As stock markets continue to jump up and down, it’s important to remember some timeless principles through your financial stages in life. Often we need to focus on the basics no matter what stage in life you are at. Early Accumulation (20’s and 30’s) Independent life is usually starting at this stage. Many things can…
In my travels, some people confuse the rules of pension splitting and CPP splitting so I thought I would share the 4 key differences between the two. Let’s introduce the differences with an example. Jackie has a $2600 per month pension and she also gets $600 per month from Canada Pension Plan (CPP). Her husband…
I find it really humbling to know that there are lots of people that appreciate my tweets @jimyih. Back in February 2011 – A fellow blogger BankNerd, named me as one of the Ultimate Finance bloggers to follow on twitter. That was really great because peer recognition is really important in the social media world….
There are three tax planning strategies – Deduct, defer and divide. Income splitting is a way of dividing income and pension splitting is a great strategy to help couples reduce taxes. Sometimes rules can be confusing so I thought I would share a few examples of real life people who were able to take advantage…
New pension splitting rules were introduced in Canada in 2007 and in my opinion, it was one of the most significant tax breaks given to retired couples. Income splitting is a great strategy to reduce taxes if you can move income from a higher income earner to a lower income earner. An individual who makes…
I’ve never met anyone who desires to pay more tax than they need. During tax time we think about marginal tax rates and the tax we pay year to year on our income. Tax season is a time when we think about tax planning and tax preparation. One of the areas around tax that we…
Canadian Finance Blog – Canadian Finance Blog