Recently my son has hit a growth spurt, which means he has been feeding almost every 2 hours during the night.  So for the past week or so I have got maybe 4 hours of intermittent sleep each night (oh and did I mention I have mastitis on top of it all?).    I was telling my Mom about all this when she shared a story about when my brother and I were little.  She had been up all night with us, because as one would fall asleep the other would wake.  On and on throughout the night this happened.  Finally she managed to get to sleep, only to have her alarm go off 30 minutes later.  She (somehow) managed to get up, get dressed, and go off to work for 8 hours.  My brother and I were pretty little when that happened, and it is only now that I have a child of my own, that she has told me.  That story, (and the fact that I’m finding this out so many years later) reminds me of how many silent sacrifices she made for us without us ever knowing.  Not once did I hear her complain of fatigue or that she didn’t have time for us, and looking at how busy life is now (with only one child) I’m completely blown away at how amazing she is.

So for all you Moms out there, a big salute, gold star, high-five, pat on the back, giant hug and a huge thank you for all the work that you do.  I toast to all of you!

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I have to admit, I’m a bit of a planner.  I wasn’t always that way, but life has taught me time and time again that things tend to run a bit more smoothly when I have some sort of plan in place.

When I got pregnant I read everything I could think of to make sure I had what I needed when our son arrived.  When the time came, I had way too much of some things and not enough of others.  We arrived at the hospital with a whole suitcase (that I had packed in accordance to the baby checklist I was given), and I ended up using maybe 3 or 4 items out of it.  So instead of packing a huge bag like I did, here is a quick list of things that you will actually need:

1.Tolietries: My hospital room did not come with any shampoo or even soap for the shower and so I was very thankful that I had a brought a small case of travel size toiletries.

2.Comfy clothes: Both your pyjamas and the clothes you plan to return home in should be as comfortable and loose as possible.  I was given a hospital gown for my stay and large, stretchy underwear to accommodate a frozen sanitary pad and a regular sanitary pad underneath for the swelling (if you have a natural birth).  Going home after my 3 day stay, I was still sore and tired and was thankful to put on a pair of baggy sweatpants instead of trying to squeeze into jeans.  I didn’t have a nursing bra with me at the time but I wish I had one, as well as nipple pads and a lot of Medela Tender Care Lanolin nipple cream (who knew that breast feeding would hurt so much at the start?).

3.Camera with extra batteries, or a fully-charged battery: Chances are you are going to want to take a lot of pictures of your brand new family member.  I turned into a parent paparazzi when my little guy came.

4.Clothes for baby: Here is where I REALLY overpacked.  The list that I got said that I would need 3 undershirts, 3 sleepers, 3 onesies, socks, a hat…the list went on and on.  Well, I was in the hospital for 3 days, and for those 3 days my son hung out in a toque and a diaper because he was almost constantly swaddled in two blankets while we were there.  It wasn’t until we took him home that we finally dressed him in actual baby clothes.  When we did put clothes on him (since it was January), we put him in a sleeper and a toque.  The toque was hugely important (as we were told by the nurse) because babies apparently lose 60% of their body heat through their heads.  We also had a JJ Cole Bundleme in the car seat so we didn’t have to use blankets.  That was it!  I had brought all those outfits and we used one for the hour it took us to be discharged and drive home.  Once we got home we stripped him back down to his diaper and swaddled him again.

5.Car seat: You have to have an appropriate car seat that is current.  I had no idea that car seats expire, but they do.  Most infant seats are only good for 6 years; after that, it is time to recycle them.  Make sure when you are purchasing a car seat that you check both the bottom of the seat and its base to see what the manufacture date is.  Most hospitals will not let you take the baby home unless you have a valid car seat.

6.Cell phone (and your charger) or change for the pay phones: I have to admit I was so thankful that I brought my iPhone, especially because I was in the hospital for 3 days.  I definitely wasn’t chatting away 24/7 (in fact, I think I only made 3 calls the whole time I was there), but I did send a few e-mails out to all my friends and family who were waiting to hear the news about the baby.  I was remember sending a few text messages each morning to my husband to let him know if I needed anything or not as he wasn’t allowed to stay overnight with me.

7.Your ID and health care card: You will need your health care card in order to be admitted into the hospital, and you will also need your driver’s licence for filling out paperwork and for proving your identity when it is time to take your little one home.

8.Cash for the cafeteria or vending machines: In the maternity wing of the hospital they had sandwiches, yoghurt, juice and water for all the moms.  However, it was nice to have the option of eating something else if I opened my standard-issue hospital lunch tray and found something disgusting under it.  For the most part I was too exhausted to care, but I do remember the times when my husband brought me a hot meal or a snack, thinking it was the best thing I had ever eaten.

9.Your own pillow: I find there is nothing more comfortable than my own bed and my own pillow, and since I couldn’t bring both I opted for the more travel friendly item.  The hospital was able to supply me with several pillows, but when it came time to sleep I just couldn’t get comfy on any of them.  When I did finally drift off I would wake up to a sore neck.  It isn’t the end of the world if you don’t bring a pillow from home, but it was sure nice to have.

10.Slippers:  If you do find yourself up and about (if you didn’t have a C-Section), then you will want something easy to slip on and off your feet.  Chances are you are only going to be in there for a night or two but it is a lot nicer to trudge around in slippers than trying to put on your shoes every time you leave your bed.

One last thing, not to pack, but to do before you get to the hospital:  check its rules on visitors.  I was surprised to find out that my husband counted as a visitor but my own parents (or even my husband’s parents) didn’t.  Since I was only allowed 2 visitors (my husband being one of them), when my brother and sister-in-law came to see me, I was only allowed to let one of them into my wing of the hospital.  It was one of those things that I wish I had known beforehand so that it would have saved me the awkwardness of choosing.

The next day we made our way to Shelley’s place.  The plan was that I would go first, we would go for lunch, and then my husband would go second.  We were on a bit of a tight schedule as we had to be back on the road shortly afterward in order to make it to our next destination before nightfall.  I would be lying if I said I wasn’t nervous. I had never met someone who was a clairaudient and I wasn’t sure what to think.  Upon meeting her my worries vanished as she greeted us as if we were old friends.  I made my way to her sitting room and sat down across from her as I watched her clear her own energy to make room for “The Guidance”.  Instantly I felt another presence in the room.  The hair on the back of my neck was sticking up and it felt like someone had cranked the heat; my entire face was flushed.  My heart had started racing and at that point I was a little bit concerned as to what I had gotten myself into.  At the start of the reading I had been a bit skeptical, and The Guidance noted my hesitation and offered me details of my relationship with my husband as a way to convince me.  There I was, halfway across the ocean, hearing about things that only my hubby and I would know from someone I had just met.  To say I was a bit taken back would be a understatement.  During the next hour and a half I feverishly wrote down what Shelley channeled, and now in hindsight I can safely say that the reading ended up being pretty much spot on.  I say “pretty much” because some of what was discussed had a 4 to 5 year time horizon and thus hasn’t happened yet.  Still, I often think back to what The Guidance said and find myself happily surprised at how things have unfurled.

Even though Shelley and The Guidance are in Australia, she can still be reached through e-mail or phone.  She has just started a website where she offers her services, and every month 2 lucky winners will receive free counsel.  If you have questions for Shelley and The Guidance, her webpage can be reached by clicking here.  She also posts various answers on her site (with permission of course) as a means to give direction to her readers.  Alternatively, if you find yourself in Byron Bay, definitely give her a shout:  you will be quite happy that you did.

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Registered Education Savings Plans, or RESPs, are a great way to save for your child’s post-secondary education.  By the year 2020 it is estimated that it will cost over $100,000 to attend a post secondary school for a 4 year degree (including tuition, books, room and board, and transportation).  Thankfully, if you start early, choose the right plan, and have interest working for you (referring to the last post on a matter of interest), saving for your child’s future shouldn’t mean having to take out another mortgage.

So what are RESPs?  Try thinking of RESPs as a box.  Whatever you put into the box is registered with the government and therefore is allowed to grow tax free.  There are many investment vehicles that can go into that box.  You could invest in mutual funds, bonds, term deposits, GICs, or even a savings account.  Each one has their pros and cons, so it is important that you talk with your financial advisor about which investment vehicle is best for you.

When you contribute to an RESP, you do not receive any special tax breaks for contributing, but when it is time to withdraw the money, it is your child who claims any interest/growth on that contributed cash as income and pays taxes on that growth (this is a good thing because presumably your child isn’t making as much income as you and is thus in a smaller tax bracket).

In addition, the Government of Canada will match your contribution up to 20% (or up to $400) on the first $2000 that you put in for each calendar year.  Their contribution is called the Canada Education Savings Grant (or CESG).  You may also be eligible for the Canada Learning Bond (CLB) which gives $500 when you open your child’s RESP account plus $100 for each subsequent year until the child is 15.  To see if you qualify for the CLB, click here.  That is a lot of incentive for saving for your child’s future. If you live in Alberta, the provincial government will also contribute to your child’s RESP in the form of the Alberta Centennial Education Savings Plan.  The contributions for the AB Centennial Education Savings Plan include an initial $500 for children born after 2005 and then an additional $100 for children turning 8, 11, 0r 14 in 2005 or later.

There are 3 types of RESP accounts: non-family plan, family plan, and group plan.

Non-Family Plans are for grandparents, godparents, aunts, uncles, etc. to contribute money into the child’s RESP.  They only have 1 beneficiary (the child that will receive the money) attached to the account.  Contributions can be a one-time payment, monthly payments, bi-weekly payments, or some other arrangement; it is entirely up to you.  There is a lot of flexibility as to the amount, schedule, as well as investment vehicle you choose:  the money can be invested in mutual funds, bonds, or even a savings account.

Family Plans are for parents to contribute money into the RESP account.  You can list multiple beneficiaries for families with more than one child.  Just like non-family plans, there is flexibility with contribution amounts, schedules and possible investments.  It is also entirely up to your discretion how you want to divvy the money up between children.  Also, if one child doesn’t attend post-secondary school then the money can easily be directed to your other children (presuming they are attending, or planning on attending, post-secondary).

Group Plans are for parents to contribute to the RESP, but they are based on membership and there are usually fees and continual payments that have to be made in order to maintain that membership.  These plans usually have complex rules and in most cases a rigid structure on how much and when to contribute.  Given the three options it makes WAY MORE SENSE to pick the other two plans.  In fact, in my opinion, I would suggest that you STAY AWAY FROM GROUP PLANS.  A lot of these plans make the promise of earning 7-8% annual interest which at a glance looks fantastic.  However, a lot of time the way that the 7-8% interest is earned is through a mix of bonds and attrition.  What does this mean?  The group plans invest in bonds (safe, low-yielding investments) and wait for families who can’t keep up with the mandatory payment schedule; as soon as they miss a payment, they forfeit their money previously paid into the plan, which goes into the big pool of money held by the entire group.  That money lost is then divided up amongst the other members to boost their annual return.  This sounds great, except if you are one of those families.  Also, with some of the group plans, if your child doesn’t go to post-secondary school then the money that you have been saving all these years goes back into the the pot and you are left with nothing.  With Non-Family Plans and Family Plans, if your child decides that he/she doesn’t want to pursue a post-secondary education, you can transfer the money over to your RRSP (as long as you have room in your RRSP account).  You do have to return the money that the government contributed towards the RESP; HOWEVER, you don’t have to return any interest earned on that money.

Before you set up your child’s RESP,here are 5 questions you need to ask your RESP provider:

1. What kind of plan is it (self-directed [i.e. family or non-family] or a group plan)?

2. What kind of fees are there?

3. What are my options for contributing to the RESP?  Can I add money or stop adding money whenever I want?

4. Given my child’s age and my comfort level with investing, what investment vehicle would you suggest?

5. What happens to that money if my child does not go to post-secondary school?

If you want further information on RESPs please check out: “The RESP Book: The Complete Guide To Registered Education Savings Plans for Canadians” by Mike Holman.

1. Home-cooked meals: Having to wake up every 2 hours to feed the baby (which usually takes around 40 minutes), and still function is quite the feat.  The last thing you want to do, or even have energy for, is to cook.  Frozen meals (or any pre-cooked meals) that can be heated effortlessly are a LIFESAVER.  Just make sure you check with the mom-to-be about any food sensitivities or allergies.  Also, check out what foods to avoid while breastfeeding (if she is planning on breastfeeding) before you start cooking.
2. Cleaning service: Who doesn’t like coming home to a clean house?  A gift certificate to a cleaning service is a huge help when the dishes, dust bunnies, and laundry are all piling up.  There are a ton of cleaning services around, but make sure whichever one your choose is bonded and insured; it will be one less thing for mom to worry about.
3. Baby Buddy Nursing Pillow: Regardless if mom plans to breastfeed or formula feed, by far the best nursing pillow out there is The Baby Buddy Nursing Pillow.  I have tried a couple of nursing pillows and the thing I love most about The Baby Buddy is that it is slightly larger than most nursing pillows which means that you and baby can feed comfortably regardless of position.  It also comes with a super soft cover that is gentle for baby’s skin and it’s machine washable.  
4. Happiest Baby On The Block: When I got pregnant a friend of mine (and mother of 2) suggested I get my hands on the “Happiest Baby On The Block” book.  I followed her advice and ended up getting the book and the DVD.  I cannot tell you how much that DVD helped my husband and I survive the first few weeks with our son.  We went from not knowing ANYTHING about babies, to being able to soothe and calm our son quickly.  Not to mention he ended up sleeping for 8 to 9 hours straight by the end of his first month!
5. Halo Swaddling Blanket: After watching the “Happiest Baby on The Block” DVD, you will come to realize how important swaddling is in the battle to soothe crying.   I give full credit to that DVD and the Halo Swaddling Blanket for getting many hours of consecutive sleep (which in a new mother’s eyes is PURE GOLD).  Baby gets to feel like he/she is back in the womb, and mom gets to have more hours of shut-eye.  Also, it is way easier, and safer, to use than traditional swaddling blankets.
6. Grobag: When the little one outgrows the swaddle blanket, the perfect follow up is a Grobag.  It keeps baby warm at night and allows him/her to move their arms and legs without kicking off the covers.  The Grobags come in different TOG ratings (a unit of thermal resistance that the British use for duvets and blankets).  The 1.0 Tog Grobags are great for warm climates and naps, but the 2.5 TOG Grobags are what we use for our little guy.  I found the best combination for our son and our climate (we live in Calgary, AB, Canada), is a cotton sleeper and the 2.5 TOG Grobag.  
7. Rockabye Baby Music: Ever think there would be a lullaby rendition of Bon Jovi, Nirvana, Green Day, or No Doubt?  Neither did I until I came across Rockabye Baby.  They take your favourite rock band and turn it into something baby likes.  So it is a win-win:  baby gets to hear something calming and gentle, you get to hum along to songs that you actually like.
8. Bumbo: Once baby can keep their head up, they can sit in a Bumbo.  For us, we found that our son could use his Bumbo at 2 months, but the recommended guide is 3 to 14 months.  Make sure when using the Bumbo that baby isn’t left unsupervised, placed on high surfaces, or sitting on uneven ground.  I found that it is a great little chair for story time.
9. Fiona Watt books:  Fiona Watt has a collection of books entitled: “That’s not my…”.  We have the “That’s Not My Pirate” book (as my husband loves pirates).  The books are fantastic because they have all different types of surfaces for baby to feel, from soft fur, to bumpy material, etc, which makes the books a lot more interactive.  Check out the full list of her books here: Fiona Watt books.
10. Moby Wrap: I have about 4 different baby carrier/wrap systems at home.  The only one that my little guy will comfortably be carried in is a Moby Wrap.  It is essentially a very long piece of cloth that you tie around you and the baby, and the best part about it is that the baby can be in multiple positions.  My son prefers to face outward…even though I try to carry him around facing inward, I just can’t convince him.  Thankfully, with the Moby Wrap he can face outward without a problem.  The wrap is good until baby is 35lbs (which is a long time), and it is extremely comfortable to wear.  Not to mention the fact that it allows me to have my hands free and have a happy baby (because he is being carried) all at the same time.  

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What do a few percentage points mean to you and your money? The answer could be the difference between retiring with money and not retiring at all. In my previous post (Money, and why you should care about it), I pointed out that women live longer and in most cases (especially moms if you take maternity leave) make less money than their male counterparts.  This is why moms need to be prudent about their personal finances.  Before getting into RESPs, RRSPs, mortgages, and money traps, let’s talk about interest.

Interest is the amount of money that your money earns.  Most people have savings accounts or chequing accounts, which pay anywhere from 0% to 1.5% of interest per year on the amount of money you put into them.  *GICs (Guaranteed Investment Certificates), on the other hand, vary in the rate of interest they give you based on how much money you put into them and how long you plan to keep your money there.  A 1-year GIC typically yields about 0.75% to 1.5% interest, whereas a 10-year GIC yields 2.5% per year over those 10 years.  In contrast, a 10-year *Canada Savings Bond will earn you 1.10% interest per year.  Okay, so where are we going with this?

As you can see, there isn’t a heck of a lot of difference between the above 4 options (savings account, chequing account, GIC, bond) in terms of the amount of interest they pay out.  Thankfully, they are not your only options. You have many choices as to where you want to invest your money:  you could invest in mutual funds, segregated funds, stocks, real estate, or even your cousin Bobby’s new business.  Here is why you should take some time to look beyond the scope of those first 4 choices.  It is called the rule of 72.

The rule of 72 is a quick and easy way to figure out how long it will take for your money to double.  It can be applied easily on a regular old calculator (or in your head for the mathematically inclined), and you will get a general idea of how hard your money is working (or not working) for you.  Here’s how it works:

Step 1. Figure out how much interest your money is making. For the purpose of this example we will use annual interest rates of 3%, 6%, and 12%.

Step 2. Divide that number into 72.  So for 3% we would do 72÷3=24.  By the Rule of 72, this means that if your money is making 3% of interest per year, it will take 24 years for that money to double.  72÷6=12, which means at 6% it will take 12 years for your money to double, and 72÷12=6, which means that at 12% your money would only take 6 years to double.

So what does that mean for you and your money?  Let’s say that you get $1,000 as a Christmas bonus from work and you are wondering what to do with it.  You have a 48 year time horizon (meaning you are planning on letting it sit in an investment for 48 years and not touch it) and you have 3 options for investments, one that makes 3% per year, one that makes 6% and one that makes 12%.  What is the end result of the different options?  Let’s check it out:

Choice #1: You deposit the $1,000 into your investment making 3% interest.  Remembering our rule of 72, 72÷3=24, so in 24 years your $1,000 will have doubled to $2,000.  In another 24 years (so 48 years from when you first made the deposit) your money will have doubled again to $4,000.   So in 48 years you will have made $3,000 of interest on top of the initial deposit of $1,000 for a total of $4,000.

Choice #2: You deposit the $1,000 into your investment making 6% interest (72÷6=12).  In 12 years your money will have doubled to $2,000, then in another 12 years (at year 24) your money will again double and be sitting at $4,000.  In Year 36 your money will double again to $8,000, and in year 48 it will double one more time to $16,000.  So in 48 years you will have made $15000 of interest off of your initial deposit of $1,000 for a total of $16,000.

Choice #3: You deposit the $1,000 into your investment making 12% interest (72÷12=6).  Now you have a LOT more doubling periods: year 6=$2,000, year 12=$4,000, year 18=$8,000, year 24=$16,000, year 30=$32,000, year 36=$64,000, year 42=$128,000, year 48=$256,000.  Your money will have doubled 8 times in the 48 years and you will have made an astounding $255,000 of interest off of your initial deposit of $1,000 for a total of $256,000.

As you can see, this difference in interest rates (given the same amount of time and the same amount of money invested) leads to an overall difference in investment value of $252,000.  That should be reason enough to make you want to take an interest in the amount of interest your money is earning.

Where can you earn more than 3% interest on your money?  If you look beyond the first 4 options that we talked about earlier, you can start looking into investment vehicles like mutual funds, segregated funds, stocks, etc.  HOWEVER, this is where the “buyer’s beware” comes in: not all investments are created equal and there are a lot of both bad and good ones out there, so TALK TO YOUR FINANCIAL ADVISOR to see what investments best suit your needs.  Everyone’s situation is different and it will depend a lot on your own time horizon, the amount of money you have to invest and your overall comfort level with risk and with the investment.  If you don’t have a financial advisor, ask around or check out your local bank.  A lot of them will do a free consultation (just make sure you ask when booking the appointment).  Make sure you feel comfortable with the person and that their advice makes sense to you.  Ask a lot of questions and don’t be afraid to shop around.  After all, it is your money, and your choice could translate to a $250,000+ difference.

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I used to be the type to spend my entire paycheque.  I had student loans and credit card debt, but surely these things would all get paid off eventually.  I kept telling myself “someday” and then filing my concerns in that dusty file cabinet in the back of my mind.  I was young, living in Japan and not really interested about learning about money (mistake #1).  My only concern was to make sure I had enough money in my bank account to cover my living expenses, travel, and lift passes to the local ski hill.  Then I moved back to Canada.

I came back to live with my (now) husband and start a new life in my home and native land.  I knew that meant a lot of changes to the way I was living before, and the first change I needed to make was in regards to money…or rather, the lack of money and the lack of knowledge about money.  So I gritted my teeth and started studying a subject I had no interest in before.  What I found out was terrifying.  Before I go into the dos and the don’ts, here are 5 reasons why you should care about money.

1. Women live almost 5 years longer than men on average, which means at least 5 more years of living costs to worry about.
2. According to a study done by Stats Canada, women make (on average) about $15,000 less per year than men.  That (which I will soon show you) is a HUGE difference, especially compounded over time.
3. The maximum CPP benefit for 2010 was $934.17 per month, which in some cities doesn’t translate to rent or mortgage payments, never mind food.  Of course, that is the maximum amount based on what your earnings were.  So stay-at-home moms with no or little income would receive far less CPP, or even none (if you have never worked/paid into CPP).
4. Hitting your retirement goal is not that hard if you start saving at a young age and in the right place.  The reality is, we all need to start saving, but I will definitely talk more about that later.
5. With babies to feed, dishes to be done, laundry to wash, and a house to clean, wouldn’t it be nice not to have to worry about one more thing?  Plus the cost to raise a child from birth to 18 years of age is between $166,500 to $167,000 (from CCSD Stats & Facts).

I hope with those reasons in mind, a spark of interest has been lit.