Tuesday, 2 May 2017

All By Myself: 5 Finanical Lessons My Mother Taught Me - What's On Your Mind - May 2017

Almost half the population is single whether it is chosen or something that happens to them after their marriage ends.  If you are a decidedly single person you may already have a great handle on your finances.  If you have recently come out of a relationship where the other partner handled the finances you need to learn the basics of finances 101.

Having a financial advisor may be a good place to start on your road to financial success.  A lot of single people suffer anxiety thinking about how they will manage on their own.  Having someone on your side to discuss your situation and lay out a plan of action may just be the medicine you need to feel secure.

My mother was widowed at 43 years old.  My father was the sole income provider and also managed the household expenses.  My mother had to learn to live not just without the support of her husband but to manage the finances, raise four remaining minor children and run a house while worrying how she was going to manage into retirement.

The following are the lessons my mother learned and wished in some cases she had learned sooner.

Lesson One:  Know where to find all important papers and accounts you have.  Understand what insurances are in place.  Now a days you also need to know where to find passwords for all accounts etc.  My mother wished my father had life insurance.  Having protection for the family would have made my mother's life easier.

Lesson Two:  Know what the cash flow is.  What income will now be coming in and what household expenses are going out.  This may have been done by your partner and you need to know what has to be paid.  My mother never worried about cash flow and just relied on her husband to provide what she needed for the family.  My mother had to quickly learn how to pay bills and the consequence of not paying them on time.

Lesson Three:  Create a budget.  You may have never had to worry or plan the finances until now. You need to learn how to create and stick to a budget.  Your budget will also help you to plan and save for your future.  My mother spent what came in and that was her budget.  Now my mother understands budgeting and the importance it has, if you want to have a secure financial future.

Lesson Four:  Pay yourself first.  Ask your friends or family for referrals to financial advisors. When you start saving for your future you need to invest some of your money on a regular basis so you can have an emergency fund along with your long term savings for retirement.  My mother never understood the importance of paying yourself first and lost a lot of years of compounding because she did not have the help of financial advisor.  My mother learned this later in life, now having a daughter in the business to help her make the right financial decisions. 

Lesson Five:  Get a handle on your taxes.  Most people don't feel comfortable having to deal with taxes and eventually find they are paying large amounts of taxes needlessly.  At some point the person may ask their adult children or a friend to help them.  It is at this point you want to use a financial advisor as a resource.   My mother has me to help her.  Who is helping your mother, sister, friend, etc.?

Linda J. Levesque, CFP®, FMA, FCSI
Sr. Investment Advisor
Director, Private Client Group
HollisWealth Insurance Advisor
HollisWealth Insurance Agency Ltd.
Levesque Wealth Planning
HollisWealth, a division of Scotia Capital Inc.
One Corporate Plaza, 2075 Kennedy Road, 5th Floor, Toronto, ON M1T 3V3
Tel: 416-412-8018 / 1-800-322-4030  Fax: 416-332-6772

‘Saving Today for a Richer Tomorrow’™

You can, as long as you include this complete statement with it: Linda J. Levesque, Senior Investment Advisor and Director, Private Client Group of HollisWealth is an author of The 5 Minute Wealth Plan, Saving Today for a Richer Tomorrow, in The Road to Success with Jack Canfield and in The Authorities, Powerful Wisdom from Leaders in the Field.  If you're ready to jump-start your life, have more fun and joy in all that you do, get a FREE consultation from Linda J. Levesque 

This article was prepared solely by Linda J. Levesque who is a registered representative of HollisWealth® HollisWealth is a trade name of Scotia Capital Inc. and HollisWealth Insurance Agency Ltd.  HollisWealth is a division of Scotia Capital Inc., a member of the Canadian Investor Protection Fund and the Investment Industry Regulatory Organization of Canada.  Brokerage services provided by HollisWealth are provided through Scotia Capital Inc. Insurance products provided by HollisWealth are provided through HollisWealth Insurance Agency Ltd. ® Registered trademark of The Bank of Nova Scotia, used under licence. The views and opinions, including any recommendations, expressed in this article are those of Linda J. Levesque alone and not those of HollisWealth.  Levesque Wealth Planning is a personal trade name of Linda J. Levesque. HollisWealth and the Scotiabank companies do not provide income tax preparation services nor do they supervise or review other persons who may provide such services.

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