Tag Archives: Financial Literacy Month

Financial education: A benefit employees want to see under the tree

A survey released last month in support of Financial Literacy Month (#FLM2017) by the Canadian Payroll Association reveals that Canadian workers would be very pleased if their employers decided to offer or enhance financial education programs this holiday season.

In fact employees have a strong appetite for employer-provided financial education programs, with an astonishing 82% indicating they would be interested if employers offered financial information at work. But, busy workers have timing expectation — 54% would prefer that employers offered lunch and learns but only 8% would be interested if information was offered after work hours.

Currently, 38% of Canadians rely on financial advisors and banks for financial and retirement planning advice. A further 27% of people surveyed lean on friends, family and the internet for this important information.

Employees’ appetite for financial education at work is not surprising, considering results of the CPA’s National Payroll Week Employee Survey revealing that nearly half (47%) of working Canadians are living pay cheque to pay cheque. Survey results also illustrate that many Canadians are challenged by debt, are worried about their local economy and are not saving enough for retirement.

In addition, the more recent November 2017 survey results show that working Canadians are experiencing a high level of financial stress, and that too few are keeping a close eye on their finances. Half of employees feel that financial stress is impacting their work performance. What’s more, just 52% say they budget frequently; with an astounding 31% of this group saying that they keep their budget in their head. Of those who do budget, 52% say they usually or always stick to their budget.

“We know that many working Canadians are struggling to make ends meet financially and they need help,” says Janice MacLellan, Vice President of Operations at the CPA. “While many Canadians are well-intentioned, our survey results show that they are not making enough progress towards financial health, and ultimately, this is impacting their work and their lives.”

The CPA continues to champion its key message “Pay Yourself First” to prepare for a healthy financial future. Currently 61% of Canadian employers offer a “Pay Yourself First” option through payroll which enables employees to set up automatic payroll deductions to direct a portion of their net pay into a separate retirement or savings account. Of those employers that do not currently offer this option, an additional one-third are considering making it available.

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Members of the Saskatchewan Pension Plan can pay themselves first by having contributions withdrawn directly from their bank account using the PAC system on the 1st or 15th of the month. Other methods of contribution to SPP include: using a contribution form to contribute at your financial institution; using your VISA or MasterCard; through online banking; or by mail to the Plan office in Kindersley.

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Written by Sheryl Smolkin
Sheryl Smolkin LLB., LLM is a retired pension lawyer and President of Sheryl Smolkin & Associates Ltd. For over a decade, she has enjoyed a successful encore career as a freelance writer specializing in retirement, employee benefits and workplace issues. Sheryl and her husband Joel are empty-nesters, residing in Toronto with their cockapoo Rufus.

Nov 3: Best from the blogosphere

By Sheryl Smolkin

November is Financial Literacy Month (FLM) in Canada, and the Financial Consumer Agency of Canada is playing a role in raising awareness and mobilizing organizations across Canada to take part. Here are some blogs and other commentary on financial literacy.

Financial literacy means having the knowledge, skills and confidence to make responsible financial decisions. The FCAC recently released its “National Strategy For Financial Literacy Phase 1: Strengthening Seniors’ Financial Literacy.

The Toronto Star’s Ellen Roseman writes that, “Financial literacy for seniors is crucially important, but it’s not a panacea. Let’s put money into enforcing consumer laws and protecting the vulnerable from tricksters.”

Redux: Real World Example: Kids Allowances is one of Big Cajun Man’s (Alan Whitton) first bits of writing where he commented on how a simple idea about making his childrens’ allowances easier to administer taught him more about money.

Savewithspp.com also previously dealt with financial literacy for children in Your kid’s allowance: Financial literacy 101 and Back to school shopping: A teachable moment.

Back in November 11, 2011 in Financial Literacy Week teaches us about financial success Jim Yih shared 26 simple ideas to grow, manage and protect your wealth. Some of my favourites are:

  1. Know yourself first.
  2. It all starts with planning.
  3. Pay down and manage your debt.
  4. Save money automatically and regularly
  5. Understand how your money is taxed.

And last but not least, the Government of Saskatchewan’s Financial and Consumer Affairs Authority has a website with links and tools supporting financial literacy for young people/parents/educators, adults and seniors.

Do you follow blogs with terrific ideas for saving money that haven’t been mentioned in our weekly “Best from the blogosphere?” Share the information with us on http://wp.me/P1YR2T-JR and your name will be entered in a quarterly draw for a gift card.