JANUARY 2010

Our Mission: Support.  Educate.  Empower.

VOLUME II, ISSUE 1

What is a fruit cake worth on Kijiji?

The trees are down, the decorations have been put away, the last of the egg nog is at the back of fridge starting to smell funny and it's 2010.  Now it’s time for the bills to come in and for us all to take stock of what 2009 meant for us and what our hopes for 2010 are.

It’s always interesting to do a mini “Net Worth” statement on ourselves at the beginning of a new year.  Let’s take stock. What do we own, what do we owe and what’s left if we were to cash everything in and go lay on the beach somewhere?   If you think you own too much, Kijiji can be a wonderful thing.  Why not sell that stuff in the basement that you haven’t used in ages?

It's also interesting to compare those numbers year to year.  Has your savings grown this year?  Are you setting aside enough?  How close to retirement are you?  What was your debt load at the beginning of 2009 and what is it now?  Has it reduced?  And what about your unsecured debts?  Did that increase over the holidays?  Was that planned or did it just happen?  There are lots of questions.  The answers can be an eye-opener.

What did you spend this Christmas in total?   If you are comfortable with that amount: divide it by 12 and set that amount aside each month in a savings account so that you are ready for Santa in 2010.  Some people participate in a payroll Canada Savings Bond deduction and cash it out in November to pay for Christmas.  That way, very little extra is needed.  Or you can consider buying little gifts or even gift cards through the year and set them aside.  Or maybe you can save up your reward miles and redeem them for Christmas gifts.

If your debt load is creeping up year-to-year; maybe it’s time to come up with a debt repayment plan.  How long are you prepared to take to pay it off?  What can you afford for payments?  Is there a way of structuring it differently so as to lower your interest rate?  Should you speak to your financial institution?  Should you speak to a Credit Counsellor?  Or should you have a heart-to-heart with your family?  Whatever you decide – please take it seriously.  The average per capita debt load is ever growing.  This will only change if we, as individuals, make those changes in our own lives.  The place to start is with you.