Talking About Money in Canada

Yet, many people are hesitant to talk about money even with financial professionals. There are complex reasons behind this, ranging from stress to stigma. But there are also many good reasons to break free from the taboo and start talking about money.

This article explains why talking about money matters and how to have those conversations with your partner, coworkers, children, and friends.

The Benefits of Talking About Money Instead of Staying Silent

While it may feel uncomfortable or unfamiliar to talk about money, you may find that it comes with some benefits, such as:

• Improved awareness about money
• Reduced feelings of stigma about money and debt
• Comfort when discussing compensation at work.

Additionally, Canada’s government resources note that “opening up about money can lead to improved financial confidence and better decisions.”

But that same resource doesn’t explain how to start conversations about money, or how to talk about it respectfully and responsibly. We wanted to provide some information that might help you when it comes to talking about money in key relationships in your life.

How to get started talking about money

To make having conversations about money a little easier, our partner Scotiabank has created a Money Style quiz. The Money Style quiz leans on the expertise of psychologists, therapists, and money experts to give you deeper insights into your relationship with money. These insights can help you better understand your motivations and behaviour with money, and they can help you relate to others who may have a different money style to you.

Get started with Scotiabank’s Money Style quiz.

How to Talk About Money with Your Partner

Talking with your partner about money can support a shared understanding of how finances may be managed within the relationship and values. This can be helpful when it comes to handling everyday expenses and items with a longer time-horizon, such as planning for the future or dealing with changes in income.

But it’s not always comfortable to talk to your partner about money. One technique that might help is to start with broad topics, such as things you like to spend money on or what you’re currently saving for and why. Another is to talk about how you feel about money or how money impacts your life. Some people find these conversations more comfortable (and even more fun) because they aren’t about specific dollar values.

You could also take the Scotiabank Money Style quiz with your partner and discuss your differences and similarities.

Over time, as trust and comfort increase when talking about money with your partner, you may choose to start talking about things that may be more challenging. This could include the amount of debt you have (if any), your credit score, and how much you earn.

Finally, not everyone you date needs to know these things about you. It is common in Canada to wait until your relationship is more established to start talking about money with your partner. While some people may talk about money on a first date, others may not like to. It’s important to know that the timing of these conversations with a partner will vary depending on your unique preferences – and your partner’s.

How to Talk about Money with Your Colleagues

In Canada, some governments have introduced pay transparency laws aimed at reducing pay gaps and to “foster open discussions about compensation”. These laws are different from province to province, and not all provinces and territories have pay transparency laws. In practice, this means talking about money with your colleagues can look different depending on where you live.

When it comes to handling conversations about money at work (if it comes up at all), it’s important to speak respectfully and appropriately. While your workplace culture and personal comfort level may vary, many people find it more appropriate to talk about

compensation policies, local wage and hour laws, pay ranges, and benefits with their colleagues than exact salaries.

Newcomer tip: As a newcomer, you may wish to look into pay transparency laws in your province or territory to find out if there are any. It may also be helpful to look up wage and hour laws and other employer compliance obligations.

How to Talk About Money with Your kids

Talking about money with your children (if you have any) can be fun and educational. But, families approach money conversations differently and there is no ‘right way’ to start. Instead, families often try to be age-appropriate in what they share with children about money.

With younger children, it can be helpful to focus on basic ideas. Some examples could include what money is (physical aids can help here), and the concepts of earning, spending, and saving. You can talk about prices of items or even give them a budget to spend at a certain store, for example. Even everyday activities, planning a low-cost family outing for example, can provide natural opportunities for your child to ask questions about money.

As younger children become teenagers, you may start to discuss more complex topics, including budgeting, part-time work, and how your family may manage costs of post-secondary education. This can also be a good time to start talking about basic banking with your child.

Finally, if your child wants to work part-time, it can be helpful to talk to them about paycheque deductions, taxes, and digital payments. This can introduce the difference between their salary or hourly wage and what arrives in their bank account, long before the first payment hits their account.

How to Talk About Money with Your Friends

In Canada, conversations about money with friends are often informal and practical – rather than about personal income or debt. It’s common for friends to talk about money when planning activities or travel, or splitting costs for entertainment, for example. You may choose to say “that’s not in my budget at the moment” to your friends when making plans – or your friends may say that to you. There’s no need to share any explanation.

In fact, sharing personal details, including your income or debt, can be less common. Friends may choose to share different levels of personal information about their finances – with some being more comfortable and others less so. It’s important to recognize and respect boundaries when it comes to talking about money with your friends.

One helpful tip for discussing money with friends is to keep the conversations optional and judgement-free. This might include sharing your knowledge about a topic without comparing your situation to theirs (or others) or letting them know their feelings are valid.

As a newcomer, another money topic that may come up with friends is the cost of living. It’s likely you’re still getting used to costs in Canada, and you may want to discuss that with the people you meet. If you’re in this situation, it can be helpful to ask broader questions, such as what rent, groceries, or transport typically costs in the area, rather than asking about personal spending details.

Consider Discussing Money with a Scotiabank Advisor

If you’re new to Canada and want to learn more about banking, budgeting, or personal finance in Canada, it can be helpful to speak with a professional. Scotiabank offers newcomers the opportunity to speak with an advisor.

Book a no-obligations meeting with a Scotiabank advisor

Not in Canada just yet? You can sign up to hear more from Scotiabank to learn more about banking and finances in Canada.