The failure-to-launch syndrome More than one in three Canadians aged 20 to 34 are living with their parents according to the most recent census results from Statistics Canada. Worse yet, parents are still financially supporting them. That can lead to a series of...
Let’s say you’ve accumulated a nest egg of $1 million at age 65, through pension plans, perhaps a significant RRSP, TFSA contributions, some inheritances, and possibly some money left over from downsizing your home. You’re ready to retire, and you have to decide...
Reach that magic number even if you start at 40 It’s sometimes said that you need at least a $1 million retirement fund to maintain the kind of lifestyle you want after age 65. But starting at, say, age 40, can that even be done? The good news is that it is...
These accounts are designed for pension income When you leave an employer where you had a pension plan, the funds in the plan are transferred to a Locked-In Retirement Account. At times they may also be transferred into a locked-in RRSP. Essentially, these are a...
Robyn Thompson is regularly featured in The Toronto Star’s “Money Makeover” series by Deanne Gage. This month, Money Makeover takes a look at Victor and Shelly, who hope to retire next year, but have a risky investment portfolio and no plan. Read Robyn Thompson’s...
Employer contributions and tax savings can really add up Employers often use group benefits as a way to attract and retain their best employees. The most popular group benefits typically offer the most flexibility for employees and the lowest costs for employers....
IPPs must follow pension rules If you are a business owner or executive, or an incorporated professional (physician, dentist, lawyer, accountant, and so on), and you’re looking to enhance your retirement savings, you might think about setting up an Individual...
Still the most effective retirement savings plan there is The Registered Retirement Savings Plan (RRSP) is still the most effective retirement saving and tax deferral vehicle available to Canadians. Because it’s such a powerful savings tool, it makes sense for...
Individual Pension Plans a tax-efficient retirement savings tool Given the current effort by the federal government to clamp down on some of the income “splitting and sprinkling” tax benefits of Canadian-Controlled Private Corporations (CCPCs), there’s definitely a...
Is an annuity right for you? As a growing number of Baby Boomers retire, the question of what to do with maturing Registered Retirement Savings Plans is becoming more pressing. RRSPs must be shut down by the end of the year in which you turn 69, and the proceeds...
Making the pension decision is not so cut-and-dried The big question most retirees ask is whether they’ll outlive their money. As you age, healthcare costs rise, and the question of long-term care can become a problem. Will you be able to afford to stay in your...
Proper asset diversification is key to long-term investment success With recent stock market uncertainty and fluctuating bond yields, many investors are wondering whether the tried-and-true principles for stock and bond allocations in an RRSP portfolio still hold....