Weekly Summary - MoneyMasterClass, Week 11
In a recent instalment of the Money Master Class, financial expert Gail shared valuable insights on teaching children money management skills, with a focus on setting up allowances and savings plans.
Gail emphasised the importance of discipline in managing money, stating, "Money isn't rocket science, it's discipline!" She recommended limiting savings from an allowance to 10% and including all sources of income. The key, she explained, is to give kids an allowance that is the money you would normally spend on them, but now put in their hands so they can learn to manage it.
Gail encouraged everyone to sign up for Registered Education Savings Plans (RESPs) to help fund their children's future education. She also discussed the benefits of High Interest Savings Accounts (HISAs) as a way to grow savings.
One of Gail's money-saving tips was cooking up meals to stock freezers, a practice supported by resources such as Bon Appetit and Meal Plan Addict, which offer over 100 recipes for big-batch cooking and freezing.
Gail's book, "Money Smart Kids", provides a 5-point summary about giving kids allowances, which includes teaching financial responsibility, encouraging saving and budgeting, and helping children learn decision-making with money.
For lower-income families, Gail highlighted the Canada Learning Bond program, a government initiative that helps families save for their children's education. Information on the Canada Learning Bond can be found here.
Gail also discussed various investment options, including RRSPs, TFSAs, and savings plans with your employer. She encouraged consistency in delivering and expecting an allowance, emphasising that it should not be "earned" but rather a regular part of a child's financial education.
Newcomers to the Money Master Class can catch up by checking out the intro, weekly recaps, and tweets from the start. The focus this week was on moving money into High Interest Savings Accounts (HISAs). Multiple social media platforms are available to share this post and join the ongoing conversation about financial literacy.
- Gail's book, "Money Smart Kids", encourages a reusable approach to teaching kids financial responsibility, including savings and budgeting within their lifestyle.
- To help fund children's education in the future, Gail recommends signing up for Registered Education Savings Plans (RESPs) and considering High Interest Savings Accounts (HISAs) as a way to grow savings.
- In addition to covering various investment options, Gail educates on personal-finance topics, such as enrolling in the Canada Learning Bond program, a government initiative aimed at helping lower-income families save for their children's education.
