Consider different options for reaching your goals
There may be more than one way to reach your goals. If your goal is to save $10,000 in the next 2 years for a car, you’ll need to save about $420 each month. You could save that money in a savings account. Or you could save it in your RRSP, reducing the income tax you owe. Then you could set aside your tax savings for your car.
8 questions to ask yourself
- How much do you have to save each month to reach your goals?
- How should you invest your savings to help your money grow?
- If your goal is to pay off debt by a certain date, how much do you need to pay back each month?
- Will you need to change your spending habits to save money or pay off debt?
- Would you be able to pay your bills if you lost your job or had an accident and couldn’t work?
- How can you lower your taxes?
- How much income will you need when you retire?
- How can you reduce taxes on your estate?
3 tools to help you explore your options