https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y Money Matters Assignment 2 by Courtney Zoschke en-us 2020-11-01 15:30:27 UTC 2020-11-28 20:54:16 UTC hello@padlet.com https://padlet.net/icons/png/1f3e1.png courtneyzoschke https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880078261 In this padlet, the costs and financial aspects of living on your own will be evaluated. You will learn about the costs of living in various cities including Toronto, how to budget and build a financial foundation for you future, different perspectives on how to save money (minimalist lifestyle, living on minimum wage), financial tips for living on your own, government statistics related to money and budgeting, and finally, the breakdown of the costs of living on your own and fees you may not expect. ]]> 2020-11-01 15:35:13 UTC https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880078261 courtneyzoschke https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880088522 This is a video that explains how to manage your money by using the 20/30/50 rule and I feel like this could be a useful tool for budgeting your money when living on your own. This rule breaks down how to effectively manage your money and designating it to certain areas of your life and knowing where your money is going. By 20/30/50, this means that you should set aside 20% of your net income to savings/debt (retirement, loans, credit cards, emergency fund [6-12 months of living expenses], etc.), 30% to wants (recreation, shopping, Netflix, subscriptions, dining out, hobbies, etc.) and the remaining 50% to needs such as housing, food, utilities, insurance, etc. It explains how creating a budget can help you keep track of your money and allow you to save for the future. It also stresses creating an emergency fund so if something devastating or unforeseen happened you are prepared.

]]> 2020-11-01 15:42:58 UTC https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880088522 courtneyzoschke https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880088573 This is not necessarily a breakdown of expenses for moving out on your own, but it is statistical data from the Government of Canada in 2019 which outlines the behavior of Canadians and their money management skills. It determined that 7 out of 10 people prepare for their retirement in their financial goals. It also observed that 2/3 of Canadians have a sufficient emergency fund if they needed it. Further on in the article, there are graphs which demonstrate the % and type of debt people hold, the amount people owe on their mortgages, reasons that people use credit cards,  % of people struggling to manage their cash flow and pay their bills, the number of people who experienced scams and financial fraud,  how many people actively budget and how they do it, how people plan to pay for their school, and more. I included this website because I found this to be very interesting, it was very eye-opening to see the number of people that live in debt although it is understandable because the majority of debt came from mortgages and home improvement. This article and these statistics also showed the importance of budgeting and setting financial goals to maintain a positive cash flow and be able to comfortably afford to live on your own. ]]> 2020-11-01 15:43:00 UTC https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880088573 courtneyzoschke https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880088628 This is an article written by an app called MINT.  It explains that there are tons of apps that can helped with budgeting and managing your finances. Mint is one of the apps and by using it you can save money by sticking to a realistic budget. It explains how many individuals make the mistake of not creating a budget when they move out and this can cause them to run out of money and put themselves in debt especially when they are not contributing to their savings. The article expresses how the MINT app is an easy to use app that categorizes all of your expenses and shows you where you are financially standing at any time. I chose this article because it is another option for people who have a hard time budgeting, it outlines questions you should ask yourself before moving out, how to create a budget and the categories, and money saving tips to help you live comfortably on your own.]]> 2020-11-01 15:43:03 UTC https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880088628 courtneyzoschke https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880088702 This article provides financial tips for living on your own. It talks more about the process of moving into an apartment and how to financially prepare yourself. It is interesting because it recommends not buying too much house/space so you can save money and not spend over 30% of your gross income on all of your living expenses (mortgage/rent, utilities, taxes, repairs, etc.). It also mentions creating a list of what you need/your expenses and adding it to your budget. The main reason I chose this article though is that it discusses furniture and how to save for it because this is an expense most people wouldn't expect to be as expensive as it really is. It explains how you do not need everything in the first month and you should budget what you need, and its importance based on your income. It mentions helpful tips like taking furniture donations from family and close friends to save money especially if it is your first place because it can become very costly. It also suggests looking into estate sales or second-hand sales (craigslist/let go), and using coupons to get discounts on new items if needed. ]]> 2020-11-01 15:43:07 UTC https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880088702 courtneyzoschke https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880088757 This was an interesting video because it explains the realities of many individuals who live alone and the fact that the majority (8 out of 10) live paycheck to paycheck. The man who created the video explains how he got himself into $97,000 worth of debt through purchasing a new car and gaining school loan debt. He kept gaining debt and relized he was in trouble and needed to make a change in his spending habits. After 4 years he was able to pay it all off and become debt free by changing his mindset. He stressed living a minimalist life and gave some financial tips such as reading financial books as they have lots of value and are a good learning resource, creating positive habits and maintaining a healthy relationship with your money. The biggest message that was emphasized was to always spend less money than you make and to stop making excuses to buy things and feeling pressure to buy what’s new because of social media. Don’t spend and upgrade just because you get a promotion and to stay mindful of your spending while keeping your lifestyle in line. By staying mindful this provides financial safety and security in the long run and allows you to live more comfortably. It explains how if you change your mindset from needing the newest items and upgrades to needing to live debt free and not ay check to paycheck it can help a lot.  I chose this because it relates to students and he talks about money, modern problems with it and how living a minimalist lifestyle can help you. ]]> 2020-11-01 15:43:10 UTC https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880088757 courtneyzoschke https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880088837 This is a video from 2019 and the woman in the video is a resident of Toronto and breaks down the cost of living in Toronto, Canada's biggest city.  It is about a year old so the values may be a little different now but she concluded that the average cost of living in Toronto for her was 1900-2200 a month. She explained that the average rent price in Toronto is 2200 a month but since she has found strategies to lower her monthly costs, her cost of living has become much cheaper.  She has lived in Toronto for quite a few years so her rent was only $1300 because of rent control, her rent can not go up drastically by law but the same place for a new resident could cost much more, so she has gotten lucky and has cheap rent because of that. She broke down the cost of her phone and Wi-Fi ($140/month), groceries ($280/month),  Transit ($160 /month for transit pass), eating out and entertainment ($300/ month due to living in a very busy city with lots of diversity),  business expenses ($100/month) and other ($300/month) which totaled to $1900-2200/month. She also gave tips for living a cheaper lifestyle and some of them included biking or using transit instead of using a vehicle,  living with roommates, instead of going out go for a walk and enjoy nature, and grocery shopping at farmers markets and meal prepping. She finished off the video by explaining that to buy a house in Toronto is very costly and the best option for her right now is renting as in order to buy a house she would have to earn a minimum of $5000 a month. I chose this video because it relates to a city that is local, but it also shows how much more expensive it can be to choose to live in a big city. I also thought that this video was important to share because it analyzed her personal monthly costs of living while also providing tips on how to make city living cheaper. ]]> 2020-11-01 15:43:13 UTC https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880088837 courtneyzoschke https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880088945 This video explains how to live comfortably by yourself while earning minimum wage. She starts off the video by saying she isn't in school because she is paying off past school debt from an unfinished program. She is currently working minimum wage as a server and living by herself.  A big reason why she was able to do this was that while she was living with her parents she started saving for her future and saved $14,000. She noticed she was spending a large amount on unnecessary purchases so she changed her life around and became a minimalist. By becoming a minimalist she was able to save more money and make $4500 off of selling second-hand items (clothing jewelry, makeup). She stresses the importance of saving if you are able to because it can ease your financial stress and help you live comfortably. Her biggest tips aside from saving were living on a budget as it teaches you responsibility and to always have a "side hustle" such as a second job or a hobby you can make money off of. Her current side hustle is s YouTube channel.  I chose this video because it talks about a lot of younger people's price range. Usually to get a good-paying job you need post-secondary education so a lot of younger people work minimum wage jobs until they finish school or if they don’t go to school. I found this video to be interesting because it talked about different side jobs you could do such as babysitting, selling your stuff, etc. so you have funds to add to your emergency fund so you are not taking it out of your savings.  She also mentioned not neglecting yourself and if you need to you should spend money on yourself (ex. she bought a new, neutral wardrobe for $100 to minimalize). ]]> 2020-11-01 15:43:18 UTC https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880088945 courtneyzoschke https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880089012 This website broke down the average cost of rent, a meal, and transportation in big cities in many countries (Toronto – Canada, New York-USA, London-UK, etc.) and it showed that although Toronto may seem expensive it is cheaper than cities in other countries (ex. New York ($4323/month for rent)).  Then it broke down the cost of living in different Canadian cities such as Toronto and Montreal by comparing the rent to the salaries of individuals. It also broke down costs such as healthcare, dental, transportation, education, and the overall cost needed to live comfortably ($250000-$400000/year). I chose this website because it is relevant to 2020 and it is important for people to know they have options depending on where they want to live and their price range which they have to work with. 

]]> 2020-11-01 15:43:23 UTC https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880089012 courtneyzoschke https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880089978 1. What did you learn about your topic that surprised you the most?
When working on this project, what surprised me the most was learning about the costs of various cities throughout Canada. It really opened my eyes to how expensive Toronto and Vancouver are and has made me consider not moving to a bigger city as this can be more costly by a very large difference. It also surprised me because I always thought Toronto was very expensive compared to other countries but that is not the case and out of the list of large cities in other countries Toronto was one of the cheapest for the cost of living.

2. Provide a real-life example of how this topic is relevant or interesting for you
This topic is relevant to me because once I graduate next year I will be moving out of my house and living on my own, the research I have done has made me think critically about things I need to take into consideration such as buying furniture or saving for retirement. It was also useful to read about budgeting and helpful strategies and apps to save money. It was reassuring though because I could relate to multiple videos as I have been saving money while I live with family, I am always working a side job, I have sold my stuff for extra income, and I have lived off of minimum wage before. 

3. If you could pass on your knowledge to a family member or friend, what do you think is the most important thing to pass on?
I feel like the most important thing about living on your own is learning how to be mindful of your spending habits and to be able to track your spending so that you are able to live a more comfortable and stress-free life. The most important information and tip I would pass onto my family and friends is the 20/30/50 rule as this is a smart approach to being responsible with your money and budgeting and is not hard to understand at all.]]> 2020-11-01 15:44:07 UTC https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/880089978 courtneyzoschke https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/888378027 This image demonstrated steps that young people can take to build a financial foundation and eventually get some sort of financial freedom by building good habits and spending within your means and what you can afford. All of the suggested tips are valid as it mentions creating a budget and building an emergency fund which can assist you in understanding your spending habits and if you can afford to invest.  It mentions paying your bills on time and not avoiding payments to allow you to build a good credit score, and it mentions to use credit wisely to also keep a good credit rating. Finally, it reminds young people 4not to forget about saving for retirement as this is also a very important aspect which should be taken into consideration and you should always be thinking about finances for the future]]> 2020-11-04 01:42:48 UTC https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/888378027 courtneyzoschke https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/888387722 This image outlines the expenses of living on your own and how it is more than just paying rent by outlining other expenses that are involved.  I chose this image to illustrate that living on your own comes with expenses you may not think about till you are on your own which include electricity, utilities, cable/telephone/internet, renters insurance, security monitoring, parking, households items, etc. which can all add up in cost and need to be accounted for to ensure you are able to support yourself and are able to afford it.]]> 2020-11-04 01:48:25 UTC https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/888387722 courtneyzoschke https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/967472616 The final website I chose was an article from the Greater Toronto Real Estate Corporation. The website examines the difference between buying and renting and looks at the advantages/disadvantages of both, real-life examples of the cost of living in the same house in both scenarios, and reasons to help you decide if renting or buying is more suitable for you. I included this article because I felt it was important as both renting and buying are options when moving out on your own depending on what you are looking for.  I found this website to be helpful as it was very clear and informative, this could be used for individuals who are moving out on their own but are unsure of whether they would like to buy their own house or rent depending on their lifestyle and price range.]]> 2020-11-28 20:38:00 UTC https://padlet.com/courtneyzoschke/r0926w7x0g6jcu3y/wish/967472616