Q & A Page | Common "Cents"

Common "Cents"

If you do not have one already, it’s a good idea to set up a bank account. Where should you open your bank account? Just starting out, what types of accounts are recommended you open up?

Where you open up your bank account(s) will depend on your saving and spending needs (*brick-and-mortar, *online banks or *credit unions ).
When you’re just starting out, opening up a *savings and a *checking account is strongly recommended (and the most common option).

How often should you really order / buy a specialty drink?

We will be using coffee as an example to see how expensive this can add up to be.

Let’s say every morning for a year, you go out and buy a $4 cup at a specialty cafe. That adds up to about $120 per month, so $1,440 per year!
Statista.com says "at home" coffee drinkers spend between $10-19 a month, so $120-228 a year.

See that difference? Giving yourself a *budget for those specialty drinks or even just making them at home can really save you money.

It’s ok to spend the money, but you should also save some of it.
We suggest making a *budget for yourself, and then keeping the rest of the money to spend on things you need or, occasionally, want.

With every job comes the long awaited day where you receive your pay check. What should you do with this well earned money?

Buying a car : things to ask yourself or look up.

Thinking about finally getting yourself a car? Some things you'll have to decide or research are:

what you're willing to pay
the type of vehicle you're looking for and if you want it new or used
payment method (*paying upfront, *financing, or *loaning).

When you go shopping, it can be very tempting to spend lots of money. What are ways you could manage your sendings?

Make yourself a *budget.
Look for deals and sales (this isn’t being cheap, it’s actually being financially smarter).
Make sure if you buy something more expensive that it’s good quality.
Ask yourself, “Do I really need this?” (buying for wants versus needs).

Why should you get a Social Insurance Number (SIN)?

A *SIN is needed to:

be able to work in Canada .
obtain government benefits and have access to their programs.

Since you want a car, the best thing would be to put the money in (you guessed it!) your *savings account. When the time comes, you will be able to use the money you’ve saved up in this account towards this big purchase. But when you do, make sure you still have money left for other *expenses you may make.

Let’s say your birthday has just passed, and you’ve received some money. You also recently got your driver’s licence and are looking to get a car. What is the best thing to do with the money in this situation?

Your friends invite you out to dinner with them. When the bill comes, how do you decide to pay?

This mostly depends on what you and the others are willing to spend.
You could either split the *bill, or maybe everyone pays for themselves!
Not wanting to split the *bill if it’s really expensive is totally fine! Who knows, maybe others in the group are also being financially cautious and will be happy you spoke up.

Let's say you now have a car. Gas can cost quite a bit of money, so what are ways you could save when it comes to this?

Carpool and split the cost of the gas *bills.
Carpool and take turns using each others’ cars so you also take turns paying for gas.
If the destination is close, you could bike, walk, run, etc.

Going out can be really fun, so is it that bad to spend money on activities?

Going to (ex:) play laser tag every weekend can really add up and cost you lots of money.
If you really want to go out and do these activities, go for it!
But try to manage how much you spend or how often you go.
Or find cheaper options, like subscribing to streaming services instead of always going to the movies.

Most people our age have their phone bills paid by their parent(s) or guardian(s) so we don't really worry about the money spent on them. Eventually, you may have to pay for them on your own. Have you ever thought about how much it costs?

Some factors to take into consideration when you have to start paying for your own cellphone are:

which company you go with
which model you want to buy (perhaps not always getting the most recent one)
whether you want to keep the phone after you’ve paid it off or not
how much data you want

We encourage you to do some research for the best deal you can afford, and ask yourself questions like, “Do I really need that much data?”