Learn more
Financial literacy is a hot topic. But, really, what is it? Financial literacy is a sort of accumulated knowledge on financial matters that allows us to make informed choices concerning things like our budget and retirement planning.However, several studies have shown that, in Québec, financial literacy needs improving. Is that a problem? Well, of course it is! It is essential to understand the basics to be well prepared for retirement. Indexation, interest rates, and inflation are not just words used by actuaries, stock brokers and traders.
Taking the time to learn more can have an effect on your finances. Visit sites such as the Autorité des marchés financiers (AMF) or consult a financial planner. When you understand the basics, you will see why it is important to plan for your retirement and, above all, why you should start as early as possible.
Do the math
A recent Retraite Québec survey showed that half of workers claim to have calculated or to have had someone calculate what they need to save for retirement. That’s a good start, but why just half? Why hasn’t everyone?I suppose several of you are telling yourselves that you don’t have money to invest anyway, you know more or less what you need to save, retirement is dull and boring, and that it doesn’t matter because you always have your pension fund.
Some food for thought:
- No matter what, retirement is on its way. Even if you bury your head in the sand to try to avoid finding out how much you need to save, you are only delaying the problem. By acting today, you will be giving yourself some peace of mind.
- Of course planning for retirement is boring! So are cleaning, doing the groceries, and helping your children with their homework… But it’s a necessary evil. At least planning doesn’t have to be done every week!
- Even if you are already saving, be sure to do the math. Have you ever considered that you could be saving too much for retirement? Yes, it’s possible!