All about Retirement Planning in Canada. Learn the ins and outs and get the latest news.
Latest News
Financial independence and travel: Can you have both? + MORE Apr 25th
In February and early March, as is increasingly our custom, my wife Ruth and I spent five weeks in a sunny clime in order to avoid the tail end of Canada’s winter. On our return from Malta, regular guest blogger Devin Partida contributed a relevant article titled “Can you pursue financial indepe.... More »
Is now the time for retirees to sell stocks and buy GICs? + MORE Aug 2nd
Ask MoneySense
My husband is retired and concerned that his money that is invested in his RRSP and TFSA is fluctuating too much. He is retired and is wondering if his funds should be in a GIC account as it’s paying 4% and not losing principal. He’s concerned in this volatile market.—Rodeen
.... More »
Divorce over 50: managing your finances if you find yourself single in the run-up to retirement Aug 3rd
Divorce is certainly not new—but what’s emerging as a trend is the choice to split later in life. Dubbed grey divorce, these marital splits, happening close to or in retirement, are reportedly on the rise, and they can have a significant financial impact.
Married couples are generally subject .... 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 »
Caisse to sell off remaining oil assets by next year - CBC.ca Sep 28th
Caisse to sell off remaining oil assets by next year CBC.caQuebec pension giant Caisse to exit remaining oil-producing assets, setting up $10-billion green fund The Globe and MailCaisse de dépôt to exit oil production by end of next year in new climate strategy Fin.... More »
Tontine: Retirement plan of the future?
– moneysense.ca
(Andy Roberts/Getty Images)Advances in life expectancy coupled with the decline of employer-sponsored defined benefit pension plans has greatly raised anxiety levels about seniors outliving their money.
Life annuities have long been touted as one possible remedy for prolonged longevity, which is why experts like finance professor Moshe Milevsky have dubbed them a form of “longevity insurance.”
But a more effective “retirement annuity” could be an almost-forgotten structure that originated in Europe in the 17th century. It’s called the tontine, a relatively unknown concept in modern times, although it has from time to time featured in various Hollywood movies (notably the novel and movie The Wrong Box).
A tontine is a seemingly morbid concept that involves the pooling of investments such that those who die end up subsidizing those who keep living. And Milevsky believes it’s time the financial industry or even governments stepped in to breathe new life into the concept.
The idea is presented in a just-published Cambridge University Press book entitled King William’s Tontine: Why the Retirement Annuity of the Future Should Resemble its Past…
A look at income programs for seniors
– moneysense.ca
(Robert Nicholas/Getty Images)OTTAWA – The Harper government will look at allowing people to stash more of their earnings into the Canada Pension Plan to boost retirement savings. Following is a quick look at various programs available to seniors.
The Canada Pension Plan: A monthly payment for those who have worked and made at least one valid contribution to the plan. Standard pensionable age is 65, but people may take a permanently reduced pension as early as age 60 or take a permanently increased pension after age 65.
READ: Why it pays to take CPP early »
Old age security: A monthly payment available to most people 65 years of age and older who meet the Canadian legal status and residence requirements. Employment history is not a factor in eligibility.
READ: Getting the most from OAS »
Guaranteed income supplement: Available to legal residents who get old age security cheques and whose annual income is below a certain amount.
READ: How the rich can qualify for a GIS »
Monthly allowance: For those age 60 to 64 whose spouse or common-law partner gets an old age security cheque and is eligible for the guaranteed income supplement…
