Paula Morlese’s tips from the Charles Matthews show. Watch her episode below.
Just in time for tax season here are some financial tips taken from Paula Morlese’s recent conversation with Charles Matthews.
Financial empowerment starts early. Planning from a young age and teaching your children and teenagers about planning, will lead to financial empowerment. It’s never too late to start however the older you are the more money you will have to contribute to your savings.
“Rich people don’t put their money in banks.”
Five things that Rich people do to generate wealth (homework)
- Pay yourself (most pay themselves 20% of gross not net)
(They put it in an investment that they can’t touch)
- More than one source of income
- They do not leave their money in banks, they invest IRP (mostly for “affluent Canadians”) In order to get it you have to max out your RSP & TFS (Tax free savings account) must put in $15- $25,000 per year after maxing out previous accounts & it’s locked in that account for 10-20 years
*The rest is homework/ reach out to Paula for the other two tips
“You have to pay yourself first.”
You need a team of experts
- A taxation expert
- A mortgage agent
- A financial adviser
- A personal relationship with someone at the bank (someone who knows you)
RSP’s, by contributing to an RSP you are reducing your taxable income and gives you a bigger tax refund. Take advantage of RSP solutions and get your taxes done on time.
When you receive your tax refund there are 3 things you can do with it
- Pay down debts
- Use it for investments
- Use a SMALL portion on yourself (approx. 10%)