All about Retirement Planning in Canada. Learn the ins and outs and get the latest news.
Latest News
Reality-testing your financial plan + MORE Mar 16th
Q. I am contemplating changing financial planners and I just met with one who seemed very impressive. Within about three hours he had everything laid out for me: the investments I should purchase, the use of life insurance, delaying CPP to 70 and more. Still, I would like to get a second opinion bef.... More »
CPP vs RRSP: Can you transfer your CPP to an RRSP? Dec 21st
I’m 40 years old. Can I transfer my accumulated CPP to an RRSP?
—Franco
I am going to cut to the chase here, Franco. You cannot transfer your Canada Pension Plan (CPP) to a registered retirement savings plan (RRSP). Some pensions can be transferred to an RRSP, and there are ways .... More »
Year-end tax-saving tips for Canadians for 2024 + MORE Dec 6th
Hear me out. Year-end tax planning can be financially rewarding. It’s a shame so few people do it. There are three objectives: plan to reduce taxes for the current year with legitimate planning opportunities, go back and recover overpaid taxes in prior years and, finally, set yourself up to minimi.... More »
Stock news for investors: Goeasy shares plunge nearly 60% after lender suspends dividend + MORE Mar 14th
Here’s a round-up of news for Canadian investors this week.
Goeasy
Algoma Steel
Transat
RBC
MDA Space
Empire
Featured RRSP Accounts
featured
EQ Bank
Build your retirem.... More »
40 and no pension: What do you do? + MORE Aug 23rd
Pension envy is real. That’s because, when it comes to retirement planning, a defined-benefit pension does the heavy lifting for you. Contributions come right off your paycheque and go into a pool of pension dollars that will fund your retirement, or most of it, anyway. It’s the ultimate “pay .... More »
Should you hold your mortgage inside your RRSP?
– moneysense.ca
Q. I currently own a house in Edmonton that is mortgaged, and looking to purchase a property in Vernon, BC, that I will eventually retire to. Until then, I am liking the idea of renting out that property to help support the additional mortgage.
I am wondering if it’s possible to transfer my existing mortgage into my RRSP and access the cash there by reducing the amount of additional mortgage I would need to purchase the Vernon property? Otherwise, is there a way to purchase the Vernon property using my RRSP funds?
–Yvonne
A. I am often asked about buying a home to retire to eventually, and renting it out in the meantime. I question the approach because a home you want to live in is not necessarily a good property to rent out to a tenant. A property that is easily rentable to tenants may be close to transit and jobs for example, whereas a property you may want to retire to could be more rural or have different attributes.
In addition, there are things that could change in your life by the time you retire…
I am wondering if it’s possible to transfer my existing mortgage into my RRSP and access the cash there by reducing the amount of additional mortgage I would need to purchase the Vernon property? Otherwise, is there a way to purchase the Vernon property using my RRSP funds?
–Yvonne
A. I am often asked about buying a home to retire to eventually, and renting it out in the meantime. I question the approach because a home you want to live in is not necessarily a good property to rent out to a tenant. A property that is easily rentable to tenants may be close to transit and jobs for example, whereas a property you may want to retire to could be more rural or have different attributes.
In addition, there are things that could change in your life by the time you retire…
The upside to waiting until age 70 to take CPP benefits
– moneysense.ca
Q. I am retiring next year at age 65 and I don’t know if I should take my CPP immediately, or wait. My friends and other people I know from work took their CPP when they retired and they are telling me I should take it when I retire. Are they right? When is the best time to draw CPP?
–Jit
A. Hey Jit, ask one of your friends who waited until age 70 to take Canada Pension Plan benefits, and see what they say. I’m just having fun—I’d be surprised if you knew anyone who delayed their CPP to age 70.
But, according to a new report by the Canadian Institute of Actuaries, most Canadians should start their CPP at age 70.
These are the points from the report that really jumped out at me, and I’ve provided my thoughts below.
–Jit
A. Hey Jit, ask one of your friends who waited until age 70 to take Canada Pension Plan benefits, and see what they say. I’m just having fun—I’d be surprised if you knew anyone who delayed their CPP to age 70.
But, according to a new report by the Canadian Institute of Actuaries, most Canadians should start their CPP at age 70.
These are the points from the report that really jumped out at me, and I’ve provided my thoughts below.
The only two factors to consider when making your CPP start decision are your life expectancy and expected investment returns. Taxes don’t come into play.
Use your RRSPs to bridge the income gap (CPP shortfall) between 65 and 70 using this formula: 7…
