Is there truth to less stress with financial freedom?

financial freedom

FREEDOM IS DEFINED BY YOU   Financial freedom means lots of things to many people and although everyone has their thoughts on what life is like without any debt for some it’s not all that it’s cracked up to be. What would it take in order for you to take your stress financially from one level to the next? Would you have to pay off your credit cards, all of your debt, your mortgage or simply just be able to live a comfortable life while paying off your debts? In a conversation with a colleague the other day he brought up a friend of his who just built a new house that he paid cash for, his wife doesn’t work and they have no debt. Top that off with a well-paying job so that must mean his life is all roses, right? Wrong. We don’t know that. He seemed jealous to be honest especially when he said “it must be nice to live a stress free life” which made me wonder why people think that debt=stress. I’ve had people we know think that I must make lots of money with the careers I hold but what they don’t know is […]

Parents tell son he will create credit card debt with rewards cards

credit card debt

CREDIT CARD BUDGET SAVINGS   I talk about credit card debt on CBB once in a while and I also talk about how credit cards can easily be your friend if you use them properly. Many people use credit cards today rather than carrying cash with them. It’s simple to tap, swipe or insert and enter a pin to pay for a purchase and in most cases it gets you through the checkout faster. We carry credit cards because of ease of use and of course there are perks to using Canadian Credit Cards if you use them wisely. Credit cards have helped many people get back on their feet because they knew money was on the way. One friend of ours was in between jobs and used the credit card to get grocery rewards which helped them to buy more groceries for the family every month. One of our current rewards cards the SDM Optimum has almost 500,000 rewards points which is equal to about $1000 worth of free product. We don’t own the Optimum credit card but if you did you could get even more Optimum points faster.   Credit card debt   How to pay off credit […]

Young adult teaches us about being house poor in 15 minutes

House poor

DON’T GET CAUGHT SINKING YOUR SHIP   Being house poor doesn’t necessarily mean that you simply have no money but it can mean that you have too much house you can’t afford. House poor can also mean you have too much stuff, no money and/or piles of consumer debt that you are struggling financially to make ends meet. The term “poor” means so many things to everyone that the only way to describe it from a financial perspective would be lack of money. Some people may not consider themselves poor until starvation kicks in and they have to go to the food bank or when they reach the point of bankruptcy. Others may take on a different view but no matter what poor means to you it’s not a place that people “dream” of.   House poor is not easy living   You might consider yourself house poor when you can’t pay your mortgage which could be for a variety of reasons. There are also plenty of poor people living in the ritzy part of town who are struggling to take control of their financial situation. I think there are many misconceptions of the word poor and the only person […]

Are aftermarket accessories for your vehicle worth it?

Aftermarket car accessories

THAT BLING THING   Maintaining your vehicle is just as important as maintaining your house, even if it’s with aftermarket parts rather than OEM (Original Equipment Manufacturer) parts. For instance, the wheel nuts on our vehicle started to bulge and become distorted because corrosion had built up between the actual nut and the alloy coating on the outside. The price for the new parts were $8+ each so I picked up aftermarket plain nuts for $1.25 each. The vehicle now has new wheel nuts and they didn’t cost me the earth. Not only that but the vehicle still functions the same and it’s safe. I’m an avid fan of maintaining what you have because it will last longer and cost you less in the long run. In the last few weeks I have definitely noticed more and more people taking some time to give their vehicles a little TLC. We are no different, in fact our vehicle will be taken to the car wash place for a shampoo and blow dry too. Not only is it getting cleaned inside and out to get rid of all the salt that has hit it over this particularly nasty winter period, but the tires will be […]

Does having debt mean you have too much money fun?

Money fun

FUN MONEY STILL COSTS YOU   Having fun and having debt is no laughing matter but not everyone sees debt through my eyes. Sometimes debt is just a piece of paper that comes in the mail for someone who says oh look it’s gone up again and heads out for a night on the town. My theory is you need to earn money before you can play the cash out game depending on what you are spending it on though. Keep in mind not all debt happens because of having fun. Debt for some might mean they go to the grave owing people money and they don’t have a care in the world. Those are the people who live in that financial la la land that I talked about earlier. Learning about money saving habits and paying off debt first is not easy for some people and for others it’s a no-brainer. My friend at My Money Design talks about why it is important to save money and now and when he says “because things will happen” he’s nailed it. Not only do things happen most of us will continually want more stuff over the course of our lives and […]

Are you envious of others’ success in life?

Envious of success

STOP THE GREEN EYED MONSTER   Envious definition for me means that someone wishes they could have your success but they just need to find their own path to reach their goals.  The minute your friends Facebook status goes up and says they got a new job, a new car or are in a new relationship do you get upset that it’s not you? Do you question why nothing good ever happens to you? Are you feeling jealous of other people’s success? Don’t be but if you answered no I’d say you are telling a lie because every one of us a tiny bit of envy towards something. It’s how we handle that envy that matters the most. No one likes to feel as if they failed at life and that they have no other options but to accept what they have been given. I think that we can do anything we want with this one life we are given if we find a way to make our dreams come true. Sometimes all you need is a positive boost from a friend or someone who believes in you and before you know it you will land your dream job. Never […]

Finances are like moon phases: February 2014 Net Worth update (+1.25%)

net worth update February 2014

WATCHING INVESTMENTS GROW   Like moon phases, our finances including Net Worth is constantly changing and this month is no different. There will always be ebb and flow in everyone’s finances, sometimes purely by the choices we’ve made. In the CBB household we didn’t have an awful lot left over as spare cash from last month as we had city taxes and pet costs leave the bank. However, there was positive news on the finance front in the form of yet another increase in the exchange rate due to the falling dollar. This increase has led to our UK funds exceeding the total of what is left to pay on the mortgage and with quite a chunk of money left over.   Moon phases   We are definitely moving into our Waxing Gibbous phase where our finances and what we have set up are starting to fall into place. The Full Moon phase will be when our mortgage is paid off and we can move on knowing that fact that we will be carrying zero debt. In the very near future we have to decide what we will be doing with the spare cash that is left over once the […]