Financial Literacy Month
The purpose of this post is to promote Financial Literacy Month in Canada. Every November, the Financial Consumer Agency of Canada provides resources and holds events designed to provide Canadians with the tools to gain control of their personal finances. This post contains links to some of these resources, as well as a list of events happening throughout the country during the month.
Every month should be financial literacy month.
Officially, however, November is the month for the promotion of financial literacy in Canada. And it’s April in the United States.
The Government of Canada Makes Financial Literacy a Priority
The Government of Canada takes an active role in the promotion of financial literacy for all Canadians.
In a message addressing financial literacy, the Canadian Minister of State for Finance wrote,
“When hard-working Canadians have the tools to make informed financial choices, their personal economic circumstances will benefit, and the economy as a whole will benefit as well.”
Well said sir.
In 2012, the Parliament of Canada proclaimed each November as Financial Literacy Month.
The Bank of Canada Monitors Debt Levels Closely
Canada’s central bank is the Bank of Canada. Like its counterpart in the US, the Federal Reserve, its role is to promote the economic and financial welfare of the country. As such, the Bank of Canada monitors household debt levels carefully because of the risk they pose to the country’s financial stability and the economy.
The amount of debt held by Canadian households has been rising for the last 30 years. Currently, the total of all household debt is over 2 trillion dollars. Mortgages account for approximately 75% of the debt.
Household debt represents approximately 170% of disposable income. In other words, the average Canadian owes about $1.70 for every dollar of after-tax income.
Invest in Your Financial Well-being
During the month, organizations and individuals in Canada are encouraged to host and participate in events and share resources aimed at helping all residents learn how to successfully manage their personal finances.
Each year, the Financial Consumer Agency of Canada creates a theme to boost collaboration between organizations providing information about financial literacy.
This year’s theme is Invest in Your Financial Well-being. The goal is to encourage Canadians to take control of their finances and reduce financial stress by:
• Creating a budget
• Developing a plan to save for the future and reduce debt
• Understanding their financial rights and responsibilities
The campaign is separated into 5 parts, each representing a different aspect of personal finance. Every week, promotional material will focus on a critical skill of successful money management.
• Week 1 – Invest in your financial well-being
• Week 2 – Have a plan to pay off your debt
• Week 3 – Make informed decisions
• Week 4 – Start good habits early
• Week 5 – Take control of your finances
For more information about these topics, go to https://www.canada.ca/en/financial-consumer-agency/campaigns/financial-literacy-month/promotional-material/articles-for-financial-literacy-month.html for a series of articles published by the Financial Consumer Agency of Canada.
Community organizations, volunteer groups, government agencies and companies are encouraged to promote financial literacy throughout the month.
Last year, there were over 800 workshops, seminars and other events held throughout Canada to promote financial literacy. Every day, there are multiple events held across the country.
A complete list of this year’s events can be found at https://www.canada.ca/en/financial-consumer-agency/campaigns/financial-literacy-month/calendar.html.