November is Financial Literacy Month but what does that mean to you? The last post included the definition by the Financial Consumer Agency of Canada and the key message was for individuals to have enough knowledge to confidently and responsibly manage their finances.

I think for many, these words come with some big and perhaps some great expectations. I often hear comments such as ‘I don’t like dealing with money’, ‘I need to get organized financially’, ‘my finances are a nightmare’ and ‘I don’t know where to start’. Like other topics that may seem complicated, there is often a starting point which can offer an easier introduction. It is the world of household finance after all and although may not be global high finance it’s very important to you and worth getting right.

What does confident and responsible mean? Here are some starting points:

• Know what bills you have and when they are due
• Have a good idea of your minimum monthly expenses (housing, food, utilities, loan payments)
• Know how much you need to earn to cover your expenses (needs and wants)
• Pay your bills (at least the minimum due) on time

This may seem very basic but the beginning is a logical place to start and where you decide to take it from there is up to you! Next post, the next step to becoming financially confident.