Organizations in Canada will face shortages of skilled workers if they don’t find ways to keep retiring ones working longer, according to a University of Alberta gerontology researcher. Donna Wilson also says early retirement isn’t necessarily the pathway to happiness people think it is. “Most people are at the top of their game when they…
When it comes to how and how much workers should save for retirement, the federal government doesn’t know better than Canadians themselves
As the calendar flipped to 2020, the federal government again made the Canada Pension Plan (CPP) tax more expensive, even though CPP doesn’t help the economy or workers. The combined employee and employer contribution rate has risen from 10.2 per cent in 2019 to 10.5 per cent this year, while the maximum taxable amount (but…
Part 2 of the retirement dilemma: city mouse or country mouse? It's time to put an end to urban living
We began to embrace country life in 2004 when we bought recreational property at the north end of the Sunshine Coast, two ferry rides and about 100 km of driving up-coast from Vancouver. Still living in Calgary, we knew it was time to start planning for retirement and the post-work world. Our 24 acres fronts…
Part 1: Defining the attributes of your successful retirement community
Who says you have to go on living in the same location when you retire? The choice is yours. City or country retirement is ultimately a personal decision. But it draws significantly on your prior life, and the skills and personal attributes you can bring to the retirement community you choose. How you retire is…
If you build up the money in your TFSA while you’re working, you can draw from it tax-free any time
K.M. wrote to ask if she should stop making registered retirement savings plan (RRSP) contributions and instead focus on her tax-free savings account (TFSA). With a little personal information from K.M., we decided it would be best for her to focus on her TFSA. Here’s why: K.M. works in a job she’s likely to leave…
One of the real pluses of being an Empty Nester is that you are no longer on view as a role model 24/7
Free at last, free at last! The children have grown up and moved away, your house is your own to do with what you will and your schedule is now open to anything you wish to pursue. So why are you so divided in your feelings? Empty Nest syndrome hits when your daughter or son…
Can you afford to hold off and increase your payments later? Will you need more CPP and OAS later in life? And how long do you expect to live?
Most people know they can start collecting their Canada Pension Plan (CPP) at age 60, even though they’ll get smaller monthly payments than if they waited until 65. Many people just want the money now and don’t care about any added benefits to delaying CPP and Old Age Security (OAS). The standard CPP and OAS…
There’s no hiding from the success tax, but several things can help legally reduce or even eliminate the amount your estate or your heirs pay
There’s no official estate tax in Canada but we do have what I call the success tax. It's what we pay if we’ve been financially successful in a lifetime of investing and asset accumulation. The more successful you’ve been, the greater the tax could be. If you have assets that will be taxable when sold or when deemed to have been…
Those who booed retiring Indianapolis Colt Andrew Luck should be ashamed of themselves. Athletes aren’t warriors created by central casting for our weekend enjoyment
Too many sports fans view athletes as robots designed to play games for their entertainment. They sit in the stands or on their sofas, a cold beer in their hands, and yell at injured players for being “too soft” and “not tough enough.” They think jocks should just “suck it up” and get on the…
Overall consumer credit balances continued to grow in the second quarter – up to $1.88 trillion
Cash-strapped Canadians may be treating their homes like ATMS to pay off their bills, says a study by MNP Ltd. In a news release on Tuesday, the largest insolvency firm in Canada said three in 10 Canadian homeowners with a home equity line of credit (HELOC) say they have used the funds borrowed to pay…