Guest Post by Margot Bai

Thanks to everyone who entered the contest to win a copy of Margot Bai's new book Spend Smarter, Save Bigger. The winner is Duane L, who should have an email back from me asking for his address. With this contest I ask Margot if she would be willing to write my first guest post and she graciously agreed. So here we go. - CD

Thanks CD for the opportunity to be your first guest post!

Thousands of dollars spent (I would say lost) following the “advice” of commission-based financial professionals. In our efforts to take responsibility for our financial future, many are paying a high price, locking up their money in high-fee mutual funds, high-interest rate
mortgages and expensive insurance policies.

Mortgage reps recommend we lock in for a 5-year term, trapping us at a higher rate. Insurance salespeople convince us to pour our money into expensive permanent life insurance policies. Financial planners like author David Bach try to distract us from their fees by telling us that
what really counts is cutting back on discretionary spending like coffee and take-out.

When did common sense fly out the window? My message is simple but I believe pivotal to financial success: focus on bigger savings because this will build your wealth much faster than the small stuff. Often these big savings come at the expense of commission-based service
professionals whose livelihood depends on taking a slice of our pie.

While there are certainly many well-meaning financial service providers, their compensation is based on them convincing you to buy their more expensive products. It is a situation that can make one very angry, especially because these people appear to be there to help us. However,
the age-old principle of buyer beware applies to every other area in life. Why should financial services be any different?

I wrote Spend Smarter to inspire Canadians to create an affordable lifestyle that will allow them to live comfortably while saving a significant part of their income. However, a frugal lifestyle alone does not guarantee financial success. When it comes to financial services, we need to educate ourselves so we can see through the sales pitch and make the choice that will help us keep more money in our pocket. At the end of the day, isn’t that what saving money is all about?

-Margot Bai, Author of Spend Smater, Save Bigger