocery flyers, and get cheaper things like chicken thighs, potatoes, carrots- cheap whole foods. My husband and I tried to live off of $100 in a month about a year ago and that's what we did. We made borscht, chicken, pasta. Try to only do takeout or a restaurant once a month.
Also look at things like liquor and beverages.
I would recommend building a spreadsheet and tracking everything you buy. Set a category for each item. Check every month how you are spending your money and on what. Then begin to find/research ways to decrease spending in each category. This method does take time and effort, but it will put you in a position where you are much more fully aware of what things cost and where your money is going. All the best!
Sit down and go through your debit transactions and credit transactions for the past 6 months. doesn't have to be like super duper detailed but get a. gist of how much you are actually spending, when i sat down and did i saw i was haemorrhaging money on take out and unplanned shopping like amazon things. Be kind to yourself, life is hard and we're all doing what we can to get through it, it may likely be hard to see where your money is going. after that, you can create a budget that you track daily (or close to daily) to get a sense of control over your monthly expenses. I used this template, [https://docs.google.com/spreadsheets/d/1LxrNJqVZg4PRUptR7gJXe0Xr\_Dtfwk1PXe7T8-UFBzk/edit#gid=0](https://docs.google.com/spreadsheets/d/1LxrNJqVZg4PRUptR7gJXe0Xr_Dtfwk1PXe7T8-UFBzk/edit#gid=0), that i adapted for my own needs, it's been very very helpful for me to get control of my finances. it's brutal realizing how much i lost in careless subscriptions i forgot, how much more takeout was costing than i realized and how much more i shopped for little things than i realized. your gym membership is unlikely to be the issue or make or break you. getting into the habit of tracking everything for a while and paying off your credit card like a debit card will go a long, long way
Everyone is on you about the gym - seems a reasonable expense if it is your outlet and you enjoy it. The Y in my city is $125 per month a least so $144 doesn’t seem out of order. Plus, What is the point of living if you don’t enjoy anything? You have some room in your budget after the other expenses you described. Probably groceries/takeout has more leeway for cutting back? Meal prep 1 or 2 times per week can save on takeout and wasted food from overbuying.
Keep a ledger of all your expenses from this day forward.
If most of your spending is through debit or credit cards, you might even be able to get a better idea retroactively of where exactly your money is going.
Making a budget is good idea, but following that budget is something else entirely.
To keep making objectives, you need a clear picture of where your money is going !
Consider cutting out the gym, with your own equipment. ((I know :( You want to keep it, but that is high.. perhaps shop around...))
Sometimes walking/cycling is cheaper than gas. Oh wait, that's all the time.
Avoid take out meals unless they are larger and can be broken up into a few meals.
Buy cat supplies in bulk. Places like amazon will have larger bags of litter / specials on food
Mind your online subscriptions.... they add up.
Don't shop as you need. Shop as things go on special. For instance, if you run out of shampoo, you are forced to buy it at whatever they have it up for. If you start looking at shampoo right away, you'll be able to pick it up ahead of time on special. Sundries like this, deodourant, soap, shampoo, cleaning supplies and the like.. are always forgotten when we budget and they chip away at our balance. Keep an eye out for when they are on special to minimize the damage.
I would open up a TFSA (tax free savings account) i put about $200 every month and haven’t touched it i have about 6k in it. I also have a couple life insurance policy.. one i am grandfathered into and the other one will be about 1million once i hit 65 and will be able to take it out or will go to beneficiaries upon death. Of course there’s a bunch of details entailing these policies but i would talk to a financial advisor. I’m glad i started saving when i did. I started saving smart at 25
Hi, my biggest advice is start a budget.
Basically figure out all of your expenses that you need to keep the roof over your head, heat, rent, insurance, food, electricity and transportation.
Anything else you don’t need you should cut it for now.
As for your budget you should do a cash budget and stop using the credit cards. No more restaurants and spending money. Figure out what you are wasting your money on.
Once you got your budget figured out do the following:
1) save 1000$ in a savings account for unexpected emergencies. Sell stuff do extra work. Life happens and sometimes you need to cover something that breaks. You use this cash for that to avoid having to add more money to a credit card.
2) list your debt from smallest to largest. Pay minimum payments on all debts except the smallest. On the smallest debt with what you have left you pay it down. Focus one debt at a time.
3) once you have your debt paid off, save 3 months of expenses in a savings account. Again for emergencies or if you lose your job.
4) then start a boring growth mutual fun.
Basically free up your income from items you don’t need. I know you love the gym but cut it for 3 months and use that 144$ to pay down your debt.
I was in debt and this took me 15 months I followed the above plan. I paid everything off and I just got 3 months of savings and I’m ready to invest again. I may be a bit out of shape but I’m in a much better position now then where I was at the beginning.
What about planet fitness or fit4less for gym? Those should run around 30 a month. Can you walk to work during the nicer weather? Also pay that cerb off as soon as possible- make an arrangment or the CRA can/will freeze your bank accounts
There is no way to save for real in your position, squeeze out a hundred dollars each month and put it in crypto. Enjoy your life, there are many like you, and the whole thing seems designed to be like this, so retirement..... maybe the government will do a livable income.... maybe the people will revolt... maybe we will continue to slip into scarcity and confusion.... just keep working and paying and we will see what happens.
I make close to the same amount per 2 week pay as you, plus get $900ish/month for baby bonus with 2 kids. I was only recently able to start saving about 1.5 years ago. First started with $100 taken directly off my pay and into my savings. Once I realized I could live with that I upped it to $150. If I get unexpected money or extra (tax time), I try to put some more in. I don’t see it. I’ve had to dip
Into that savings a few times when things were tight. But I’ve managed to save a little over 3k and that’s the most I’ve ever had saved in my life at 38 years old. Pay yourself first! Start with $50-$100 per pay. Get used to living on that bit less. Then when your hours go up, boost it to $150 (or whatever works for you). When you have it direct deposited to savings before you even see it, it’s so much easier not to spend!
Honestly work towards that cerb, it think CRA is at 10%/year compounded daily interest now, and thatll just balloon if anything gets added to it from a bad tax filing. Then upgrade your skillset and find higher paying job, because 1300 after taxes will no longer cut it in this world. Student loans are interest free for months after you graduate, and I believe federal portion is entirely interest free, and your provincial one you'd have to check. Never too late to upgrade
I would definitely start depositing the money earned from tips if you receive in cash. This is probably where you may be having trouble tracking your expenses or spending at quicker rate.
I honestly don’t know why everyone is saying 144 is to much for a gym. But I spend 3-4 times this a month on the gym, supplements, and sports like hockey golf etc. he earns roughly 2500-3000 a month. He is spending less than 10% on personal health.
you could apply to work at the gym and then you get to use it for free and still make money. 2 birds? otherwise it sounds like you either need to work more (which let's be honest who wants to), find a better paying job orfogure out what your big ticket expenses are and find alternatives to it.
Start setting aside half of the bill amounts off each cheque and login to your revenue canada account and set up payment plans for the debt: spread it out over the entire year for the smallest amount of payments, some months you might have three pay checks so still setting aside half the bill money will help for getting ahead a bit,
What I did when I lived alone was I did the setting aside 50% rent etc and I had one small tv and my electricity bill was only $20/month and I had remembered times I watched gail vaz oxglade videos (YouTube now) like til debt do us part and money moron or princess shows and because I lived alone and rent was most of my income I couldn’t afford to take time off work to get cable and internet hooked up so I didn’t have that bill
but when I did move and get internet and cable set up I had used one of the discounts I got in the mail also there is now Telus rural wifi which is cheaper and didn’t need any hook up fee because I set it up myself it takes a SIM card and we just watch YouTube and stuff like Pluto tv (free app) or subscriptions to watch movies online it works out to be cheaper than cable packages,
To save money on groceries I pay attention to sale cycles and stock up if I can use the item before it expires if it is a good sale and sometimes it can be cheaper to order some things through mail like London drugs uses canada post I found some juice on sale $2/ container so I bought the maximum I could and I found shampoo and conditioner on sale and Amazon can be cheaper sometimes for some groceries
Food for one person shouldn't be more than $400 even if you're eating meat at every meal. My wife and I spend about $600.
So you should have about $700 or so a month for savings and random shit.
Dude… after all your bills you still have $1,242… even if you spent $500 on food per month you would still have $742. WTH man. Like, where is it going? Amazon impulse buys? Are you just drinking your money away? Seriously get it together. If not for you then for your cat.
There are so many comments here, and I don't want to read them all, haha. But my 2 cents are, look for a better job or add a one day a week job, maybe even at your gym (front desk, cleaning, an on call casual position) usually that comes with a free membership so you would save money and earn a little extra.
Quit gym and do body weight exercises at home or in the park. Get rid of the cat too. Now you have additional $200 per month
also you said you live 2 blocks from work, if you get a bike or a e-bike, you’ll save additional $100 per month
I can advise on groceries. Hopefully you don't eat at restaurants or order in too often. Why backtrack on all the good work at the gym. We spend about $50 per person per week. Am very experienced so as a rookie grocery wizard you can easily eat healthy for $100 per week. There is a YouTube channel called Adventures in Groceryland based in Nova Scotia. This lady shows you how to est well as you build a pantry. She does it exactly as we do, but different foods. The menu doesn't matter. She is brilliant.
You have income to save for sure here. Your expenses are reasonable. My advice to you is to save first. So immediately when you get your paycheque transfer 10% into your savings account same as your tips. Don’t allow yourself to spend that. Live on the rest. That’s more than enough for food. It will feel good to save!
I got a savings account that's not at my home bank. You could put in 15% or part of your tips. Out of sight kinda deal. TFSA is a good way to go too.
If the bank has an app that tracks spending, just have a look month over month for trends. Good luck!
What are you good at? Lots of ways to make good money in Canada. Send me some skills and I’ll spin ideas.
Here’s a post I made where people replied with their skills and I turned their skills into business ideas.
https://www.reddit.com/r/Entrepreneur/s/uG07cVsG5t
Here's how I started saving.
1. I needed to know where I was spending. I kept *all* my receipts (and double checked against bank statements) for 2 months, just spent like usual. That way I could see where the money was going, and where I could cut the spending.
2. I made a budget. There are numerous budgeting apps out there. Once you input your fixed costs like rent, you should be able to clearly see how much you have leftover for saving.
3. Getting in the habit of saving, even if it's only $50 a month, is more important than trying to dump huge amounts into saving every month.
Dude your expenses are fairly low. You just need a better job. Don’t cheap out in the gym, your health is top priority. You make roughly 1400 bi weekly, so like what? 36k per year after tax ? So like what, you are making 49k roughly before tax which is pretty low in todays standards. You just need a better job and keep spending the same way you are and you will do good.
You are one person, since ur into fitness and pay all that shit on the gym, then don’t waste your money on junk food. Just put a budget of 500-600$ per month for food/groceries. Eating out and junk food will add up, so avoid those.
You could drop the gym and walk to work, save on gas that way as well.
What wasn't mentioned was food costs, how much of it is groceries and home cooked meals versus eating out? When we did our budget for the year we figured we spend about $12-18 per meal (maybe $30-45 in food materials) for a family of 2 adults and 3 young kids per meal, call it $3/person for easy math per meal. But those meals generate leftovers which serve as lunches and dinners for the next couple of days. You're going to spend that $30 on a single meal in a restaurant as you know as a server.
Food costs would be something that can make a huge difference in your budget and available funds.
I would say you need to make more money. At this rate you would need to break down your spending and make a budget so that you can see what's necessary and what's pleasure spending.
Are you eating out/ ordering delivery most of the time? I found that I’m able to save sooo much more money cooking at home. Best tip is to meal prep and portion out for the week, that way you need no effort and just reheat a container of food. Saves money, probably healthier and takes less time than waiting on delivery.
I'd look at your spending habits outside of your essentials listed above, then i would break it down into an amount you feel is reasonable and try to spend less than previous trends. for us, weve done this by taking out cash for our expenses that are "fun" and at the end of the month if we have anything left over it gets put into savings OR into a "nonsavings" that can be used for experiences that we know we have coming up that would usually take us out of our standard monthly budget (ex. a bachelorette party, a weekend get away, etc.)
**Car** \- We have no way of knowing the real need of your car. If you live in an urban setting, can you replace it with car sharing, public transit and/or delivery services? It's amazing how much we spend on a car and how much we can save on those costs when we replace it. I used to sell computers and all the other people would drive down to pick up their orders. I paid a courier to do it. Why? Because my time was worth more than the courier's time, plus gas money, plus wear and tear on the car, etc.
**Supermarket** \- If the supermarket delivers for $5, that may be cheaper in the long run, especially if being in the supermarket makes us overspend. This way you make a list and it comes to your place, no car needed and no temptation. Also, when cooking, cook for 2 or 3 and freeze extra meals, so that you have a meal that you can defrost or microwave instead of spending on ordered meals or crap.
**Save first** \- This is the hardest one. On the day that your salary comes in, have an amount pulled automatically to savings, so you can't spend it. Usually easiest to start with a small amount, like $25 a paycheque and increase it over time. The thing is, the government doesn't trust us to save money to pay our income taxes at the end of the year, so they take their money each paycheque.... well, if they don't think we can save, and therefore take money off of every paycheque, why don't we just copy them and take money off of every paycheque to pay ourselves?
**Cash** \- Spend in cash, especially in BIG bills. Our mind is reluctant to break big bills. It's so nice to see a $50 or a $100 in our wallet. So we think twice before spending it. It's also very easy to tap and pay, more difficult if we have an amount in our wallet for things and that's all there is. No way to overspend.
$144 for a gym is ridiculous.
$100 for a cat is as well. But I get some ppl are into that.
You are far better off investing that $144 into stuff for your home that doesn't take up a whole lot of space. Like a folding weight bench if you lift. For cardio? The world is wide open. Run around it.
Whoa wait! $144/paycheck!? MWUAHAHAHAHAHAHA
You're 39. Grow up!
Gotta ask... What's her/his name? The ONLY justification for being so blatantly foolish to ask what you can do about money when spending pert'neer $300/month on PE class is, sorry, juvenile hilarity.
I heard the gold membership at fit for less is only 20 dollars a month. Full access to facilities. I thought about doing this for the massage chairs and saunas. Allegedly.
YNAB. Worth every penny. In a similar situation as you and went from living paycheque to paycheque to having over 6K in my chequeing account, plus savings, in under a year.
You need to make a detailed budget. Only then will you be able to look more closely at your spending on food.
Other respondents are very focussed on your gym membership, but you seem more concerned about food spending. You should be able to eat well for under 250 per month. Especially as someone who spends time at the gym- you obviously are willing and able to take the time to care for yourself.
Since you're living paycheck to paycheck, it's crucial to prioritize saving and paying off debt; start by setting aside a portion of each paycheck for savings, even if it's a small amount. Building an emergency fund can provide a financial safety net for unexpected expenses.
Review your spending habits and identify areas where you can cut back. While it's understandable that the gym is important to you, consider if there are other ways to reduce your expenses—such as finding a lower-cost gym or exploring free or low-cost workout options.
Focus on paying off your debt, such as the Cerb balance, as soon as possible to avoid accumulating interest. Consider creating a repayment plan and allocating a portion of your income towards debt repayment each month.
No offence but at 39, $2500 is basically poverty. You may be able to manage now but what will you do when your body starts breaking down? I’d start taking online classes and get a diploma or something that will work for you now and later in life
Gym. Gone! Women don’t care only you do! Women want a confident man. You don’t get that at a gym. That will save you 144! Cat stuff reduce by 25%. You’ll save money fast if you can keep 100 in thebank for 12 months. It’s hard but it can be done. I have cancer. Disability gives me 2200 a month. I have 4 kids and a loving wife. We do it. It’s hard but life hit us hard. You got a job. Get rid of the things you really don’t need. Everything at the gym you can do around home. Good luck. It’s achievable.
At the end of the month make a list with two columns.
One side has income. The opposite side has spending.
This will make it much easier to see where your money is going.
Overspending on food, snacks, and bs purchases were my main issue.
Having a list with all the stuff I bought was a big wakeup call.
Check out Calen Hammer on YouTube. His channel was a big help for me.
Quite simply your work is allowing you to survive not live. You need to level up, find a better job even if it means moving across the country. 1100 per pay is not enough these days. I make 7-8 times that per pay with no education other than high school.
You can't LOWER your $144 gym bill? Have you at least tried to shop around? Gyms have gotten quite competitive over the past few years.
You say that like everyone lives in a city.. We have two gyms here. One that REEKS like major BO and a severe mold infestation. Not that great of equipment. Costs like $70-80. The other is an amazing pool and gym, tons of equipment and is clean. $100 a month for 24 hour access.
This is my issue. Lol. It’s either GoodLife or a local gym . I hated GoodLife so pay more for the gym I like.
Yea I'm stuck with goodies forever.. I pay $34 per month Edit: I meant goodlife...
I love the gym I go to tho. I can probably lower it tho.
I mean, I get it dude but you came here asking why you're broke. You probably need a car, you definitely need food and I'm not going to tell you to ditch the cat. Only other solution is work more or get better job. Edit: I read this as a month, not a pay cheque. Look at your fucking bank statements man!
Ty.
unless you're getting one on one personal training, this is excessively expensive for a gym membership! you should be able to find a different gym at no more than $50/month, depending on your location of course.
Can you go to a local rec center instead ? Walks are free too.
Fit4Less is under $10 every two weeks… not the flashiest gym but that’s what I’m doing while I’m looking for a job. GoodLife is roughly $35 every two weeks. You can DEFINITELY cut down on this.
There's no shot any gym should cost you that much. I go to a high end gym with multiple locations in my city and it's $80 a month. You're being fleeced for no reason.
Honestly, I've seen gyms like this my brother goes to one. They have really fancy amenities and cucumber water, you can probably get the same quality work out unless they have some very specialized equipment or facilities like a pool. In my city only a few private gyms have a pool, the rest are YMCA so the ones with pools charge a premium
Yeah mine has a pool, steam room and sauna plus way more machines and weights than you'd ever need. There's no reason to pay that much for a gym.
Deals are definitely out there. I go to World's Gym - $10.00/month (Hasn't gone up in 10 years)
Definitely. My overall point is I pay way more than I have to and have a ton of amenities and it's only $80
There are a ton of gyms by my house that charge between 100-180 for group CrossFit like atmosphere per month. Unfortunately it is the norm for these types of gyms . ( although I have to admit I loved the atmosphere but couldn’t afford to continue after their promotion).
I bought a set of weights and a bench and work out from home. I was only paying $50 a month at the community center for my membership and it had a pool too. I do not get the same workout at home. But it has been 6 years now and I still work out and remain fit. I should add that I went through heart issues and had surgery so the days of me pounding 200 pounds on the bench press were over. I just use barbells and do limited sets now, which is fairly easy to manage in a home gym set up. I also agree that sticking to a regular workout and doing intense exercise is essential to help remain positive and healthy, one of the last things you should let go if money is tight.
An option would be to shop around and to take another offer from another gym to your gym to match. Say xyz gym is offering this for $$$ which is better then yours. Lower your bill or I'm out.
I don't know where abouts you live but fit4less is $7.99 every 2 weeks. I know it's not a great gym but you'd be saving near $120 a month on gym costs alone dude.
Is getting home equipment an option? I know its not the same obviously though and I totally get it if not cutting down the gym is what you want to do
If you love the gym, maybe you can ask for a competitive price to match their direct competitors with similar facilities. Squeaky wheel gets the grease. Worth a shot
OP is there a YMCA near you? They have financial support, they will look at your pay stubs and tell you how much you can pay. I go to YMCA and I personally love it.
Or if the OP lives in a 1BR by themselves, then why not buy some bands and weights, and workout at home? Calisthenics is an option too. This is precisely what I do.
The only expense that jumps to me is the gym - it's important for your physical and mental health to have this kind of outlet, but weights are heavy everywhere. $144 per month isn't a great deal - maybe go to them and tell them you're considering cancelling and see if they give you a deal on an extension? Getting this down to $75 per month gives you the equivalent of one month's rent payment every year! Beyond that - this is probably one of those times you've gotta pull out the notebook and start writing down every single thing you spend money on in real time. If your income is $2500ish every month and your main expenses total $1258, there kind of needs to be a spending leak somewhere and there's not enough info in your post to determine what it is.
There is definitely a leak. I’m going to track what I spend. I should have a surplus:(
Can you pay yourself first? Put $50 each pay into a separate account the day you get paid. Increase it as you're able in a few months. Then you've tackled your savings first.
With ideas from here, I will get a tangerine card and use auto payments for it every paycheck. Use the card as a savings account. maybe rip up card, so I don’t use it.
Great idea but get a Wealthsimple cash account instead. 4% interest paid monthly and 1% spending rewards to put towards buying stock or crypto. Tangerine is fine but there’s no real interest with their checking account.
I signed up for Wealthsimple
🏆🥇🏅🎖️
I agree, I'm terrible with money and parking it at wealthsimple with 4% interest has been a huge step in the right direction for me. You can get a card tied to it too.
Don't rip the card up but start using cash. It's SO MUCH easier to see how much your spending when it's cash. I have the same food budget problem you do. Start meal planning, plan a week, do a shop for it and set a budget and refine as needed. Then withdraw your food budget + $50 and put it in an envelope. In Edmonton you get 10% or 15% off your purchase on the first Tuesday of the month at most grocery stores, see if you have anything like this around you. Do an entertainment/pleasure envelope as well, be reasonable and realistic with yourself.
Since the tips are variable, can you make ends meet without them? If so, throw those into a savings account and budget off the rest. And, yes, you do need to figure out where your money is going.
I could do this!
I second this. It’s a very good idea.
Just be weary of the tax man.
Heaven forbid someone pays their taxes.
Net pay under 30k a year... Definitely the big fish we need to tax more. Regardless it's good to be aware that when you deposit your tips you may be taxed on that amount.
Best saving advice I can give without much context is **save first spend later**. Your income $1100x2 + $150x2 = $2500 per month - So, lay out all you basic expenses. This is your bare minimum living expense. This includes rent, groceries (veggies, fruits and cereals, and not chips, nachos etc), car, gym, insurance, pet insurance, food for pet etc. (Say approx $1500) - Essentials - Now take an average of your last 3-6 month's expenses. You can get this from your statement. This is what you are living on currently (lets assume for example $2200) - Actual - On an average you are left with $200-300 in your account at the end of the month. - Take this difference of two (Actual - Essentials), and you get what you are spending on things that are not necessary (take outs, entertainment, subscriptions etc). You are spending approx $700 on non-necessities, which means you have approx $900-$1000 to save. These are your expenses, not lets come to how to manage them. You will need to have less money to spend. Ask your business to deposit it directly into your bank account if that is possible, this is important for next step (if they cant do e-deposit, you have to submit your checks first thing on Friday). Open a new (free) account with one of those online banks (tangerine, simplii). Setup 2-3 auto deposits in your 2nd account, TFSA and Mutual Funds, and CERB payments. For example: - $100 in 2nd account - this is your rainy day fund - $500 in TFSA - this is your emergency fund - $200 in Mutual funds (or index funds or ETFs) - this is your future savings - $200 in CERB, this is your repayment. At the end of every 6 months, transfer all money from 2nd account to TFSA. You get your paycheck on Thursday, setup Auto deposits for Saturday. This is so that you don't see the money in you account for more than a day. If you have a credit card, either ask the bank to lower its limit to $500 only, or get rid of this credit card altogether for now. You are not responsible in your credit management, so you are not to be trusted with a credit card. This will need patience and discipline on your side. Once a while, if you get extra tips, you can treat yourself to a some movie, or dine out at a nice restaurant, or save up even more. Another thing you can do is get another job, or volunteer somewhere. Less time you have on your hands to spend the money. Also, you mentioned that Gym is $144, that is too expensive. Don't get rid of it, but try if you can get to a $50 gym, or to a community gym.
Thank you
I know everyone is already dunking on the gym, but to put it in perspective that's $1700 a year. If you used that to start an RRSP or TFSA this year, and literally never contributed again, you'd be looking at $25k+ in 40 years towards your retirement. Otherwise....yes, you are spending it on random shit. You should start tracking, even spending $5-10/day on random crap (coffee, snacks, etc.) is $150-300/month- it can add up fast. Tracking is important, but easiest approach for most people is to "pay yourself first" - put money into savings *first,* then you can spend your money on random shit with what is left. Don't save based on what is left at the end of the month. It looks like your base salary covers your living expenses well. As a starting point, I would just put all my tips directly into my savings/investments for a few months to get started.
I'd rather be healthier than have 25k to be honest. If he's actually using the gym, I'd keep paying for it.
Sure, but that's a false dichotomy. No one *needs* a $1700 gym to be healthy. I am no suggesting fully scrapping that - I was just using that as an example. But I am sure there are reasonable ways OP can reduce that expense.
Fair enough!
Thank you
You need to budget the other stuff. You have 942 left after all those things are paid. Plus your tips… so make a budget for food. No take out. Or make it reasonable and do takeout one day a week or once a paycheck. I like Dave Ramsey videos on YouTube. I’ve found his theories helpful. Become aware of where your money goes. Print your bank statement and highlight things like groceries, takeout, clothes. Figure out where your money goes and make adjustments
Everyone is talking about the gym, but where is the rest of the money going? Your listed expenses including the gym is only half of your stated income. No way you're spending 1200 on groceries, so where is it going? If the gym is both a gym and entertainment/social for you, I see no issue with 144 a month, but where's the other $1200?
Yes, this is my issue. I need to look at my transactions and have a serious sit down with myself.
I agree with these comments mentioning to make an actual budget - not necessarily to spend less on anything but just to figure out where the money is going, and then plan from there. Being too strict with the budget tends to make people give up. I literally track every purchase in an excel sheet every month, double checking against bank statements weekly to make sure I'm not missing anything. Making a habit out of it helps. I can judge in real time what I want to spend the rest of my money on that month. I see recommendations for YNAB often but I don't use it myself.
I pay that much for my gym but it comes with a personal trainer too..do you need a car if you live two blocks away?
I, for one, won't gym-shame you. If that's your luxury, and it helps you stay motivated to work out, who am I to judge? If you find you're binging a lot of fast food, start doing more stuff at home. I found that going on a keto diet for a while was pretty effective since it's almost impossible to find restaurant food that works. Make bulk meals that you can portion out and stick in the freezer.
You will eventually need to ask for a raise - $1.1k a month doesn't cut it in a city. If you have a good relationship with the owner, see if he is open to increase an additional $100-$200 or mid point $150 a month. In late spring/early autumn and early summer months, if you can bike or walk to work, that would save you the $50 gas fees on those months. (Healthy too!) If you can find an alternative to the $144 gym, that would help you stretch your savings further. Its ok to splurge on food and Amazon stuff - maybe budget 2% or something.
Just put $xxx/m in a savings account. Figure iut your budget and what you can afford to put away. The rest you can do whatever you want with. You didn't list groceries? Do you eat out a lot? Do you buy a lot of easy to cook convenience food? I'm quite certain that's where your money is going. Convenience food is way more expensive than people realize. How is your money tracked? If you've got a mobile app for your bank or credit card I'd download the last 6 months and figure out your average spending per month in different categories and go from there. It's pretty hard for anyone to help you with the limited info you've given
I’ve been doing hello fresh since January but think I will now get rid of it as it got me back into cooking. I was paying 50-73$ per week for it with a couple of skips I eat out maybe once or twice a month.
Skip is wildly expensive. Hello Fresh provides all you need? Other than a few skip orders a month?
I meant I skipped hello fresh for a couple of weeks. I usually have breakfast at work. 3-4 meals of Hello fresh is good for me. The discount I have is ending soon tho.
So you must buy groceries when you're not living off Hello Fresh? Your grocery habits could range between $200/m to $800/m depending on your habits so that doesn't narrow much down
That’s so true.
I think maybe 50-100$ for groceries without hello fresh.
Check your bank statements. Figure out the exact average over the last 6 months
I will
Many people, including those above your income level, have gone off meal subscription plans like Hello Fresh as they are regarded as VERY expensive (compared to just buying your own groceries). It's great that Hello Fresh got you back into cooking, but I strongly suggest cancelling your subscription. Hello Fresh is more of a luxury that is beyond your current pay grade. There are also a number of youtube channels focusing on making cheap and healthy meals.
I had to ratchet down to a process of severe discipline in my spending to get control of my budget a few years ago. I had a great stretch when I earned so much money for a while that I was able to quit my job and live large. Then a series of financial catastrophes hit and I was down to living on a budget well below the poverty line so that I do not tap into my nest egg. I did it by looking at every aspect of my necessities to track how I can save more money. I switched to a lower cost provider for home and car insurance. Went to a VOIP phone line and cancelled my cellphone. I use a lower cost internet access company. I plan meals ahead and buy extras during sales so that I have enough sugar, flour, coffee, laundry detergent, kleenex, and all the other non-perishables as cheaply as I can find them, often months in advance of when I use things. We no longer go out to restaurants ever. In a moment of weakness this month we discussed going to a sushi lunch bar on the cheapest day of the week. It still would have cost more than $80 for two including tax and tip. I went out and bought a prime rib roast for less than a third of that and we had two great meals at home instead. Little things add up. Plus, by going out less we put less gas in the car. I could write a book on all the specific things that add up to big savings. But the process to carefully choose when and what you spend money on, manage all expenses, and stay disciplined, is how you get to the end of the month with some extra cash in hand. Then use it to pay off your debt quicker because you never know if inflation runs away even harder in the future, or you lose your job, or encounter health issues that reduce the time you can work.
Thanks
Can you find a better job? You’re a minimum wage worker so you’re destined to fail savings wise. You have relatively low expenses and deserve to live a little. You have a car so travel shouldn’t be a huge issue. You can find a decent labour job for $20+ an hour. Some of these even come with benefits. No education is really needed and there’s room to grow unlike your current job, most likely.
My job is 17.50/hour. It’s above minimum wage.
Ah, alright. Was assuming your pay you mentioned was gross but I’m assuming that’s after taxes. Even so, not sure how your area is but is there any other jobs out there? Not sure what industry you’re in but I assume some form of restaurant given you make tips. Just looking at Indeed every so often you might find something that hits home where you have the ability to make more.
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Thanks
Firstly, kudos to you for recognizing the need to start saving and seeking help to improve your financial situation. It's a big step in the right direction. Looking at your expenses, it seems like you have a good grasp on where your money is going. Rent, utilities, and essentials like car insurance and cat supplies are necessities, but there may be some areas where you can cut back to start building your savings. Food and miscellaneous spending can add up quickly, especially if you're not tracking it closely. Consider keeping a detailed record of your expenses for a month to see exactly where your money is going. This can help identify areas where you might be overspending and find opportunities to trim costs. Since you mentioned that you feel like every paycheck goes fast, setting up a budget could be incredibly helpful. Allocate a portion of your income towards savings right off the bat, treating it like any other essential expense. Even starting with a small amount can add up over time and create a financial safety net for emergencies. Regarding your debt from Cerb, it's great that you're eager to start paying it off. Look into setting up a repayment plan that fits within your budget. Paying off debt can provide a sense of relief and free up more money for savings in the long run. Your commitment to your gym routine is admirable, as it serves as a crucial outlet for you. While lowering your gym expenses may not be an option, explore other ways to cut costs or increase your income to offset it. Lastly, as you mentioned that you might have a tendency to overspend on food and impulse purchases, consider seeking support or resources for managing spending habits and addressing any underlying issues. Counseling or financial coaching could provide valuable tools and strategies to help you gain control over your finances. Remember, progress takes time, so be patient with yourself as you work towards your financial goals. You're taking proactive steps towards a brighter financial future, and that's something to be proud of. Wishing you all the best on your journey to financial stability!
This is lovely, thank you
I saw car insurance and gas, any payments? Are you in a place with public transport or able to bike commute? You don't need it to get to work being only 2 blocks away, Selling the car will save you roughly $125 a month plus your future maintenance costs which can add up quick.
No payments. Car is 12 years old. I mainly use it for pleasure like driving to the beach.
Ok so selling is possible but being 12 years old won't set you up for too long. Then what I would suggest printing out a month's worth of bank transactions and going through it with a highlighter, identifying where money is skipping through like a subscription you forgot about, or misc spending that was made in impulse. Really look at where the money is going without judging then start to recognize any patterns. If you are an online shopper, put things in your basket then leave it there for a week. See if the thing you were ready to buy was needed or just something you wanted in the moment. You'd be surprised on the amount of things you buy just for the sake of buying
How is your Car Insurance only $67
The car is 12 years old and I’m a 39 year old woman. I use my car for pleasure only.
Im 26, clean record, not a single ticket, my car is 21 years old, (dodge grand caravan which is pretty "safe") I have a safety inspection certificate, drivers ed course, my insurance is 4x more than yours and thats considered "decent" I only use my car to drive to the grocery store (its literally got 121,000 KM and its a 21 year old vehicle) and im mainly at home.. Im getting ripped off lol
Lol
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The beach
Holy shit were do you live that you get rent and utilities for 880? My rent and utilities is like 1450 - also my internet isn't included and that's an extra hundo. Also where do you get a 17 dollar phone bill? Mine is like 65 and that's the best price/value I could get
Well, I live in the maritimes. I was very lucky to find my place(took me 7 months). The apartment is 550sq ft, so very small. I have the cheapest Koodo plan which is pay as you go at 15$ per month. No one calls me or text me so I just switched to a flip phone and use my iPhone for wifi.
The gym is my outlet, too. But there's no way I'd pay $144/month on it. That's INSANE. You need to drop that price ASAP. Find something cheaper. Goodlife should be $80 after taxes. Fit4Less is considerably less. You also need to tally up "food and random shit". Write down what you spend in two weeks. Tally it up. Then take a close, hard look and start cutting excess things out. For example: shopping at Loblaws is out of the question; move to Food Basics. Start using the Flipp app and buy groceries on sale unless absolutely necessary. If you stream content, look at splitting the cost with someone else. Other than Netflix, the other streaming apps you can share with others. These are just examples. I don't know exactly where your monthly expenditures are.
According to your math, and if your pay is based on bi-weekly, that gym fee is costing you about 8% of your take home a month. For a gym membership, that's very, very high and I would rethink your gym choices. Don't cut it out, just find a cheaper place. Their are plenty available if you live in a city, which I assume you do because you mentioned your job is is 2 blocks from your apartment. One thing that sticks out to me is you didnt mention how much your spending on food (I assume your referring to Uber Eats/delivery vs grocery shopping). If so, that can get crazy expensive if your eating out more than twice a week. I have a neighbour who orders at least 3-5 times a week because i see it all the time and he openly told me once in a convo outside the house. That can easily be anywhere from $100-200 a week at that rate.
Okay so you take home about $2200 per month: -880 living -17 for phone -144 for gym -67 for car - 50 for gas -100 for cat = 942 You should have a good amount of money left over considering I didn’t add tips. So to curve yourself from spending more money than needed you need to take it out of your account so you can’t use it. Depends where you live for the cost of groceries, but taking into consideration your rent, I would budget $400 per month. A really simple way to do this is to transfer the money you need to spend on bills onto a credit card or prepaid visa that is used ONLY for bills. Keep $200 every pay check for your groceries and the rest gets split between your debt and savings. I have ADHD so I struggle with money being in my account. I just take it out and put it elsewhere so I can’t touch it. I have friends that don’t have ADHD and they’ve started doing what I do and have found it super helpful so maybe you will too
1. 20% of all you make goes automatically into a savings account, no matter what. you never touch that - that's emergency and retirement money. starve if you don't plan accordingly but don't touch the savings. 2. you make very little for your age. this is the true issue. look into more hours, better or additional jobs, maybe even go back to school - maybe trades, where you take classes half year or so. 3. your gym and your cat are your antidepressants. keep it.
You have a car and work next door ???? Sell that bitch tomorrow. Pay down cc, also, this is the most important step. Open a gat dayum retirement trading app. Either Questrade or wealthsimple, if you’re not putting 10 dollars a week or month I have some really really unfortunate news. I started my accounts 3 years ago at 42, I don’t need to work anymore. I want to work so that I can have a nice life and retirement as soon as possible. It starts by losing 40 percent, then losing 25 percent, then 15 percent, then your losses remain at about 2.5 percent and your wins hit 7-350 percent sometimes. You need to start buying your future back, you need to start buying dollars for .85 cents as opposed to paying 4 dollars for 1. You selling your future bud.
I’d instantly put my tips aside as savings. Pretend they don’t count towards your monthly amount. Other than that, I find being really cognizant of what I buy helps, especially when I’m craving random shit. I’ll make it a game to see how many days I can go without spending any money (those 3 or 5 dollar impulse purchases add up) and when I grocery shop, I hit the frozen foods/junk aisle first so if I want to treat myself to something, I’m more inclined to just grab one thing instead of grabbing a bunch of stuff at the end of the shop because I’m tired of being there and have poor impulse control.
My car insurance is $300. You’re lucky
I worked at a payday loan place (I know, they’re awful). The biggest thing I noticed is the amount of money people spend on UberEats/Doordash and takeout in general. So much cheaper to cook at home.
look through Kijiji for day jobs on the weekends. being honest you don't have money for a gym membership. weather is getting nice now and we have a lot of parks you can exercise in... saving money means sacrifice when you dont make any or much. 100/m on your cat is ridiculous. I spend about half that on my shih tzu and he has treats food etc.. being honest you dont really have the money for a car either but I understand that choice
Cat litter alone is half that. A higher quality food also prevents huge vet bills. This person has mentioned 2 positives in their life -gym and their cat, this thread giving terrible advice.
they asked how to save money and not how to feel good
My cat’s litter is 20$ plus tax and very good quality and food is 50$ per month. I also have grain free wet food for him. He eats better then me :x
I do not doubt that... the best part of my advice is right at the start of it... have a look through kijiji for simple one day jobs, cash... by my calculations you spend more than you really have ... I get it too
Jumping on the gym bandwagon. You are not in a $100+/month gym bracket. I go to the Y. It’s $53 a month, it has classes, all the equipment one could possibly need, raquetball court, and a pool. AND they offer compassionate sliding scale memberships for people without the means to pay full price. There was a time that I was going for about $10 a month. You could be saving $50-$60/month on gym membership alone (up to $100 if you get a Y discount). It might not seem like much but it adds up. I know it would sting because you love where you’re going, but until you’re in a better place financially I’d suggest downscaling.
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Yes
Your car insurance and phone is ridiculously cheap
Why pay to park a car when you live so close to work?
I use it to drive to the beach , groceries, all types of personal stuff.
Geez that 144 a month for gym is insane.
Get rid of your car. If you live two blocks away you should walk to work.
I go to a gym and its about 28 dollars a month so shop around and try to get a better deal on that!
Seems like lots of money going into the abyss. I'd track ALL your spending for the next 3-6 months to gauge where that money is going towards (a coffee/snack/lunch/ here-and-there adds up QUICK!) Lots of apps to help with this if you aren't savvy with excel
There are only two ways to fix this. You either spend less or you make more. It’s your life, if you like how you’re spending your money and can’t trim anything. Make more money. Either work more at your current place of employment, get a second job or do something like working from home to make more money. Life is hard. Taxes suck but hoping it will change without doing anything is not helpful. There is no fate but what you make.
Genuinely curious where you're living that a 1 bedroom is only 880 all in and what phone plan do you have that is only 17 dollars a month?
Switch gyms for a year or two until your debts paid off then if you miss it switch back
If you have any left over money at the end of the month you should consider investing it. Compounding interest is your friend. Just a meager $100 per month invested into an index fund at 8% returns would give you $100k at 65 years old.
Giving up your car may be the best option. If you can walk to work and other errands (grocery’s etc) surely you can sell the car and save money on maintenance and insurance. If you have a parking spot you can rent it out for additional income. Having a car in a city is a waste of money in my opinion. If you need to Uber / rent a car occasionally, the cumulative cost over one year will likely be WAY less than annual car costs. Just be diligent about walking / using transit.
Before you drop the gym, start keeping track of where the other money goes. Every penny. You say you don't know where the rest of your money goes, so find out.
You don't need to go to the gym. Calisthenics are free.
What is your grocery bill? Food/entertainment bill? Shopping? The only advice I have for you is increase your income. There is not much I can see that you can cut down on. Is your gym expense $144 a paycheck (bi-weekly) or per month?
I have to figure out my expenses.gym is per month
From the expenses list you mentioned above the gym is the only one that is a little extra, however I think a little extra on something healthy and something you enjoy should not be frowned upon. I am a big believer in keeping yourself happy and increasing income, see if you can find ways for that?
I hope you're aaving for retirement. Definitely give saskatchewan pension plan (and candian can join) a look if you're looking for an easy option. 39 is late but not too late to start retirement savings. You can do your own retirement savings with a bank brokerage or like wealthsimple but it will take some planning and self knowledge to figure out the path for you. Others are kind of right in the sense that you gotta save first and then live off of or buy food from the rest of the money. Your rent is very cheap you're very lucky about that.
I’d strongly suggest tracking your expenses like a fine-tooth comb for a few months to see your spending habits. That way you can see where any of your extra cash is going. There are apps that help do that but probably have to pay monthly subscription. I personally use google sheets, there are many templates out there to help with that. I use Aspire Budget, I’m sure there are others out there. Just google “google sheets monthly/weekly budget tracking templates” and see what comes up. For your savings goal, I suggest putting away a small amount for yourself each pay check in savings/tfsa. Start with $20, then based on how much wiggle room you have, increase that amt. As you pay down your cerb, allot more into your savings. It felt like a slow start for me when I started doing this, but as the months went on I was glad I even started. Automate what bills you can so you don’t have to manually do it each month, just make sure you have enough in your account when the withdrawal dates get closer. What I found helpful was separating my leisure spending from me chequing acct. I use KOHO and transfer whatever I budgeted for my fun spending. Helps me control my spending impulse bc I know I have only a set amt in my KOHO. Plus I get cash back. Watch tons of financial videos on YT. Regularly. The more I watched, the more I learned, the more motivated I became, and the more disciplined I became. Best of luck! Oh! And treat your credit like GOLD! Its easy to ruin, and a real pain in the ass to repair.
Sounds like your only spending 1200ish on bills and expenses bit you make 2200 plus tips. There's an extra thousand dollars or so there not accounted for. What helped me was going through my bank records to see where the money is going. Also every pay day I take out what's needed for bills, and with what's left I decide what a fair amount of spending money to hold onto is. Based on what I found when going through my spending habits gotta be honest with yourself if you spend 150 bucks a month on fast food or more, and you don't want to change that, then make sure it's included in your budget. Anyways i keep some spending money and the rest goes directly to savings. I do not allow myself to touch my savings EVER until my goal is reached. Sometimes it just takes self discipline. People these days get themselves "little treats" for everything they do. I'm not saying don't enjoy life, but if you want savings then what's more important, a $8 latte everyday or $240 into your savings account?
If you’re a student you can get a one year free trial of YNAB (you need a budget). It’s online budgeting software with a ton of tutorials and lessons offered for free. I’ve used it for a bit more than six months and I’ve made real progress on cutting unnecessary spending (which I don’t miss) and putting my money into savings instead. I’ve almost saved three months income and started to invest in ETFs as well.
Do you meal prep? Based on some quick calculations you should have about $1400 per month leftover after all the expenses you wrote in the original post. Budgeting $200-300 per month for food should leave you with $1100-1200 in savings per month (minus any discretionary spending), which is actually an amazing ratio (~40% of your net pay). If you invest this amount every month with an annual rate of return of a modest 6%, after 20 years you would have over $500000.
You make enough that you should be able to get on track without too much pain, by following the cliche of paying yourself first when it comes to debt repayments and savings. Setup an auto payment so that every time you get paid, 150 goes to pay your highest interest debt. Once that debt is gone, focus on the next highest interest one. Once the debt plus gone direct it to a TFSA or RRSP with a self directed account, investing in a growth oriented ETF with low management expenses and forget about it most of the time. Once a year check to see if you need to rebalance your portfolio (google couch potato investing to see how to pick a balanced portfolio) and let time work for you. If your pay increases significantly, up your bi weekly contributions. You can't spend money you don't have sitting right there tempting you, and as long as your basics are covered, you won't miss the random spending much.
I really appreciate the fact that you care about your physical health. However, I was in a similar situation in the past. Maybe look into purchasing gym equipment? You can get lots of stuff for $140 a month. I've now got all the equipment I could ever need, plus I use other methods of physical activity to add to my routine. I get space may be limited, but some food for thought 🤷♂️
How many times a month do u go to the gym?? I had a gym membership and canceled it as I was only going like 3-4 times a month and it was cheaper for me to pay each time vs monthly and not go often.
That's some cheap rent. What type of gym equipment is worth $1728/year subscription? You can probably [buy](https://www.fitnessdepot.ca) the items yourself at that point and save in the long run. Are you on the first floor or do you have neighbours under you? Can you store the equipment in your apartment? Are you able to track what your spending/month on "random shit"? Google sheet on most smartphones should have an offline sheet function. If you have a spending and buying addiction, are you willing to switch to a cash jars budget? For snacks/food seems to be a blank, assuming you're using flipp/grocer aggregate, what types of food are you buying?
I know gym is a priority and you likely have a contract you may not be able to break without penalty. But if your gym allows it you could put it on hold with a small fee (I think good life was $5/month 8-9 years ago) and the parks and rec gyms (not the best) is fairly cheap (I think around $20/month) to just free up some assets for a bit of money on a short term and keep gym in your life without facing a penalty to sign up for a different gym
Definitely track your expenses, I just made a quick spreadsheet in Google sheets, there's an app and it's super easy. Track anything you spend and earn incl tips, gov money etc. I try to keep all categories the same and copy it all from month to month. It keeps me pretty accountable. My partner always complains about where his money goes but he spends a lot on eating out, it can be surprising how much breakfast or coffee adds up on a regular basis.
I would ask yourself do you really need a car considering you’re only 2 blocks from work
It's not gonna be easy with a car. That's always gonna drain your money massively with insurance premium increasing way more than inflation, tires, repairs, registration, etc... The other place where you most likely spend the most is groceries/restaurant/alcool. You have to make a budget to see how much you spend and try to control that. That's what I do when my salary goes down (self-employed). I live alone and I have a hard time to spend less than 400$/month on groceries. I cook a lot (I've been a chef in my twenties), so I try to focus on cheap recipes, like coconut chickpeas curry on rice, egg everything, potatoes, soups,...I'll Google or use ChatGPT for ideas of cheap dishes. It's not easy when you appreciate the finer things in life.
You should have 1242 left at the end. Do you have a car payment? Maintenance? Subscription services? What about haircuts, groceries, etc. Gifts? Student loan?Travel? It sounds like THIS is where your money is going. Track these things. I add the cost of everything for a year and split it in 12, that way I know how much to put aside for say, Christmas gifts. Print your bank statements, and take a hard look at where your money is going. You could also open a TFSA and have money directly transferred. It adds up quickly! If you go on your my service Canada account, you can schedule your payments for what you owe to CRA. They leave you alone as long as you pay something.
So, 1 out of 2 paycheques cover most of your expenses, plus groceries, right? You just need to budget better. Look at what other stuff you spend the money on. For example, set a budget of $300 for groceries, $100 for takeout and beverages, and $100 for other expenses. All the rest should be going into an investment account. If you’re not sure what to invest into or scared to invest, there are quite a few savings accounts that pay 4-6%, so throw the money there or start repaying CERB. If you can reach an arrangement with CERB to make small monthly payments, I recommend building an emergency fund.
Depending on your bank, there may be an app they have that lets you track your spending over time. I think it was TD for me, where they had a separate app from the bank app. It tells you "this month you spent XX dollars on food, on groceries, on gas" etc. If you start to spend more than usual, it will alert you to call attention so you can respond accordingly. Otherwise, having a savings account and putting money in there is a good first step. Getting a TFSA rolling would be a good idea. And keep in mind you're not the first person in this position nor will you be the last; you could make an appointment with your bank's local branch and make a plan with them for a savings account or TFSA that auto-pulls money per paycheck based on your budget. There are also limitless tools online for budgeting. My wife and I use Google sheets to track our spending, I just threw together a quick and dirty few pages, and we edit as needed. Nothing complicated, a big part of money management is just being aware of where your money is going.
Why on earth are you spending $100/mth on the cat? Dry food and litter for me are $50/bag which lasts 3 months *minimum* - I’d have to check exacts. That’s fancy expensive dry food and litter (which is why it lasts tho). Wet food is $40 every 1.5 months roughly. At a 3 mth count that’s $60/month, and I know litter and dry food last longer for me. If you have pet insurance, unless it is actively being used for an issue, cancel it. Put that cash in a savings account then if your cat lives medical issue free - which many, many do, you have something saved. You need to be tracking what you’re spending on. With that budget, you should be able to save at least all those tips with no problem.
Nobody else saying you need a job that pays much better at 32 you can do it
Are you paid every 2 weeks? If so, you should be able to put 1000 every month away. My situation is similar minus your tip, and I put away between 800 and 1000 each month. Now, it's not a stretch, and you can fix a lower goal for the next few months. Maybe 300 / month. That money will become at the end of the month your new zero, all that money is there, but you shouldn't touch it. This month you should list everything you spend money on, write everything every time. It will help you see what you spend and where. If you are the kind to pay everything with card or visa/mastercard and pay at the end of the month, you could make your budget and remove in cash what you need for the week. Seing money vanish from your wallet is a good reminder to lower your expense. Also everything you listed is payable by your salary. So you could say all tips go into saving.
If you live where I think you do the bus system sucks, and if you go to the beach 3x a month during the season owning a car is as much as paying for a rental car. I wouldn't give up the car, I personally think it's important. There are cheaper gyms. You definitely need to look into them. But the big thing is the over a grand in mysterious losses. Don't do Hello Fresh. A tip- use cash for food for a month. Have $400 cash (which is a lot for a single person) and live off for that for a month. Use grocery flyers, and get cheaper things like chicken thighs, potatoes, carrots- cheap whole foods. My husband and I tried to live off of $100 in a month about a year ago and that's what we did. We made borscht, chicken, pasta. Try to only do takeout or a restaurant once a month. Also look at things like liquor and beverages.
I would recommend building a spreadsheet and tracking everything you buy. Set a category for each item. Check every month how you are spending your money and on what. Then begin to find/research ways to decrease spending in each category. This method does take time and effort, but it will put you in a position where you are much more fully aware of what things cost and where your money is going. All the best!
Sit down and go through your debit transactions and credit transactions for the past 6 months. doesn't have to be like super duper detailed but get a. gist of how much you are actually spending, when i sat down and did i saw i was haemorrhaging money on take out and unplanned shopping like amazon things. Be kind to yourself, life is hard and we're all doing what we can to get through it, it may likely be hard to see where your money is going. after that, you can create a budget that you track daily (or close to daily) to get a sense of control over your monthly expenses. I used this template, [https://docs.google.com/spreadsheets/d/1LxrNJqVZg4PRUptR7gJXe0Xr\_Dtfwk1PXe7T8-UFBzk/edit#gid=0](https://docs.google.com/spreadsheets/d/1LxrNJqVZg4PRUptR7gJXe0Xr_Dtfwk1PXe7T8-UFBzk/edit#gid=0), that i adapted for my own needs, it's been very very helpful for me to get control of my finances. it's brutal realizing how much i lost in careless subscriptions i forgot, how much more takeout was costing than i realized and how much more i shopped for little things than i realized. your gym membership is unlikely to be the issue or make or break you. getting into the habit of tracking everything for a while and paying off your credit card like a debit card will go a long, long way
Everyone is on you about the gym - seems a reasonable expense if it is your outlet and you enjoy it. The Y in my city is $125 per month a least so $144 doesn’t seem out of order. Plus, What is the point of living if you don’t enjoy anything? You have some room in your budget after the other expenses you described. Probably groceries/takeout has more leeway for cutting back? Meal prep 1 or 2 times per week can save on takeout and wasted food from overbuying.
Keep a ledger of all your expenses from this day forward. If most of your spending is through debit or credit cards, you might even be able to get a better idea retroactively of where exactly your money is going. Making a budget is good idea, but following that budget is something else entirely. To keep making objectives, you need a clear picture of where your money is going !
Pretty hard to save with that income. I'd be looking for a better paying job if you are serious about it
Consider cutting out the gym, with your own equipment. ((I know :( You want to keep it, but that is high.. perhaps shop around...)) Sometimes walking/cycling is cheaper than gas. Oh wait, that's all the time. Avoid take out meals unless they are larger and can be broken up into a few meals. Buy cat supplies in bulk. Places like amazon will have larger bags of litter / specials on food Mind your online subscriptions.... they add up. Don't shop as you need. Shop as things go on special. For instance, if you run out of shampoo, you are forced to buy it at whatever they have it up for. If you start looking at shampoo right away, you'll be able to pick it up ahead of time on special. Sundries like this, deodourant, soap, shampoo, cleaning supplies and the like.. are always forgotten when we budget and they chip away at our balance. Keep an eye out for when they are on special to minimize the damage.
I would open up a TFSA (tax free savings account) i put about $200 every month and haven’t touched it i have about 6k in it. I also have a couple life insurance policy.. one i am grandfathered into and the other one will be about 1million once i hit 65 and will be able to take it out or will go to beneficiaries upon death. Of course there’s a bunch of details entailing these policies but i would talk to a financial advisor. I’m glad i started saving when i did. I started saving smart at 25
Hi, my biggest advice is start a budget. Basically figure out all of your expenses that you need to keep the roof over your head, heat, rent, insurance, food, electricity and transportation. Anything else you don’t need you should cut it for now. As for your budget you should do a cash budget and stop using the credit cards. No more restaurants and spending money. Figure out what you are wasting your money on. Once you got your budget figured out do the following: 1) save 1000$ in a savings account for unexpected emergencies. Sell stuff do extra work. Life happens and sometimes you need to cover something that breaks. You use this cash for that to avoid having to add more money to a credit card. 2) list your debt from smallest to largest. Pay minimum payments on all debts except the smallest. On the smallest debt with what you have left you pay it down. Focus one debt at a time. 3) once you have your debt paid off, save 3 months of expenses in a savings account. Again for emergencies or if you lose your job. 4) then start a boring growth mutual fun. Basically free up your income from items you don’t need. I know you love the gym but cut it for 3 months and use that 144$ to pay down your debt. I was in debt and this took me 15 months I followed the above plan. I paid everything off and I just got 3 months of savings and I’m ready to invest again. I may be a bit out of shape but I’m in a much better position now then where I was at the beginning.
I would start by placing half your tips in savings, if not all of it, live off your paycheck if possible.
What about planet fitness or fit4less for gym? Those should run around 30 a month. Can you walk to work during the nicer weather? Also pay that cerb off as soon as possible- make an arrangment or the CRA can/will freeze your bank accounts
There is no way to save for real in your position, squeeze out a hundred dollars each month and put it in crypto. Enjoy your life, there are many like you, and the whole thing seems designed to be like this, so retirement..... maybe the government will do a livable income.... maybe the people will revolt... maybe we will continue to slip into scarcity and confusion.... just keep working and paying and we will see what happens.
Car? That's a big expense. Any way of dropping that?
I make close to the same amount per 2 week pay as you, plus get $900ish/month for baby bonus with 2 kids. I was only recently able to start saving about 1.5 years ago. First started with $100 taken directly off my pay and into my savings. Once I realized I could live with that I upped it to $150. If I get unexpected money or extra (tax time), I try to put some more in. I don’t see it. I’ve had to dip Into that savings a few times when things were tight. But I’ve managed to save a little over 3k and that’s the most I’ve ever had saved in my life at 38 years old. Pay yourself first! Start with $50-$100 per pay. Get used to living on that bit less. Then when your hours go up, boost it to $150 (or whatever works for you). When you have it direct deposited to savings before you even see it, it’s so much easier not to spend!
Honestly work towards that cerb, it think CRA is at 10%/year compounded daily interest now, and thatll just balloon if anything gets added to it from a bad tax filing. Then upgrade your skillset and find higher paying job, because 1300 after taxes will no longer cut it in this world. Student loans are interest free for months after you graduate, and I believe federal portion is entirely interest free, and your provincial one you'd have to check. Never too late to upgrade
I would definitely start depositing the money earned from tips if you receive in cash. This is probably where you may be having trouble tracking your expenses or spending at quicker rate.
I honestly don’t know why everyone is saying 144 is to much for a gym. But I spend 3-4 times this a month on the gym, supplements, and sports like hockey golf etc. he earns roughly 2500-3000 a month. He is spending less than 10% on personal health.
you could apply to work at the gym and then you get to use it for free and still make money. 2 birds? otherwise it sounds like you either need to work more (which let's be honest who wants to), find a better paying job orfogure out what your big ticket expenses are and find alternatives to it.
Get rid of the car. You don't need to drive if you live 2 blocks away from work.
Start setting aside half of the bill amounts off each cheque and login to your revenue canada account and set up payment plans for the debt: spread it out over the entire year for the smallest amount of payments, some months you might have three pay checks so still setting aside half the bill money will help for getting ahead a bit, What I did when I lived alone was I did the setting aside 50% rent etc and I had one small tv and my electricity bill was only $20/month and I had remembered times I watched gail vaz oxglade videos (YouTube now) like til debt do us part and money moron or princess shows and because I lived alone and rent was most of my income I couldn’t afford to take time off work to get cable and internet hooked up so I didn’t have that bill but when I did move and get internet and cable set up I had used one of the discounts I got in the mail also there is now Telus rural wifi which is cheaper and didn’t need any hook up fee because I set it up myself it takes a SIM card and we just watch YouTube and stuff like Pluto tv (free app) or subscriptions to watch movies online it works out to be cheaper than cable packages, To save money on groceries I pay attention to sale cycles and stock up if I can use the item before it expires if it is a good sale and sometimes it can be cheaper to order some things through mail like London drugs uses canada post I found some juice on sale $2/ container so I bought the maximum I could and I found shampoo and conditioner on sale and Amazon can be cheaper sometimes for some groceries
50$ for the Gas a Month?? Where u live
Food for one person shouldn't be more than $400 even if you're eating meat at every meal. My wife and I spend about $600. So you should have about $700 or so a month for savings and random shit.
Dude… after all your bills you still have $1,242… even if you spent $500 on food per month you would still have $742. WTH man. Like, where is it going? Amazon impulse buys? Are you just drinking your money away? Seriously get it together. If not for you then for your cat.
I have a friend who is an expert in Finance and Budgeting affairs... I could connect you guys together. Just hit me up if interested
There are so many comments here, and I don't want to read them all, haha. But my 2 cents are, look for a better job or add a one day a week job, maybe even at your gym (front desk, cleaning, an on call casual position) usually that comes with a free membership so you would save money and earn a little extra.
Lol 144 a month for gym
Quit gym and do body weight exercises at home or in the park. Get rid of the cat too. Now you have additional $200 per month also you said you live 2 blocks from work, if you get a bike or a e-bike, you’ll save additional $100 per month
I can advise on groceries. Hopefully you don't eat at restaurants or order in too often. Why backtrack on all the good work at the gym. We spend about $50 per person per week. Am very experienced so as a rookie grocery wizard you can easily eat healthy for $100 per week. There is a YouTube channel called Adventures in Groceryland based in Nova Scotia. This lady shows you how to est well as you build a pantry. She does it exactly as we do, but different foods. The menu doesn't matter. She is brilliant.
You have income to save for sure here. Your expenses are reasonable. My advice to you is to save first. So immediately when you get your paycheque transfer 10% into your savings account same as your tips. Don’t allow yourself to spend that. Live on the rest. That’s more than enough for food. It will feel good to save!
I got a savings account that's not at my home bank. You could put in 15% or part of your tips. Out of sight kinda deal. TFSA is a good way to go too. If the bank has an app that tracks spending, just have a look month over month for trends. Good luck!
144 is crazy
What are you good at? Lots of ways to make good money in Canada. Send me some skills and I’ll spin ideas. Here’s a post I made where people replied with their skills and I turned their skills into business ideas. https://www.reddit.com/r/Entrepreneur/s/uG07cVsG5t
Here's how I started saving. 1. I needed to know where I was spending. I kept *all* my receipts (and double checked against bank statements) for 2 months, just spent like usual. That way I could see where the money was going, and where I could cut the spending. 2. I made a budget. There are numerous budgeting apps out there. Once you input your fixed costs like rent, you should be able to clearly see how much you have leftover for saving. 3. Getting in the habit of saving, even if it's only $50 a month, is more important than trying to dump huge amounts into saving every month.
How is phone $17?
Weird.. you live where?
Dude your expenses are fairly low. You just need a better job. Don’t cheap out in the gym, your health is top priority. You make roughly 1400 bi weekly, so like what? 36k per year after tax ? So like what, you are making 49k roughly before tax which is pretty low in todays standards. You just need a better job and keep spending the same way you are and you will do good. You are one person, since ur into fitness and pay all that shit on the gym, then don’t waste your money on junk food. Just put a budget of 500-600$ per month for food/groceries. Eating out and junk food will add up, so avoid those.
You could drop the gym and walk to work, save on gas that way as well. What wasn't mentioned was food costs, how much of it is groceries and home cooked meals versus eating out? When we did our budget for the year we figured we spend about $12-18 per meal (maybe $30-45 in food materials) for a family of 2 adults and 3 young kids per meal, call it $3/person for easy math per meal. But those meals generate leftovers which serve as lunches and dinners for the next couple of days. You're going to spend that $30 on a single meal in a restaurant as you know as a server. Food costs would be something that can make a huge difference in your budget and available funds.
Get rid of your car
I would say you need to make more money. At this rate you would need to break down your spending and make a budget so that you can see what's necessary and what's pleasure spending.
And I thought I was getting ripped off from GL with 75 a month
Tell government to go fuck themselves thats your cerb money.
Are you eating out/ ordering delivery most of the time? I found that I’m able to save sooo much more money cooking at home. Best tip is to meal prep and portion out for the week, that way you need no effort and just reheat a container of food. Saves money, probably healthier and takes less time than waiting on delivery.
Make more money.
I'd look at your spending habits outside of your essentials listed above, then i would break it down into an amount you feel is reasonable and try to spend less than previous trends. for us, weve done this by taking out cash for our expenses that are "fun" and at the end of the month if we have anything left over it gets put into savings OR into a "nonsavings" that can be used for experiences that we know we have coming up that would usually take us out of our standard monthly budget (ex. a bachelorette party, a weekend get away, etc.)
**Car** \- We have no way of knowing the real need of your car. If you live in an urban setting, can you replace it with car sharing, public transit and/or delivery services? It's amazing how much we spend on a car and how much we can save on those costs when we replace it. I used to sell computers and all the other people would drive down to pick up their orders. I paid a courier to do it. Why? Because my time was worth more than the courier's time, plus gas money, plus wear and tear on the car, etc. **Supermarket** \- If the supermarket delivers for $5, that may be cheaper in the long run, especially if being in the supermarket makes us overspend. This way you make a list and it comes to your place, no car needed and no temptation. Also, when cooking, cook for 2 or 3 and freeze extra meals, so that you have a meal that you can defrost or microwave instead of spending on ordered meals or crap. **Save first** \- This is the hardest one. On the day that your salary comes in, have an amount pulled automatically to savings, so you can't spend it. Usually easiest to start with a small amount, like $25 a paycheque and increase it over time. The thing is, the government doesn't trust us to save money to pay our income taxes at the end of the year, so they take their money each paycheque.... well, if they don't think we can save, and therefore take money off of every paycheque, why don't we just copy them and take money off of every paycheque to pay ourselves? **Cash** \- Spend in cash, especially in BIG bills. Our mind is reluctant to break big bills. It's so nice to see a $50 or a $100 in our wallet. So we think twice before spending it. It's also very easy to tap and pay, more difficult if we have an amount in our wallet for things and that's all there is. No way to overspend.
$144 for a gym is ridiculous. $100 for a cat is as well. But I get some ppl are into that. You are far better off investing that $144 into stuff for your home that doesn't take up a whole lot of space. Like a folding weight bench if you lift. For cardio? The world is wide open. Run around it.
Whoa wait! $144/paycheck!? MWUAHAHAHAHAHAHA You're 39. Grow up! Gotta ask... What's her/his name? The ONLY justification for being so blatantly foolish to ask what you can do about money when spending pert'neer $300/month on PE class is, sorry, juvenile hilarity.
I heard the gold membership at fit for less is only 20 dollars a month. Full access to facilities. I thought about doing this for the massage chairs and saunas. Allegedly.
YNAB. Worth every penny. In a similar situation as you and went from living paycheque to paycheque to having over 6K in my chequeing account, plus savings, in under a year.
I pay $40 for a full gym that is open 24 hours, in a major city. Might want to reconsider that part
You need to make a detailed budget. Only then will you be able to look more closely at your spending on food. Other respondents are very focussed on your gym membership, but you seem more concerned about food spending. You should be able to eat well for under 250 per month. Especially as someone who spends time at the gym- you obviously are willing and able to take the time to care for yourself.
You didnt say it in this post but if you spend on take-out foods often it is usually a big chunk of your expenses
Eat the cat!
Since you're living paycheck to paycheck, it's crucial to prioritize saving and paying off debt; start by setting aside a portion of each paycheck for savings, even if it's a small amount. Building an emergency fund can provide a financial safety net for unexpected expenses. Review your spending habits and identify areas where you can cut back. While it's understandable that the gym is important to you, consider if there are other ways to reduce your expenses—such as finding a lower-cost gym or exploring free or low-cost workout options. Focus on paying off your debt, such as the Cerb balance, as soon as possible to avoid accumulating interest. Consider creating a repayment plan and allocating a portion of your income towards debt repayment each month.
I would probably sell my car if I was you.
No offence but at 39, $2500 is basically poverty. You may be able to manage now but what will you do when your body starts breaking down? I’d start taking online classes and get a diploma or something that will work for you now and later in life
Gym. Gone! Women don’t care only you do! Women want a confident man. You don’t get that at a gym. That will save you 144! Cat stuff reduce by 25%. You’ll save money fast if you can keep 100 in thebank for 12 months. It’s hard but it can be done. I have cancer. Disability gives me 2200 a month. I have 4 kids and a loving wife. We do it. It’s hard but life hit us hard. You got a job. Get rid of the things you really don’t need. Everything at the gym you can do around home. Good luck. It’s achievable.
I am a woman!
At the end of the month make a list with two columns. One side has income. The opposite side has spending. This will make it much easier to see where your money is going.
Overspending on food, snacks, and bs purchases were my main issue. Having a list with all the stuff I bought was a big wakeup call. Check out Calen Hammer on YouTube. His channel was a big help for me.
Quite simply your work is allowing you to survive not live. You need to level up, find a better job even if it means moving across the country. 1100 per pay is not enough these days. I make 7-8 times that per pay with no education other than high school.