All about Retirement Planning in Canada. Learn the ins and outs and get the latest news.
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5 reasons to buy life insurance—right now Aug 24th
If you’re working to improve your financial situation, a few strategies may come to mind: paying down debt, building an emergency fund, investing inside a tax-free savings account (TFSA) or a registered retirement savings plan (RRSP), or putting your money in other savings vehicles. These are all .... More »
The best RRSP investments 2022 Jan 11th
A registered retirement savings plan (RRSP) is an investment that is registered with the Canadian federal government. RRSPs are often described as being “tax-advantaged.” That means you don’t pay income tax on the amount you are contributing to an RRSP, in the year you earn that contribution. .... More »
Planning for the (potential) costs of long-term care + MORE Feb 17th
According to the Ontario Long Term Care Association’s report This is Long-Term Care 2019, 82% of long-term care residents are 75 years of age or older, and 55% are 85 or older. Residents under 75 are generally those who “have experienced a brain injury, stroke, and other conditions that require .... More »
“What type of content am I reading?” + MORE Nov 23rd
You can always tell by how an article is labelled what type of content you’re reading. The label appears not only on the article itself, but anywhere it appears on the website.
No label. If the only label you see is a topic tag, such as Investing or Retirement, that means you’re reading a purely.... More »
Selling stocks at a loss in a TFSA: What it means for your contribution room Apr 12th
Ask MoneySense
I lost $20,000 dollars in my TFSA account in the market correction, and my broker sold the losing stocks. Can I put more money in to bring me back up the to the limit the government allows?—Wayne
Capital losses in a TFSA
A capital loss is when you sell an investment at a lowe.... More »
Should you use RRSPs to pay down the mortgage?
– moneysense.ca
Q: My husband and I will have good pensions.
He is thinking that we should cash out our RRSPs to pay down our mortgage.
He thinks that we will be taxed the same amount either way. Your thoughts?
—Linda
A: Some people struggle with whether they should invest or pay down debt. I think there are good arguments for debt repayment over investing in some cases.
For one, Linda, I’m not a fan of having a big emergency fund in cash earning 1%, while your mortgage or other debt is at 3% or more. It’s a guaranteed losing proposition. Some people like the safety net of an emergency fund. I’d rather someone have a modest cash balance and a secured line of credit as an additional emergency fund which you hopefully never use.
If you forever have $10,000, $20,000 or more sitting idle in cash, you could be missing out on RRSP, RESP or TFSA contributions or have debt that continues to accrue interest at a higher rate in the meantime.
Ask a Planner: Leave your question for Jason Heath »
RRSPs can be a bit different, Linda…
Sears Canada seeks approval to suspend benefits for retirees
– moneysense.ca
TORONTO — Sears Canada says it will go to court next week to seek approval to suspend benefits for its retired employees as well as special payments to its defined benefit pension plan.
The ailing retailer says it will also ask the Ontario Superior Court on July 13 to extend court protection from creditors to Oct. 4, giving it time to seek out potential investors and buyers and consult with its landlords, employees, suppliers and creditors.
Sears Canada had indicated in its initial court filings on June 22 that it planned to suspend life insurance, health and dental benefits to certain employees during the restructuring.
The company expects to complete its sale and investment solicitation process by Oct. 25.
After years of declining sales, Sears Canada sought creditor protection last month.
The ailing retailer says it will also ask the Ontario Superior Court on July 13 to extend court protection from creditors to Oct. 4, giving it time to seek out potential investors and buyers and consult with its landlords, employees, suppliers and creditors.
Sears Canada had indicated in its initial court filings on June 22 that it planned to suspend life insurance, health and dental benefits to certain employees during the restructuring.
The company expects to complete its sale and investment solicitation process by Oct. 25.
After years of declining sales, Sears Canada sought creditor protection last month.
READ MORE:
Lump sum vs. monthly pensions
Budgeting for savings if you have a company pension
Should I pay for a pension guarantee?
How a work pension affects retirement savings
The post Sears Canada seeks approval to suspend benefits for retirees appeared first on MoneySense.
