Advice from a financial expert on what to do with your rebate dollars

First: You still don’t know how much you’re getting back from Canada’s Carbon Tax Rebate?!? Find out using our rebate calculator now!

We reached out to financial expert Stephanie Wolfe, founder of Wolfe Collective Wealth, to get her tips. Stephanie is a passionate advocate for empowering women to achieve financial wellness and is dedicated to helping her clients create a better relationship with their money and in turn, grow their confidence and their wealth.

Q: What do you think of Canada’s Carbon Tax and Rebate Initiative?

SW: The Carbon Tax is an effective way to fight climate change in Canada, while supporting economic growth. By collecting tax from fuel producers directly, there is pressure to reconsider more environmentally friendly options to reduce the fees. As a result of the increase in taxes, Canadians receive a carbon tax rebate, a financial incentive that will offset the increased taxes they pay as a result.

Q: Why is climate change action and living a more sustainable lifestyle important to you?

SW: I’ve had a lifelong interest in nature and climate change. As a mother of three children, I’ve done my best to ensure that I reduce waste and re-use as much as possible. I am currently researching solar panels as a heating source. I am a huge advocate for leaving behind a better world to future generations, and there is so much work that we need to do to get there. Everyday choices I make are driven by my values, and I support and invest in causes that are important to me. 

Q:  How would you recommend investing the money received from the rebate?

SW: Sustainable, Responsible, and Impact Investing (SRI) or ethical investing is the idea of investing to support your financial goals, while also seeking social or environmental change. In the last couple of years, this smaller “niche” type of investing has gone mainstream as more people align their values with companies who share their beliefs. I’m a huge advocate for socially responsible investing and would suggest that the tax credit is used to invest directly into an ESG fund or social-cause based company. Supporting sustainable initiatives with a carbon tax credit refund is win win win all around! 

Q:  For those who want to donate their rebate, do you have any recommendations on how to figure out which environmental causes or charities to support?

SW: Aligning your core values and beliefs to your charitable donations or investment choices is a good place to start. Here’s some tips to get you started:

1.  Be clear about what you want to support. Are you more interested in environmental causes or do you want to back firms that support gender equality? If you’re not sure, reflect on your values and what’s most important to you. Take some time to think about your health and food choices, as well as your general interests and causes you support and you may find some clues.

2.  What type of investment do you want to make? Decide if you want to invest in hand-picked companies or an ETF which would hold a diversified group of companies, or would you prefer to donate to a cause that you are passionate about?

3. Do your research. If this is new to you, take some time to learn more about the investment funds or companies you’re interested in. If you’re already investing, check to see what holdings of what you currently own and see how they align with your values. 

Find Stephanie on Instagram at @wolfecollectivewealth and take a listen to her podcast, Collective Wealth, which you can find on iTunes or Spotify!

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