Retirement Account – Taxation Many folks should use tax deferred programs such as the RRSP or 401(k). Contributions made into a retirement account is tax-deductible and can grow tax-free in the account. When it is eventually withdrawn and taxed the plan holder will likely be in a lower income tax bracket. I would personally try to keep investments that produce mostly capital… Read More »
Start Compounding As Early As Possible I recently came across a retirement guide made by J.P. Morgan Asset Management. It includes a nifty comparison between those who starts investing earlier vs later. The results show how time can play a significant part when it comes to compound returns. 🙂 JPMorgan shows outcomes for 4 hypothetical investors who each invests… Read More »
I think believing in superstitions is bad luck. But bad things can happen to anyone. So one way to deal with unexpected situations is to be like Batman and have a contingency plan for everything. 🙂 I’ve recently updated my stress test page to reflect my current financial situation, which has improved since last year. A stress test removes uncertainty… Read More »
Investing in Air Canada Bonds Don’t expect to eat anything fancy when you’re flying because you’ll just be getting plane food. In last week’s blog post it showed that I had over $7,000 of cash saved up. I usually don’t like to have idle money doing nothing. But it’s hard to decide what to buy when everything appears to be overbought lately. However as… Read More »
Canada Says Farewell to Gold One upon a time most currencies were backed by gold. But in 1971 president Richard Nixon took the U.S. off the gold standard switching to a floating currency instead so its Central Bank can exert more influence over the currency, and other countries followed suit. Today, everyone uses fiat currency and gold is no… Read More »
Wall Street Cuts S&P 500 Estimates One reason investors have made so much money in the last 7 years is because the stock market has done well since the great recession. The total annual returns for the S&P 500 stock index have been positive every year from 2009 to 2015 inclusive. But recent earnings reports suggest that the bull… Read More »