Between the ages of 20 and 30, financial planning is often at the bottom of the priority list. Yet, the twenties offer the chance to prepare for life. Two experts give five rules to follow at this age when everything is still possible.
Posted at 11:00 a.m.
Your education you will do
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Audréanne Leblanc, tax specialist and financial planner at Desjardins
For tax expert and Desjardins financial planner Audréanne Leblanc, the important thing is first to educate yourself. “Life changes enormously between the ages of 20 and 30,” she points out. Some are in school, others have children or already have a home. This is where we learn our basics in finance. »
She suggests seeking information from reliable sources, such as government sites or financial institutions. The Quebec Institute of Financial Planning (IQPF), for example, provides a lot of information on this subject. “What is inflation? What is a mortgage? How does the tax work? You have to get informed and get a technical base,” explains Audréanne Leblanc.
Positive behaviors you will adopt
Next, the expert advises acquiring what she calls soft skills : positive attitudes towards finance. “You have to make sure at this age that you understand your relationship with money. We all have a background, an education, a culture and diverse beliefs in relation to finance, which make us act differently when we have decisions to make. »
Audréanne Leblanc believes that you have to take the time to reflect on your perception of finance, which can be a source of great anxiety for some. “By developing a healthy relationship with money, you put the odds on your side for success. »
To save you will start early
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Catherine Patenaude, Associate Vice-President, Remote Privilege Advisory Team at National Bank
Catherine Patenaude, Associate Vice-President, Remote Privilege Advice team at National Bank, shares this advice: save as soon as possible. “You have to start planning your future early, not only for retirement, but also for projects. “These projects are varied and range from paying off student debt to buying a first home, including a four-day work week, she explains.
If money does not bring happiness, it offers the freedom to make choices and a certain control over one’s life. Systematic saving makes it easier to change careers or get out of an unhealthy relationship.
Your budget you will manage
We can’t get out of it, the budget is one of the basics of financial health. Audréanne Leblanc has a trick for those who have difficulty measuring how much they spend: the reverse budget. “It’s about looking at where his money went last year. If you don’t know that you spent a certain amount in restaurants, for example, it’s difficult to make a budget. »
She adds that from there, we often have revelations. “Exercise makes you more aware of your expenses. This allows you to decide whether each purchase is essential. I’m not saying don’t buy anything, just be reasonable. »
Of finance you will discuss
According to Catherine Patenaude, young couples have every interest in talking about their finances. “We absolutely have to discuss how we see the money and how we intend to manage the budget, whether alone or in pairs. Do we want to share expenses 50/50 or according to income, for example? There are a bunch of options to consider,” she explains.
For the expert, the most common mistake young savers make is not consulting a specialist. “No matter the amount of money you have or your income, you shouldn’t hesitate to go see a financial advisor as soon as possible. »