All about Canadian Savings. Learn the ins and outs and get the latest news.
Latest News
The best high-interest savings accounts in Canada for 2024 + MORE Jan 2nd
Save
The best high-interest savings accounts in Canada for 2024
Here are the accounts offering the highest interest rates and lowest fees.
Compare now
Tap the button for more details.
W.... More »
Ways to “unlock” retirement savings in a LIRA Dec 12th
Q. When I retired at age 63, the financial institution that managed my DPSP account paid the company-contributed portion (approximately $30,000) into a LIRA.
Given all the constraints related to drawing down a LIRA/LIF, I am now 65, living in BC, and have two questions:
Since I was already at re.... More »
Best FHSAs in Canada: Where to get the new first home savings account Jun 5th
First home savings account (FHSA) highlights
The FHSA is a type of registered account that allows you to contribute up to $8,000 annually, up to a lifetime limit of $40,000, to save for the purchase of your first home.FHSAs became available on April 1, 2023. However, availability is currently limite.... More »
What Does Silicon Valley Bank’s Collapse Mean for Canadians? + MORE Mar 27th
Update: On March 27, North Carolina-based First Citizens bank said it would buy much of the failed Silicon Valley Bank. The deal means First Citizens will assume US$110 billion in assets, deposits of US$56 billion and US$72 billion in loans from the failed SVB.
The collapse of Silicon Valley Ba.... More »
The best five-year variable mortgage rates in Canada + MORE Dec 12th
Mortgages
Canada’s best credit cards for groceries
Searching for the perfect credit card? In under 60 seconds, CardFinder narrows down your top matches without impacting your credit score, no SIN required.
Let's get started
.... More »
Investing with your gut
– moneysense.ca
(Shutterstock)
Most Canadians are boring investors; they sock their money away in plain vanilla mutual funds or Exchange Traded Funds (ETFs) inside of Registered Retirement Savings Plans (RRSPs) or Tax Free Savings Accounts (TFSAs). And that’s exactly how it should be—saving for retirement isn’t about blowing the light out with a hot stock.
Some people, though, have saved up enough money that spending $20,000 on an outside-of-the-box investment won’t ruin their futures, even if it all disappears. The point is not to squander the money, but to cash in on outsized returns that don’t come around every day.
Think about consequences
So, what’s the best way to put your “play money” to work? The first step is to think about how risky you want to be, says Allan Small, a senior investment advisor at HollisWealth. “It may sound silly when talking about ‘play money’, but understand the meaning of high risk,” he says.
In other words, what might be risky for one person may not be risky enough for another…
Most Canadians are boring investors; they sock their money away in plain vanilla mutual funds or Exchange Traded Funds (ETFs) inside of Registered Retirement Savings Plans (RRSPs) or Tax Free Savings Accounts (TFSAs). And that’s exactly how it should be—saving for retirement isn’t about blowing the light out with a hot stock.
Some people, though, have saved up enough money that spending $20,000 on an outside-of-the-box investment won’t ruin their futures, even if it all disappears. The point is not to squander the money, but to cash in on outsized returns that don’t come around every day.
Think about consequences
So, what’s the best way to put your “play money” to work? The first step is to think about how risky you want to be, says Allan Small, a senior investment advisor at HollisWealth. “It may sound silly when talking about ‘play money’, but understand the meaning of high risk,” he says.
In other words, what might be risky for one person may not be risky enough for another…
Does a 21-year-old need life insurance?
– moneysense.ca
Q: I am 21-years-old, studying full-time, working part-time, and I would like to know when is the “right” time to get life insurance and if I really need life insurance this young. I work in the banking services industry and I hear a lot of my customers discussing their insurance details with me and how I should get life insurance. But to be honest, I have no clue if I should get it all and if so, when should I purchase it?
—Brenda M.
A: The main reason for buying life insurance is to protect those who are financially dependent on you in the event you pass away. If you are 21 years old and have no dependents life insurance would not be a necessity. Having said that, there are many advantages to taking life insurance at a young age. You guarantee your insurability because life insurance rates are based on your age, gender, and health. So by taking a plan now, you can lock in at a lower premium rate for life. Here are some other reasons you may want to buy a term life insurance policy:
You have debt with a co-signer
If your parents signed off on your student loans, they’re responsible for paying off your debt if you die…
CPP and OAS after the death of a spouse
– moneysense.ca
Q: I am 84 and many years ago my wife and I arranged to receive equal payments of CPP and OAS for tax benefit purposes. She has now died and of course her payments are cancelled.
As I paid more into the system when working, I was entitled to larger payments.
Now that her payments are stopped am I eligible for receipt of larger payments than the equalized payments received while she was still alive?
—Keith
A: I’m sorry for your loss, Keith. The death of a spouse can be a difficult time, both emotionally and financially.
With regards to your pensions, I’ll try to clarify the options and implications going forward.
You mention that you arranged pension sharing when you applied for your government pensions. Pension sharing is an option available to spouses applying for their Canada Pension Plan (CPP) retirement pensions. The intention is to reduce tax payable as a family by equalizing taxable incomes.
Due to Canada’s marginal tax system, with higher tax rates payable on higher incomes, to the extent that you can have a comparable income to your spouse in retirement, you can pay less combined income tax…