What should a single person do in the face of conservative politics?
Hey all. I wanted to take some time to sit with my thoughts about the US election and the upcoming provincial and federal elections happening within the next year where I live.
For the Canadians who read this, you know why we’ve been watching the US elections closely. Canada and the US are each other’s biggest trading partners. Whatever the US does affects us. With president-elect Trump, who ran on a very protectionist trading platform with promises of major tariffs, that could affect us economically.
We have our own conservatives right here and the local pundits have already started saying that our conservatives aren’t as bad. One wonk actually wrote that Pierre Poilievre wasn’t racist. Now, I do not know Poilievre but it’s a little hard not to give that man a cut-eye when he has said things about our First Nations and they do not have the best relationship with him.
He has been photographed shaking the hand of Jeremy Mackenzie, the founder of a group known as Diagolon, an alleged far-right, violent supremacist group according to Canada’s Integrated Terrorism Assessment Centre. He’s also been pictured hanging out with organizers of the convoy that happened in Ottawa a few years ago.
But no, he’s not racist. He just likes to be photographed being friendly with alleged racists. Cool, cool, policy wonk.
Poilievre is thirsting to be prime minister. So, so thirsty.
Anyway, with that, this is a newsletter about single finances and I spent a lot of time thinking about the worst case scenario. Catastrophizing, if you will. There are threats on both sides of the border that have and will gut our social services.
So I thought, “Ok, what should a single person do?” For us, financial self-protection becomes especially crucial when facing a political environment where public services and social safety nets are at risk.
Emergency fund: Try to build one ideally covering 6 to 12 months of living expenses. This fund can buffer against cuts to social benefits like healthcare, unemployment support, or other safety nets that could be reduced. Set up pre-authorized deposits into and don’t think about until you need it.
Health insurance and care savings: If health benefits are limited or reduced, consider investing in a private health insurance plan, or set up a dedicated health savings account (if available in your country) to cover potential medical expenses out-of-pocket. This seems counterintuitive to fighting for universal health care, but you need to be as healthy as you can to keep going.
Skills and career mobility: Invest in ongoing skill development and certification. Conservative governments often prioritize job markets that favor privatization and specific industries, so having adaptable skills can help maintain employability. Start with your local library (something that has been threatened with funding cuts for how many decades?).
Retirement planning: Consider retirement accounts that give you the most control and tax benefits, like RRSPs in Canada or IRAs/401(k)s in the U.S. This provides some assurance if public pension systems face cuts, increased limitations, or whatever Alberta is doing.
Alternative living arrangements: I am not convinced conservative governments are going to make housing affordable but they may continue funding available housing. Who knows. Look into co-housing or cooperative housing, which can provide a more affordable, community-based living arrangement. Co-ops often emphasize mutual support, which can be a helpful buffer if public services are restricted.
Community building: Build networks and community ties that can offer mutual aid and resources in times of need. Self-organized support networks can sometimes replicate benefits that are otherwise publicly funded. Cut people out of your life for your mental health.
Diversify investments: Conservative shifts in government may affect certain industries more than others. Diversify your investments to balance potential risks.
Disability insurance: While often overlooked by singles, disability insurance can be essential. Without a partner to rely on, long-term disability coverage provides a safety net in case of illness or injury.
Increase financial literacy: No one is asking you to become a financial expert, but staying informed about how changes in laws and regulations affect your finances, including tax changes and investment rules can help. This can help you take action to optimize savings, adjust investments, and minimize tax liabilities. Figure out how much is coming in and going out. Be conscious of your spending or budget, you’ll have your own preference.
Advocacy and awareness: Consider supporting organizations that advocate for public services and the welfare of single individuals. Engaging in community or national advocacy efforts can also be a way to work toward a more equitable system, even while protecting yourself financially.
Remember what you see on social media is not the truth. Try not to compare yourself to anyone, especially not to famous people.
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This week’s readings:
How to afford a fun life (MoneySense)
From diapers to inheritances, having a third child is both an emotional and financial decision (Globe and Mail)
Renting isn’t a sign of financial inadequacy. It can be a strategic choice that leads to substantial wealth accumulation (Globe and Mail)