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Own it Guelph – Minimum wage increase

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Here we are, on the verge of 2018, and the new year starts with a minimum wage increase from $11.60 an hour to $14.00 an hour. Congrats, you just got a 22% raise!!!

So, why would a Mortgage Agent & Real Estate Representative care even the slightest about this? Simply put, we believe our roles in this community go beyond just mortgage and real estate transactions.   Jamie wants to help you to understand what is possible and Sandy wants to show you how to make it happen. There is an opportunity here for you to own a home, courtesy of the government of Ontario & your employer. Through our Own It Guelph series, you will learn what the home owning process is, why each step is important and how to cater it to your specific situation. In this blog, we will show you how to use the new minimum wage as a way to own sooner.

 Why are we talking about this increase now? Well, it’s easier to start with good habits than breaking yourself of bad ones. To read more about Sandy’s personal journey go back and read “Pay Bills, Keep Lights On, Feed Kids”. Think about it.  If we came to you 6 months ago and said we were going to give you a 22% raise, but you have to use it to save for a home? Would you take it?  Of course!  It’s free money!  So, let’s do this.

In the current landscape, it takes more discipline to get there, but it’s more achievable than you realize.  How do you do it? The simplest way to go about it is using your RRSPs as a down payment.  Don’t have any RRSPs yet?  See if your employer has RRSP contribution program. It’s the easiest way because they deduct the contribution from your pay so it’s automatic budgeting.  As an added bonus, in many cases, they will match your contribution.  MORE FREE MONEY!!!! This is how you form good habits.

What if your employer doesn’t have an RRSP program?  Inquire at your financial institution about an RRSP loan. The minimum wage increase can cover the loan payments, and you will get a tax break at the end of the year. (Once again, more money for you!!!)  Depending on your situation, you can use that tax break to pay down debts, add to your down payment, or pay back part of the loan. There are so many opportunities based on your specific situation.  To find out what the best options are for you, reach out to either Jamie or Sandy for a no obligation, one on one, consultation.