Normally, you might be quite comfortable making regular contributions to your investment program. But then an extraordinary market event takes place — like the U.S. stock market’s remarkable bull run from 2009 and into 2018, when the S&P 500 Index climbed almost 200%. Even a disciplined investor may wonder if unusual times call for unusual measures. The battle of fear … Read More
Should you split your CPP/QPP pension?
Canada’s tax laws allow you to split your Canada Pension Plan (CPP) or Quebec Pension Plan (QPP) benefits with your spouse, a strategy that’s well worth considering if one of you is in a substantially higher tax bracket than the other. “Pension sharing” moves pension income from the spouse in the higher tax bracket to the spouse in the lower … Read More
Take a proactive approach to helping your parents
As parents get older, they may need assistance with things like yardwork, home maintenance, and so on. Often, they’d benefit from a helping hand with financial matters, too. By taking action now, you may prevent problems from arising down the road. Here are five proactive ways to help. Make sure their wills are up-to-date Many people make a will and … Read More
Staying on course through divorce
In Canada, about four in 10 first marriages end in divorce.1 Breaking up is never easy, but you can ease a lot of the stress by staying on top of the financial side. Here are some tips to help you steer through the process. Initial steps Essential first steps typically involve the following. Compile a list of what you own … Read More
When retirement is on the horizon
Visions of retirement are quite different from person to person, but the financial planning to get there is similar for everyone. Here are five essential items on your pre-retirement to-do list. Set the date Setting the date is the fun part — it gives you a specific day to look forward to! Even more important, it provides a target date … Read More
Should you borrow to invest?
Every year, you contribute the maximum allowable amount to your Registered Retirement Savings Plan (RRSP) and Tax-Free Savings Account (TFSA) and meet your non-registered investments goal. You’re on track to achieve your retirement savings objective. But now let’s say you want a larger nest egg — perhaps to retire earlier or more comfortably. So you’re wondering about borrowing money to … Read More
Spending the winter stateside?
On February 7, 2017, a bill was presented to Congress proposing that Canadians over age 55 can stay in the U.S. up to eight months each year without having to file U.S. taxes. But until that bill passes, it’s critical to keep track of how many days you’re stateside. Overstay your welcome and you may need to complete a U.S. … Read More
Is it better to invest a windfall all at once or a bit at a time?
Savvy investors are familiar with the concept of dollar-cost averaging — investing smaller amounts at regular intervals. You buy more shares or fund units when prices are low and fewer when prices are high, reducing the average cost of your investments over time. Another convenient benefit is that regular intervals can match up nicely with your paycheques. But what if … Read More
Retiring? Consolidation is even more important
Your retirement success depends on the strategic management of the different types of investments that make up your nest egg. These include: Secure assets to preserve your capital — very important once you are no longer earning income. Growth assets to help ensure your nest egg lasts as long as you need it to. A variety of registered and non-registered … Read More
Simplify your financial life
If you have investments with different investment firms and financial institutions, you’re not alone. It can happen pretty easily. Maybe you have a Registered Retirement Savings Plan (RRSP) from your first place of employment and a Registered Education Savings Plan (RESP) you opened at your bank. Perhaps you bought some stocks at a discount brokerage. The problem is, scattered investments … Read More