Jenny’s (not her real name) first lessons about personal finances came from her dad who was working in a profession. She opened a bank account at five years old. Today in her late 40’s, Jenny has amassed savings of $46,000 in an RESP for her teenage son. Jenny has saved this amount with limited income as a recipient of social assistance (Employment and Income Assistance). She has completed financial literacy workshops and matched savings programs and saves money determinedly. Most months 90% of her child tax benefit goes directly to her son’s RESP.
Jenny is trying to pass on her financial literacy skills to her son and teaches him an ‘envelope method’ for tracking spending. When he turns 18 and is no longer in school, he will be required to pay rent to live with his mother. Learning from his mom’s savings patterns may be his path to success.
(Jenny is a pseudonym).