All about Canadian Savings. Learn the ins and outs and get the latest news.
Latest News
What does the average wedding cost in Canada? + MORE Dec 26th
“But you’re getting married! You have to!” That empty statement is on the other end of everything from wedding cakes to bachelorette parties, lace veils, engagement photo shoots and selfie stations. It seems that from the very minute you are betrothed, everyone and their mother (perhaps especi.... More »
How much cash should you keep in your portfolio? + MORE Jun 24th
Cash is rarely going to remain steady within your accounts, but you may want to have a target for it, just the same as you would for stocks and bonds. How much depends on several factors and can be a percentage or a dollar amount.
Accumulating
If you are in the accumulation phase, new deposits.... More »
It’s possible to be a first-time home buyer twice—here’s how + MORE Jul 9th
Can you do something and then later do it again for the first time? You can if that “first time” involves buying a home.
There are a few supports and programs in place for first-time buyers in Canada, including the Home Buyers’ Plan and the first home savings account (FHSA). First-time home.... More »
The First Home Savings Account has some surprising benefits — even if you don’t end up with that home + MORE Apr 17th
The FHSA can be a good way for renters to save for a down payment even if they’re not sure about buying a home..... More »
Is this frugal Toronto artist’s $70,000 in savings enough for her to buy a property in the U.S.? + MORE Jul 3rd
If Joy were to buy a house in the U.S., writes financial expert Jason Heath, it’s probably best she get a pre-approved a mortgage before house hunting..... More »
During my working life, I transferred non-registered investment shares through a spousal loan to my wife (a stay-at-home mother). At the time of transfer, I declared the capital gain and paid the corresponding tax on the gain on the difference between the FMV (fair market value) and the ACB (adjusted cost base). We also set up additional spousal loans from time to time from savings from my executive compensation.
Now that I am retired and can split my pension income with my wife, there is no more need for the spousal loans. Should we keep the spousal loans going? She pays me the prescribed rate interest annually, and I declare this on my income annually. What is the best strategy to have the spousal loans reimbursed to minimize taxes? The market value of the investments, including non-realized capital gain now exceeds the loan amount?
I have seen advice on setting up a spousal loan for investments, but I can’t find much on the need to reimburse one and how to do so.
—Ghislain
How to set up a spousal loan in Canada—and what not to do
Thanks for your question, Ghislain…
