Should you find a money coach?

This story was originally titled "Meet the Money Coach" in the November 2009 issue. Subscribe to Canadian Living today and never miss an issue!

When they married in 2007, Jemma and Jeremy Radick were counting on a few child-free years to pay off their $32,000 debt, most of it student loans. But just a few months after their wedding, they learned their first baby was on the way.

The Burnaby, B.C., couple had a household income of $97,000 a year, which would drop significantly once they took a yearlong combined maternity-parental leave. Facing rental costs of $1,700 a month and debt payments, the Radicks were barely making ends meet. "We had a lot of anxiety," says Jemma. "We were living paycheque to paycheque."

Looking for help, the couple turned to their bank and called a few financial advisers. "They were able to give us advice on making investments, but no one was interested in [telling] us how to save money," says Jemma. So the couple decided to hire a money coach (see "How to Hire a Money Coach," on page 2). Sheila Walkington of Vancouver met with them four times over four months, tracking every penny the couple earned and spent to create a road map that would put them on a secure financial footing.

Walkington is a rare breed in Canada – a certified financial planner who doesn't sell financial products; instead, she makes money by showing other people how to save theirs. "Coaching isn't about handing over your money to someone – it's learning to handle it with confidence," she says.

Getting help
Walkington charged the Radicks $1,500. And Jemma says it's the best money she's ever spent. Within the first six months the Radicks paid down $5,000 on their debt, saved $2,000 for the baby gear they needed for their daughter, Amelia, born in June 2008, and shelled out $1,200 for an unexpected brake job on their car. "Most important, we learned to budget so that we could survive on the reduced income we'd get during our maternity and parental leaves and be able to pay for day-care costs in the future," says Jemma.


Page 1 of 2 -- Want to learn how to find a money coach? Find out how on page 2.

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