Skip to main content

Savings strategies for professional graduates

It was the best of times; it was the worst of times…

That’s how it seems for many professional graduates these days. Their debts are high and it can be difficult to immediately find a good paying job. After graduation, grads are told to pay off their school debts as quickly as possible, to start savings for retirement and for the ever-imminent rainy day. Needless to say, this all seems very daunting, but these goals can be achieved with careful planning and creativity.


Meet with a financial professional regarding Cash Flow & Debt Management Planning
Setting it up will require a bit of effort, but it’s worth it in the long run.

A Cash Flow Plan Can:

  • Find you the money to fund your dreams
  • Show you how to save tens, if not hundreds of thousands, of dollars in inefficient interest
  • Help you stop money leaks on stuff that doesn’t matter, so you have money for the stuff that does
  • Finally tell you what to do, instead of what to buy


A financial advisor can also help you define your short- and mid-term savings goals, assess the savings options available to you and get advice on how to get an early start on your retirement savings strategy. One of the best ways of doing this is to take advantage of dollar cost averaging, which is all about using time and consistency to grow your money. Here’s how that would look: Suzanne can contribute $1200 this year into her retirement savings plan. She can either wait until she’s saved up $1200 and invest it all at once, or contribute $100 each month. Here's how dollar cost averaging pays off:

Lump Sum Contribution: She saves $1200 by the end of the year and is ready to invest. Suzanne decides to purchase mutual fund shares with a unit price of $5. Her $1200 buys 240 units.

Regular Contributions: By contrast, Suzanne invests $100 per month through regular payroll deductions. Because of market fluctuations, the cost per unit changes every month allowing her to buy a different number of units with her monthly contributions. At the end of the year, Suzanne was able to buy 266 units, valued at $1330. She’s now ahead by $130 ahead.



Submitted by: Brendan Gardner, CFP, CPA, CGA, CFDS, CCS, B. Comm (hons.)

Partner/Financial Advisor, Love & Persson Group