3 Why the Skilled Trades are the Best Pathway to Financial Independence

One of the keys to financial independence is to ‘live below your means’.  This methodology entails trying to not have any cash draining debt, saving as much as possible, and allowing those savings to compound exponentially through the longest time period.

When one becomes a trade apprentice, one is on the best pathway to financial independence.  Trade apprentices earn while they learn and have a salary while building their skills.  Even if a potential apprentice is unable to secure a sponsored employer right away, a pre-apprenticeship program is usually a much shorter schooling period (less than one year) to attain the basic skills for employment.  Some provinces allow students to begin a trade apprenticeship while still in high school.

Some reasons the skilled trades allow ample opportunity for trade apprentices to pursue financial independence:

• Stay away from high-interest rate debt with early paid training
• Save excess funds and take full benefit from tax-advantaged accounts
• Gain soft skills directly in the workplace (eg. teamwork, communication, leadership)
• Learn hands-on trade skills to perform their own straightforward household maintenance and repair work giving them the opportunity for increased savings
• Attain Provincial/Territorial skilled trades certifications that are recognized and in-demand worldwide
• Build a network of contractors and other trade industry personnel to learn from and assist with future projects
• Progress rapidly to becoming self-employed or starting a trades-related business

Financial literacy is not a topic traditionally emphasized in the formal education school system or in technical training for trades.  This resource will outline steps for a trade apprentice to take on the splendid journey towards financial freedom.