Not sure how to make a savings plan? Read on…
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Can I afford that mortgage? Here’s how much you can safely borrow to buy your first house + MORE May 1st
Talk to a mortgage broker and do a personal budget assessment before you start house hunting, expert says..... More »
RESP guide: Making the shift from saving for your child’s post-secondary education, to funding it Jul 18th
A Registered Education Savings Plan is a government-sponsored investment account that’s designed to help adults save towards post-secondary education costs for the children in their lives.
Canadians contributed $5 billion to RESPs in 2019, bringing total assets to $63.7 billion, according to the.... More »
Are single seniors unfairly penalized at tax time? Apr 17th
Q. I am a senior with an income of about $115,000, single and in receipt of $7,364 in OAS benefits annually. I keep only about $200 a year out of that for myself. Yesterday, while doing my income tax return, it worked out that I ended up owing an extra $2,000 to $3,000 in income tax, although no.... More »
Negotiate rent with your landlord to reap savings + MORE Apr 3rd
When working out a better rental rate, know your local market and keep emotion out of it, Lesley-Anne Scorgie advises..... More »
Compare the best savings accounts in Canada for 2023 + MORE Sep 11th
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The best savings accounts in Canada for 2023
Here are the best accounts to hold your savings.
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Scan the savings account comparison table above to view interest rates offered by financial institu.... More »
Four smart things to do with your income tax refund
– thestar.com
You might be tempted to spend your refund on a new TV set, but there are financially smarter options, writes Gordon Pape.
Four smart things to do with your income tax refund
– thestar.com
You might be tempted to spend your refund on a new TV set, but there are financially smarter options, writes Gordon Pape.
The Big Shift in Banking that Could Hurt Your Savings Accounts and Investments
– ratesupermarket.ca
Every once in a while you may get a notice from your bank. Your account’s monthly fees are going up. It may be a modest difference, of a dollar or so. You may write it off as the cost of doing business with your financial institution.
But right now, that fee hike may be a symptom of a broader economic phenomenon. It affects almost everything about your money, from how much you may pay for a mortgage to how much return you get on your savings.
What is it? The yield curve, which in Canada is teetering between flat and inverted. An inverted yield curve is uncommon, and it has ripple effects throughout the financial industry.
What is the Yield Curve?
The yield curve shows the relationship between expected returns on short-term versus long-term fixed income instruments. We’re talking here about how much banks make on the purchase of government treasury bonds.
When things are normal, the curve plots upwards. Typically, longer term vehicles bring in a greater return…
How to calculate capital gains and losses on rental property
– moneysense.ca
Q. I am selling my rental property, which I lived in for six years before renting it out the last five years. I do not own another home and I am selling this one for less than market value because some horrible renters caused the property to become run down. My mortgage principal is $263,000 and I am selling privately (to avoid real estate commission costs) for $325,000. What do I need to know in regards to capital gains reporting and taxes?
– Chris
A. When you convert a home that is your principal residence into a rental property, this is considered a change in use. You are deemed to dispose of the property at the fair market value at that time, and immediately reacquire it. Future capital gains may then apply based upon subsequent growth in the property’s value.
Under subsection 45(2) of the Income Tax Act, it’s possible to continue treating a principal residence converted to a rental property as your principal residence for up to four years. There are, however, several conditions:
1) You must report the subsequent rental income;
2) You cannot claim depreciation (capital cost allowance) on the property as a tax deduction;
3) You cannot designate another property as your principal residence;
4) You must be a Canadian resident…
– Chris
A. When you convert a home that is your principal residence into a rental property, this is considered a change in use. You are deemed to dispose of the property at the fair market value at that time, and immediately reacquire it. Future capital gains may then apply based upon subsequent growth in the property’s value.
Under subsection 45(2) of the Income Tax Act, it’s possible to continue treating a principal residence converted to a rental property as your principal residence for up to four years. There are, however, several conditions:
1) You must report the subsequent rental income;
2) You cannot claim depreciation (capital cost allowance) on the property as a tax deduction;
3) You cannot designate another property as your principal residence;
4) You must be a Canadian resident…