Why you may not need an emergency fund + MORE Sep 16th

Perhaps the federal government’s greatest gift to those who aspire to financial independence is the TFSA, or Tax Free Savings Account, introduced in 2009. With $25,500 cumulative contribution room rising to $31,000 as of January 2014, TFSAs have now attracted a significant amount of capital. Consider that between them, couples will soon have $62,000 available that will be largely free from the clutches of the tax person.
In the early days, the mere $5,000 that was available initially seemed so insubstantial that many tended to give the vehicle short shrift. Certainly, many baby boomers felt TFSAs were too little and too late for their purposes, although they would look with a certain amount of envy at millennials and young investors with a 40-year investing time horizon ahead of them—indeed, many financial gurus have calculated that merely by maxing out TFSA contributions over such a time frame, that alone would be sufficient to ensure a comfortable retirement: no RRSP or employer pension plan contributions necessary! (We would of course advocate doing all of those things, since saving too much is a far better problem to have than saving too little…

Turns out trees can raise the average home’s value by more than $19,000—and save you $180 or more a year on your energy bills.
Energy savings: Properly located trees can reduce air conditioning needs by 30% ($57 per year), and save 20% or more on heating costs ($120+ per year).
Curb appeal: A property with healthy, mature trees could easily sell in excess of 5% more—$19,350 on average—and that’s a conservative figure.
Not just any tree: The value of a tree can plummet by as much as 50% if the species isn’t desirable for a specific area. Balsam fir, for example, does poorly in urban environments. But slower growing trees, such as oak, usually offer the most value as they provide more shade and stay healthier longer.
Placement counts: Plant needle-bearing trees on the north and west side of your home to block winter winds. For shade in the summer, plant deciduous varieties on the south end of your lot.
Handle with care: Much of a tree’s ability to enhance property value depends on how it’s maintained…

A new BMO survey finds only one third of Canadian students currently in school have money invested into an RESP for them. Despite knowing the government tops up any contributions parents make for their child’s education, many choose not to take advantage of this registered plan. I call this the $38,000-dollar mistake.
The True Cost Of Learning
Last year, an undergraduate student in Canada paid an average of $5,581 in tuition fees.  That means a four-year degree will likely cost that same student $22,234.  That’s only taking into account the expense of tuition; factor in the cost of housing, food, books and transportation and students are looking at well over $60,000 to complete their undergraduate degree, according to details in the recent survey by BMO.
Why Parents Don’t Open An RESP
Many parents don’t feel they can afford to pay for their day-to-day family costs and still have money left to save for their child’s education. As well, many are confused as to how the Canada Savings Grant works…

Many experts suggest saving six months of living expenses for emergencies like a job loss. But, says Toronto fee-only planner Jason Heath, if you’re in a stable household it makes more sense to use that money elsewhere, and open a home equity line of credit to draw on in the event of a crisis. Consider what happens if you take $20,000 in emergency fund money from your high-interest saving account and instead apply it to your mortgage.

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