Photo illustration by the globe and mail/iStockPhoto / Getty Images
Name, age: Jason, 24
Annual income: $65,000
Debt: $300 on credit card
Savings: $3,000 in registered retirement savings plan, $8,300 in tax-free savings account, $800 in savings account, $1,500 in foreign bonds
What he does: Insurance
Where he lives: Toronto
Top financial concern: “I don’t have pets. I don’t have children. I worry I might not be able to meet some of those expenses in the future.”
Jason, 24, came to Canada as an international student from a country in Africa. His parents, who he describes as middle-class entrepreneurs, prioritized saving for his education, and he was able to complete a bachelor’s degree without any loans or incurring debt.
“They would sacrifice most of their income to put into my studies and so forth,” says Jason, the oldest of four kids.
After graduating from York University, he got a job in insurance that he finds challenging and interesting, and that pays him decent money for someone his age. He’s still living in the same place where he lived as a student, a four-bedroom house where he has a master bedroom and bathroom to himself for only $1,000 per month.
“My landlord hasn’t increased my rent since I got here,” says Jason, who has talked about moving out with one of his roommates, but the cost of getting their own place in a location that is not too far from their workplaces has been daunting. “I’m very blessed where I am.”
He’s a diligent saver and invests money every month, and has also tried investing in some businesses that didn’t work out. “I am young, so have time to learn and make mistakes.,”
Jason says his biggest indulgences are spending on technology – “I just blew half my emergency fund buying the new iPad” – and at restaurants, a habit he’s working to curb by preparing more meals at home.
Despite having enough disposable income at the moment, Jason worries about the future. He’s not sure if he’ll ever make enough money to own a home or be able to afford children in Canada.
“To save enough for a down payment, it’s so overwhelming,” he says. “I would like a family but worry that I might not be able to meet some of those expenses of child care and parent care in the future.”
He says he is considering moving back to his home country, where things are much less expensive, in five to 10 years.
In the shorter term, his goals include building up savings in case he faces an unexpected challenge. “Your situation financially or socially could just change in a moment,” he says. “I could get laid off.”
Jason is also preparing for the pending relocation of one of his siblings to Canada, saying half-jokingly that he expects his younger sister to come begging for financial help. “She will want me to pay her phone bill,” he says.
His typical monthly expenses:
Investment and savings: $1,300
$450 to savings account.
$450 to TFSA. “The split between actively managed and the robo adviser is 30/70.”
$400 to RRSP. “My employer matches my contributions.”
Household and transportation: $1,158
$1,000 on rent. “I share a place. It’s the same place I stayed at while I was still at uni.”
$0 on utilities. “It’s included in the rent.”
$120 on transit. “I do not own a car.”
$38 on cell phone.
Food and drink: $650
$300 on groceries. “One of my biggest challenges is when you buy groceries, cooking all of them.”
$20 at coffee shops. “I rarely have coffee.”
$250 at restaurants. “I am trying to stop buying takeout. It’s not like I don’t have food at home.”
$80 on alcohol.
Miscellaneous: $1,121
$250 on going out.
$20 on cannabis.
$50 on apps. “Chat GPT Plus subscription, Apple iCloud, Spotify.”
$85 on clothing. “One of those things where I spend when I don’t have to.”
$66 on gym membership. “I get a slight discount via the company plan.”
$100 on hobbies. “Winter sports.”
$80 on haircuts.
$40 on cosmetics. “Skin care.”
$400 on vacations. “I see my family about once a year.”
$30 on donations.
Some details may be changed to protect the privacy of the person profiled. We want to thank them for sharing their story. Are you a millennial who would like to participate in a paycheque profile? Send us an e-mail.