Sharing, caring and saving you money

Summer is a time when there is a lot of activity going on.  Houses are being

bought and sold; renovations are happening; vacations are being taken.  It

recently came to my attention that even though we live in great communities

around this country that there are still a lot of people unsure who to do

business with. Whether you need your air conditioning serviced or have a

major project like landscaping to do, how and where do you find the trades

you trust?

Given that a lot of business is done by referrals I thought this month would

be a good opportunity for my clients to share their stories and trades people

with the rest of our community.  I will put the trades in categories and

addresses so other clients can use your great person.  I only want names

and contact information from people that you were extremely happy with

their services and that you also felt gave you good value for the money you

paid.

Names will go on the website but will only stay on as long as the service

person continues to provide excellent services to our clients.  We all want to

know we can trust the person to provide services in our best interest and

not be self-serving.  

We are looking for names in every category you can think of that has

provided some service to you such as lawyers; doctors; accountants;

salespersons (in any industry); handyman; landscapers; hairdressers; etc. 

If you know of someone please submit all their contact information to us.

Thanks for sharing and for caring.

“What’s easy to do, is also easy not to do.” Quote from Jim Rohn.

I talk to my mother almost everyday.  My mother is typical of a lot
 of people and she finds it hard to get herself motivated to do things 
on her own.  In fact on my personal side I would say I take after my 
mother.  Luckily for me I take after my father when it comes to being 
and staying motivated on the business side.  In any event I have to try 
to get my mother to do things that will benefit her on the health side 
without having her rely on other people.
 
What I am talking about
 is getting up and walking across the street to the mall.  My mother is 
84 years old and in pretty good health.  I want my mother to stay 
healthy so I have to encourage my mother to go for a walk.  The mall is 
right across the street from where my mother lives.  Walking is not only
 good physically but it is also a really good mental workout.  When you 
see other people, and you are outside enjoying the sun or taking in the 
activities at the mall, you feel like you are a part of something and 
not isolated.
 
Well it is easy to do, but as the title says it is
 also easy not to do.  In life we are faced almost daily with things we 
know we should do that are easy and would surely make a difference in 
our life, but we find it is just as easy not to do so we don't do it and
 then wonder why our life is turning out different.
 

Retirement Needs

There seems to be a large discrepancy of thought in what Canadians need to save and have available for retirement. I have heard anywhere from 50% of pre retirement income to 100%.  This is a big difference in percentages.  What are you saving now?  Are you on target to hit your percentage of retirement income? 

The challenge really is what state your health will be at retirement.  You could end up with a short retirement because your health is poor.  Or you planned for the short life span in retirement based on your family history and you end up with a long healthy retirement.  What do you do then if you planned for a shorter retirement and end up with a retirement of 30 or 40 years to fund.  Planning to save more is always a safer bet since it is better to have a choice of how you will spend your retirement years no matter how long your retirement is.  A lot more variables to consider so it is always wise to talk to a Financial Planner to help you plan your ideal retirement.

Any guesses what you need to save?

Canada Pension Plan (CPP) Bird in the Hand or Two in the Bush?

I am often asked when doing retirement planning whether you should apply for early CPP or wait until age 65 for the unreduced pension.  Just so you know, no one ever wants to defer the pension to age 70 for an increased pension but it is an option.  Although I cannot make the ultimate decision for you I can give you some food for thought options of why you may want to consider an early reduced pension.  This is where the bird in the hand comes in. 

Taking an early pension allows you up to five years of receiving money that you did not have before.  Since most of us certainly do not have a crystal ball as to when our number is up, you may want to enhance your lifestyle by using this additional cash.  If you decide to take the money and do something more conservative, this money would certainly help to increase your savings by investing in your TFSAs or RRSPs.

CPP comes with a maximum monthly amount of $1,065 currently. If are a married couple who have both contributed to CPP and one of you dies, the death benefit will be limited to the maximum allowed.  For example, you have both contributed to CPP and one of you have a reduced monthly benefit of $650.00.  The second spouse passes away, the monthly death benefit may be increased by an additional $415.00 to bring it up to a monthly amount of $1,065.  If you were both receiving the maximum CPP benefit, then your monthly death benefit would be increased by 0.  

If longevity does not run in the family; you have health problems; you are a married couple that are both CPP contributors; or you just want the bird in the hand; you should discuss with your investment advisor if taking a reduced CPP makes sense for you or should you wait until age 65 or older for the two in the bush, so to speak.