'When you have nothing, you sink or swim': Famed Canadians share financial lessons they learned from their parents

Article content

“Thankfully, in my youth I had the best financial advisor a son could ask for: my dad Walter. When I got that first signing bonus in 1978, Dad took my cheque, announced, ‘This is what we’re going to do,’ and bought an annuity with it.” —Wayne Gretzky

Whether our parents gave us a piggy bank or lectured us about the value of a dollar or led by example, we likely learned about money from them. So while we’re enjoying time with the family over the holidays, let’s take a break from the giving and spending to reflect on the priceless financial lessons that our loved ones have imparted over the years. To get us started, we asked prominent Canadians: “What did your parents teach you about money?”

We apologize, but this video has failed to load.

Try refreshing your browser, or
tap here to see other videos from our team.

'When you have nothing, you sink or swim': Famed Canadians share financial lessons they learned from their parents Back to video

My father often said: “In a business deal, negotiate as hard as possible, but always leave the last nickel on the table for your opponent, especially if you have the upper hand. He will thank you for it and remain a friend for life.”

I grew up watching my father, George, work in a restaurant that was open 24 hours a day. It was a tough job. Seeing him work up to 16- to 18-hour days at times, I learned by example – there is no substitute to hard work when it comes to earning money. He is a very generous man, but he has always chosen to spend his money wisely and enjoys spending his money on people rather than things. Most importantly, he always has money saved for a rainy day. Like him, I always try to have a safety net as well.

Brendan Canning, musician, founding member of Broken Social Scene: My mom used to monitor my bank account to see if I was saving money from my paper route and dish-washing job and not spending it frivolously. I remember her being dismayed at the low sum which prompted her to ask, “Are you selling drugs?” My response was, “Mom, doesn’t it stand to reason if I were actually selling drugs, wouldn’t I have MORE money in the bank?” Anyway, from that point on I became more careful with my spending habits and that little talk kept me focused on making sure I saved enough paycheque to paycheque. Both my parents continued instilling in me the importance of saving money which I am thankful for because one never wants to feel under the gun financially especially when he is a self-employed artist.

Rick Mercer, host of The Rick Mercer Report on CBC: My parents were all about spending within their means – they still are.

When we were growing up, there were no trips to Florida; we went camping. There was no paved driveway (there still isn’t) and my father drove a succession of pickups purchased at auction after they were essentially abandoned by the light and power company. For my father being frugal is a high art. He used to paint his trucks with a brush and the colour was whatever was on sale. Even to this day, if I mention to my father on the phone that I went to Canadian Tire and bought a lawn mower, I know he’s shaking his head on the other end as if I announced the purchase of a giant gold hat.

My parents had clear priorities about spending. They didn’t buy a TV for the house until they had a piano. There certainly wasn’t mad money but there was always money for music lessons, for drum kits, guitars and whatever activity my brother and sisters were interested in. There was money saved for those of us who availed of post-secondary education.

The idea of living beyond my means is an anathema to me. Going into debt unless absolutely necessary is hard for me to fathom. These are lessons that I learned from watching them. They led by example.

David Suzuki, environmentalist and broadcaster: In my own dotage, I think about the important lessons I want to pass on to my children and grandchildren — and I realize they are the same lessons I got from Dad. “We all need money for the necessities in life, but you don’t run after it as if money makes you a bigger or better man. If someone flashes his fancy new clothes or big car, pity him, because he has gone down the wrong road,” Dad said. He also taught me that I should save for tomorrow, live within my means, share and not be greedy.

“[An important money lesson] came later in life for me, from my mother-in-law: “Have a penny, spend a penny.” Life is too short to wait to experience it. This does not mean go into debt but more so make sure you take your time and money to do the things you love. Not exactly financial advice to get rich, but I’ve lived by these words and spent the best of time and money experiencing fantastic travel by foot and by bike with my husband Peter.

Terry Campbell, president of the Canadian Bankers Association: The biggest lesson [my parents] passed on to me is the importance of living within your means and being careful about debt, because there is no backup if you don’t. My father grew up on a farm during the Depression and he saw farms go under and marriages fail because people took on too much debt. He learned a healthy respect for debt, never taking on more than he could afford and he was always careful to only spend 85% of what he made, saving the rest. My mother tells the story of rationing during the Second World War. As a 10-year-old she was sent to the store to pick up the family’s ration of sugar. On her way home, she fell and spilled a month’s worth of sugar all over the sidewalk. And that was it – there was no backup and the family went through the month without sugar. She found that so traumatic that she still shakes today just talking about it.

Eleanor Wachtel, host of CBC Radio’s Writers & Company: My father used to say that money is like manure. If you pile it up, it will stink; but if you spread it around, things will grow. It’s much more fruitful to invest in different projects and give money away to family or friends. Another, more subtle lesson he taught me by example, not words, was to be generous anonymously. Here he was alluding to giving time as well as money — without recognition or reward. I’m still an apprentice with that one.

Kevin Sorenson, Minister of State (Finance) who is responsible for the federal financial literacy file: Much to my dismay when I was a teenager, my father always insisted that I put some of the paycheque from my job at the Home Hardware store into an RRSP. It didn’t matter that it was only a small amount — maybe 20%. It simply mattered that I did. Decades later, I continue to do so and I have passed the lesson onto my own children. I’m grateful to my Dad for teaching me the value of money early on and instilling in me the discipline needed to save for the future.

Michael Bonacini, celebrity chef and co-founder of Oliver & Bonacini Restaurants: Growing up, my family was in the farming business and then as I got older, they got into the hotel and restaurant business. In running both the businesses and our family, my mother was our CEO and CFO, and my father was the COO. My mother really managed the money, our finances and expenses, while my father ran the operations and made sure there was money coming in.

As children, we were never given an allowance; but we had jobs and tasks to do in the hotel. One of my big jobs was cutting the grass and I would get 10 schillings for finishing it. We had a Shetland pony named Rusty out in the field behind the hotel. When new guests would arrive, my siblings and I would offer rides on the pony for two shillings per person. It was sort of like having our own business.

Every time I was given my “pay,” I’d bicycle home and put it in a teapot I had hidden in the kitchen cupboard. When I’d managed to save five or 10 pounds, my mother or my father would take me to buy a savings bond and then I would save my bonds in the same teapot. It was through this that I first learned I could earn more money, even if it was only a bit of interest, just by saving the money I had already made.

Amrita Singh, video producer and creator of Prettyfrugalliving.com: My dad was always very frugal. He still to this day has shoes he bought 40 years ago. He always took care of things. My mom would cut milk bags, rinse those out and that’s how we’d take our lunch to school. It started this thought process that if you can reuse and repurpose, it’s not a bad thing. Also, when we were very young, [my dad would] say, ‘If you’ve got $10, put it in your bank account and I’ll match it.’ That concept of saving and respecting your savings was instilled in all of us when we were very young.

Heather Ogden, principal dancer with The National Ballet of Canada: I first joined The National Ballet of Canada as an RBC apprentice in 1998. As an apprentice, we were only paid during the performance season and not during the summer months. Since going into debt wasn’t an option for me, my parents suggested that I “pay myself first” and constantly reminded me to save the money that I made during the year to support myself during the summer when I wasn’t getting a steady paycheque. Even though I’m now a full-time member of the company, I still have the habit of setting money aside from each paycheque to pay myself first.

Jann Arden, award-winning singer-songwriter: The most valuable lesson I learned from my parents regarding money was something very simple. They told me to buy a “starter” home as soon as I was able to. I saved up a 5 % down payment and bought my first condo for $67,000. I thought it was going to be the end of me. But looking back, it was the best thing I ever did. I lived there for a few years and just kept upgrading. I would make a little bit of money, build up my equity and keep buying and selling. Even when the market was struggling, I managed to make money by waiting for the right opportunities to come along. Buy your home; don’t rent!

Steve Hudson, CEO of Element Financial Corp.: My father and my mother are the hardest working people on the face of the earth and they stressed that every penny counts. Their money lesson is that: “Money is a tool to get meaningful things done. It should work as hard as you do.”

Paul Brandt, country music star: From an early age, my parents instilled in me the concept of generosity and it has paid more dividends than any other financial investment I have ever made. Even today, they still love to be outward looking, noticing people in need and rather than giving a “handout,” giving them a “leg up.” While we always had more than we needed growing up, I still remember not always getting all of our “wants.” But because of that fact, there were others who were getting something they needed. It wasn’t just a token donation. It was sacrificial giving. A friend of mine phrased the concept like this: “Living simply so others may simply live.”

Christine Magee, co-founder of Sleep Country Canada: A story often shared at home was how my parents grew up during the Depression: the war, molasses sandwiches, having to quit school at 16 to earn money to contribute to the family. When my parents got married, they only had 75 cents left in their bank account after paying for their wedding. My parents both had to work and “saving for the rainy day” was drummed into us. We came to appreciate the importance of savings and making sure that we had a safety net to protect us just in case.

Susur Lee, executive chef: I am from Hong Kong and I have four sisters and one brother. My family came from nothing. When you have nothing, you sink or swim. My parents taught me not to waste anything. This is in my bones as a result, it guides everything I do in both the kitchen and business.

What financial lessons did your parents teach you? Share them below in the comment section or online with the hashtag #FPlessons.

Financial Post

• Email: mleong@nationalpost.com | Twitter: lisleong