Not all debt is created equal. That’s why at CleveDoesMore.com, we focus on debt management and not just debt reduction.
Eliminating your debt pays off in ways you may have never considered. Firstly, there are obvious reasons to crush your debt. Carrying high debt lowers your credit score. This makes it harder to buy big-ticket items such as houses or cars. High-interest rates mean that everything you purchase costs more than you think. That deal you got on a cool new sweater doesn’t sound as good when you add in 19% credit card interest. Plus, the more money you owe, the less you have in your pocket.
One of the most common questions I get from my clients is about Tax-Free Savings Accounts (TFSA). They are not sure what it is – is it a savings account? Is it an investment account? What is the point of it? Well, blame the government for the poorly named investment product. Let me clear up some misunderstandings about the TFSA, which can be a great vehicle for investing AND saving.
Have you ever wondered how other communities seem to be born into financial stability? They have no problem coming up with the money for a down payment for a home, investment properties, post-secondary education and trust funds for their children once they become of age that then set them up on a stress-free path into adulthood.
2018 is in the history books and you’ve got big plans ahead for 2019, right?! This is the year that you’re going to get organized financially, make sure your money is working for you, instead of you working for your money. In my experience as a Financial Advisor, one of the biggest mistakes people make is not doing a financial outlook for the year ahead.
Christmas shopping is what’s on most people’s minds in December, but this is also the time of year to take advantage of tax savings before we put a bow on 2018 and kiss it goodbye.
After tax season, one of the things we recommend to our clients is to set aside time to review their tax returns and start thinking about opportunities to improve their tax situations in the months and years ahead.