The Doctor is IN. Nurse, please restrain and drag in the first patient.
Garth, I was wondering if you think it’d be a better idea to go with a 5 year fixed mortgage at 2.59% on a 30 year amortization or a 10 year fixed mortgage at 2.99% on a 30 year amortization? I got TD to offer me 2.59 on a 5 year, but HSBC is offering 2.99 on a 10 year (without negotiating). Thanks for your help, I’m curious on what you think!
First, understand that a 10-year mortgage comes open after five years. That’s the law. If interest rates are lower in half a decade, you can walk away, find a better deal and pay TD off. No penalty. But if rates are higher, the bank has to honour the 2.99% deal for another five.
That suggests it’s a no-brainer to go for the ten because of upside insurance. But, it comes at a price. Taking a decade-long term means paying a premium in the first five (2.99% vs 2.59%), so you shell out $141,819 in payments as opposed to $135,738 on a half-million loan. The cost of the insuring against rates possibly being higher in five years in that instance is $6,081.
Is it worth six grand? The money is real. The threat is nebulous. And this is why I could never sell insurance.
Next!
I met you at a talk you gave in Vancouver and my husband has been following your blog for a good portion of the last decade. I have a question to ask. What would you do in the following situation:
My dad died 6 years ago and I am about to get part of my inheritance (just sold a commercial piece of real estate at a capital loss). I am about to get about 250K for my third share of the deal (gold-digger widow gets 1, half sister gets 1 and I get 1 share).
We have a mortgage of 267,000, 20,000 in credit card debt and 4 young children with some RESP but not a lot. No TFSAs and very little in RRSPs. My husband still has student loans. So…no brainer, we will pay off the debts, but would you pay off the mortgage, or max out both our TFSAs? I am 33, my husband is 42. I am a lawyer; he does privacy and records. He wants to pay down the mortgage given the recession that is coming. Please let me know what you would do, as I won’t have this kind of money handed to me again and it could make a big difference for our family.
He’s wrong. Given current rates, the mortgage is probably cheap. Returns on investment portfolios have been far greater, and are likely to continue. Paying off your mortgage won’t help your retirement savings (lawyers usually have no pension) or finance the kids’ education. A recession (don’t count on one anytime soon) won’t make one iota of difference to your real estate debt. Hubs is just being a typically emotionally fragile male. Tell him to woman up and understand what his priorities are – to care for spouse and family.
Pay off the debts. Fill up the TFSAs. Top up the RESPs and apply for missed grant money. Put funds into the RRSP of the most-taxed spouse. And ignore the damn mortgage.
Next!
I really want to thank you for everything you do it has really helped us. My question however is about my mom in her early 70s, she has always had her money invested with financial companies but not banks but I did some research on them and not only are the MER’s extremely high but they’ve probably switched company names 5 times in the last 15 years or so. She’s managed to save up a sizeable portfolio with them (close to 500k) but now she’s just sold the family home and has downsized to an apartment (rental) and has pocketed 1.2 million. I don’t want her nest egg to be eaten up by fees etc so I’m looking to you for advice.
Do I get involved and try to get her invested in low cost ETF’s do I stay out of everything? Let her stick with her current financial guys and their high fees? I even went along with her to a credit union and the lady didn’t even know what ETF meant? Seriously. Would appreciate some insight on the matter thanks so much.
Of course you should get involved. Start by sending her this: Dear Mom, because I love you and happen to be awesome, let me help with your money. The financial dudes have been ripping you off and [email protected] is a thirsty vampiress. Now that you’ve got almost two million let’s get professional help to manage the cash, give you a steady income, keep taxes low, wipe away the stress and protect what you’ve got.
Use the words “save tax” and “preserve capital” a lot. Wrinklies love that. Try to keep her from stashing this all in a low-return, high-taxed GIC or worrying about losing part of her OAS payment. That amount of money should be giving her an income of ten grand a month – so who needs government pogey? Get an advisor who doesn’t sell anything, flip stocks or have facial hair. And obviously she needs a will and POA in place. Mom looked after you during the vulnerable years. Pay it back.
Election update
Throughout the last four years of economic growth the feds have been unable to balance the books. We are tens of billions more in debt as a result, and a slowdown is inevitable.
The political response? Spend more and reduce taxes!
New evidence shows the Conservatives ‘universal tax cut’ will cost the federal government at least $6 billion a year in lost revenue. Now the Liberals have announced a $1 billion increase in the Canada Child Benefit, which already costs $24 billion a year. In addition, employers will have to give adoptee parents the same parental leave as birth parents receive, plus we’ll have a Guaranteed Paid Family Leave program in place.
Pooched.
110 comments ↓
If only Canada has oil reserves that we could sell. Hard to believe Saudi Arabia has a less corrupt government that we do.
Norway has a sovereign wealth fund worth $1.1 Trillion US which it invests for the future of the people of Norway.
Canada has Hockey and Diversity. What a bunch of losers.
I will be paying off my mortgage by age 40 at the expense of investments. I am 39 now and will have some time to save and add to my investments. I know it makes less sense when you look at the charts but it contributes to good mental health for a soft male like myself. I will have $550k in my house and $250k invested the day it is paid off. Backwards by the Greaterfool age/ratio standards but not exactly a GoFundMe situation. You have to do what your gut is comfortable with.
Another nice article. I’ve been slow-paying my mortgage for years, and it shall continue! I’ve generally been going with the lowest-rate mortgage I can get at renewal time, independent of terms. Sometimes it has been 5-year variable, other times 2-year fixed.
I love the doctor dog.
Hey Garth shouldn’t they be also paying off the $20,000 credit card debt which is most likely costing them 20% in interest?
That is a G7 country… not.
https://ca.yahoo.com/finance/news/seniors-bailing-on-debt-as-delinquencies-rise-185529378.html
Seniors broken, savers crashed, inflation roaring, Polos’z ‘piece of crap’ notes worth close to nothing.
Real cost of living explodes north of 6-8 % per year.
Equifax says total debt per consumer rose by 1.9 per cent to $71,970 in the second quarter, following 2.6 per cent growth in the first quarter.
Debt slaves stupid sheeple.
Healthcare has gone to the dogs! Lol (love the pic)
You can only get elected by giving away free stuff. No way can you get elected by taking stuff away. End of story.
So this blog has stooped to denying Saudi criminality in prosecuting the war against the impoverished people of Yemen, and entirely ignored their valiant resistance against the corrupt, inbred Saudi oligarchy?
The Houthi Yemeni resistance fighters have launched WW2-era 2-storey SCUD missiles at various strategic locations in Saudi Arabia in the past, including scoring hits against troop concentrations and airports.
These little mountain-dwellers have managed to take down the latest US-delivered Saudi F-15 strike fighters using off-the shelf and ancient Soviet technology.
Taking the hysterical Trump/Pompeyo’s words at face value is strangely uncharacteristic for this blog. Is there a more sinister motive?
Bill Morneau will go down in history as the worst finance minister in Canadian history in my opinion. He refuses to even discuss a balanced budget anymore. On top of his disastrous financial record the “hood” has gone to hell under his leadership, or lack of. I do see however that his company is doing quite well without him. Coincidence?
Haha never fails to amaze me. Allow me to paraphrase: “have been a fan of your blog for years, read it daily, learned nothing and took none of your advice so please advise what we should do now”, presumably so they can ignore that advice too lol
I just read parts of the Green day platform. They have some nice ideas. They also have some crazy ideas that would deter investment in Canada. And they have stock options and capital gains exclusion on the chopping block.
No merci.
Thanks Garth…..
Another great topic !
SUGGESTION: Is it possible to perhaps list the various FEES taken by Financial advisors for Mutual Funds, GIC’s ie brain dead investments (as opposed to ETF’s)…just to expose the rip-off ?
If my mother had accumulated $1.7 million dollars on her own I probably wouldn’t attempt to give her financial advice. Well done mom, well done.
In any case it is usually a bad idea to give anyone advice unless they ask for it. And even if they ask for it it is probably not worth doing lest you be held accountable for the results. Unless you have a disclaimer at the bottom.
‘An advisor who doesn’t sell anything, flip stocks or have facial hair.’ You have facial hair, Garth. Does that mean you’re disqualified? :)
Trump needs a trade deal with China far more than China needs a trade deal with America; if he wants to be re-elected.
https://ca.finance.yahoo.com/news/trump-dow-election-152356772.html
JT has just promised to raise the Child Benefit by 15%–he has locked up the vote of people with kids. Another four years look likely.
Give it away, give it away, give it away, now
Give it away, give it away, give it away, now
I can’t tell, if I’m a king pin or a pauper
@#2
Gut!? That’s horrible advice. Why waste your time reading this blog?
Paid off house is good ’cause you can brag about it to your friends. A large investment portfolio is a taboo conversation topic in Canada.
#2 – You are not far off the Rule of 90…if you keep saving/investing you should catch up in a couple of years.
It’s not an absolute rule for financial health, but good guidance.
Good work on getting ahead.
I did the same thing in my younger years…hated the debt…but paying down debt also taught me how to save. It will pay off long term.
FYI on Norway…
Almost 60% of new cars sold in Norway during March 2019 were entirely electric-powered.
https://www.google.ca/amp/s/www.forbes.com/sites/davidnikel/2019/06/18/electric-cars-why-little-norway-leads-the-world-in-ev-usage/amp/
Investing billions in renewables following Saudi’s oil fund selling off last oil and gas assets.
https://www.google.ca/amp/s/amp.theguardian.com/environment/2019/apr/05/historic-breakthrough-norways-giant-oil-fund-dives-into-renewables
https://www.google.ca/amp/s/amp.dw.com/en/norways-wealth-fund-shifts-towards-renewables/av-49188838
Garth is it true that the basis of this country’s existence is a land lord and tenant arrangement with the natives with the natives being the land lord in most of Canada?
Understanding Canadian Real Estate
http://www.investmentwatchblog.com/understanding-canadian-real-estate/
The right to prepay 10 year mortgages in Ontario does not mean that they become open after 5 years. Rather, s.18 of the Mortgages Act (http://canlii.ca/t/52v6k) allows prepayment with payment of three months’ interest (as opposed to an interest rate differential).
My understanding is the Canada Interest Act takes precedence. It is open. – Garth
That is to say, the right to prepay with only three months’ interest becomes an option after the first five years.
#2 Alberta boy: Contrary to this blog advice I agree with you. I paid my house off at 40 a few years ago and I’ve never had more money in my life. Maxed out rrsp TFSA and 3 RESPs. And the cash builds. $140k job wife stays home. No payments and life is good. Not soft at all.
I voted for loser JT just to get rid of Satan – sometimes better the devil you know – that was first time in 25 years that I bothered to vote – time to go back to voting not to vote – at least until Jordan Peterson runs.
wouldn’t canada have been in a similar place as norway had they just let the elder trudeau nationalize the oil and gas back in the 70s where instead he got run out of town…
Pooched.
—
OK, how would Garth balance the books?
Gee the govt tossing money at Millenial voters.
What a surprise.
History repeats.
The Mils just better prepare for the hateful backlash in 20 years or so when their even lazier, more entitled, empowered brats grow up to be fiscally irresponsible voters like their parents, and their grand parents, and their ……
Whats that idiot keep saying, “Times are changing, change or be run over by it….”
Cant wait to see what the deficit is in 20 years when I’m skinning squirrels in the back fourty while my beans are heating on the campfire…..
#19 Vlad on 09.17.19 at 6:53 pm
Best comment I’ve read on this blog in a very long time. People always ask me if I own or rent. I tell them rent, but don’t feel it’s appropriate to add that I have millions in investments. Strange dichotomy.
Why is one taboo? We need a sociologist.
“I voted for loser JT just to get rid of Satan….”
+++++
True enough. I voted in a similar fashion.
Thus I will vote accordingly to hopefully rid us of Selfie Sox, the metrosexual Hero of the Left
#21 FreeBird on 09.17.19 at 6:56 pm
FYI on Norway…
Almost 60% of new cars sold in Norway during March 2019 were entirely electric-powered.
https://www.google.ca/amp/s/www.forbes.com/sites/davidnikel/2019/06/18/electric-cars-why-little-norway-leads-the-world-in-ev-usage/amp/
Investing billions in renewables following Saudi’s oil fund selling off last oil and gas assets.
https://www.google.ca/amp/s/amp.theguardian.com/environment/2019/apr/05/historic-breakthrough-norways-giant-oil-fund-dives-into-renewables
https://www.google.ca/amp/s/amp.dw.com/en/norways-wealth-fund-shifts-towards-renewables/av-49188838
—
Funny that everyone is cheating for Norway electric cars and renewables and almost everyone is forgetting that they find all that with oil money…
How about I do Oslo vs Ottawa in winter, chart below.
Sidenotes of some kind.
If golf stream dies continental and northern Europe will be having winter much worst and colder than what they have now. It mind boggling how much Oslo is wormer, but geograficly much is more north.
Electric car will work in Oslo just fine, “close to ideal” condiction, in Ottawa not so much. God help you if you are parking it outside in Ottawa during winter, bettery loses on a good day 20% of capacity in first cold day of winter and stays that way. And that 20% is very conservative number probably more or there are good chances that car won’t work much of the winter, you don’t keep cars plugged so you keep battery worm in all day every day. I can guarantee you battery issues after few years. So don’t buy used electric car that was registered past Stouffville, or around that area would be best practices in my head. And Forget about regenerative braking on -15’c…
Temperatures chart compare Oslo vs Ottawa.
Oslo
https://www.google.com/search?q=oslo+aberage+temperatures&oq=oslo+aberage+temperatures&aqs=chrome..69i57j0l3.11123j0j4&client=ms-android-google&sourceid=chrome-mobile&ie=UTF-8
Ottawa
https://www.google.com/search?client=ms-android-google&ei=WQhdXe6UFMfM_Aai64-YDw&q=ottawa+average+temperatures&oq=ottawa+average+temperatures&gs_l=mobile-gws-wiz-serp.3..0i7i30l2j0i8i30l6.158652.164815..166054…3.0..1.249.2490.0j9j5……0….1………35i39j0j0i30j35i304i39j0i8i7i30j0i13.mOTxtWUqRio
@ #14 Pat on 09.17.19 at 6:03 pm
nothing gets past you, eh?
sheesh
@#22 Steven Rowlandson
Completely false. Google the Royal Proclamation of 1763.
The Interest Act ( http://canlii.ca/t/hznr) also contains a provision at section 10, but it too anticipates a payment of three months’ interest.
#82 Ace Goodheart on 09.17.19 at 8:42 am
Who do you think pays the most tax?
We have played this game before. Here we go:
$190,000 per year, earned as an employee:
You will pay $68,526.00 in total income tax, if you live in Ontario.
$190,000 per year, earned as your drawings from your business:
You will pay $69,293.00 in income tax.
Wow. That is a lot of tax.
But, let’s look at how the rich do it……. Well, you could earn your money in dividends:
$190,000 earned in dividends results in tax of $37,840.00
************************
That’s pretty misleading.
That’s from dividends earned on investments in publicly traded companies like Microsoft. A normal business owner like an incorporated doctor would have ineligibledividends on which she would pay
$53K and her company would have to fork out
$22K to the government on that same money.
$75K in taxes.
Zero E.I or CPP earned for the Doc to collect someday either.
So, yeah, the mega-rich with $10,000,000+ invested in stocks earning 190K in dividends might be getting a great deal, but seriously who cares about the few hundred Canadians in that category of super-rich?
The way you pose it lumps all business owners together in a very unfair way just like the T2 gang does.
Sorry meant to bold one word, not the entire second half of my post
Environment Canada has removed 70 years of recorded weather data from its climate change website climatedata.ca
For the period 1950-2005 the Canadian Govt uses climate modeling instead the actual temperature records.
All data from 1850 to 1949 was deleted.
48 of the 50 highest temperatures ever recorded in Canada occurred before 1950.
Meanwhile there is this little gem in the 2018 IPCC report.
““The climate system is a coupled non-linear chaotic system, and therefore the long-term prediction of future climate states is not possible.”
IN case you were wondering. A few of the highest ever recorded temps across Canada.
July 5, 1937 Yellow Grass, Saskatchewan45.0 °C (113 °F)
July 11 and 12, 1936 St. Albans, Manitoba44.4 °C (112 °F)
July 16 and 17, 1941 Lillooet, British Columbia44.4 °C (112 °F)
July 11, 1936 Brandon, Manitoba43.3 °C (110 °F)
July 21, 1931 Bassano Dams, Alberta43.3 °C (110 °F)
July 11 and 12, 1936 Atikokan, Ontario42.2 °C (108 °F)
July 13, 1936 Fort Frances, Ontario42.2 °C (108 °F)
August 18, 1935 Nepisiguit Falls, Rexton & Woodstock, New Brunswick39.4 °C (103 °F)
July 18, 1941 Fort Smith, Northwest Territories 39.4 °C (103 °F)
August 19, 1935 Collegeville, Nova Scotia 38.3 °C (101 °F)
July 10, 1912 Halifax, Nova Scotia37.2 °C (99 °F)
#31 Lead Paint on 09.17.19 at 7:45 pm
#19 Vlad on 09.17.19 at 6:53 pm
Best comment I’ve read on this blog in a very long time. People always ask me if I own or rent. I tell them rent, but don’t feel it’s appropriate to add that I have millions in investments. Strange dichotomy.
Why is one taboo? We need a sociologist.
—
Odd, but I can’t remember anyone ever asking if I own or rent.
#34 Deplorable Dude on 09.17.19 at 8:18 pm
Yeah….so……what if I told you weather is not climate?
Like just because one day is really hot doesn’t mean the average is really hot?
Not saying anything about what may or may not have been deleted for whatever reason, just that a record 1-day temperature is pretty much meaningless.
Interesting read
Please use the sharing tools found via the share button at the top or side of articles. Copying articles to share with others is a breach of FT.com T&Cs and Copyright Policy. Email [email protected] to buy additional rights. Subscribers may share up to 10 or 20 articles per month using the gift article service. More information can be found at https://www.ft.com/tour.
https://www.ft.com/content/21009e1c-d8c9-11e9-8f9b-77216ebe1f17
Climate activists are wasting their time lobbying investors to ditch fossil fuel stocks, according to Bill Gates, the billionaire Microsoft co-founder who is one of the world’s most prominent philanthropists.
Those who want to change the world would do better to put their money and energy behind the disruptive technologies that slow carbon emissions and help people adapt to a warming world, Mr Gates told the Financial Times.
“Divestment, to date, probably has reduced about zero tonnes of emissions. It’s not like you’ve capital-starved [the] people making steel and gasoline,” he said. “I don’t know the mechanism of action where divestment [keeps] emissions [from] going up every year. I’m just too damn numeric.”
https://www.ft.com/content/21009e1c-d8c9-11e9-8f9b-77216ebe1f17
#40 akashic record on 09.17.19 at 8:24 pm
#31 Lead Paint on 09.17.19 at 7:45 pm
#19 Vlad on 09.17.19 at 6:53 pm
Best comment I’ve read on this blog in a very long time. People always ask me if I own or rent. I tell them rent, but don’t feel it’s appropriate to add that I have millions in investments. Strange dichotomy.
Why is one taboo? We need a sociologist.
—
Odd, but I can’t remember anyone ever asking if I own or rent.
————————————————————–
Same here. My buddy makes a fortune and rents, it’s never been an issue for him. We have all been able to, you know, deal with it.
I think this idea that everyone is obsessed with RE is a bit of straw man. Do random people really approach renters to discuss their living situation? I am in a job where I talk to tons of different people every week and RE almost never comes up, and I have no idea if the people I’m talking to rent or own.
#41 Soggy shorts.
“ just that a record 1-day temperature is pretty much meaningless.”
Remember that next time some politician is screaming climate change on a hot day….
It wasn’t one day. The 30’s were scorching. Blame it on all the SUV’s back then.
Deleting 70 years of records is not meaningless. It’s meant to erase the hottest (inconvenient) decade (1930s) from history.
Norway’s oil Cash Stash versus Alberta’s or Canada’s
#28 Hyphen on 09.17.19 at 7:40 pm asked:
wouldn’t canada have been in a similar place as norway had they just let the elder trudeau nationalize the oil and gas back in the 70s where instead he got run out of town…
************************************
No. Because much of Canada’s oil is high cost oil embedded in sand that would never be profitable if the royalty rates of Norway applied.
Norway’s oil is (I understand) of the type that you basically stick a straw in the ground (albeit under the sea) and the oil simply flows up. Far cheaper to produce.
Also, I believe less competition in Europe means that their oil generally sells at a higher price than West Texas oil.
Also, Norway did not nationalize its oil industry.
I’m okay with Scheer’s tax cut plan and cutting the services to go along with it. Problem is, all hell raises when talk of service cuts arises. People want their cake and eat it too.
How about this idea: Instead of doling out billions in child care benefits, why don’t we just reduce taxes enough so that people have the same amount of money left in their pockets? I guess we need government to take care of us because we’re all just babies.
“And this is why I could never sell insurance.” – Garth
Your financial practice is based entirely on having a balanced portfolio. Which in itself, is a form of insurance.
Looks like “Blue and White” for the win in Israel. Italy, now Israel. We are going to see all of these “goofball” populist governments fall over the next year.
#44 Deplorable Dude on 09.17.19 at 8:46 pm
#41 Soggy shorts.
“ just that a record 1-day temperature is pretty much meaningless.”
Remember that next time some politician is screaming climate change on a hot day….
It wasn’t one day. The 30’s were scorching. Blame it on all the SUV’s back then.
Deleting 70 years of records is not meaningless. It’s meant to erase the hottest (inconvenient) decade (1930s) from history.
************************
Next tidbit: The temperature of parts of North America is not the global temperature.
Took 5 seconds to google.
https://www.giss.nasa.gov/research/briefs/hansen_07/
#28 Hyphen said:
“wouldn’t canada have been in a similar place as norway had they just let the elder trudeau nationalize the oil and gas back in the 70s where instead he got run out of town…”
I’m with you on that. I remember that.
#48 Soggyshorts “The temperature of parts of North America is not the global temperature”
Historically….it is……Most high quality long term temperature data comes from North America.
Delete that….and well….very easy to mislead folks over long term trends.
#31 Lead Paint on 09.17.19 at 7:45 pm
#19 Vlad on 09.17.19 at 6:53 pm
Best comment I’ve read on this blog in a very long time. People always ask me if I own or rent. I tell them rent, but don’t feel it’s appropriate to add that I have millions in investments. Strange dichotomy.
Why is one taboo? We need a sociologist
My thoughts as well although I’ve never had anyone ask about whether I rent or am mortgaged.
But I’ve had total strangers open up to me about their son’s imprisonment, their impotence, their STD, their extramarital affairs….etc. Try and talk about their mortgage tho and they clam right up.
Funny thing is we are talking because usually someone has put us together, a mutual acquaintance or somewhat. Years and years ago our CPA showed us the method to fully utilize terms and conditions of a regular chartered bank mortgage to our benefit as opposed to the lender’s. No hocus pocus, no Smith, no gambits/manoeuvres or hi jinks. Just a regular bank mortgage paid out years earlier than the lender would have you do.
Trouble is most Canadians, as evidenced here daily, have zero interest in the meat and potatoes of stuff, rather they look for the gravy, the sizzle, the fast, easy…
I’ve been a blog reader for several years.
Garth, your information is rational and insightful, your delivery engaging and straightforward, and your humour shrewd and inventive. You impart knowledge to us every single day, continuously, for years on end. We can be anonymous, yet you allow yourself to be known and occasionally a target. Kudos to you (and Dorothy) for sharing. You’ve had a positive financial impact on my family.
Alas, I also read the steerage section. Here, nuggets of good information are fleeting, bizarre comments are commonplace, and brutish humanity is sporadically on display. Yet I still read them. And I can’t seem to stop. Is it a sickness? A flaw in my being? I’m afraid to quantify the productivity I have lost. Perhaps it is my guilty pleasure, street drug, nicotine, booze, and soap opera all rolled into one. They say everybody has a vice, and I suppose this is mine.
;)
1 Bob – oldie but goodie re Norway
https://www.nytimes.com/2009/05/14/business/global/14frugal.html
And their Debt to income ratio is huge
https://tradingeconomics.com/norway/households-debt-to-income
5 Stan – the irony in the article is they claim seniors are
being hurt by higher interest rates.
12 Lost – check fundlibrary.com. The fees for mutual
funds are broken down, including the trailer. There are some decent cheaper ones, esp at TD, RBC, and CIBC.
35 Eco – I missed that as I normally gloss over that poster.
37 soggy – yes valid points.
PS if you cycle in the rain get fenders. problem solved.
#2- Garth, you slipped up on this one. I can’t believe this girl is a lawyer, and missed the most important point.
The inheritance should be placed in a separate account in HER NAME ONLY! Copies of cheques should be kept. She should fill her RSP’s, TFSA, and RESP, all in her name. The balance should be put in HER OWN investment account, or LOANED to her husband to pay down credit card debt, with demand notes signed , dated, and paid by cheque.
With that age difference, and her husband being 42 and STILL having student loans, it is the odds of this marriage making it to the end are slim.
The mortgage is a good exercise in saving.
I am watching my brother go through this now, and he has thanked me often for my [executor] advice to keep the money separate.
Garth are you confirming by your Jpeg clowns, that we are indeed living in a clown world?
Do you think our Gov’t will ever shrink? isnt that what helped Rome fall, an ever increasing and costly bureaucracy?
“Canada has Hockey and Diversity. What a bunch of losers.”
LOL
People claim we are the best place on Earth to live and yet we can’t evern have an adult conversation on the fiscal mess we are in
https://www.cbc.ca/news/canada/new-brunswick/nb-insurance-rates-soar-consumer-advocate-1.5270814
Private insurance, crown insurance – all subject to rate hikes.
People need to drive better. Problem solved.
I think some people are mixing up investments compounding and houses compounding. Investments compound not houses. Investments pay you, you pay for a house.
“So, yeah, the mega-rich with $10,000,000+ invested in stocks earning 190K in dividends might be getting a great deal, but seriously who cares about the few hundred Canadians in that category of super-rich?”
– There are a lot more households at that level of wealth than you think.
– People investing for dividends are generally getting much more than 1.9%. If you bought an equal weight portfolio of only the S&P TSX dividend payers — 186 of them — you’d be collecting 3.46%. Select just the ones paying 3%+, and those 100 would yield 5.15%. For the first strategy, $5.5 million would get you $190k/year, and for the second, $3.7 million would do the trick. Dividend growth for the second strategy was about 4.25% over the last year.
Dr Gartho
It’s a tragedy that the newly schooled kids have zero understand of finance, risk taken.. Or even know how to wheel a credit card the right way.
They are experts at climate change and social justice.. Each new generation of teacher is more metal that the one’s that taught them…
I’m going to start up a YouTube channel to teach the young how to trade hedged forex… Forex when hedged is just like a balanced portfolio except with turbo charged engine with 400 to 1 margin..
We need to teach the kids how to make money the easy way… Or they will come for us old basterds in huge numbers with pitch forks and knifes. They don’t like guns…
75 degrees every day 365 a year.
Dark Blue sky and deep green palm trees in the back drop..
Winter is coming to Canada again. I’m not going to feel it. Perma tan and flip flops every day. That’s success….
https://youtu.be/N-aK6JnyFmk
$11 billion in spending on people who can’t live within their means? Disgraceful . I laugh when I hear about the child benefit. Ask any car dealer or real estate broker, they’ll tell you who’s leasing the expensive cars and concrete coffins. Disgraceful. If you’re not aghast you should be ashamed. Millennials bend over, youll pay for this. Think it’s bad? It’ll get worse. Try stopping mass double dipping by your favorite union members. That’ll free up millions of jobs. Stop voting for job killers….millions more jobs. Stop think about turning Canada into a welfare state. Stop sending billions overseas to regimes that have no human rights, hate women and gays and would rather see you dead than admit their wrong.
https://wattsupwiththat.com/2019/09/17/why-todays-renewables-cannot-power-modern-civilization/
Have you been sucked into a falsehood? Think the lie will make your life better? It’s going to get worse for you. Much worse. Think passing legislation against elders and steal their homes and retirement savings? If Trudeau pulls that off, you’ll be next with 100% taxation. Be careful what you wish for.
Wow, the comments section really turned into a ride on the crazy train today.
DELETED
#30 crowdedelevatorfartz on 09.17.19 at 7:43 pm
Psst:
Take a peek at how much the OAS program costs the government, then come back to wax poetic about “throwing money at millennials”.
MF
#64 AGuyInVancouver on 09.18.19 at 4:19 am
Par for the course for “social media” these days.
Just sift through the trolls, emotional outbursts, history revisionists, and overall filth to find some nuggets every now and then.
MF
https://www.citynews1130.com/2019/09/17/attorney-general-of-b-c-ponders-money-laundering-link-to-arrest-of-rcmp-intelligence-director/
Sorry, off topic, but all that really matters here in BC.
Mr. Turner, I think a lot of us would be interested in your opinions on each party’s platform. I would love to know your opinion on the promises made. Obviously, your government experience far exceeds any of ours and makes your opinion far more valuable than the average hack.
If you would please go through the policies from each party, and let us know which ones you think would be most beneficial to Canada, which are ill advised, and which are down right asinine.
Thanks for all your hard work.
Dis true? Toronto downtown is full, hospitals and transit and roads are full. No relief in site. Just buya da house?
I predict a new sub class of poor and beggars, UN policy will make us all equal to 2nd world countries. If you cannot afford a $500 k condo or $2000 monthly rent…. its begging for alms for you.
https://old.reddit.com/r/toronto/comments/d5p78q/statscan_government_set_to_double_canadas/
https://www150.statcan.gc.ca/n1/pub/91-520-x/2019001/sect03-on-eng.htm
Ontario’s population is projected to reach between 16,537,500 (scenario LG) and 20,354,500 (scenario HG) by 2043, up from 14,322,800 in 2018.
Ontario remains Canada’s most populous province in all scenarios. The province would account for between 38.4% (scenario M3) and 39.9% (scenario M5) of the Canadian population by 2043, compared with 38.6% in 2018.
@#66 MF
“Take a peek at how much the OAS program costs the government, then come back to wax poetic about “throwing money at millennials”.”
++++
$24 billion for child benefit?
Billions more on the daycare bandwagon?
Rainbow Crosswalks on every corner?
More billions spent on “gun control” computer software that the police wont use?
Nah .
The pitiful crumbs handed out for Old Age Security is Welfare by another name.
A lifeline for the unprepared, financial illiterati .
Unfortunately a mutually non exclusive club that most Boomers and an even larger number of Mils belong.
Any wise investor or govt employee pensioner gives all their OAS back at the end of the year in income tax .
Highly doubtful a furry faced “gig economy job” will ever change that.
Try again Millenial.
But just remember.
Voting for grotesque , populist, ever increasing budget deficits today will ensure you will be run over by the financial fall out tomorrow….
Enjoy poverty and your children’s wrath on old age my bitter Millenial…. or be run over by it.
You cant say you weren’t warned by a wiser , more experienced Boomer .
:)
@#67 MF
“Just sift through the trolls, emotional outbursts, history revisionists, and overall filth to find some nuggets every now and then.”
++++
One can only assume your comments are the former rather than the latter of that social media statement……..
Also this weblog trumpets “overpopulation” but it’s like the UN via the Liberals just wants people having kids. You and I to pay for it via taxes natch.
Libs will win imo.
“The Liberal Party of Canada is promising to boost the Canada Child Benefit for parents of children under the age of one, to make maternity and parental benefits tax free, and to introduce a guaranteed income for parents during a child’s first year.”
#13 Nonplused
In any case it is usually a bad idea to give anyone advice unless they ask for it. And even if they ask for it it is probably not worth doing lest you be held accountable for the results.
——————————————————————–
In my experience, it is very difficult to take control of aging parents’ finances.
My father was real old school. His finances were “his business”. Mom was (and is) completely ignorant in even the most basic financial matters.
Any attempt on my part to get involved with the old man’s money was considered (by him) to be vulturism.
I noticed at some point that he was beginning to lose it, and things were starting to fall apart, bit by bit. When I broached the subject, he freaked. I stood my ground, and finally coerced him into at least getting wills and P.O.A.s done.
Our relationship grew increasingly hostile as the frequency of my suggestions to review and revamp his financial affairs burgeoned.
Eventually, as his capacity to make logical decisions waned, I was able to get his family doctor to write a letter declaring him incapable of managing his affairs.
I got POA for personal health and property, and was finally able to straighten out the mess.
He unfortunately passed shortly thereafter, but at least the mayhem was now orderly and organized, and we were able to get mom professionally taken care of given her health situation at the age of 96.
Sometimes, you gotta do what you gotta do for their own good. Old people are vey much like young children. It’s irresponsible to leave them alone an let them do whatever they want to do.
That’s just the way it is in life. Most people end up where they start – helpless and ignorant.
#31 Lead Paint on 09.17.19 at 7:45 pm
#19 Vlad on 09.17.19 at 6:53 pm
Best comment I’ve read on this blog in a very long time. People always ask me if I own or rent. I tell them rent, but don’t feel it’s appropriate to add that I have millions in investments. Strange dichotomy.
Why is one taboo? We need a sociologist.
___
It’s taboo because you well know those who have not saved a dime will react negatively to your success. It’s naturally emasculating.
You’d likely have no reservations discussing your millions with another who you know for a fact has achieved the same.
I won’t be retiring on a multi-million dollar pile – but if I did – I already know exactly who I won’t be mentioning it to. In fact, I once mentioned to an extended family member (they’re the worst), that we had been socking cash away for retirement since our mid 20’s. That alone was enough to provoke semi-long term irritation.
#7 Yukon Elvis on 09.17.19 at 5:13 pm
You can only get elected by giving away free stuff. No way can you get elected by taking stuff away. End of story.
Ralph Klein did it Alberta. A political miracle, you could say, the likes of which we will never see again.
At least until the Gen Z and the next ‘Gen AA’ grows up, and are disgusted by the largesse of “those entitled millenials” who ruined the world for them. And history repeats.
#68 Islander on 09.18.19 at 7:21 am
https://www.citynews1130.com/2019/09/17/attorney-general-of-b-c-ponders-money-laundering-link-to-arrest-of-rcmp-intelligence-director/
Sorry, off topic, but all that really matters here in BC.
————————-
Sorry, but maybe AG Eby should not be muddying the waters and let a national security investigation proceed without putting his oar in the water instead of trying to score local political points with his BC money laundering being under represented in commercial crimes investigation maybe due to corruption memes?
Its now what, past the 2 year mark for this provincial government? Time to own the policy and state of affairs and stop blaming past governments for any inaction don’t you think? Or has the re-election campaign started there already?
Time to think outside the box. Lets use social justice to determine we are all winners. Declare the party you vote for and all the taxation you generate goes to that party and platform. All parties win. They execute their platforms with the taxation they receive from you and your likened voters. Parties shall only borrow from each other and set rates as agreed upon in order to maintain balance.
Corporate taxation also divided according to shareholder and employee declaration.
We will need a separate vote for legislation leadership.
Lets separate the spend portion from legislative operations.
Think of the consequences and stand back and enjoy the hilarity.
Inspired by sunshine.
Just for laughs I ran a single mom with 6 kids not sharing custody and not working through the federal CCB calculator.
Estimated benefit was $52,411.84 per year (tax free)
If Trudeau cranks it up 15% for kids under 1 year old, then increase that to $53,720.00 for 6 years.
Imagine if she had sextuplets – that’d be a whopping 60,273.62 tax free dollars in year one. lol!
That’s like earning 72K or so gross per year. What a bloody joke. Aren’t there like, lots of Uni grads with degrees that don’t make 72K?
Consider this also: When male/female parents go to apply for the CCB – it is the Woman that has to apply. If the Male want to apply for it, he needs to attach a letter from his wife essentially giving him “permission” to do so (confirming that the Male is “primary” care giver).
So much for “because it’s 2015”?
Or is something else afoot…?
#113 Stan Brooks on 09.17.19 at 2:42 pm
#79 Tater on 09.17.19 at 8:21 am
———————————————-
Fannie and Freddy say hi, numbnut.
————————————-
These are mortgage originating/loan companies, not mortgage insurance companies, i.e. they could actually make profit on loans + they scale was/is vastly smaller considering the size of the economies and mortgage industries.
Fannie Mae has 700 billion in LOANS.
CHMC + private insurers insure OTHER PEOPLE LOANS. To the tune of 1.2 trillion on economy that is 8 % of of the US economies.
Of course even I do not expect you to be that stupid. Just ignorant.
Cheers, snowflake.
—————————
CMHC insures mortgages issued by banks so they can be securitized.
Fannie buys mortgages issued by banks so they can be securitized.
Functionally it’s exactly the same outcome. And, unsurprisingly, we see Stan’s wrong. Again.
sad :
https://www.bbc.com/news/business-49717288
Money laundering
..” receive money into her bank account and then transfer it to another account or take it out in cash and give it to someone. In exchange she would get a cut of the money.”
But by becoming a money mule, what Holly was really doing was laundering the proceeds of crime. It’s a serious offence, and if caught money mules could get a maximum sentence of 14 years in prison.
Holly is by no means alone in doing this. According to Cifas, the UK’s fraud prevention service, in 2017 its UK member banks identified 8,500 money mule accounts owned by people under the age of 21 – some owned by teenagers as young as 14.
What’s worrying is that young people under the age of 21 are the fastest growing age group being recruited by criminals to launder money in this way, up 36% on 2016.
Holly’s story shows how common it is becoming.
“It’s like an everyday thing for me, it’s normalised where I am. Because the way it’s around me, I forget that it’s even illegal, what everybody’s doing.”
The kind of mental stamina required to counter the stupidity of cb and government fiscal policy in order to hang onto your wealth:
https://www.youtube.com/watch?v=AaKLXDuombQ
Booya Sarah! Bravo!
Keep on it dawgs.
#79 IHCTD9 on 09.18.19 at 10:17 am
“Or is something else afoot…?”
Smarter people than you or me know, that it is of the utmost strategic importance, that Canadians start having children again.
It is always interesting to hear of deleting important information. To me it is trying to hide something. The BC Liberals deleted information from their computers when they were investigated. That question mark?
To me whoever is in government should not be allowed to delete information. To me it is like a child with chocolate all over their face but a piece of the cake is gone, guilty.
That “past the 2 yrs mark…time to own policy state affairs and stop blaming past governments for any inactions…” statement stand for Federal Liberals blaming Harper, over and over.
Also, BC Liberals constantly blamed the NDP, over and over and over.
I agree with the husband, pay down (at least part) the house and get ready for a recession. Banks are not your buddy, your best pal.
How does a recession (even if it magterializes) impact on a fixed-rate, fixed-term mortgage? – Garth
Just had a look on the CBC.
ALL parties promising Billions all over the place for everything and anything you can dream up.
It don’t matter who wins.
I copied and pasted a few comment from an article. I liked Mulroney because he could make decisions, for better or worse. I remember his joke about GST. “If you walk into a room with gun with two bullets and see, Hitler, Stalin, Khan, Mao and Mulroney – who would you shoot? Mulroney, twice!”
I do think we need a sales tax in Alberta.
Some have said the opening of the new governance centre at 166-year-old St. F.X. could help take some of the sting out of past controversies. Others say Mulroney is battle-hardened, and that it’s his commitment to higher education that most matters. “He knows who he is; he’s comfortable in his skin. He’s comfortable with his place in history, and I think he ought to be,” Abelson said.
He is unapologetic about his policies and governing style. Free trade was bitterly controversial. “If I had said, ‘Geezus, this is too controversial. Christ, everybody and his brother is going to be running after me throwing tomatoes at me, why don’t I put this off?” Or the same thing with tax reform and the GST.
#85 IHCTD9 on 09.18.19 at 12:23 pm
Just had a look on the CBC.
ALL parties promising Billions all over the place for everything and anything you can dream up.
It don’t matter who wins.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Totally agree – it is somewhat disappointing
The Mrs. and I sat down yesterday to start wrapping our minds around who we would be more inclined to vote for this year (at least based on what we know now) and it was quite distressing as two financially conservative “millennials”
There is no financially conservative party to chose from that stands a chance of being elected… do we just vote for the fattest handouts and take as much advantage as we can (like was discussed yesterday)???
#62 Smoking Man on 09.18.19 at 2:54 am
75 degrees every day 365 a year.
Dark Blue sky and deep green palm trees in the back drop..
Winter is coming to Canada again. I’m not going to feel it. Perma tan and flip flops every day. That’s success….
https://youtu.be/N-aK6JnyFmk
______________________________________
Winter, Old Man is what defines we Canadians the toughest individuals on the planet. Living here with a dramatic climate differential helps prepare us for severe change and adaptation. We are hockey players that hit hard. Living in SoCal is easy. It’s for the feeble weenies, babies, itinerant and Old People such as you. Thank God however you’re remaining in SoCal and not returning to Canada, except as its obvious to all here on the blog to keep your Ontario Health care card active. Yes it’s quite clear that you return every six months for only one reason. If you were a “real man” and not just a fake old one you would renounce your Canadian citizenship, become a US citizen and pay for your own private health care therefore contributing a monetary value to your newly resident country as opposed to being a leach. Then you could also vote for your Obergruppenführer Her Trump!
BTW educate yourself on weather and climate values for your area. You look foolish.
https://www.timeanddate.com/weather/@5366852/climate
Hi Garth – There is still a penalty for breaking a 10 year mortgage after 5 years. I had a 10 year mortgage with National Bank which became open earlier this year. I re-negotiated a lower rate for the next 5 years back a couple of months ago (at 2.89%). When you say that after 5 years, it becomes open and “that is the law”, thay may be but they still charged me a 3 month interest penalty at the original posted rate. So, there is a financial calculation that you have to make to make sure it is worthwhile.
Saves taxes = Open your own small business
The results of research done by Dalbar Inc., a company which studies investor behavior and analyzes investor market returns, consistently show that the average investor earns below-average returns. For the twenty years ending 12/31/2015, the S&P 500 Index averaged 9.85% a year. A pretty attractive historical return. The average equity fund investor earned a market return of only 5.19%. Something to think about when you decide to top up the RRSP and not pay down the mortgage. Warren Buffett the worlds greatest investor currently has a (negative 0.05%) one year return. hypothetical paper profits are not the same as real-time investing. Your advice works for some but for others would be a true disaster if they lose money in the market and don’t pay off their mortgages.
#83 conan on 09.18.19 at 12:03 pm
#79 IHCTD9 on 09.18.19 at 10:17 am
“Or is something else afoot…?”
Smarter people than you or me know, that it is of the utmost strategic importance, that Canadians start having children again.
____
I agree, but paying folks to have kids has never, and will never work. Even dumb people know that.
I’m thinking these CCB increases and how the program is administrated smells more like locking in the female vote…
“ALL parties promising Billions all over the place for everything and anything you can dream up. It don’t matter who wins.”
So analyze who’s promising HIGH POWERED money, that will be spent, and spent again, as soon as received? That’s what might impact my portfolio…
Free dentistry for the poor? Probably not. Dentists will just pay off loans or invest, and it won’t free up beneficiaries’ income to spend on other things, because they wouldn’t have gotten the work done otherwise. Not that it matters, coming from the NDP.
Scheer’s low bracket tax cut? Great… Except it doesn’t kick in until 2021.
Bumped up RESPs? No help at all.
Upped OAS for wrinklies? I don’t know, not knowing the marginal propensity to spend (or gift to grandkids, same thing) of 75 year-old recipients…
Look out below. Fed to surprise with either no cut or hawkish talk.
Trudeau offering up enhanced OAS to those 75 and older – basically all women. He knows his voting base. We all know women make up usually more than 50% of all eligible voters and actual voters. He is smartly nibbling away at Conservative voters. Scheer on the other hand offers to eliminate taxes on the lowest income earners, who already pay no taxes. He’s just not ready.
#1 Bob Dog on 09.17.19 at 4:20 pm
If only Canada has oil reserves that we could sell. Hard to believe Saudi Arabia has a less corrupt government that we do.
Norway has a sovereign wealth fund worth $1.1 Trillion US which it invests for the future of the people of Norway.
Canada has Hockey and Diversity. What a bunch of losers.
*********************************
T2 hates the west and will never again allow them to have more economic power than the east (primarily Quebec). Our country’s fate is almost sealed, and the Greens are fear-mongering that the world is going to end in 10 years unless we substantially raise taxes.
94 Bdwy on 09.18.19 at 1:28 pm
Look out below. Fed to surprise with either no cut or hawkish talk.
————————-
Spectacularly wrong.
The orange thing is pissed……….. the king of debts wants negative interest rates
Donald J. Trump
Verified account @realDonaldTrump
1m1 minute ago
Jay Powell and the Federal Reserve Fail Again. No “guts,” no sense, no vision! A terrible communicator!
#95 Lee on 09.18.19 at 1:38 pm
Trudeau offering up enhanced OAS to those 75 and older – basically all women. He knows his voting base. We all know women make up usually more than 50% of all eligible voters and actual voters.
___
Yep there’s another pander to the Ladies.
Canada’s sex ratio is actually heavy on females overall as well, not just at 75+.
If this all works out for Trudeau, I’m going to start looking at putting on an addition to my Garage.
I’m obviously smack in the middle of some demographic that needs lots of handouts according to the T2 Liberals.
I want to make sure I have plenty of space available for new toys when the freebies get goosed and my income tax bill drops to zero.
wall street wants some help?
…”the Fed has needed to pump $128 billion into the system over the past two days
The Fed on Wednesday poured another $75 billion into the market following a $53 billion rescue by the NY Fed on Tuesday
https://www.cnn.com/2019/09/18/business/ny-fed-overnight-lending-rescue/index.html
The oversized demand for the repos and the lack of available funds drove the overnight repo rate to an unprecedented high of 10 percent at one point. Typically, the overnight repo rate trades in line with the Federal Funds rate, which is currently targeted at 2 to 2.25 percent by the Fed.
==========
The Fed Intervened in Overnight Lending for First Time Since the Crash. Why It Matters to You.
By Pam Martens and Russ Martens: September 18, 2019
https://wallstreetonparade.com/2019/09/the-fed-intervened-in-overnight-lending-for-first-time-since-the-crash-why-it-matters-to-you/
Looks like the ladies have a bit of trouble getting to the polls once their husbands are too deceased to drive ’em:
https://www.elections.ca/content.aspx?section=res&dir=rec/part/estim/42ge&document=p1&lang=e
Maybe the cut is aimed at others, who’ll think “aww, that’s a sweet thing to do for the old gals.”?
@jessy and 1 trillion
AUM
Vanguard 4.5 trillion
Fidelity 1.97 trillion
Obviously many different accounts, but much more under management.
What is interesting when you look at the table origins of funds are mainly from oil. How funny we are in Canada, we are killing oil, and praising Norway for having exploiting same…
https://en.m.wikipedia.org/wiki/List_of_countries_by_sovereign_wealth_funds
“founders model”
Testimony
Renee Jones, Associate Dean for Academic Affairs and Professor of Law, Boston College Law School
In her testimony, Jones highlighted the risks private companies pose to society and mentioned “unicorn” startups as a significant concern to the markets due to their operations. She said that the trend of public companies decreasing and private companies increasing corresponds to securities laws and rules introduced by Congress and the SEC. Jones highlighted changes to the standards of securities resales under SEC Rule 144, and the general solicitation ban on 506 transactions that limit accredited investors as causes to the facilitation of private offerings for startups. Jones added that this led to the emergence of unicorns and startup founders’ ability to maintain control of their boards, in the absence of corporate governance structures in the private market. She recommended Congress reform the requirement for the SEC to study the trend of dual-class and to reverse Section 12-G of the Securities Exchange Act of 1934.”
https://www.sifma.org/resources/general/house-financial-services-subcommittee-hearing-on-barriers-to-ipos-and-retail-investment/#Jones
https://financialservices.house.gov/calendar/eventsingle.aspx?EventID=404232
What is a Unicorn?The term unicorn was adopted by industry insiders to describe privately held companies with a market valuation of $1 billion or more. When the term was first coined in 2013, the number of super-sized private companies was so small that encountering one was about as likely as spotting a mythical unicorn. Since then, the number of unicorns had increased dramatically.
There are now an estimated 395 unicorns worldwide, with an aggregate valuation of $1.2 trillion.21 This growing cohort of unicorns has important implications for startup financing and the broader securities markets. As many commentators have noted, the number of initial public offerings (IPOs) in the US has fallen sharply from 706 in 1996 to only 190 last year. The number of public companies has also dropped by half over the past decade. The average time to an IPO has also increased, from 4 years in 1996 to more than 11 years today. Policymakers and scholars have been troubled by the shrinking size of public equity markets, whose depth and breadth were once a source of pride for the US economy. Scholars worry about the dearth of information available about these privately owned behemoths, and whether investors have sufficient information about the performance of these companies to make intelligent investment decisions.
https://financialservices.house.gov/uploadedfiles/hhrg-116-ba16-wstate-jonesr-20190911.pdf
Re: #98 No Guts, no glory on 09.18.19 at 2:28 pm
Good news for the bankers and insurance companies.
Re: #97 Tater on 09.18.19 at 2:14 pm
Powell stated no more interest rate cuts in 2019.
#95 Lee on 09.18.19 at 1:38 pm
“Trudeau offering up enhanced OAS to those 75 and older….”
To Hades with that, restore previous TFSA contribution limits – retroactively.
“enhanced” my butt, what a farce. Seniors have been treated like second-class citizens over the past 4.
I would disagree with Garth in this instance. Not sure how BC works but in my province if you keep inherited money separated from family funds and expenses, on divorce you keep it.
Get an RRSP for you and/or individual investment account this this money … or you better be sure never to get a divorced.
Also keep track of the money. Cause you lose track and well, you can’t claim it later.
Couples that are not economic units are asking for trouble. – Garth
Hello Garth, I am a long time reader and I am very grateful for the free advice that you have provided. I am not sure how much suck-up is required to get a response from you but here goes. I saw the picture of your wife when you wrote about your 48 year anniversary and I couldn’t help but notice that you married a Grace Kelly doppelgänger, they even wear similar glasses. Good work, it must have been those rock hard abs that you keep talking about that got her attention. My question relates to your post on September 17th that discusses that 10 year mortgages become open after 5 years. You mention it’s that law and that you can pay them off without a penalty. Well I signed a 10 year mortgage in March of 2013 for 3.69% and I went to see the [email protected] a year ago about signing a new deal. She told me that if I broke my 10 year mortgage I would have to pay either 3 months interest or interest rate differential, whichever is higher. In my case the interest rate differential was higher and they calculated a penalty of approximately $10,000. I have about $180,000.00 mortgage outstanding. Would you be able to point me in the direction of that law you stated in the post? Google was not getting me anywhere. Thanks again for the free advice and by the way Bandit looks great!