Despite best intentions, many Canadians are not financially prepared for retirement. This reality is driven by a combination of factors: rising costs of living, growing debt levels, insufficient personal savings, and a lack of proper planning. Unexpected life events such as health challenges, job loss, or forced early retirement, can further derail even the most […]
For Canadians relocating to the United States, one retirement question surfaces repeatedly: what happens to a locked-in RRSP? Locked-in retirement accounts, commonly known as LIRAs, are designed to preserve pension money for retirement. But under certain circumstances, leaving Canada can create an opportunity to access those funds earlier than expected. The key is understanding that […]
As a semi-retired investor who recently started a registered retirement income fund (RRIF), I regard exchange-traded funds (ETFs) from Vanguard Group as a major part of my core portfolio, along with low-volatility ETFs from BMO ETFs, and income-oriented ETFs from various other vendors. After the Liberation Day craziness of April 2025, I became increasingly defensive, […]
As parents grow older, managing daily tasks can become increasingly difficult. Chores such as meal preparation, personal care, home maintenance, and medication management may start to require extra support. This shift often places added pressure on adult children, who are already balancing careers, families, and their own busy lives. Without open discussion and planning, feelings […]
Ask MoneySense My wife and I plan to retire at the end of 2027. I am 63 and my wife is 53. All our investments are split 50/50 between RRSPs and LIRAs for a total of about $1,450,000. We anticipate needing about $110,000 a year after tax in retirement. We have a line of credit, […]
This story is part 3 in a series on financial caregiving for seniors. Read others in this series: 3 signs you need to take control of your parents’ finances Caring for a parent? Get a power of attorney Before my father was diagnosed with dementia, I had a 30,000-foot awareness of my father and my […]
A US traditional individual retirement account (IRA) is a bit like a Canadian registered retirement savings plan (RRSP). A 401(k) is like a defined contribution (DC) pension plan. In both cases, tax-deductible contributions can be made by a retirement saver with future withdrawals generally subject to tax. Spousal beneficiary When a spouse inherits an IRA […]
I seldom think about retirement. I rarely, if ever, think about replacing my car tires either—two major Canadian preoccupations that, for most of my life, did not occupy much space in my mind. And yet, as I’ve come to realize, both forms of “re-tirement” are inevitable, expensive, and far easier to manage when you see […]
Canadians are going into this year’s RRSP season in a somewhat pessimistic mood. Two-thirds say it will be more difficult for them to save and invest for their retirement than it was for their parents, according to BMO’s latest Retirement Survey. Canadians expect a tougher retirement than their parents Of all age groups, millennials have […]
A new report says less than half of non-retirees in Canada have a workplace pension plan. IG Wealth Management’s annual retirement study said a generational shift is re-shaping how Canadians approach retirement as 48% of non-retirees have a workplace pension plan, whether it be a defined-benefit or defined-contribution plan. “The decline of defined benefit […]
