More Money Podcast - 342 How to Combat Rising Inflation and Interest Rates - Angela Iermieri, Financial Planner at Desjardins

Episode Date: October 27, 2022

I’m sharing a bonus episode of the podcast today! The last time I chatted with today’s guest was in 2020 and in the midst of a lockdown during the pandemic when we did a special video together. Now, two years later, Angela Iermieri joins me on the More Money Podcast to discuss inflation, rising costs, rising interest rates, and the very real possibility that a recession is coming in the near future. Angela Iermieri is a financial planner and personal finance expert with over 20 years of experience, as well as a spokesperson for Desjardins Group. She shares her expertise and educates people on personal finance by writing articles in various internal and external publications, and by putting together informational videos, webinars, and conferences. In this episode, Angela outlines the differences between inflation and interest rates (and their special relationship with each other), what inflation was like at its peak in the 1980s (and why it was a very different scenario than what we're experiencing today), and what we can do as individuals in our daily lives to help quell inflation so it gets back down to a normal level. For full episode show notes visit: https://jessicamoorhouse.com/342 Learn more about your ad choices. Visit megaphone.fm/adchoices

Hello, Lulu, and welcome back to the More Money Podcast. This is your host, Jessica Morehouse, and this is episode 342 of the show and also a bonus episode. Usually I just do episodes on Wednesdays. Hey, we've got two episodes for you this week. I'm so excited because honestly, this is a very essential, I feel like, episode everyone should be listening to because we're going to be diving into topics that are happening right now that I am constantly asked about, you know, from journalists to be on the news. And I think it's just time to get some clarification when it comes to things going on in the world like inflation, interest rates, cost of living, possible recession, what is going on? And what can we as individuals do

about it and just understand what what is going on? Honestly, that is a big proponent because I feel like there's a lot of confusion, a lot of crazy headlines, a lot of anxiety. And that is why I wanted to invite my next guest on the show for this special episode. And I've got Angela Yermieri, who is a financial planner with Desjardins Group and also a personal finance expert. You may have already seen us actually work together a few years back. We mentioned this in the episode back in 2020, like the summer of 2020, when we were locked down. I worked with Desjardins to create a few videos for their YouTube channel called FinTalks. And I was joined by her.

We did a little interview about budgeting during a time of, well, chaos during a very unsettling time in the world. So you can check that out. It is on my, well, it's on their YouTube channel, but I have linked to it on mine. I'm going to link to it in the show notes. So you can just go to JessicaMorales.com slash 342, but it is in a playlist I've got on my channel called Brand Collaborations. You can check that out if you want to check it out if you want to. A little bit more about Angela. So she started her career in Desjardins Group's Case Network as a financial planner. And in 2012, she became a personal finance spokesperson and content expert for Desjardins Group as well. She shares her expertise and educates people on personal finance by writing

articles in various internal and external publications and by putting together some informational videos, webinars and conferences. And Angela earned a degree in business administration from the École des Hautes Études Commerciales. She's a mutual funds rep and compliance officer and a certified financial planner by the IQPF. And also I should mention, because I feel like I forgot this little tidbit, she has over 20 years of experience in the field, which definitely shows when we really get into the nitty gritty. And she has some really, really great tips and pieces of advice for anyone feeling really anxious about what's going on, you know, what's going to happen in the next couple months or next 12 months. So yeah, we have a lot to get into. I just want to remind you as well, because we do

touch on this kind of at the end of this episode, but I do have a second podcast called Clean Slate is something that I recorded over the summer in partnership with CBC and Desjardins. So if you want to check that out and see the, and it's a video podcast, which is really cool. So you can check out my interviews on that podcast at cbc.ca slash clean dash slate. That is where you can find that second podcast. And of course, and we do mention this in the episode as well, Desjardins has a bunch of great resources on their website, and you can find all of them at Desjardins.com. All right. Without further ado, let's get to that interview with Angela. Welcome to the More Money Podcast, Angela. I'm excited to chat with you

once again. I know we spoke, we kind of did a video thing that FYI is on my YouTube channel, people, back in 2020, at the height, like really early days of 2020 and lockdown in the summertime. And I'm excited to have you back to chat about what's going on now. It's been a few years, but still, it's been an interesting couple of years. Yes, it has. Well, thanks for having me. I'm excited to be here. Yeah. So we're really going to dive into the kind of topics of inflation, rising costs, what's going on now, what can we do? Because I mean, these have been the topics, I feel like really the topics of 2022, and they're not going to go away anytime soon,

because it's going to, I feel like, be a while until we see things reset and get back to normal. But I know a lot of people are still really concerned about what's going on. But let's kind of start kind of the basics. For people who hear the terminology inflation a lot, it's kind of a buzzword. Some people don't quite know the background of it. So let's start there. Can you explain what exactly is inflation? How does it work? Sure. And you're right when you say people don't really know what it's about because inflation hasn't been at this level in the past 40 years. So everybody who's younger than 40 years old hasn't necessarily lived through it. So inflation is actually the raise in prices,

which also can be translated as a decline in purchasing power over time. So it's a persistent increase in the cost of goods and services. And usually that increases in form of a percentage on an annual or monthly basis. So when the cost of living increases, well, your money loses value. So you get less for your own money. So for example, let's say the cost of the ingredients for a family breakfast has changed in the past 26 years. So in 1996, a breakfast for family of four, eggs, bacon, a sliced bread, and maybe a can of beans and oranges costed $8.39. If we bring this forward to February 2022, it would have been $21. So today it takes more to buy just one pack of bacon than it took to buy all these ingredients 26 years ago. So that's what increase in prices and inflation does. And two, the most commonly used inflation index

is the consumer price index. It shows the changes in the prices in a basket, which generally represents household purchases of essential goods and services, such as groceries and housing, transportation, clothing, and other items. And these expenses are weighed based on their relative importance and they represent the fluctuation of the cost of living. So depending on your personal needs and lifestyles, the impact will differ. So in the past two years, what we've

seen at the expenses that have increased the most are fuel and groceries. So for example, if you don't own a car or maybe if you don't eat meat, well, the impact may not be the same as someone else. And the products we purchase the most often are the ones that we seem to notice the most. That's why food is something we buy on a daily basis. So we tend to notice the increase in prices when we purchase those rather than something that maybe we don't buy as often. So high inflation is making life a little bit more difficult for Canadians right now, especially those who are on lower or fixed incomes, because their incomes are not rising at the same level as the inflation is. So that's why usually we think of people who have a fixed income and they're not indexed. So they're losing purchasing power.

So basically, the inflation reflects the global developments that we don't control. But inflation in Canada also reflects what's happening in Canada. The demand for goods and services is running ahead of the economy's ability to supply them. So businesses are having a hard time finding enough workers. And so they started hiring prices and delay for maybe international products that are not coming in. So that all soars into what and how inflation is impacting us. Yeah. And like you kind of mentioned, for, you know, lots of younger people or people like me who are in their 30s. And I remember hearing from my parents often, you know, back in my day, we had high interest rates, inflation was

really high, but I'd never personally experienced it because I was a child. Now, we've been really lucky, lots of us for the past, like you said, 40 years. But yeah, in the 80s, we did. And I think that there's a lot of comparisons now compared to the 80s, because we're seeing these rising inflation rates. Do you want to share a little bit about the history of the 80s and why there was high inflation back then, just to give people a reference point? Well, yeah, in the 70s and the 80s, there were two distinct inflation episodes that led to double digit price increases in Canada. So from 71 to 76 and then again from 77 to 83. In both cases, again, food and energy prices shocked, they were the trigger. In the first episode in 1973, the food prices jumped 18%. And then the Arab-Israeli were in the same year, quadrupling the world price of oil caused by a massive rise

in gasoline prices. So the Canadian inflation was hiked by then by 12%. And then again, following those years, we saw meat prices skyrocketing by 70% and the overall food index over 20%. So those are all numbers that we haven't heard of in the past 40 years. So we're nowhere near that. We're a lot less, even though our 7% or 8% inflation rate may seem very, very high. We're not at that level. And one of the reasons why is that the Bank of Canada was taking action to keep inflation down. But it's not until 1991 that the Bank of Canada took in their policy to keep inflation between a 1% to 3% target. So that wasn't in place by then. So now those are the policies that the Bank of Canada aims for. So that's why we could be a little bit reassured that we have things a little bit more in control.

And it shouldn't be, even though there are some similarities with what happened in the 70s and the 80s, what we're currently experiencing, economists are not expecting inflations to return to those historic highs. So though the drivers are similar, there are differences. So one factor we expect to provide a counterpart in the Bank of Canada, he has started to aggressively hike interest rates and will continue to do so until inflation decelerates. Yeah. So talking about interest rates, because also that's a big buzzword. A lot of people keep on hearing about interest rates, but I think there's a lot of confusion about what is the difference between that and inflation. So let's kind of talk about that. Interest rates, obviously,

they are a key part of inflation, like you just mentioned. So, you know, when we hear things about interest rates are on the rise, you know, lots of people hear that as a negative, but there's actually some positive things, like it's actually like long term, it is a good thing. Do you want to kind of share a little bit more about the relationship between inflation and interest rates? Yes, well, that's the Bank of Canada's job is to keep the inflation between one and three percent. And in order to lower inflation, one of the key ways to do it is to increase interest rates. By increasing interest rates, the Bank of Canada will slow down the economy, I should say, which causes less spending and people to keep it on a

lower key towards their personal situations, their lending needs, their borrowing needs. And so, the same thing will be for companies who will do the same thing. When interest rates rise, they tend to spend less and invest less in their companies. So on a short-term period, it may seem unreasonable to raise the interest rates and to cause this. But on the other hand, that's the way, the only way we'll lower inflation and we won't get to, like we were talking about before,

about the 70s and 80s where inflation rates hit 20%. So that's the way, the similarity between inflation and interest rates. So obviously, if you're planning to buy a new home or a car, you'll note that the interest rates are going up so that the cost of borrowing will also be higher. So, for example, if you're planning on buying a car, the lease or the financing rate for your vehicle could end up being much higher than when you ordered the vehicle because the payments are higher. And the same way some homebuyers may have to prove their eligibility to get a mortgage if their income is insufficient to pass the stress test at an even higher interest rate. Because we know that now the stress test proves that you can make a payment at an interest rate that is usually higher than the one on your mortgage contract. So it's calculated at the higher of 5.25% or the actual rate plus 2%. So sometimes that makes it a little bit harder to get approved for a mortgage or a loan.

And the same thing, as I was saying, for companies, they might find it more difficult to get financing. Growth often requires getting a loan to buy new equipment and whatnot. So on a short term basis, those are the impacts that lowering inflation could have by increasing interest rates. Speaking a little bit more specifically, because again, we're saying the word interest rates, but there's actually kind of a couple rates are important, because I think a lot of people are confused. Like, is the Bank of Canada raising my mortgage? Like, what are they doing?

And then people blame the government and they're confused. But there's a couple of key things for people to understand, such as the Bank of Canada's overnight rate and the bank's prime rate. These are two different rates, but they are connected. But I think a lot of people don't quite understand, you know, what exactly is this? You know, when, you know, the Bank of Canada, there's always those announcements. The Bank of Canada is, once again, raising the key interest rate or has a couple of different names, overnight rate.

Do you want to kind of explain for people who aren't really familiar with those terms, what is the Bank of Canada's overnight rate and what is the bank's prime rate? As you said, there are two distinct things. So the key policy rate, also known as the overnight rate, it's the interest rate that the central bank sets to target the monetary policy. So the overnight rate is the interest rate at which a depository institution, like a bank or credit union, that's the rate that they lend or borrow funds from another bank or credit union in the overnight market. So then the financial institutions will rely on that overnight rate to set their interest rates for their products, like their valuable mortgages, their line of credits, or their business loans, and that becomes the bank's prime rate. So, for example, if you want

to get a variable rate mortgage, it will be based on the prime rate, which the prime rate is set according to the Bank of Canada's key policy rates. So the Bank of Canada usually sets it to give the banks and the credit unions a minimum policy for their own interest rates that will become their prime rate. And then obviously after the primary, when we go into, let's say, personal loans, that will also become part of your own credit rating and your personal history on what you're entitled to and what banks will offer you as a rate and all that. So when the Bank of Canada raises the overnight rate, it becomes more expensive for banks to

borrow money. And then they raise their respective prime rates to cover the added costs. So high interest rates tend to encourage people to save instead of and to borrow less. This tactic rebalances the economic cycle in the medium to long term. But conversely, when the Bank of Canada lowers the overnight rate, banks usually lower their prime rates by the same amount. So there you have more low stable inflation that supports the economy in many ways. So basically, that's what happened at the beginning of the pandemic. When everything shut down, the Bank of Canada lowered their rates and sold it to banks because they wanted to help people borrow if needed in more difficult times. So it helps the consumer spending by protecting the purchasing power of people whose incomes don't rise at the

same prices. It fuels investments too for those less uncertainty about the future, like we said at the beginning of the pandemic. And they always tend to be lower when they are pricing in inflation risk premiums. So when the economy does well, usually the rates are lower. And when we're trying to maybe slow down the economy a little like we are right now, the rates will go a little bit higher. And I guess the other side to also think about, I think lots of people forget, but it's becoming a little bit more apparent. For so long, we've experienced low interest rates, which has been great for borrowing, but it wasn't so great for saving. GIC rates, savings account rates were pretty low, which was unfortunate. Now we're starting to see all the banks start to raise their GIC rates, raise their savings

account rates to also, like you kind of mentioned, encourage people to save more and maybe put pause on borrowing because we all want this inflation to go back down. So that's kind of why if you're seeing that and just to kind of go off of what you mentioned about the prime rate, because I think another important element you kind of touched on was, you know, there's the prime rate that the bank offers, but obviously, your own credibility, your credit worthiness is a big impact. And so that's why, you know, for example, my own mortgage, it says, my mortgage rate is the prime rate minus a certain percentage. And that is based off me and my husband's credit scores and a bunch of other criteria. And so that's kind of the personal

element why it's always good to have that good credit rating and look really responsible with credit because then you can make your borrowing rate lower than what the actual prime rate is. You don't want that. But shifting a little bit, let's talk a little bit more about some, you know, I think that was such a helpful description and explanation of what's going on right now, that background. But now I know lots of people are concerned about, okay, what can I do, though? What can I do? I can't control what the Bank of Canada is doing, what the banks are doing, in relation to interest rates. I think a lot of people feel, you know, like they just don't have any kind of control, which makes you feel anxious. So what can I think everyday Canadians like you and me do to kind of quell inflation on our own?

Is it just a matter of, you know, putting pause on some of those plans to take out a loan and really put your focus back on saving? Well, yeah, actually, it could be many of those things because when inflation kicks in, it's one of those times where you need to take time to take stock of your financial situation and manage your personal finances. So basically, what you start with is to update your budget, hopefully, if you have one, or maybe set one up if it's the first time, and to reflect on your current expenses. Because as we said, that's what's going up, expenses are going up. So you could categorize these expenses. And there's many apps out there and tools. And Desjardins has My Budget

Tool, which separates your monthly expenses, which are charged on your credit, your debit cards, and any payment that goes through your account. So then you could see where the bulk of your expenses go and maybe where you can cut. So you'll see if it's in housing, transportation, leisure, groceries, and that'll give you a better idea of where does your money go and what can I do? Where can I cut? Because these are harder times and maybe I need to cut something off my budget. And it also makes you realize where you have some expenses. I mean, you know, the past few years we've had a lot of, you know, TV watching or all these platforms that we have. So maybe we're not using them anymore. So maybe those are things we could cut on now. Also, if it's possible to make extra payments on your loans to reduce your debts, especially those with high interest

rates. Obviously, we think right away of credit cards. So now is not the time to let those debts linger, especially with the interest rates that are raising. And maybe, like you said, hold off on any large or non-urgent purchases, like if you're planning to buy a vehicle or maybe remodeling the home, maybe that could hold off if it's not an emergency. I mean, if the roof is leaking, yes, we have no choice. We got to get that done. But other than that, maybe we could just, you know, hold on, hold off for a little bit maybe keep those automatic transfers if you do contribute periodically, because that's always the goal and that's the best way to go about it. So you don't have to feel the jitters of the ups and downs of the markets. So if possible, maybe save a little bit more to reach those future goals, because like

we said, they might be costing a little bit more. So you may want to increase a little bit more. So you may want to increase a little bit your savings and simple things like planning ahead, planning your meals, buying your groceries based on weekly specials, maybe save on gas with fuel efficient driving and transportation. I think it's just being aware and conscious. That's what we can do. And maybe what we have a control on, because like you said, we can't control the economy, we can't control the inflation. But we can control what we do with our money and how we spend it and how we save it also. And especially too, as you see lots of headlines and discussions

about a possible recession i feel like this is the time though i feel like i've said this so so many times over the years it's always the time to really take a look at your your financial situation what is going on if you don't have a budget i mean there's no this is the time to have one because you need to know where where your money is what's it doing are? Are there areas where you forgot about? So many times I've worked with one-on-one clients. They're like, I didn't realize I was spending money on this. It was a subscription I thought I canceled. But because if you don't track your spending, it can easily just go unnoticed. And so this is the time to really be thoughtful about that.

But like you mentioned, it's like this is a great time to continue making those regular contributions to your investments, do that dollar cost averaging. I agree that's like one of the best strategies when it comes to investing when there's lots of volatility, and it's kind of freaky. But also, one thing I've definitely been doing is really just taking a look at, okay, a lot has changed in the past few years. Do I have a good safety net in terms of like cash if something happens? Like, you know, again, again recession what if some of my work dries up or or what if we do have a big expense that you know surprise and we don't want to borrow money and pay that interest rate we want some cash so really taking a look at you know what's going on now and looking ahead and looking forward I think that's

so so important um speaking a little bit about looking forward at future projects, I know a lot of people are, you know, home ownership has been a hot topic for a while. And now you're saying I'm seeing the real estate market across Canada definitely shift compared to a year ago. And I think that's a good thing because it was getting a little out of hand. What should people consider if they still do have dreams of home ownership or even, you know, retirement? I know a lot of people are kind of scared about, you know, having those retirement plans. You know, my parents are getting close to that age and, you know, is this a good time

to retire? Should we delay that? Should we work a little bit longer? Do you have any kind of thoughts about that? I'm not sure if you've worked with any clients who have some of those concerns as well. Well, yes, as you said, I think it's the main topic. Everybody is looking at what's going on now and wondering what will be happening later. But as we mentioned earlier, inflation is expected to cool once the interest rate hikes take effect, and the economy should be more favorable in the

next years. And as you said, house prices may be dropping from their peak, which is a good thing. In certain cities, supply may be better, but in others, it could still be low. So affordability may still be an issue when we see the interest rates rising. But if home ownership is a project for you, it's still a possibility. What's important is to start planning now and save for your down payment. One good thing that will be coming up in the next year, the federal government will be introducing the new first home tax-free savings account. Good for you for remembering. We got to learn that one too. The longest name of an account. I can never get that straight. It's so long.

So the first home savings account, first home tax-free savings account will be available in 2023, sometime during the year. And it will allow deductible contributions and tax-free gains on money saved towards down payment on a home. So you'll be able to contribute yearly $8,000 and up to $40,000 and also withdraw the total amount when it comes time to purchase your

home, including all the gains that you will have made on the money saved. So in order to reach that $40,000, you will have to make contributions of $8,000 for five years. So that's why it's good to plan ahead. But if that's a project, that's one way that you could start saving now. And in the next few years, home ownership could still be a project and it could be feasible. And the same thing goes for retirement planning retirement planning um well it's like any other project start early and and the amount doesn't really matter on what you can save and what you can because you know like we said budgets might be a little bit tighter um but just don't wait until you can you know you know i'll put a bigger amount later that's often the way people

see it uh because even a small amount today can generate an interesting sum thanks to compound interest. So it's always the time to profit from the RRSP deductible contributions, the TFSA tax-free gains, and any employer contributions that you can to plan for your retirement. Setting up when you get closer, I mean, maybe not in your 30s, unless you have a very precise plan on what you want to do for retirement, but you start slowly. And then when you approach retirement age, like you mentioned, maybe your parents or the ones that are closer to retirement, we always suggest to do a retirement plan, a retirement budget, and that's something that needs to be reviewed now, considering the volatility on the markets, but also considering

inflation. So like we mentioned at the beginning of the podcast, Ken, what an item costs today, what will it cost in 10 years? So will you be able to afford it? So it's important to review your retirement plans. As financial planners, we do consider inflation when we make our retirement plans, but it's always good to update it and see if you're still in line to aim for retirement in five years or 10 years, or maybe you could do it earlier, or maybe you'll have to wait a little bit. But it's time to look into that too, if that's your plan on a short term basis. Absolutely. Yeah, I feel like a lot of people just need the reminder that retirement planning is not a set it and forget it kind of thing. It's like you have to

review it constantly because so much can change. And like you mentioned, and I see this all the time on social media, it always drives me bonkers when you see people like, oh, here, you know, here's how to get a million dollars for retirement in 30 years. And yet they don't explain that that doesn't factor in inflation. So a million dollars today is not going to be worth a million dollars tomorrow. It may be worth half a million and that may not be enough. So it's so, so important to work with a professional, like you mentioned. But also when you're doing those calculations, because there's so many calculators out there, make sure it's one that factors in inflation. Because yeah, if we've ever experienced or really understand the power of inflation, how we can really eat

into your purchasing power, it's this year. So that's for sure. So just a few other questions. Just speaking a little bit more to anyone who is in kind of a delicate situation where they're really concerned about the high costs. I know there was just in the news the other day that some grocery stores are going to be kind of freezing some prices to kind of make things a little bit more affordable. So it's clearly a front of mind for people that, you know, things are, you know, the prices of things are just getting a little out of hand. And people are, you know, if they weren't already having trouble with their, you know, cost of living, they are, they sure as heck are now everyone's kind of feeling it. So do you have any suggestions for how to combat this, this rising cost of living? Obviously,

we hope things balance out in the future. But, you know, for day to day now, what can people do to kind of make things work and still afford their life? Well, as we mentioned earlier, you know, we could only do, control what we can, we can't control what we can't. And most people stress about money because a lot of studies and surveys show it that people are more, even sometimes more stressed about their financial situation than they are about their health. And it's normal to feel that way from time to time. But if financial stress becomes problematic and if it disrupts your everyday life, and for example, if you find that you can't focus or enjoy any other parts of your life because your money-related stress is

causing you to worry, well, it's time to reach out for support, whether it be family members, whether it be for professionals. And you shouldn't be ashamed or afraid to say, I'm having a hard time right now. I need some help. I need to review my finances. Maybe you need a loan. Maybe you need just to review. Just maybe speaking to someone can make you realize that, you know, it's not that bad. There's just a few changes we could do.

Maybe consolidate some loans and we could get you a better rate. So don't hesitate in seeking for help and to take action if you feel you can handle it. And I mean, it comes back to what we said before, decluttering your budget, change what you can. Remember that you have long long term plans. If investments are bothering you because they're volatile, don't look at them on a daily basis. Just keep on making your contributions and leave that for later. And always, you know, prioritize debt repayment. And I think be optimistic, the economy will eventually find itself right side again. So we can enjoy life, think of maybe inexpensive activities that we can do and spend time with loved ones and, you know, take care of

ourselves. Absolutely. I feel like the last thing I kind of want to chat about is, I think one of the best things that you can do, no matter if you're in the camp where you're really concerned about your finances, or you're, you know, you're doing okay. I think the best thing that you can do no matter what's going on is improve your financial literacy. So I'm curious, do you have any, you know, some of your favorite, you know, resources or tools that people can utilize to kind of, I don't know, improve their financial knowledge? Well, yeah, and I agree. Financial literacy is the key, is having knowledge, skills, and confidence

to make responsible financial decisions. That's what will lower your financial stress and gain confidence in what you can do. And obviously, sometimes it may feel like you got to go back to school a little bit, get informed. I know you're a big advocate in all that and, you know, listen to podcasts or webinars or, you know, whether it be podcasts like you have or people that are there to help or financial institutions. The same way at Desjardins, financial education is in our DNA. We offer programs, we offer, you know, whether it be just articles and webinars and platforms and things to get informed. So you need to navigate to increase a little bit your interest because the more, as I said

before, the more confidence you gain and that you know about because sometimes it's like um we don't even understand and people are ashamed to say they don't understand uh credit tax credits or our workplace benefits or and their pension plans um those are all little basic uh things that you need to learn about to improve your financial information that you have. Get the advice, whether it's from friends, from medias or professionals, but something that's trustworthy. Because I think in the past couple of years, we realized that everybody seems to be a professional in the field. Everyone's an expert somehow. And giving you some advice

that no longer probably is the right advice right now. But yeah, get informed, improve your knowledge, gain interest in personal finances. And Jessica, I think you're a great advocate for that too. Oh, thank you. Well, thank you so much. Yeah, I do feel it's such an important thing. I mean, financial literacy changed my life. I didn't know anything about money and I was ashamed and stressed about it. Like everyone is who is at the start of their kind of personal finance journey. And then, you know, it's just you take baby steps. You read a book, you read an article, you take that time that you would otherwise spend on something that maybe wouldn't be as productive or helpful to learn the things that you don't know. And you have to put yourself kind of in a vulnerable

place and sometimes ask questions that, I mean, I've asked dumb questions, but it's like, hey, I don't know what that acronym stands for. And how else are you going to know the answer unless you ask or Google it or what have you. But, you know, just to kind of put a plug since you're from your financial planner at Desjardins. Of course, one resource I would suggest people checking out is my other podcast called Clean Slate, which I did in partnership with CBC and Desjardins where I interview for young people, millennials about, you know, we talk money about, but they're regular people. And so we really get into it, which is really exciting. So highly recommend that. And I know there's, you mentioned there was a budgeting tool that Desjardins offers. Do you want to kind of mention a little bit more

about that? Yes. Well, as I said, our budgeting tools helps you categorize your expenses and in different categories, whether it be housing or just leisure at the activities you do, transportations, or you're putting gas or you're paying for your monthly pass. And it gives you an idea of where your money goes on a monthly basis. And it's easier, like we talked in before, sometimes you don't even realize that you're paying for these things anymore.

So when you see it come up, and I mean, it's so much more fun than putting up an Excel sheet and tracking your expenses one by one and having to remember what you paid last, especially that everything is paid with, you know, we usually use credit or debit right now or automatic payments that go through our accounts. So the systems already have all that information. They see where your money goes. And if your pays are deposited, you get your income deposited directly into the account

you could even factor in how much came in and how much came out and how come I didn't save any of that money that was left over what happened to that you know I could be maybe and it also shows that you have maybe room for a little bit of savings so it's's just an eye opener. It's great. And, you know, as I said, we have our online platform also that helps first time investors who want to go into trading and, you know, would like to do it with a bit more confidence or interested. Same things, there's tutorials and training and webinars and all information you could get to tap into that because there's all kinds of investment tools and products that you could learn about and maybe do part of it on your own if you want to invest on your own. And there's always an advisor or financial planner that is there to

help out also. And not to be shy because sometimes we feel, oh, well, I don't have the knowledge or I don't have the money. I don't have enough money. Why should I go talk to someone? Or, you know, like maybe I feel embarrassed right now of my situation as financial planners were there with no judgment, which is there to help and guide people through their financial lives. Absolutely.

Well, that was so helpful. Thank you so much for sharing all the knowledge and tips in this episode, Angela. It was such a pleasure having you and chatting with you again after a few years. So thanks again. And where do you want to direct people? Should they go to dejardin.com to find some of those resources that you mentioned? Yes, absolutely. Everything is there, whether it's our articles, whether it's our different platforms or tools. Everything is on our website at Desjardins.com. Amazing. Well, thanks again, Angela, for joining me.

Thank you for having me. And that was episode 342 with Angela Yarmieri. You, again, can check out all the resources that we kind of mentioned at Desjardins.com. Also, like I mentioned, I did do another, you know, fun collaboration with Angela a few years back in 2020 called FinTalks. And you can check that out. Well, check out the show notes for this episode, JessicaMoorhouse.com slash 342. There will be a link to it. But if you go to Desjardins Group's YouTube channel, you'll be able to find it. Also, I've linked to it in a playlist on my own YouTube channel called Brand Collaborations. So make sure

to check that out. And lastly, just to remind you, I do have a second podcast that I did over the summer that is now available to watch and listen to called Clean Slate, which I did in collaboration with CBC and Desjardins. There's four episodes. I interview some really amazing young entrepreneurs and we talk money and so many great things. So you can check that out at cbc.ca slash clean dash slate. Again, I will also link to that in the show notes for this episode, jessicamorehouse.com slash 342. Well, that is it for me. Thank you so much for listening. Big

shout out to my podcast editor, Matt Rideout. And I will, of course, see you back here for a fresh new episode of the More Money Podcast next Wednesday. So have a good rest of your week. I will see you very soon. This podcast is distributed by the Women in Media Podcast Network. Find out more at womeninmedia.network.