The Tax Squad is your opportunity to get financially confident and make an impact in the community. Learn to file personal income taxes alongside chartered professional accountants (CPAs) and other volunteers.

No tax experience is necessary. We train and supervise.

Have questions?

Email money@mcmaster.ca.

How can financial literacy benefit you? For one, it can help empower and equip you with the tools to make the best financial decisions for you.

Here’s how Rob and Roma addressed three pressing financial topics:

Managing financial pressure

Rob and Roma start by acknowledging that the costs associated with getting a university education have gone up quite a bit in recent years. Many of the questions they received from students were around how to set yourself up financially by investing and saving. However, with financial pressure at an all-time high, Rob’s number one piece of advice for students is to avoid accumulating more debt.

There will be time to invest once you’ve graduated and have started earning an income, but it is best to “contain your debt to your student loans, if you have student loans. If you’re able to save a little bit, I think that’s great,” says Rob. If possible, he suggests keeping an emergency fund in a high interest savings account. This is a risk-free place to park your savings and earn between 2 to 3% interest, so you have a cushion for when you need a new laptop or you get an expensive dental bill.

Investing as a student

Rob shares that it’s best to invest with money you won’t need in the next few years. This means that if you have not accumulated any debt, and you have money left over after you’ve paid for the essentials and contributed to an emergency fund, you could invest that cash. “In order to have almost a guaranteed great outcome from stock market investing, you have to have a 10-year horizon. Less than that, you’ve got to think about saving and keeping your money safe,” says Rob.

As a student, Rob advises avoiding paying extra fees associated with banking and investing alike. Nowadays, there are lots of options available to you. So, do your research, and make sure you are making an informed decision when choosing who to trade with.

Lastly, it’s also okay to start small when it comes to investing, even as little as $10 will help you get started.

Job searching as a new graduate

“How many of you guys are getting close to graduating?” Roma asks. About half the room raises their hand.

Roma shares that on Stress Test, they talk about how to build and start careers. This includes what to negotiate when it comes to job offers. “One of the best things you can do is negotiate things that are feasible,” says Roma.

Salary can be negotiated, but “benefits can be worth thousands of dollars,” says Rob. Things like dental work, medical care, mental health support, physiotherapy and massage can cost hundreds, sometimes thousands of dollars, and having benefits can save you from paying out of pocket.   

One student in the audience shares that they currently have two job offers on the table: one offers a lower salary with a better projected career growth, and the other offers a higher salary and better benefits, but less projected career growth.

Roma asks, “which one are you more excited about?”

If you find yourself in this scenario, especially in this financial climate, Rob suggests asking yourself some important questions. For example, is this the career you want? The answer can help determine whether career growth is a worthwhile focus when evaluating offers. Additionally, consider whether you have debts to pay off. If so, a higher salary can help you lower that debt at a faster rate.

To learn more about these topics from Rob and Roma, visit The Globe and Mail’s website and subscribe to the Stress Test podcast.

Browse all the appointment types to find out how you can access support. Then, book appointments on OSCARplus under Student Success Centre > Appointments. Once you’re there, just select the appointment type you want and find a time that works for you.

Need help booking appointments and navigating OSCARplus?

We recommend attending an OSCARplus how-to workshop. Find the next listing under the Student Success Centre > Events.

You should use your money to maximize your goals and reflect your values. When you start to make your budget — before you begin gathering your costs, expenses, debts and savings and investments — gather your hopes and dreams and what you hold as true and meaningful. If you make a budget based on these things, then sticking to it will be much easier.

Why make a budget?

Well, many of us go through our financial lives passively, never fully thinking about what brings us value. We spend according to what others are doing or what brings us immediate gratification. We might not be sure how much money we’re spending, the interest rates on our savings plans or what interest rates we’re paying on our credit cards or loans.

The other issue is we aren’t typically intentional about our spending, saving, borrowing, giving or earning. In 2019, a study by the Canadian government found only 49% of people had a budget. Yet, we make financial decisions daily without the data to support them.

Needs vs. wants

After your gain awareness of your spending habits, let’s focus on the difference between needs and wants. You’ll need to come up with amounts for each item on your budget. Plus, if you’re faced with a shortfall of money, what considerations should you be thinking about?  

What is a need vs. what is a want? A “need” is what is required for survival — to have the necessary tools and resources to stay alive. A “want” is a desire or wish that doesn’t impact your ability to survive.

Why do some people not want to budget?

Where do you start?

Let’s break it down in five parts. However, it’s worth thinking about what you want to accomplish with your money before we begin. What are your goals? Here are some typical student goals.

• Not having to work so studies are the priority
• Minimizing the amount you need to borrow
• Wanting to understand your financial situation and plan accordingly
• Saving for a future expense like grad school or a global experience

Use your goals to prioritize parts of your budget.

For recipients of the Canada Emergency Student Benefit (CESB) or the Canada Emergency Response Benefit (CERB) and individuals who worked from home in 2020, there may also be uncertainty around how the pandemic will impact their taxes this year.

Without adequate financial literacy, what’s a Marauder to do come tax time?

Enter the McMaster Tax Squad, a team of student volunteers that provides free, virtual tax services.

With more than 60 volunteer members, the Tax Squad provides consultation services for students and community members to complete their taxes and capture all the credits and benefits they deserve. So far, the Tax Squad has completed more than 200 returns.

For Simon Pereira, Tax Squad volunteer and third-year business student, this community involvement is incredibly rewarding. “It’s an amazing feeling to know that I am giving back to a community that I have fallen in love with,” says Pereira. “If I can help one resident of Hamilton alleviate some stress during these difficult times, I know it was worth the time and energy.”

“There is nothing better than completing someone’s return and seeing how happy and excited they are about the refund and benefits they will be receiving,” adds Leena Ghazali, Tax Squad volunteer and third-year business student.

The program is part of Mac’s Money Centre’s involvement in the Community Volunteer Income Tax Program (CVITP), an ongoing partnership with the Canada Revenue Agency (CRA), Chartered Professional Accountants (CPA) Canada and community partners, including the Hamilton Public Library, Hamilton Dream Centre and Good Shepherd. Leadership is provided by regional Hamilton volunteer tax coordinators Andrijana Olaizola (CPA, CMA), Gina Robinson (CPA, CA) and Rachel Nelson, events and communications specialist.

“This partnership has allowed for a coordination of McMaster and Good Shepherd Women’s Services to be able to support vulnerable members of our community and empowering them with accurate and supportive tax assistance,” shares Paula M.P., wellness facilitator at Good Shepherd Women’s Services. “With the current pandemic, the resourcefulness of the Tax Squad has allowed many women to access this amazing service.”

Gina Robinson, director of the Student Success Centre and co-founder of Mac’s Money Centre, says that the Tax Squad has become a signature program. “I know will continue for many years to come” says Robinson. “Students love giving back and our community and fellow students need us.”

Here’s how the McMaster community can access tax support this year.

Drop-in tax appointments for students

Students can sign up for a drop-in tax appointment to have their tax return prepared by a Tax Squad volunteer. More than 70 appointments have taken throughout March and April. Due to the popularity of these appointments, the Tax Squad is offering two additional openings:

• April 24, 9:30 a.m. – 12:30 p.m.
• April 25, 1:30 p.m. – 4:30 p.m. 

Tax drop-offs for the Hamilton community

Throughout April, Tax Squad volunteers are preparing tax returns for at no cost for Hamilton community members with low-to-modest income. Individuals can drop off their tax information at a designated Hamilton location, and a volunteer will prepare their return off-site.

Do-it-yourself virtual tax webinars

Mac’s Money Centre hosted a two-part webinar series in March. More than 110 students learned about filing taxes in Canada, the tax impacts of COVID-19 benefits, new tax deductions introduced in 2020 and how to file a tax return using free software, Wealthsimple Tax. Videos of the recorded sessions are available on the Mac’s Money Centre website.

COVID-19 tax questions

Students and community members can access Mac’s Money Centre’s tax FAQ on the website. This resource includes information about the government’s new flat-rate method to simplify expense claims for individuals who worked from home during the pandemic, as well as important information for international students who moved back to their home country due to COVID-19.

Visit the Mac’s Money Centre website for more information on tax services, including how to register for student appointments, what information to bring, community drop-off dates and locations, and more.

Additionally, as a student, you may think that it’s too early to start thinking about investing — that investing is only for people who are already wealthy and “successful.” This is one of many common misconceptions students and other younger people have about investing, according to Michelle Hung, AKA the Sassy Investor. The fact is, students can enter the world of investing now through gathering information, exploring their options and planning. 

But who is the Sassy Investor?

Michelle Hung is a chartered financial analyst (CFA) and investing expert who’s worked for seven years in investment banking and venture capital. She’s also an author and content creator, having contributed to Canadian Money Saver Magazine, hosted webinars for Questrade and developed TikToks for the budgeting app Cleo. To date, she’s taught people how to invest (over $2 million total!) and save on average over $9,000 per year.

We had a chance to chat with Michelle Hung and ask her some common investing questions. Here’s what she shared.

How much should I have in my savings before I start investing?

You should have at least three to six months’ worth of expenses in your savings account, but you can start investing when you feel comfortable at the level of savings you’re at. For example, if you have two months worth of expenses in your savings account (e.g. $6,000, if each month you spend $3,000 on living expenses), and you’re comfortable with that, you can start your investing process while continuing to build up your savings fund. 

How do I start investing? What’s the difference between using my bank’s investment team and an independent broker?

The first thing you need to do is educate yourself so you know exactly what to invest in and what the risks are. Managing your risk and expectations is critical. Bank-owned brokerages are generally more expensive when it comes to fees, like trading commissions, and they may even charge a quarterly maintenance fee if your balance does not exceed a certain amount (e.g. If you don’t have at least $15,000 in your investment account, you’ll be charged $25 per quarter). Independent brokers like Questrade or Wealthsimple Trade are cheaper. They offer commission-free purchases on ETFs, and they don’t charge maintenance fees (a fee if your account balance falls below a certain amount).

Is there a good website or app I should use to help me invest?

Check out Wealthsimple or Questwealth Portfolios if you decide to use a robo-advisor to help you manage/build your own investment portfolio.

What are the requirements, pros and cons of using a platform and trading on my own? 

Trading on your own is the cheapest option — which means you’re not paying a management fee for someone to manage your investment portfolio. This gives you the most freedom in terms of what you want to put in your portfolio. However, you have to do this work on your own, including the management of it. 

If you decide to go with a robo-advisor, which means having your portfolio managed for a fee, you don’t have to worry about how to build and manage your portfolio — they do it for you. Wealthsimple charges an annual fee anywhere between 0.4% to 0.5%, plus the cost of the ETFs. Questwealth Portfolios charges anywhere from 0.2% to 0.25%, plus the cost of the ETFs. 

What are ETFs? What are mutual funds? Do you recommend one over the other?

“ETF” is an acronym for “exchange-traded funds,” which means these funds can be purchased on the stock exchange like any other stock. Mutual funds have to be purchased through a financial institution and usually carry some restrictions like a minimum initial investment. Mutual funds are also generally expensive, as they carry annual fees of, on average, 2.3% per year (Canadian average). ETFs are cheaper and can start as low as 0.05% per year. 

I recommend ETFs mainly because they are lower in cost — these fees can add up to thousands of dollars over a lifetime! 

What is a good fee percentage?

The lower, the better. There are ETFs that start at 0.05%, and then there are ETFs where they are diverse enough to own just one in your portfolio, which can cost 0.25% per year. These are all reasonably priced, especially compared to the average mutual fund fee of 2.3%. 

If I have debt, should I take out any money I have invested to pay off the debt? 

That depends on your financial situation, the level of debt and the cost of debt (e.g. the interest rate you’re paying). Mathematically, it makes sense if you’re paying 20% in interest costs vs. earning 8% per year, for example, to pay off your debt first. If your investments are held in an RRSP, you shouldn’t sell your investments to pay it off because you’ll be on the hook for taxes. 

If, however, you’re thinking about taking money out of your TFSAs to pay off credit card debt, it makes sense. Some people are comfortable carrying some debt for a short period of time, and some just want to get rid of it ASAP — so it all depends on your personal circumstances and what you’re comfortable with. 

Should I be thinking about investing if I don’t have a job right now?

You can certainly think about it, but I wouldn’t advise on acting on it! I would suggest using this time to educate yourself so you can get started when you’re ready to go — that is, after securing a job/income stream and building some sufficient savings first. 

I have reservations about what’s happening in the economy right now. Should I wait to invest? Or is this a good time?

When you’re investing, you should avoid: 1) news and current events, and 2) trying to time the markets. The proven and best strategy is to continue investing every month, no matter what is happening in the economy right now or any short-term volatility driven by events, such as the U.S. election. Staying invested, but also continuing to invest through the ups and downs of the stock markets, is the best way to avoid losing money! 

I have extra funds that I have saved from OSAP. Should I invest this money in the market, or are there other options to consider?

Eventually, you’ll have to pay that money back when you graduate, which means interest will start. Put that money in a high-interest savings account in the meantime (e.g. EQ Bank), so when you graduate, you can reduce your student loan balance immediately, avoiding unnecessary interest costs.

Learn more about the Sassy Investor on her website. Connect with her on social media: Instagram (@TheSassyInvestor), Facebook (@TheSassyInvestor), Twitter (@Sassy_Investor) and YouTube.

The Investing with Michelle Hung series was part of Financial Literacy Month, hosted by Mac’s Money Centre and the Student Success Centre. Information about the series, including webinar recordings, can be found on the Financial Literacy Month web page. Check out the Mac’s Money Centre’s website for more information on managing your money.

Studies show that only 6 out of 10 Canadians have basic financial skills, so students may feel unequipped and unconfident when it comes to making financial decisions. Additionally, recent cuts to OSAP and the introduction of the Student Choice Initiative mean that students need to scrutinize their financial choices now more than ever.

Based on recent legislative changes, students who rely on OSAP may need to cut back on their spending or save up extra funds over the summer. The Student Choice Initiative gives students the power to choose which non-essential services they pay into, but these decisions can be overwhelming and they should not be made lightly.

How should you spend, and how should you save? “Carefully and intentionally,” says Gina Robinson, Director of the Student Success Centre and Founder of Mac’s Money Centre. To help students do this, “[Mac’s Money Centre] has a number of workshops regarding how to develop a spending plan that fits your individual needs,” Robinson adds.

This Financial Literacy Month, Mac’s Money Centre is here to help students build confidence in their financial decision-making skills — and maybe pay for their textbooks.

This November, Mac’s Money Centre is hosting a variety of events and workshops to promote financial wellness and encourage students to dream big. Students who attend the signature events and workshops will get a chance to receive their winter term textbooks for free. Students who book and attend an appointment with a Mac’s money coach in November will also be entered into the contest.

The next Financial Literacy Month event will take place on Wednesday, November 13, from 5:30 to 7:30 p.m., at The Grind/TwelvEighty. Join Mac’s Money Centre at Money Talks, an interactive event featuring an exciting panel of financial experts. The speakers and topics include:

• Conquering Imposter Syndrome: Sarah Zandbergen, Senior Program Specialist, stnce
• Money Mindset: Vanessa Bowen, Chartered Professional Accountant (CPA) and Neuro-Linguistic Practitioner
• Monetize Your Side Hustle: Lauren Smith, Entrepreneur
• Power to Success: Kim Kukulowicz, Senior Vice President, Residential Sales at EQ Bank

Register for Money Talks With Financial Experts on OSCARplus.

On November 20, students are invited to the annual Cooking on a Budget event, brought to you by the Student Success Centre and Hospitality Services. This year’s event will focus on a classic comfort food and university staple: mac and cheese. Students will get a chance to learn how to (Mc)Master a healthy, inexpensive and delicious mac and cheese recipe.

Learn more about this event and register on OSCARplus.

For a full listing of Financial Literacy Month events and workshops, visit the Student Success Centre site.

Additionally, students can ask their financial questions and receive expert advice through Mac’s Money Centre’s Money Mondays social media campaign. Students are encouraged to submit their money questions by responding to @MacSSC’s Instagram story on Sunday evening, and a money coach will answer back on Monday.

Mac’s Money Centre wants to remind students that financial wellness should be a priority all year — not just in November. “Let’s face it if you are having money problems — it affects all other areas of your well-being including focusing on academics and your physical wellness,” says Robinson. 

Mac’s Money Centre offers workshops, one-on-one counselling and resources to support students’ financial well-being from their first year at McMaster for up to five years after graduation.

“You never, ever have to ‘act now or face arrest’.”

“If a transaction looks suspicious, check with your family or the police first.”

If you own a cellphone, you’ve probably answered a call from a stern voice announcing that you’re in trouble with the police or the Canada Revenue Agency, warning that you need to address the problem immediately or face dire consequences. Oh, and please key in your date of birth, Social Insurance Number or banking information.

Many people know that this kind of call, while it may sound and look legitimate, is a scam.

And many don’t.

They play voice recordings of some of the calls students might receive, saying a friend’s bank account has been locked and they need money, or pretending to be from a government agency that will send police to the door if they don’t immediately key in their personal information or send money.

The police show the students examples of email scams. They warn them about people who go door to door, who try to come into your house to talk about a new water heater or a new roof. They talk about virtual kidnapping.

Campus security explains all the programs we have to keep students safe on campus, like SWHAT (Student Walk Home Attendant Team), McMaster’s Emergency First Response Team, the red emergency boxes around campus, and the McMaster safety app. They also tell them who to talk to if they feel unsafe or need support.

And Crime Stoppers offers them a safe, anonymous way to report suspicious activities without fear of reprisal.

Why it matters

Our students are here for a good experience and to learn. It’s so important to protect them, and to help them protect themselves. We’ve heard from a lot of students that they found this workshop so useful, because they’ve fielded calls like this and now they know how to respond. Unfortunately, scammers often target international students and take advantage of them.

The workshop is also a safe space to talk to police and security — in some countries, there’s a genuine fear of the police. So much so that people aren’t comfortable reporting suspected fraud in case they are genuinely in trouble and this will lead to them getting arrested. The workshops allow students to see that you don’t have to be afraid of people in uniform — you can trust them to support you and protect you.

Providing students with the tools they need to protect themselves is a priority for Mac’s Money Centre, especially since students and recent graduates are often considered to be a target. From leaving laptops unmonitored in the library to using free public Wi-Fi while accessing personal information or applying for a job posting on classified websites like Indeed or Workopolis, there are many everyday tasks that can put a person at risk. 

As recent events have shown, international students have become a notable target for fraud, with scammers applying pressure and scare-tactics on international students to share their information; scare tactics include the threat of deportation, arrest, and passport status. In these cases, international students are encouraged to remember that immigration will not get in contact through phone or door-to-door, and will not require immediate funds.

For Mac’s Money Centre, Fraud Awareness Month is an opportunity to empower students to develop a stronger awareness of fraud schemes so that they can confidently identify and handle potential scams. On Monday, March 19, 2018, Mac’s Money Centre will welcome the Hamilton Police for a presentation, where students can attend to learn and ask questions; food and refreshments will be provided.

One of the key takeaways from this presentation will be the power of awareness and confidence. Many fraud schemes involve creating a sense of urgency and awareness; for students who are uncertain about situations that have higher financial stakes or that involve sharing personal information, it is recommended that they take a moment to reflect, examine the situation, and seek advice before making a decision.

“There is sometimes a fine line between outright fraud and scams; but, they’re in the same category. Scams such as free products and giveaways can sometimes be just as financially risky,” says Gina Robinson, Associate Dean of Student Affairs and Director of the Student Success Centre. “If it’s too good to be true, it likely isn’t true. Have confidence and go with your gut when things don’t feel right. Report when you come across a situation so that scammers know you’re onto them.”

In a potential fraud situation, students or members of the McMaster community on-campus should get in contact with McMaster Security (dial 88 on any on-campus phone); members of the Hamilton community, including students living in the Westdale area, should get in contact with the Hamilton Police.

To attend the Fraud Awareness Month presentation, students can register on OSCARplus.

Students can now access their net bill and have a better sense of how much they owe; net bill includes all non-payable aid from grants, bursaries, and scholarships. Incoming students also have access to their net tuition upon their offer of admission, so that they can make informed financial decisions. Net tuition is the full cost education after tuition, grants, bursaries, and scholarships; having access to this information allows prospective students to compare and contrast financial options across institutions.

“The new Ontario Student Grant program provides more upfront grant funding to students,” says Leanne Ruiz, Manager of Student Financial Aid and Scholarships. “Students also have the opportunity to only accept the grants and waive the loan funding. Increased grant funding decreases overall student debt upon graduation.”

Liz McDonough, Coordinator of Customer Service at Student Accounts and Cashiers, adds, “We are seeing much less traffic in the Student Accounts office this year and we believe it’s because of three things. Students are using online payment services; Mosaic was more user-friendly; and most importantly, the Account Summary was made available through Mosaic this year.”

As a leader in advocating for the financial wellness of students, McMaster University is committed to providing education and resources for students, right from the moment they receive their offer of admission. This year, for instance, Mac’s Money Centre hosted their second Smart Start workshop in June 2017, where over 250 incoming students and their parents took part in a workshop session about building a realistic financial budget and plan for University, while also opening larger discussions about money. More recently, screens about the Net Tuition Project were created and displayed across the Student Centre in time for Welcome Week, so that students could better understand their expenses and resources the moment they arrived on-campus.

“If you think about it, when students leave home for the first time, they are forced to be financially independent and responsible,” says Gina Robinson, Associate Dean of Student Affairs and Director of the Student Success Centre. “All of a sudden, students are faced with managing their day-to-day expenses while also juggling academic pressures and work. It’s a lot to handle, which is why we’re here to help.”

“We think incoming students and parents were better informed this year due to awesome McMaster programs like Smart Start and Orientation Week,” McDonough adds.

Mac’s Money Centre is a resource that is unique to McMaster University. Responding to survey results that revealed finances as a top three stressor facing McMaster students, Mac’s Money Centre formed as a resource to help students become better equipped to handle financial challenges; it is now a partnership between the Student Success Centre, Catholic Family Services, Student Financial Aid and Scholarships, and Student Accounts that offers free workshops, one-on-one coaching, tax clinics, and speaker’s events for students.

In addition to workshops and one-on-one appointments available throughout the year, Mac’s Money Centre will lead McMaster University’s digital campaign for financial literacy month. Throughout the month of November, students will have access to a number of talks and social media discussions about myths and truths about money management. Students can also look forward to money topics related to careers.

“What students perceive usually comes from what family and friends think, which might be wrong,” says Robinson. “It is important to set the record straight.”

One of the November guest speakers will be Rob Carrick, a Personal Finance Columnist for the Globe and Mail and author of How Not to Move Back With Your Parents. Robert will offer students a perspective of what to do while they are in school and financial mistakes to avoid, as well as insight into the many decisions students will make when they graduate. This event will take place on Tuesday, November 7, 2017.

To attend a workshop or book an appointment with a Money Coach, register on OSCARplus.