Retirement planning getting you down? There are always smart ways to plan the financial aspects of your retirement.
Q: My husband is retired military and will turn 60 this year. He’s been told by his military buddies that he should apply soon for his CPP as then he can receive it and the bridge for the next five years. I thought he should be delaying on taking his CPP but perhaps it’s the OAS he should dela.... More »
TFSAs win when it comes to flexibility. (Flickr) Q. TFSA or RRSP, which one is more popular today—and why? – Phyllis D. The RRSP marked its 50th-anniversary last year —but it looks like its Golden Age has already passed. While the RRSP still has more contributors than the TFSA, its lead is.... More »
Women can unlock their financial potential by growing their financial confidence..... More »
There are steps you can take to make sure you don’t outlive your retirement savings, writes Ellen Roseman..... More »
Q: I am 62 years old and I receive a pension from my work. At the same time, I am still working part time. My question is can I split my pension with my husband who is 64 years old? He is retired with no pension from his work.
I would appreciate if you can educate me regarding income splitting.
A: Pension income splitting turns 10 this year, Sally, having been introduced for the 2007 tax year. I’ll explain how it works and give you some tips for minimizing your tax and maximizing your pension income sources.
To begin, eligible pension income from age 55 to 65 includes only defined benefit (DB) pension income or eligible foreign pensions that are taxable in Canada. There are exceptions for annuities, deferred profit sharing plans (DPSPs), registered retirement savings plans (RRSPs), registered retirement income funds (RRIFs), and a few other sources of income, but only if the income is because of the death of a spouse. The full list can be found here.
After age 65, the income eligible for splitting expands to include RRIF and annuity income, amongst other sources…