From The Boomer & Echo Mailbag: Spousal RRSPs
Now that you can split pension income in retirement, is it worth it to contribute to a Spousal RRSP? Income splitting is a tax planning technique designed to shift income from a higher earning spouse to the spouse with little or no income. It can reduce or eliminate potential clawbacks (e.g. OAS, age credit). Current…
Read MoreFinancial Management By The Decade – The 60’s
Your retirement should be almost within reach (if you are not already there) and all those years of saving are over. This is the decade when government pensions kick in. You can start collecting a reduced CPP as early as age 60 and, if you are close to this age now, OAS at 65. This…
Read MoreThe Pitfalls of Prioritizing Retirement Savings Above All Else
I was 19 years old when I started saving for retirement. A small portion of every paycheque went into my RRSP, starting with $50 every two weeks and eventually increasing that amount to $200 per month. While my intentions were in the right place, the reality is that putting retirement savings ahead of a multitude…
Read MoreWhat Is A Safe Withdrawal Rate In Retirement?
Once upon a time, Canadian retirees used their nest egg to fund particular expenses such as a new car, home renovation or a special trip. Some people will still be able to make irregular withdrawals like that, but it is more likely that today’s (and future) retirees will be relying on their own investments for…
Read MoreHistory Repeats Itself: The Rise and Fall of the Alberta Oil and Gas Industry
As a former long-time Calgarian with family members working in the oil and gas industry, I’m still interested in reading the current news reports about the economic struggles in Alberta. With the falling price of oil and massive job cuts, it is the toughest financial situation that province has seen in decades – the 1980’s…
Read MoreRenewing Your Mortgage This Year?
Our mortgage is up for renewal later this year. That’s a shame because I’m enjoying the ultra-low 1.90 percent interest rate on our five-year variable mortgage (prime minus 0.80 percent). It’s a near certainty that I’ll have to renew at a higher rate this summer. My bank is offering five-year variable rates at prime minus…
Read MoreWeekend Reading: Tax Changes and RRSPs Edition
I got my T4 this week and, with the 2015 RRSP contribution deadline just around the corner, my thoughts have turned to tax season and making sure I do everything I can (within reason) to reduce the amount of tax I pay this year. A new government, both provincially here in Alberta and federally, means some…
Read MoreBMO SmartFolio Review
This is a sponsored post written by me on behalf of BMO. All opinions are 100% mine. The emergence of online portfolio management has begun to reshape the investment landscape in Canada and the U.S. The market is estimated to reach assets under management of $300B in North America by 2020. With more than half…
Read MoreThe Real Cost Of Personal Debt
We are constantly reminded about the rising level of outstanding personal debt carried by Canadians. Every few months we hear about the perils of rising interest rates that may leave many in financial difficulty. The reality is – debt is not all bad. Most of us wouldn’t have been able to purchase our homes without…
Read MoreThe Advisor Doth Protest Too Much
Transferring your investments away from a mutual fund salesperson and into a do-it-yourself solution can be a frustrating exercise. Of course, the advisor – who counts on your commission – doesn’t want to give up your assets without a fight. And when you say that you’re leaving to start a portfolio of low cost index…
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