Skip to main content

Author Archives: Kristina Tahnyak

Avatar photo About Kristina Tahnyak

Tahnya is a Certified Financial Planner and former Investment Advisor turned marketing and communications professional She holds a degree from Concordia University, is debt free and currently works in the field of digital marketing.

Older posts
Newer posts

3 places I will always put my money

Posted on by 2
investment, investment portfolio, funds, securing the future

Good morning Dinks.  I don’t know what it is about this time of the year, but it always makes me want to invest in something.  Maybe it’s because the New Year brings new beginnings, maybe it’s because I reflect on my financial goals from the previous year or maybe it’s because I have tax season fever.  I am not sure exactly what it is but I always want to buy investments at the beginning of the New Year.

Mutual funds are my favorite investments

As you know I am a huge fan of mutual funds.  As a client and as a Financial Planner I absolutely love investing in mutual funds.  I have colleagues who don’t own a single mutual fund because they prefer to buy individual securities such as stocks and bonds.  I personally don’t like to do that and I don’t have the time to do the research.

I like mutual funds because they are well diversified investments.  I can buy one fund and get access to several different investments, it’s great.  I know some of you are thinking mutual funds? Why pay the fees?  Although I am not a huge fan of paying bank fees I am OK with paying for a service and I think mutual funds are well worth the cost.  That being said I don’t like buying mutual fund investments with a Management Expense Ratio (MER) of more than 2%.

These are my top 3 favorite investments:

Index mutual funds.  Purchasing index mutual funds and other passive investments such as Exchange Traded Funds (ETFs) help keep overall portfolio costs down.  I don’t mind paying fees for a service but that doesn’t mean I want to be taken advantage of and overpay.

Since index funds follow a market index they are not actively managed by a professional who is buying and selling individual securities.  This helps keep the MER low.

Stocks with dividends.  I am a huge fan of investing in stocks with dividends; I do it through dividend mutual funds.  If you want to buy individual stocks and don’t need advice from a professional consider opening a self directed brokerage account.

We like Loyal3 because they specialize in stocks, they have low investment minimums and they offer fee-free investing when available.  If you want to be an industry insider Loyal3 lets you sign up for their mailing list and be notified when new Initial Price Offerings (IPOs) become available. Click here to check it out.

Foreign countries.  I have been investing in foreign places for many years, but as a Canadian my international investments didn’t go farther than the United States.  Before the market crash global investment opportunities were limited to mostly Asian countries such as China and Japan.  However, since the market crash the investment trend of emerging markets opened up and the world of foreign investing saw a huge increase in opportunities.

If you want to invest in foreign countries you no longer need to invest in one geographic sector and you no longer have to invest in high risk equity, I love that.  I currently invest in an emerging market bond fund that gives me exposure to countries like Brazil, India and Russia without the extreme risk.

Photo by zoonabar

I don’t save money, so what?!

Posted on by 7
saving money, not saving money, money matters

Good morning Dinks.  It seems like everywhere we go people tell us to save money.  But why?  You are probably wondering what is going on right now, a personal finance blogger telling us not to save money.  To be clear that’s not what I’m saying, well not exactly.

So take a moment and think about it, why do you save money?  I am not talking about diversifying your retirement portfolio, buying mutual funds and trading stocks because that’s investing.  I am talking about saving money, you know cold hard cash.  All I’m saying is don’t save money just because, save your money for a reason.

Why are you saving?

Maybe you are saving money because you have a goal, like somewhere you want to go or something you want to buy.  Maybe you save money every month because you just don’t need all of your income to live or maybe you save money because you feel like you are supposed to.

The truth is I hate saving money, but I do it because I need to save up to buy all the things I want.  Saving money is boring and it takes forever for the money to grow.  Yes I could always live on less and save more, but I don’t want to.  I prefer to save money for the short term because I prefer to do other things with my money like travelling and enjoying my life.  So before you put more cash into your savings account here are a few things to think about.

3 things you need to know about saving money:

1. Your money won’t grow.  Saving money is not the same as investing money.  Saving money is hoarding cash and I don’t like it because it doesn’t grow my money.  I save for the short term and only keep a little bit of money that rolls over every year in cash because I hate earning a low interest rate.  I prefer to invest my money in mutual funds and watch it grow.

2. You can always get a better rate.  Saving cash money in a savings account is painful because your money doesn’t grow, but it doesn’t have to be excruciating.  Shopping around to find the best rate on a high interest savings account will help you feel better about keeping money in cash – just in case it hurts you as much as it does me.  Our friends at Go Banking Rates recently released an article featuring the top five savings accounts.  Check it out and see how your interest rate adds up.

3. Saving money should ALWAYS be for the short term.  Every month I see financial bloggers posting their net worth and almost every month their emergency fund of cash grows bigger and bigger.  This is a huge mistake.  Keeping money in cash should always be for short term goals aka within a year.

My emergency savings fund is investment in a short term bond fund.  It gives me a higher rate of return than a savings account and I can always access the money within 24 hours.  I do keep a small sum of money ($500) in cash in a savings account for any type of emergency that can’t wait 24 hours.   The rest of my cash is saved and spent throughout the year on travelling and expensive household necessities such as furniture.

Photo by taxcredits

Weekly roundup: Retirement, Saving and Minimum Wage

Posted on by

Happy Friday Dinks.  It’s February 21 and in a month spring will be here.  I am ready to say good bye to the snow, ice and wind that comes with this time of the year.  I know that as a girl born and raised in the cold Northeast I should love being outside during the cold winter months, or at least I should be used to it.  But at 33 years old I can honestly tell you that I have not yet adjusted to the bone chilling cold that blows up your spine with a gust of winter wind.

Do you love winter?  I usually get cabin fever this time of year from being inside for the last three months.  But honestly this year it hasn’t been too bad.  I haven’t yet adjusted to being outside, but maybe I am finally becoming accustomed to being inside.

Have a great weekend Dinks and enjoy these posts from our friends:

Babble – How to save $5000 in 3 easy steps

Budgets Are Sexy – How I Plan to Retire at 30

Money Talks News – Can you afford to live on minimum wage?

My Alternate Life  – Living on one income: Disaster Scenario

L Bee and the Money Tree – What Holds You Back From Your Financial Goals?

Photo by littleprincessdiaries

Afford your dream wedding on a budget

Posted on by 3
dream wedding, wedding on a budget, wedding

Good morning Dinks.  We are well into February and that means spring will soon be here.  Spring is wedding season and we want to help you enjoy your special day without spending a small fortune.  Let us help you plan your wedding on a budget.

What was the biggest expense at your wedding?

I personally don’t understand why people want to spend tens of thousands of dollars in one day.  Maybe it’s because your wedding may be the biggest party night of your life or maybe it’s because some people think the bigger the wedding the better the love.  Yes maybe that’s it but I personally don’t think that’s true.  But don’t take my word for it because I am not even married.

However as a single (in a long term relationship) 33 year old girl who has attended several weddings over the last few years let me tell you the party has nothing to do with the marriage.  As a frequent wedding guest I confirm that I am there for the couple.  It doesn’t matter if I have a five course meal, if the bride wears a $5,000 dress with a $10,000 engagement ring.  I just want to dance and have a good time.

Plan your wedding on a budget

Our friends at SaveUp recently posted ways to save money on your wedding.  Did you know the average wedding in America costs over $28,000? I couldn’t believe it.  I haven’t put too much thought into it but off the top of my head I can think of at least ten other things I would rather do with $28k other than get married.

If I ever do get married to my boyfriend of almost 15 years I don’t think we would spend a lot of money on our wedding.  As long as there is really good food and a whole lot of dancing I will be happy.  I think that a wedding is more about the party than the event.  I prefer to spend money on people having a good time as oppose to showing off with an elaborate day that includes expensive cars, lots of flowers and a full orchestra.  Give me an awesome DJ with a non slip dance floor and I’m good to go.

Cut the cost of your wedding in half with these tips:

Don’t get married in the summer.  Venues over price their services during peak wedding season, so try to get married in the spring or the fall.

Plan with your friends.  A wedding planner costs over $2000 and I think we can all agree that money can be better well spent.  If you aren’t planning an over the top event then you don’t need a wedding planner.

Go green with the invitations.  Wedding websites are the new way to invite guests to your special day.  Create a website that allows people to RSVP online.  It saves money, it saves time and it helps the environment.  You can also post venue details, maps and pictures of your gift registry online.  It’s actually quite brilliant, that’s how I’d do it.

Photo by Katsunojiri

Women Are Not Equal?

Posted on by 3
women, equal rights, equality

Good morning Dinks.  In a recent issue of Marie Claire magazine there were some shocking statistics about women, wages and the workplace.  Did you know that in 2014 women are still not equal when it comes to the workplace?  In all fairness I think we could say that women are also not equal in the home, but that’s a whole other topic. It took me a few days to digest the information that I read in the article and then I listed to President Obama during the State of the Union Address.  He confirmed that women hold jobs of lower paying wages.  I’m not sure exactly what that means.  Maybe it means that women are hired in jobs that pay less wages than other “male dominated” professions.  Or maybe it means that a woman hired in the exact same job as a man makes less money.  I’m not sure which one it is, but either way it’s not right. Let me give you an example.  The wage gap in Denver, Colorado is $0.19, the wage gap in Austin, Texas is $0.17 and the wage gap in San Francisco is $0.16. Equality in wages equals equality in skills I like to think that I am just as qualified as a man to be a financial planner, but maybe I am not as qualified as a man to be a Firefighter.  I don’t necessarily think it’s because I’m woman.  I think it’s because I am only five feet tall, have a birth defect in my lower back and I’m not very strong.  If I was burning in a building I wouldn’t want my life resting in my hands and I definitely wouldn’t pay myself  to do so.  I also don’t have a killer instinct and the need to be a hero two qualities often found in men. Men and women should have equal wages, if all other things are considered equal.  However if being a woman brings a disadvantage to a job then she should earn a lower wage or not even get the job.  The same thing goes for a man who brings the same disadvantage to a job.  I don’t think that anyone, of any sex, should be paid less (or more) for doing the same amount of work as someone else. Equality in job opportunities Let’s go back to my example of being a Firefighter.  If a woman has the same build as a man, has the same strength as a man and has the same lack of hesitation then I think a woman is just as qualified to be a Firefighter, a Police Officer or even a Mail Carrier.  However I don’t think that women (or men) should get a job just because the position has a gender quota.  That’s ridiculous. All things being equal both men and women should have the exact same job opportunities.  Of course there are always professions that are historically female dominated such as dental assistants and nurses (anyone thinking of Meet the Fockers right now?) and there are also historically mal dominated professions such as insurance sales and car dealerships.  But then again, that is just historically. As the workforce changes hopefully men and women will earn equal wages and have the same opportunities.  Next time you go somewhere and see a man and woman working in the same position ask yourself, are they making the same wage? Photo by supermicah

Should you feel bad for getting a new job?

Posted on by 5
career, career advice, getting a new job, new career

Good morning Dinks.  Let me ask you a question, are you happy at your job? Last week I took on new responsibilities at my work and moved from external communications to the position of community manager.

I did feel bad for leaving my already small team with one less team member and with no doubt the best writer on the team, but at the end of the day I had to do what’s best for me.  Does that make me a total traitor? I just keep telling myself, it’s not personal it’s just business.

How long should you wait before looking for a new job?

To tell you that I am actually really happy at my new job would be an understatement because I absolutely love my new job.  I can now say that I have one of those cool, creative online jobs that didn’t exist ten years ago.  As a community manager I get to use my blogging skills, sales skills and writing skills in my new digital marketing team.  Not to sound like a total self-centered douche-bag but once again I landed a really great job and once again I owe it all to my blogging experience.

I know what you are thinking – WOW she changes jobs  a lot. In case you are keeping track, over the last two years I have gone from financial planner at a bank to an external communications analyst and now to a community manager.  That may seem like a lot but before you judge keep in mind I worked in banking since I was 19 and now I’m 33, so that’s a long time.

Would you look for a new job if you were truly happy at yours?

OK here’s my follow up question, are you in the market for a new job? Maybe you like your current job but you are but are looking for a new challenge.  I didn’t hate my old job, although I wasn’t fond of one of my co-workers.  I was getting bored in my old job, even though I had only been there a year. So when this job as a community manager came up I knew it was a perfect fit and I couldn’t let the opportunity pass by.

I am happy that I had the opportunity to grow my career with the same employer, but that is not always the case.  To be honest I was also looking outside of my organization for a new job but then this opportunity as community manger came up and it was a sign to apply.

Should you be loyal to your employer?

I probably wouldn’t still be at the company if this job didn’t come up because I was not happy in my previous team.  However at the same time I felt a sense of loyalty to the organization because they gave me my first chance at a career in communications after working in banking for so many years.  I still work in the financial sector, but I am no longer on the front lines in the branch. The industry didn’t change, but the job description definitely did.

For that reason I felt a sense of loyalty to my employer.  I wanted a chance to grow my career with them before I started looking outside the organization.  Thankfully it worked out.

Photo by MuchRamblings 

Weekly roundup: Happy Valentine’s Day

Posted on by

Good morning Dinks, happy Friday and of course Happy Valentine’s Day.  I hope you are all enjoying a lovely day with your loved ones.  Nick and I will be spending Valentine’s Day as we always do, we order food from our favorite restaurant and stay in.  It’s way too cold up here in the Northeast to get dressed up and go out for a night on the town.

The difference is this year is that we will be staying in and watching the NBA All Star Game.  Can I just ask one quick question – who in the world thought it was a good idea to host a male dominated event on Valentine’s Day weekend?  So that’s what I’m doing tonight.

What are Dinks up to this weekend?

Frugal Rules – What to do if you are unhappy in your job

Enemy of Debt – Lies We Tell Ourselves So We Can Keep Our Credit Cards

Man vs Debt – 5 Things to Do When A Financial Emergency Strikes

Mr Money Mustache – Why the Middle Class Keeps Giving Itself the Shaft

Clever Dude – 4 Potential Careers for Business Majors to Pursue

Photo by scatto felino

Does retirement equal death?

Posted on by 2
retirement, retire, death, financial planning, securing the future

Good morning Dinks.  I recently read an article in a group savings magazine that said financial planners should use the word savings instead of using the word retirement.  This was weird to me because as a financial planner I always help people plan for their retirement and as a young professional I am always told to save for my retirement.  But now I’m thinking maybe I should not be doing that?

The article said that people are actually afraid of being retired because it seems so final, kind of like the last thing people will do in their lives before they die is retire.  We should be saving for our future.  We should be saving for a time when we will no longer need to work. Maybe we just don’t necessarily have to call it retirement.

Are you afraid of retirement?

The word retirement for some people seems so final.  It’s almost as if retirement will be the last phase of our lives and the truth is it will, but that’s doesn’t have to be a negative thing.  Some adults spend more than twenty years in retirement and I think we can all agree that is a long time to be out of work.

Our years during retirement don’t have to be sad and spent planning our estate, they can be fun and spent planning to do all the things we couldn’t while we were stuck working five days a week.  I know that I’m only 33 and as of right now I am looking forward to the day I retire and who’s to say that I won’t feel differently once I get there.  But for now I am looking forward to retirement.  I am looking forward

Are you saving for retirement?

I’m saving my money and planning for retirement because that’s what a young person should do if I ever want to retire some day.  But what if I don’t plan to retire? What if I was a small business owner and planned to work my entire life until I physically couldn’t work anymore? If my home is valuable and so is my business I could sell both and retire happy, I wouldn’t have to save money every month for my future.  If I don’t save month on a monthly basis into a retirement account then I wouldn’t have to think about retirement…or be afraid of it.

Some people don’t save for retirement because it’s too far away and they have other goals to plan for before they wave good bye to their job.  The thought of retirement being 30 years away is a scary thought, but it can also be something to look forward to.  Retirement can be our chance to really live the life we want to, travel to places we’ve never seen and do all of the things we want to experience.

I don’t think of retirement as being the last phase of our life is what’s scary.  I think the idea of not being able to afford the life we want in retirement is what’s really scary. That’s why I save for retirement.

Photo by tax credits

3 things I used to do when I was broke…and still do.

Posted on by 4
splurging, spending, broke, vice

Good morning Dinks.  I know I’ve said it a thousand times over the years we’ve been friends, but today I am going to admit it again…I used to be broke.  Less than five years ago after the market crash I was completely broke, jobless and hitting rock bottom in my personal life.  Although my financial situation and mental health have greatly improved over the last few years a lot of my personal habits have not.

Even though I now have a great job that I love, a stable income with a pay check every two weeks and my relationship has never been stronger, I still kept some of my old financial habits.  My financial habits haven’t changed too much now that my money is back on track because I am absolutely terrified of being broke again.  The mental and emotional relief of having the freedom to spend money if I want to without the guilt of knowing that I can’t afford it is relieving.  Being so broke that I couldn’t pay rent and had to eat white rice and soy sauce for days at a time was one of the darkest periods of my life and I am not sure if I could survive it again.

That’s why I didn’t fall back into old habits of overspending and not managing my money.  Now I know every single dollar that comes into and goes out of my account. I check my bank account throughout the day to make sure my money is still there and review all transactions that went through the account.  If I see a transaction that I don’t recognize I immediately call my boyfriend Nick to see if he made a purchase.  I know it’s crazy but I’d rather have crazy financial habits than bad ones.

Tips to avoid overspending, impulse spending and help you live on a budget:

Don’t buy ice cream.  Splurging on Ben & Jerry’s is an unnecessary purchase and it also leads to overspending.  Ice cream is so good and so addictive it will only make you want more.  At $5 a cone I think we can all agree that ice cream should be avoided.

Avoid ATM fees.   I know that I am a former bank employee and I should not be knocking them but honestly $3 to use another bank’s ATM is absolutely ridiculous.  If you are a member of my bank you will be charged $3 by the other bank’s ATM and an additional $2 by your own bank to take out money.  I just can’t justify paying $5 in bank fees to withdraw $20 cash.

Always pay for the bus with change.  I rarely have cash in my wallet because it leads to spending.  I am personally more likely to spend cash over swiping my debit card.  For this reason I always spend the change in my wallet and if I don’t have enough change for what I want to buy I just won’t buy it. Why? Because breaking dollar bills leads to spending.  If you take out $20 for the week and you spend it carelessly you will hit up the ATM again and that’s unnecessary spending.  Make your $20 a week last and spend it wisely.

Photo by DanMoyle

Awesome Tax Tips for the Self Employed

Posted on by 4
tax tips, self-employed, taxes

Good morning Dinks.  It’s that time of the year again, the time when we all wait anxiously for papers to arrive in the mail, the time when we have to gather all our expenses over the last year and the time when we have to try and fit an appointment into our accountant’s busy schedule.  That’s right, it’s tax time.  Have you filed your personal income tax yet?

As you know I am a personal financial planner, not a tax specialist.  Although I do have a pretty good grasp on investing and taxes as well as what I need to do for my personal income tax filing as a 9 to 5 employee (who loves her job) and a freelancer (who makes a good chunk of change at it to support my travelling habit).  But I don’t consider myself qualified to give tax advice to others.

So why are you still reading?  Don’t click away yet.  I am not a personal income tax expert, but I have rounded up a handful of awesome tax tips from some truly amazing bloggers. So don’t fret – this post will be beneficial to you.

Personal income tax tips:

Sabado @ Len Penzo  tells us what information we should be tracking all year.

If you don’t like papers lying around your house then scan your documents and keep them on your hard drive.  But don’t shred anything before you make a digital copy because you may need it later. By later I mean years down the road when Uncle Sam decides to audit you because you make too much money don’t what you love.

Len Penzo tells us that we need to make sure we keep all of the paperwork related to our taxes for at least three years as required by the IRS. Keep your tax information close by in case you are ever called upon to verify previous tax filings.

Madison @ My Dollar Plan tells us that keeping informed on current tax laws makes our life easier.

Just like everything in life, tax laws can change.  My Dollar Plan says that reviewing new tax rules will make your life easier when filing your personal income tax.  In 2013 the IRS introduced a new 3.8% tax on investment income including capital gains and dividends for people with high incomes. If you are subject to the new tax pay close attention to your end of year strategy to realize gains and losses.

My Dollar Plan suggests completing a personal tax simulation to give yourself a better idea on how your tax situation will look when you file. You can run a personal income tax estimate using a program such as Turbo Tax.  This will also let you know if you need to increase contributions to your retirement plans before the deadline.

Carrie @ Careful Cents shows us how to avoid double income declaring.

Careful Cents discovered that she doesn’t need to issue 1099 forms to contractors if she paid them via PayPal because PayPal will issue them directly.

J.Money @ Budgets Are Sexy helps people who need to pay quarterly taxes. 

When you have a 9 to 5 job your employer usually deducts a percentage of income tax with each pay check. But if you are self employed you have to do it yourself. Every quarter people who are self-employed must send in a payment to IRS. Budgets Are Sexy warns us that “you have to figure out the amount for yourself and send it in on your own.”

FYI: Quarterly taxes are due mid month every quarter in April, June, September and January.

Photo by soukup

Older posts
Newer posts

Boost Your Brand – Advertise with Us!

Advertise With Us

You cannot copy content of this page