In this interview with CBC Information Morning from June 2017, Dan discusses results of a financial survey of Canadians. The survey found that millennials in particular lack financial flexibility to adjust to rising interest rates, unforeseen expenses, and interruptions to their income.
Other highlights of the survey:
- One in five millennials don't have any savings at all.
- Half surveyed have less than $5000 in emergency savings.
- If one partner lost their job, 45% would struggle to make mortgage payments.
One of the major issues is lack of savings - a lot of money is put towards debt repayment, but relatively little is set aside. That paints a worrying picture for 30 years in the future, when millennials start reaching retirement age.
What is Dan's advice?
- Start a savings plan. You get used to it after a few months and it becomes second nature.
- Pay down your line of credit to give you room to handle financial emergencies.
- Build a $5000 emergency fund.
