Ask MoneySense I’ve been given notice of an indefinite layoff at work and am wondering whether you can provide some information that will prove useful to a number of people in a similar situation. What is the best way to minimize the tax when it comes to a severance package payment? Because of my age … Read more
Kyle Prevost, creator of 4 Steps to a Worry-Free Retirement, Canada’s do-it-yourself retirement planning course, summarizes the week’s financial headlines and provides context for Canadian investors. The most urgent global story remains the conflict in Israel and Gaza. Given the human suffering involved, we will avoid speculating about market impacts this week and focus on … Read more
Ask MoneySense We have a small mortgage, only $80,000, coming up for renewal. We have some money (approximately $25,000) that we can either put on the mortgage or invest or put into our RRSP. What is the best way to go? —Linda Which should Canadians prioritize: RRSP or mortgage? Most working Canadians carry some debt … Read more
Ask MoneySense Would it be worthwhile to open a First Home Savings Account (FHSA) if I plan to buy property soon, in 2023 or 2024? If I buy a house and live in the basement while renting out the main floor, will that trigger capital gains tax when I sell? Are there taxes on rental … Read more
Kyle Prevost, creator of 4 Steps to a Worry-Free Retirement, Canada’s DIY retirement planning course, summarizes recent financial headlines and provides context for Canadian investors. Lululemon and Peloton are swolemates Canadian athleisure leader Lululemon (LULU/NASDAQ) has announced a five-year strategic partnership with Peloton (PTON/NASDAQ). The agreement, revealed on Monday, brings the two brands together after … Read more
In late September, Alberta Premier Danielle Smith launched a public online consultation on a proposal to withdraw Alberta from the Canada Pension Plan (CPP). The announcement accompanied the release of a third-party report that claims Alberta would be entitled to 53 percent — roughly $334 billion — of the CPP’s total assets if the province … Read more
Ask MoneySense My husband and I are considering buying a second home by tapping the equity in our current property. We own our primary residence outright—no mortgage—and its value is roughly $1.2–$1.5 million. Our plan is to support our adult children as they move out while keeping both properties as part of our estate for … Read more
You’ve likely used an Interac e-Transfer to repay a friend for dinner, split rent with a roommate, send birthday money to a family member or move funds between accounts at different banks. For customers of major banks and many credit unions, e-Transfer is fast and convenient. But if you bank with a neobank or a … Read more
When I bought my house and car, buying home and auto insurance felt automatic — not optional. In Canada, car insurance is mandatory, and most homeowners carry insurance to protect a major asset. Many Canadians also carry life insurance: roughly 22 million people in Canada have some form of life coverage to support loved ones … Read more
RRSP contribution deadline highlights The RRSP contribution deadline for the 2023 tax year is midnight ET (11:59 p.m.) on February 29, 2024. Contributions made before that deadline are reported on your 2023 tax return, but you can elect to carry the deduction forward and claim it in 2024 or a later year. Each year Canadians … Read more