The Burn Your Mortgage Podcast: Soft Saving and Loud Budgeting with Lesley-Anne Scorgie

Full  Transcript

Sean Cooper

Welcome to the Burn Your Mortgage podcast. I'm Sean Cooper, and it's great to be back for another episode. On today's show, I'll be talking to a returning guest, Lesley-Anne Scorgie of Oprah Fame. Lesley Ann, or LA for short, is an author, speaker, personal finance consultant, and the founder of MeVest.ca. She's been a guest on Oprah and is a past winner of Avenue's Top 40 Under 40 and was also featured in Top 100 Most Powerful Women in Canada in the Future Leaders category by Women's Executive Network. She has shared her secrets to achieve financial success with CBC, Breakfast Television, the Globe and Mail and more. She's the lead money columnist at the Toronto Star. Her latest book is The Modern Couple's Money Guide: 7 Smart Steps to Building Wealth Together. She’s also the author of Well-Heeled: The Smart Girl’s Guide to Getting Rich and Rich by Thirty: Your Guide to Financial Success.

In my interview with Lesley-Anne, we discuss what LA is writing about right now, considerations when upsizing houses, what are people doing with their careers to afford houses and what are the money hacks to own a home sooner.  Without further ado, here's my interview with Lesley Ann Scorgie. Hi, LA. How are you doing today?

Lesley-Anne Scorgie  

Pretty good. Nice to be back and chatting with you about all things money.

Sean Cooper  

Yeah, it's always great to have a returning guest on the podcast here, especially an Oprah alumni. Or I'm not speaking with somebody who has appeared on Oprah every single day. So it's great to have you back on the podcast again.

Lesley-Anne Scorgie  

Thank you. Appreciate it.

Sean Cooper  

So yes, it's been a while since we spoke, so if you could just provide the listeners with a bit of a life update, what have you been up to these days? Because yes, I believe when we first spoke, I don't think you even had kids back then perhaps.

Lesley-Anne Scorgie  

You know, it's so interesting, Sean, because my life has shifted so much since we spoke last. I have two very, very hilarious and sweet kids. I've got a three and a five-year-old now, and I feel like everything in my life has shifted, including even my focus on my career, because I'm a mom now, and because I'm very much focused on my own family, my business has shifted to be very family financial wellness-oriented as well.

So it kind of fits really nicely. And so I'd say that, you know, those two things are a big shift. And also, starting in on a new book project, which is going to be also focused on family financial wellness. And I'm excited about that. So lots on the go, but my family and my career take up so much of my time. I don't have, you know, I can't fit in the occasional Pilates class, but not that much.

Sean Cooper  

Wow. That's amazing and sorry I've lost track. Which book number are you at?

Lesley-Anne Scorgie  

Oh, yeah. Well, I've written four, and yet it's written four. So this will be five and very early stages. We're quite literally in my office right now mapping it out. I don't know if I ever told you this, but I use like post-its, old school post-its to help organize some of my thoughts on one of my walls in my office.

And I have found that to be, like, very handy in just putting the ideas on the post-it and then I put the post-it underneath the chapter so that it would fit best where in my office on my wall. And I actually wrote all my books using that method. Come up with the outline and then start to really just allow the thoughts to happen and create some organization around it.

So it's a little bit easier these days because I can digitize a lot of it. But the good old-fashioned post-it system is still working for me, so I'm still doing that.

Sean Cooper  

Yeah, same with me. I'm a bit old school myself. I still write the grocery list on a piece of paper. I'm just not the biggest fan of technology. Sometimes it's easier to have it right in front of your face rather than just on a phone app or computer or something like that. So I totally hear you. So yeah, thanks for letting us into a bit of your book writing creativity there, and I'll be sure to check out your new book, and I'm excited to read that there.

Lesley-Anne Scorgie  

Thanks.

Sean Cooper  

Great. Well, so yeah, speaking of the topic of writing there, you don't have to spill the beans on your new book, but we're talking about your other writing, like you have your column there in the Toronto Star. So yeah, if you could tell us about what you've been writing about lately over the last few weeks and what have been interesting topics that you'd think would be relevant to our listeners here?

Lesley-Anne Scorgie  

Well, I think it's best for me to focus on the two things that have really gone viral with my Toronto Star column. I write every single week I have for years, and I focus on what is trending in personal finance. And I've had a lot of fun and a lot of interesting viral stories this year. One of them is around the loud budgeting phenomenon, and that is like, I'll break it down super quick, but basically the way we're budgeting these days is a little different.

We are being a lot more social and vocal about our budgeting process. So as an example, and I think I have the loudest community of loud budgets in North America, in my community, it's very much about sharing out loud what is going to fit your budget and what is not going to fit your budget. And this theme, this trend of loud budgeting is just that, where people are creating a budget.

So yes, you would have to have a budget to follow this trend. They're creating a budget. And then rather than following it in isolation, which can be a little lonely sometimes, they're really incorporating their budget into their social dynamics. So, you know, if they're being invited to go for dinner and let's say it does not fit their budget, they're saying it quite openly and honestly.

Like, you know what? That doesn't work for my financial priorities right now. But coffee does. And going to the park and let's pack a picnic instead. That's what fits. And there's just so much more openness and conversation in the budgeting process. So instead of hiding behind a budget very secretively, which I think, I mean, that was my generation.

Nobody talked openly about their own personal priorities. Now it's very socially acceptable to be open and clear. And that whole trend of loud budgeting is everywhere right now. So like TikTokers are racking up millions of views, talking about their budgets, and they're doing the loud budgeting trend. And you're also seeing this in Reddit threads. So that's one area that's extremely popular.

And I wrote a follow-up column shortly after that one went viral. And it was like the $1 rule where it's okay to spend on something where if your cost per use is less than $1, then it totally fits the budget. And that was a really popular concept because it's like pro-spending, but only if you do the math and pro-budgeting, which means you have to think about, you know, what is your priority and what isn't.

So I think what I like about some of that trend, and I'll talk about another one in just a second. But what I love about this trend of loud budgeting and this trend of being okay to spend if it actually does fit the math for your budget, that's a very uplifting narrative. It's a lot more fun, it's lighthearted, and it allows people to not feel shame around their budget and not feel shame around their spending, but instead just be kind of willing and able to embrace it.

So yeah, that's a lot of budgeting trends. And then the other piece that I've been touching on quite a bit lately, it's a topic called soft saving. And Sean, you probably see this with your own students and clients and whatnot. I certainly see it with mine. But it's almost like this tension of like, are we saving enough and still being able to live our lives.

And you're seeing, I think, younger generations more and more look at the balance of enjoying their life a lot more now. And they're softening their savings regime and not doing quite as much saving in an effort to be able to afford to travel, to be able to afford to, you know, clients recently they went ahead and invested in like a redo of their backyard because that was going to improve their lives dramatically.

And versus topping up their FSAs. And I thought, you know, this is really interesting, this generation, this younger generation, let's say, like the 30-40 somethings are, I think, a bit more balanced around their savings goals. And the one thing I'll just flag, though, is because you've known me for a long time, Sean, it's a balance, right? We want to enjoy your life for sure, but we also don't want to compromise on eventually being ready for retirement.

Or, you know, if your goal is home ownership, do not like to rob that goal to have fun today. So I love this trend of soft saving because it's really tapping into what matters to people. And yet I do caution just to be a bit careful that it doesn't go too far where there's nothing left. So those two areas, I'd say, loud budgeting, soft saving, those have been two big topics that have gone pretty viral lately for me in Toronto Star.

Sean Cooper  

That’s really interesting, and I love the idea of loud budgeting. I think it’s a great way to bring more transparency to personal finance, which can be a pretty lonely journey for some people. It’s fascinating how social dynamics are playing into how people manage their money these days.

Lesley-Anne Scorgie  

Yeah, absolutely. And I think it’s something that’s only going to grow as more people get comfortable sharing their financial priorities with their social circles. It’s a positive step towards more open conversations about money, which is something we’ve needed for a long time.

Sean Cooper  

Definitely. So speaking of budgeting and saving, I wanted to touch on something that a lot of our listeners are probably thinking about, which is the idea of upsizing their homes. It’s a big decision, especially in today’s market. What advice do you have for people considering making that jump?

Lesley-Anne Scorgie  

Upsizing is a huge decision, and it’s one that needs to be made with a lot of care and consideration. The first thing I always tell people is to really assess their current financial situation. It’s easy to get caught up in the idea of needing more space, especially if you’ve got a growing family, but you’ve got to make sure it’s a move that makes sense financially.

One thing to look at is whether you can afford the increased costs that come with a bigger home. It’s not just about the higher mortgage payments; you’ve got to factor in things like property taxes, utilities, maintenance, and even the cost of furnishing a larger space. All of these can add up quickly.

Another important factor is to think about your long-term goals. Are you planning to stay in this home for a long time, or is it a short-term move? If it’s the latter, you need to be sure that you’re not stretching yourself too thin financially. You don’t want to end up in a situation where you have to sell the home in a few years because you can’t keep up with the payments.

Sean Cooper  

That’s great advice. It’s easy to get carried away when you see a home that checks all the boxes, but it’s so important to make sure you’re not putting yourself in a precarious situation financially.

Lesley-Anne Scorgie  

Exactly. And one more thing I would add is to really consider the impact on your lifestyle. A bigger home often means more responsibilities and less time for other things you enjoy. It’s important to weigh the pros and cons carefully before making such a big commitment.

Sean Cooper  

Thanks, LA. That's a really valuable insight. Upsizing is definitely something that requires careful thought and planning. 

Lesley-Anne Scorgie  

My pleasure, Sean. It’s a big decision, and I’m glad we could discuss it today.

Sean Cooper  

Absolutely. Well, I think that’s a good place to wrap up for today. Thanks so much for joining us again, LA. It’s always a pleasure to have you on the show.

Lesley-Anne Scorgie  

Thanks for having me, Sean. It’s always great to chat with you.

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Sean Cooper  

Thanks for listening to another episode of the Burn Your Mortgage podcast. Besides being a podcast host, I’m also an independent mortgage broker. If you or anyone you know, family, friends, co workers or neighbors could ever use any unbiased mortgage advice or a second opinion, feel free to reach out. Email me at sean@burnyourmortgage.ca or call or text me at 647-867-3711 for a free mortgage consultation.

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