Not sure what to put in your RRSP and TFSA? Make contributions anyway Feb 1st
TFSA contribution room calculator + MORE Jan 11th
How to plan for retirement for Canadians: A review of Four Steps to a Worry-Free Retirement course + MORE Oct 26th
Retirement taxes explained: Withholding, clawbacks, and other surprises Sep 19th
Russ Dyck financial advisor Nov 8th
Is now the time for retirees to sell stocks and buy GICs?
– moneysense.ca
Are GICs a good idea for retirement?
As you noted, Rodeen, guaranteed investment certificate (GIC) rates have risen to levels we have not seen in over 10 years. There are one- to five-year rates that are between 4% and 5%. You may not get these rates at major banks, though, where rates are about 2% lower than that, but credit unions and trust companies generally offer a healthy premium.
Are GIC rates going up in Canada?
A year ago, GIC rates were less than 2%. The reason they are so much higher now is worth considering. The May year-over-year inflation rate was nearly 8% so the Bank of Canada (BoC) has raised interest rates to slow down spending and price increases. So, while a 4% GIC rate may seem enticing, it represents nearly a 4% negative real rate of return when adjusted for 8% inflation…
Is now the time for a long-term investor to abandon stocks?
– moneysense.ca
With any luck, I probably still have approximately 18 more years I could potentially be working, however I cannot contribute anything to this LIRA. I am interested in knowing the following:
Should I move it to GIC investments?I am interested in investing in a mortgage fund, but can I, and how?
—Sharon
How to deal with market volatility as a long-term investor
This year has been a brutal one for investors. Stocks are down, bonds are down, real estate is down—there has been nowhere to hide.
The Toronto Stock Exchange net total return is negative 11% year-to-date. The S&P 500 has been much worse, with a 23% drop. Canadian bonds, as measured by the FTSE Canada Universe Bond Index, have lost 13%.
If your locked-in retirement account (LIRA) has gone from $90,000 to just over $70,000, Sharon, it sounds like you are down about 20% in 2022…
What’s my RRSP contribution limit for 2022?
– moneysense.ca
If you’re like many Canadians, you’re hoping you’ve paid enough tax in 2022 and may even be looking forward to a hefty tax refund. (The deadline for filing this year is April 30, 2023, and since that date falls on a Sunday, you actually have until May 1, 2023 to file.) You can help ensure that happens by knowing the details of your registered retirement savings plan (RRSP), what sets this type of registered savings account apart, your contribution limit and a whole slew of other things. Here are the basics:
What’s an RRSP?
A registered retirement savings plan, or an RRSP is a savings account that you open at a bank or other financial institution. It is registered by the federal government of Canada for tax savings, and you can contribute to the account up to an annual maximum amount.
What’s special about RRSPs?
Contributions to RRSPs are deductible, meaning they can be used to reduce your Contributions to RRSPs are deductible, meaning they can be used to reduce your taxes…
