For Alberta couple Court and Nic, money talk has always been on the table. They run the personal finance blog Modern FImily<\/a> and abide by a savings and investment strategy called FIRE (Financial Independence Retire Early). It\u2019s an aggressive approach that has attracted much attention<\/a> online \u2014 particularly since the pandemic started. The goal is setting aside enough of one\u2019s personal budget for investments that will ultimately generate returns equal to a steady income, so that a job then becomes optional. <\/p>\n\n\n\n For this couple, it helped them go from holding significant student debt to having a seven-figure net worth. We spoke with Court for some money tips, and chatted about how using\u00a0Interac<\/em> Debit to manage spending is one way to be in more control and chart a course towards greater financial freedom.<\/p>\n\n\n\n In just nine years, Court and Nic were able to achieve financial independence and now they\u2019re on their way to retiring early. Like many things in life, it all started with a few little steps. Their first one? Putting their foot down on student loans by paying them off as quickly as possible. <\/p>\n\n\n\n \u201cI\u2019m a Type A personality and very goal driven, so this approach allowed me to be, like, \u2018Boom, check that one off,\u2019 and then move onto the next goal,\u201d Court says. This laser focus on eliminating each debt source, one by one, took a huge weight off her shoulders. \u201cFor me, it was just psychologically and emotionally easier to get rid of that debt before anything else.\u201d<\/p>\n\n\n\n Keeping expenses under control<\/a> is another essential pillar in managing your personal budget. Not everyone can control how much they make. But how much they spend? That\u2019s a different story. Court says it helped her to focus in on what was most important to her family.<\/p>\n\n\n\n \u201cThe first thing is to figure out what it is that you actually value and spend your money there. Then cut back on everything else,\u201d she says. \u201cFor example, we don\u2019t have a TV in our house. Could we afford one? Yeah, sure, but we don\u2019t feel it brings any extra value to our lives.\u201d<\/p>\n\n\n\n Court adds that another great way to get control of your expenses is to use Interac<\/em> Debit<\/a> as more than just a card. Consistently using your own money, rather than taking on extra debt, can give you more control over your finances \u2014 and ultimately help you get more out of life.<\/p>\n\n\n\n \u201cIf you use debit for everyday spending, then you can\u2019t use money you don\u2019t have. It gives you guardrails to lean up against so that if your spending is not in alignment with your earnings, you\u2019ll know straight away,\u201d she says. \u201cIt can help you to stay on track and get your expenses in order.\u201d<\/p>\n\n\n\n More than just saving for a rainy day, having a safety net (or emergency fund) allows for more choice. Whether it\u2019s taking time off to pursue a passion project, switching careers or spending more time raising your kids. To build their funds, Court says they consistently tried to put at least 50 per cent of their income back into investments. <\/p>\n\n\n\n \u201cHaving a financial safety net, it provides options in life,\u201d Court says. \u201cIt gives you that runway to look out and think, \u2018OK, this situation is not working for me. I’m going to start looking for an exit strategy.\u2019 \u201d<\/p>\n\n\n\n For some this might mean looking for a different source of income. \u201cIt could mean applying for other jobs, even if it comes with a decreased pay. That’s OK, because if you have that safety net in place you might be able to spend a couple of months looking at jobs maybe in a totally different market or taking your time to find a role that aligns with your values. It just gives you breathing room.\u201d<\/p>\n\n\n\n Each and every person faces a unique set of financial issues, when it comes to finances and building healthy money habits<\/a>. For some it could be the high cost of housing in a diverse, inner-city neighbourhood, for others it might be losing their base of family support because of who they choose to date.<\/p>\n\n\n\n \u201cFor me, luckily, coming out was a lot smoother than I thought it would be, but I know some people are shunned by their entire family,\u201d Court says.<\/p>\n\n\n\n This can have a big impact from a financial standpoint. \u201cAfter something like that, people might not have anyone as backup. No one to even run ideas by. Let’s say they don\u2019t even need the financial support, but then maybe they can\u2019t even talk to their family members. If you don’t have that support system, you could feel like you\u2019re on your own, and in some cases that could lead to homelessness.<\/p>\n\n\n\n \u201cIt\u2019s really, really sad because then some people are immediately starting off at a lower baseline than others who are not part of the community. It starts to spread that inequality gap from a young age.\u201d<\/p>\n\n\n\n Looking at the long game is necessary when it comes to your finances. For Court and Nic, this meant not indulging in some of those additional lifestyle-related expenses, or lifestyle creep, that comes as you journey through your 20s, 30s and beyond. <\/p>\n\n\n\n \u201cWe realized that a simple life really is a happy life. It doesn’t mean giving up on incredible experiences along the way.\u201d<\/p>\n\n\n\n Another long-term tip Court offers is to look at how you can expand your income and branch out into new opportunities from where you are right now. This could mean knowing your worth and negotiating for a raise at your current job or expanding into a side hustle<\/a>.<\/p>\n\n\n\n \u201cA lot of us in these different groups, whether it\u2019s LGBT2Q+ or women or POC, we can find it hard to ask for a promotion or a raise. Some of us feel like we’re undeserving of it. This has happened to me personally, too. But I think you need to understand your self-worth and you need to realize that you likely could be earning more, either by asking for a raise or by taking on more tasks with the goal of being promoted. You have to ask for those things.\u201d<\/p>\n\n\n\n The way Court sees it, \u201cmany of us have already faced adversity and challenges, so why not just apply that strength to our personal finances as well?\u201d<\/p>\n\n\n\nSmall steps toward financial independence, then big ones<\/h2>\n\n\n\n
Getting your personal budget under control<\/h2>\n\n\n\n
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<\/figure>\n\n\n\nBuilding a safety net<\/h2>\n\n\n\n
![\"Using](\"https:\/\/www.interac.ca\/wp-content\/smush-webp\/2021\/09\/Interac_debit_reducing_spending_young_family-1024x905.png.webp\")
<\/figure>\n\n\n\nChallenges the LGBT2Q+ community faces<\/h2>\n\n\n\n
A FIRE life is a simple life<\/h2>\n\n\n\n
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