What they want

One of our addicted regulars, a blog dog with no discernible outside life, has argued nobody – ever – should be allowed to take their pension money out of a plan. The logic, simple and flawless: by sucking your share the entire plan becomes less stable. More prone to collapse. Less able to pay everybody.

So true. But these days 70% of people have no munificent pension plan. Many corporate RPPs are mutual-fund garbage. And there’s irrefutable proof the sub-Boomers are headed towards retireageddon. Especially the poor Mills.

Actually many of today’s wrinklies would also be financial toast if real estate had not saved their sorry hippie butts. Born into decades of growth, inflation and asset swelling they saw houses bought in the 70s and 80s and even 90s blossom into capital gains-free retirement plans which papered over their lousy savings habits and hedonistic uber-consumption. (Some of them actually bought AMC Pacers and Pontiac Aztecs, for God’s sake.)

But, we’re done now. Time for Plan B.

Moisters forking out retail prices for homes in 2020 face a stark choice: spend the next few decades paying for their inflated digs, or save for the future. Most won’t do both. And since $1 million houses are not going to $4 million in thirty years, another plan is needed.

Looks like the kids are starting to understand that.

A KPMG poll a few days ago found almost half of Millennials think they’ll never own a home. Two-thirds realize if they do opt for real estate they’ll have no retirement savings. Of those who’ve bought, four in ten worry they paid too much and will end up old and pissy.

No wonder. The debt-to-income ratio among Mill homeowners is a whopping 216%. Job loss, divorce, kids – any shock – can spell disaster when the bank’s got you by the shorts. “What we are seeing is that millennials face a choice today that their parents’ generation didn’t,” says KPMG. “They either buy a home or focus on saving for retirement. Buying a home involves taking on considerable debt because house prices are so high in relation to incomes, and that limits millennials’ ability to save. While most feel home ownership is an investment for financial stability, they worry their home will be worth less in the future.”

So compared to their parents the young adults have more education, delayed family formation, generally higher wages, less savings and face towering house prices/rents plus staggering debt if they buy (in an urban area). Real estate is therefore a gamble, not a financial plan, as it was for their folks. If they pay too much, screwed. If mortgage rates drift higher again, pooched. If life throws in a marriage breakup or a bad job gig, disaster. The safer route is abandoning the dream of a detached in the city, moving to a cheaper place or renting and investing in financial stuff.

But wait. It’s not just the young caught in this trap.

Here’s another survey, this one from a major bank, asking people what their 2020 financial priorities are. Topping the list (again) – tackling debt. No. 2 is trying to pay the monthly bills. In last place (only 8%) is saving/investing for the future, including retirement.

And guess what? Almost 30% of Canadians borrowed more last year – mostly to cover daily expenses, not assets. Now 80% believe it’s a better plan to pay off debt than build up savings. No doubt about it. We’re a debt society. ‘Financial planning’ means ‘debt management.’ ‘Banks’ mean ‘loans’ and ‘mortgages.’ Incomes are for paying bills and making ends meet. Only rich people actually own stuff like portfolios. And they’re old.

How will this change?

It won’t. Not in the next long time. Political actions guarantee there’s no housing crash coming. Perhaps a flatlining or a steady melt. But no 50% drop in asking prices. This means debt will continue to accumulate, retirement savings will be put on hold and personal finances will be just as screwed up – or worse – in ten years when the Mills are nearing their 50s.

This takes us back to pensions. You can be assured public pension reform will be the issue electing a lot of MPs in the next few years. Look at the KPMG poll results. As the real estate option blows up, people are craving government support.

Over 80% say more government benefits/CPP will be needed – since few are saving anything and spending everything. A whopping 90% believe the federal government ‘must do more to protect’ pension plans. Eight in ten say Canada has to overhaul its public and private pension and retirement savings systems, and the quitting age will not be 65 in the future.

Remember the post some days ago about Mills turning into lefties wanting more government in their lives plus the taxes to get it? Bingo. Here it is. The defining issue of the 2020s, as the moisters turn into middle-agers, will be financial security. Not only will they demand government pony up, but they’ll be voting to make it so.

Want to get elected? Promise a universal, decent retirement income.

Got money now? Oh boy. They’re coming for you.

142 comments ↓

#1 Marco on 01.05.20 at 1:39 pm

Well can you compare sometimes standard of living and level of benefits in Scandinavia and here in this British colony?
I mean, really, God save the Queen, ok ?

#2 Paddy on 01.05.20 at 1:49 pm

Without a sizeable inheritance from their boomer parents, Ide agree that my generation is looking pretty screwed….

#3 crowdedelevatorfartz on 01.05.20 at 1:50 pm

First they came for my OAS…and I said nothing.
Next they came for my CPP…and I still said nothing.
Then they came for my investments….
I now have nothing.

Tax and spend. Tax and spend more.
The budget will balance itself…….

#4 FreeBird on 01.05.20 at 2:07 pm

There’s no such thing as govt funded, it’s all tax payer funded. You’re talked into giving more of your money to taxes then have SOME given back. Good deal. Even as taxes go up those who really need a hand up too often don’t get it or wait too long. Throwing more (of your) money at a system that’s broken won’t help and gives more power to those who control it (not you).

“We hang the petty thieves and appoint the great ones to office.” -Aesop

(Present company excluded)

#5 Walter White ... on 01.05.20 at 2:11 pm

had an Aztec. Didn’t end too well for him though.

#6 crowdedelevatorfartz on 01.05.20 at 2:15 pm

@#67 Sail Away
” I would assume from this that your answer would be an unequivocal yes?”
++++

Sorry.
I don’t live in a dictatorial theocracy so I’ll leave the dirty work up to the desperate citizens of that country to “work it out”… Hence my “civil” war comment…

I live in a pseudo democracy where we get to vote the bums out every few years.

But you go to Iran with my blessings and update us on how things are progressing.

#7 PA on 01.05.20 at 2:16 pm

The Feds got it wrong on so many levels wrt pensions. Pension Adjustment values too high (Sears, Nortel’s, etc), no way to make up for lost pension due to lost time after failure (limited rrsp/tfsa room). Now coming for money from those who have sacrificed much of the present and taken considerable risks to save for retirement outside the rrsp is wrong. If they raise the inclusion rate, they better tax the gov db pensions with something equal to the inclusion rate increase.

#8 Boris Corbyn on 01.05.20 at 2:17 pm

“You can’t always get what you want, you get what you need” KD and cat food?

#9 just saying on 01.05.20 at 2:21 pm

yup… public sector pensions are obscene. and don’t forget the politicians, MP’s MPP’s and senators. pretty gold plated compared to everyone else who has to pay for it.

#10 Lisa on 01.05.20 at 2:22 pm

Ah, the hideous Pontiac Aztec. Vehicle of Walter White aka Heisenberg!

#11 Debtslavecreator on 01.05.20 at 2:22 pm

Yes indeed
-financially reckless will be bailed out by stealing from your investors
-eventually ALL of us are much poorer as the loonie lives up to its name
-biggest debtor is govts and with so many younger and indoctrinated debtors with little hope they will come after the savers
-RRSP/TFSAs over 100 k will be attacked within the next 5 years … and the thieves will justify the theft using words like “justice “ and “it’s fair” and you need to do your “part “ etc
-all major debt crises/ sovereign debt crises / currency crises in history confirm when the bond market inevitably refuses to rollover the bankrupt govt bonds the govt will print and impose capital controls and attack savers via taxes and fees – Canada in the past has limited foreign content and is auditing TFSAs and has “speculative “ investment rules in place

Not wanting to be negative but when it hits the fan and they start holding emergency parliament sessions on Saturday and Sundays within the next few years the goal posts will not be moved , they will be taken down and removed

Be cautious with your assumptions and plans
The savers always get clobbered in the end

#12 Betondebt on 01.05.20 at 2:24 pm

In yesterday’s blog post, ‘debt’ was not mentioned. Why is that?

Debt is the elephant in the room.

#13 Sold Out on 01.05.20 at 2:25 pm

We have plainly failed to ensure the basic numeracy of Canadians, regardless of demographic cohort. My experiences with Mills – no RE, can’t stay out of debt on two good salaries but think they can retire on one DB pension, and Gen X/Boomer boneheads – didn’t sell at the top of the YVR market because RE prices can only go up, are proof that no one group has a monopoly on poor decisions.

The notion that it’s better to deny oneself a few luxuries now, to savour them later in life, seems to have been lost on a great swath of the population. Paying CC interest for all those great “experiences” in your 20’s and 30’s and needing to drive new cars = no retirement for you, unless you’re lucky enough to inherit from more fiscally prudent relatives.

Lifestyle inflation and consumerism (whether it’s experiences or things) will mess you up.

#14 BS on 01.05.20 at 2:25 pm

Actually many of today’s wrinklies would also be financial toast if real estate had not saved their sorry hippie butts. Born into decades of growth, inflation and asset swelling they saw houses bought in the 70s and 80s and even 90s blossom into capital gains-free retirement plans which papered over their lousy savings habits and hedonistic uber-consumption.

Governments may do everything in their power to keep the housing bubble inflated but the above will prevent that. To extract the capital gains-free retirement plans the houses must be sold at some point. Housing prices = supply and demand. When boomers go from net buyers to net sellers the whole thing collapses. This includes not only principal residencies but also vacation properties and investment properties which the boomers have been net buyers of for decades. Moisters with government subsidized financing are not going to make up the difference at current price points.

#15 Captain Uppa on 01.05.20 at 2:25 pm

Rent is expensive. So owning a home just locks up any down payment cash you have. Otherwise, the debate between renting and owning is close.

Having said that, you are suggesting the markets will swell on until the end of time. You base that off history. I will history also shows real estate on a same upwards trajectory.

It really all comes down to household income and cost of living where you live. The own vs. rent debate means nothing. Though I prefer to own, personally.

#16 BS on 01.05.20 at 2:55 pm

Marco on 01.05.20 at 1:39 pm
Well can you compare sometimes standard of living and level of benefits in Scandinavia and here in this British colony?

The standard of living in the Scandinavia countries is lower for all but the very poor. I have relatives who live there and worked for a multi-national for years with operations throughout that part of Europe. You know the difference when they come here in amazement of how we live. Things like going out for dinner, 2 vehicles in a family, nicer housing, buying goods without a 25% VAT tax. There is really no comparison to the standard of how the middle class lives. Things the middle class here enjoy are luxury items only the elite have in Scandinavia. We are much better off.

#17 Felix on 01.05.20 at 2:56 pm

The best way to reduce financial risk is to get rid of your dogs and adopt cats. They cost less and make you smarter.

#18 NoName on 01.05.20 at 3:02 pm

@fartz

change in tictacs, its all what is to it.
book good, but read all preafec covers it. (click on look inside free prewevw)

https://www.amazon.ca/War-Games-Psychology-Leo-Murray-ebook/dp/B079DC9WVN

drones were being disgusted a way back…
https://www.greaterfool.ca/2015/06/21/the-deceivers-2/#comment-380056

#19 James on 01.05.20 at 3:07 pm

I wonder what has lead us to believe that the government would be efficient in field such as wealth management? I would rather have the choice to follow my
Own financial path, than be forced to participate in mediocrity and wealth redistribution. Implementing additional taxes removes some of the negative impact of poor choices. So essentially if we agree to scenario where we pay higher deductions to provide more benefits we are subsidizing the youthful lifestyles of the non prudent.

#20 the Jaguar on 01.05.20 at 3:11 pm

“No wonder. The debt-to-income ratio among Mill homeowners is a whopping 216%. Job loss, divorce, kids – any shock – can spell disaster when the bank’s got you by the shorts. “What we are seeing is that millennials face a choice today that their parents’ generation didn’t,” says KPMG. “They either buy a home or focus on saving for retirement.”

Hmmm. Call me old fashioned, but I think it’s possible to do both if they start early and remain disciplined on the retirement savings front while exercising restraint and modesty in their housing choices. I would also challenge some of the “heavily indebted” to list their assets and liabilities and complete a cross check of what debt relates to what asset beyond the house debt. Pretty sure those feeling the pressure will find a list of ‘toys’ such as quads, boats, RV campers, every adult in the home owning a vehicle versus trying to get by on one, and massive credit card debt related to vacations and excessive household and personal purchases. Credit card debt in the mid 5 figures at 28% interest is not unusual for some people given it’s the method used by many to ‘float the boat’. Maybe look at your bank statement as well and see how often you eat out versus making healthy whole food choices at home. How about your cell phone bill? The ‘Bank’ didn’t grab you by the shorts, you did it to yourself, and one in four of you got mom & dad to co-sign for you. See how it works out when d-i-v-o-r-c-e comes along and soon to be ‘EX’ wants off the mortgage. The remaining three of you will need to qualify for the financing without the ‘EX’s’ income in the picture or it’s a no go.
Sorry if it all sounds a bit grim, but a reality check versus the blame game is a character builder.

#21 Paul on 01.05.20 at 3:13 pm

https://openparliament.ca/bills/42-1/C-27/

#22 Miserable Boomer on 01.05.20 at 3:26 pm

A roof over your head has always been a stretch to own. Only a Mill would miscalculate the stress of ownership. They want everything , right now. No starting in the mailroom, instead they want an express train to the executive suite in order to retire ( FIRE) at 35. Total fantasy. I’ve got a Mill, I know the generations mentality.

The guy buying a house in the 60’s had the same problem, a mortgage he couldn’t afford. Incomes weren’t six figures back then, most working guys made well under $8000. A buck some an hour was normal pay. $400 a month wasn’t unusual. The Mills are going to have to suck it up and grow a pair. Buying a house means no retirement at 35, no winters in Bali, etc. The Boomers got a lift from the inflation train, but a million to day isnt what it was. In the 60’s you were really rich at a million. Not today. Apples to apples Milly, stop the whining. Taxes and Freebies are what have made inflation skyrocket, not rising home vales. Inflation is ancilliary to the social greed of this generation.

You cant retire on a million any more. I remember 50 cent lunch deals at Woolworths lunch counter. The same burger deal is $10 bucks today. Do the math Mills. Have four kids, see what the Boomers went through. You cant have it all. Even if they doubled the CPP etc today you couldn’t FIRE on it. Free stuff equals higher taxes, get it? You cant save because of taxation, not Boomers. Trudeau and his bunch have misled you, directed you away from the real enemy. Those poor saps in the 60’s had none of the free babysitting and still bashed it out, with much bigger families and lower wages. Higher education was a dream for the majority, now its the norm. You whine because you’re over educated, boo hoo. I grew up in the working classes. No one in my neighborhood have ever driven to the University parking lot, and still you complain, brats.

Want a better retirement? Work for it. Bust your can every day for decades. Stop thinking the a few dot com millionaires is the norm, they’re anomaly. If you didn’t invent FB then get a real job. Life isn’t going to wait for you.

Its Sunday, so I was doing some account work. I note that over the holidays, from end of November to Jan I got over 100 dividend payments across the many accounts I have registered and not. If you want a retirement plan, here it is. Get off your ass.

#23 The real Kip (Ret) on 01.05.20 at 3:32 pm

“Actually many of today’s wrinklies would also be financial toast if real estate had not saved their sorry hippie butts.”

Let’s hear it for the Boomers! And for your information, I wouldn’t be caught dead in an AMC Pacer. I drove an 81 Ford Escort!

#24 JacqueShellacque on 01.05.20 at 4:11 pm

I do the Garth-approved portfolio thing (rent a house, never bought) and over almost a decade have seen a nice increase in net worth. There is a part of me though that wonders if 30 years from now it’ll only be confiscated anyway. In one sentence, our elites are garbage – they’ve inflated everything by running up debt, forced people to overeducate themselves by sending jobs oveseas via unrestricted free trade, imported workers when there are people sitting idle. Having ruined everything, they’re now turning to marxist-postmodern ideology to funnel frustration away from them and towards easier targets.

#25 MF on 01.05.20 at 4:13 pm

#21 Miserable Boomer on 01.05.20 at 3:26 pm

Look at this idiot^^

Remember Occupy Wallstreet? Of course you don’t.

Maybe we will drop the interest rates to zero again, and spend trillions of future taxes to bail out the incompetent boomer run businesses and institutions that caused the whole problem.

I’m not into generational conflict, every generation has unique challenges, but you are De-Lu-Sion-Al if you think you earned anything you have. Boomer wealth should have been halved in 2008, but here we are with trillions and billions of dollars of debt and the can kicked firmly down the road.

Be nicer to the mills, after all, they are the ones paying for the arrogant attitude you display, and the benefits you don’t deserve.

MF

#26 Linda on 01.05.20 at 4:17 pm

Perhaps what should be done is to revert to a single, universal pension plan. Wait, we already have one – the CPP! Except the CPP deductible is about 1/3 of what my workplace pension plan deductible is per year. Guess which pension plan promises a much higher income in retirement?

If we as a society want to eliminate pension envy & ensure that everyone can 1) retire & 2) have enough to live on seems to me that we could do worse than greatly increase the CPP deductible to provide said living income. The problem as I see it is that there will always be those who can’t or won’t save for the future, then demand that those who did do just that pay for all. As for those who say they can’t afford to pay more in deductions, those deductions are going up in any case. Pay now to play later & may as well make it worth the wait.

#27 Sail Away on 01.05.20 at 4:19 pm

#6 crowdedelevatorfartz on 01.05.20 at 2:15 pm

—————————–

I don’t live in a dictatorial theocracy so I’ll leave the dirty work up to the desperate citizens of that country to “work it out”… Hence my “civil” war comment…

I live in a pseudo democracy where we get to vote the bums out every few years.

But you go to Iran with my blessings and update us on how things are progressing.

——————————-

A country’s leadership is representative of its populace, or at least a large portion of it:

-Brash, combative and unrepentant- US and Trump
-Surficially polite, judgemental and desperately eager to be seen as the good guy- Canadians and Trudeau
-Tribal, manipulative, accepting of killing to achieve goals- Persians and their leadership

Established policy doesn’t change significantly when a leader is removed, because… when the king is dead, the new king emerges.

None of the solutions we would ever propose from our vantage point can work. We fundamentally think differently. Similar to Wittgenstein’s statement that, “If a lion could speak, we could not understand him”

#28 MF on 01.05.20 at 4:20 pm

#15 Captain Uppa on 01.05.20 at 2:25 pm

Wrong. RE rose because of manipulation.

The market, including the garbage you own, should have been decimated in 2008. The only reason why it wasn’t is because interest rates were stupidly reduced to zero, and stupidly kept there.

There were also other dumb policies implemented along the way to goose this gasbag and keep people like you erroneously believing you made a “smart investment”.

Raise interest rates where they should be, get rid of the capital gains exemption (pointless), get rid of the CMHC (pointless) and watch prices get halved over night.

MF

#29 Mattl on 01.05.20 at 4:23 pm

Would love to see some evidence that renters are saving at a higher rate then home owners. I would be a lot of money the opposite is true. So I’d bet on homeowners being ahead in 20 years even at these stupid prices. Renters without any savings and 5% yoy rent increases are going to be pooched come retirement. At least those with a house to sell have a chance.

#30 PetertheSeparatistfromCalgary on 01.05.20 at 4:25 pm

Combined with global warming hysteria this left wing drift is the reason Alberta needs independence.

We just need a girl to skip school and preach how adults stole her future with big government and pipeline obstructionism. Shame on you!

#31 Mean Gene on 01.05.20 at 4:30 pm

Not too long ago all workers were punted from the workplace at 65, however it was determined to be a human rights violation and the practice deemed illegal.

So here we are today, everyone is free to work until they drop and because of that, maybe employers see no need to offer a pension plans because we are longer forced out of the workplace.

Beware what you wish for you may just get it.

#32 Mattl on 01.05.20 at 4:46 pm

MF – sorry you missed the RE train. Greatest wealth builder my generation will see. I take it you are in your early 20s and had no opportunity to participate.

Residential real estate’s only been a ‘wealth builder’ in certain markets and over defined periods of time. Generalizations like that are useless to pass along, unless this makes you feel more manly. – Garth

#33 Stylite on 01.05.20 at 4:51 pm

They should introduce financial planning in elementary schools. Bring back the piggy bank!

#34 Leo Trollstoy on 01.05.20 at 4:53 pm

A KPMG poll a few days ago found almost half of Millennials think they’ll never own a home.

The housing market is doing mills a favor

#35 Chimingin on 01.05.20 at 5:01 pm

MF your generation has done nothing of value that I can see. I am GenX and we trail behind the Boomers in every way but it seems to be the Mills whining about it. You and your ilk bore me.

#36 MF on 01.05.20 at 5:22 pm

34 Chimingin on 01.05.20 at 5:01 pm

So you know the personal achievements, aspirations, dreams, and goals of the millions and millions of people who compose the millennial generation?

No you don’t. You don’t know anything.

This isn’t a generational fight. Facts are facts though and 2008, and the subsequent bailout was a joke.

Whining? Lol Just admit you just reiterated some sound bite you read on the back of a magazine, or what the “boys” were talking about after softball while eating wings.

MF

#37 DON on 01.05.20 at 5:24 pm

A country’s leadership is representative of its populace, or at least a large portion of it:

*************

True and that ‘large portion’ can be as little as 39% of the population depending on the electoral system.

The fact that Iraqi Shias were also killed has an impact also, given the numbers of Shia’s in the region, especially in Iraq. There is talk of Iraq putting forth a resolution to end foreign troops on their soil.

I don’t think the Iraq/Iran war ever ended just went underground. And in the region – religion seems to be the glue most often than not. Not sure if a Civil War is in the cards when the leadership can point to the US as being the aggressor with sanctions etc.

Trump acted on the advice of a small number of people, and should have sought congressional approval. The US is a democracy isn’t it?

Now the Iranian gov is tweeting that only Trump and his inner circle are targets and not the US population.

Smart tactic. Playing the victim can work, especially since Trump isn’t seen in such good light by the rest of the World or half the US. Very bizarre move by Trump. They assassinated a General of a country (yes bad guy) but to locals was one the the predominate/successful forces fighting IS. I still want to know where IS came from…seemingly appeared over night at one point.

See how this plays out, I’m with Crazyfox on the rise of the Shia’s in the region.

#38 oh bouy on 01.05.20 at 5:27 pm

@#31 Mattl on 01.05.20 at 4:46 pm
MF – sorry you missed the RE train. Greatest wealth builder my generation will see. I take it you are in your early 20s and had no opportunity to participate.

Residential real estate’s only been a ‘wealth builder’ in certain markets and over defined periods of time. Generalizations like that are useless to pass along, unless this makes you feel more manly. – Garth
__________________________________________

meh, it’s a battle of generalizations and misinformation between both of them. From what I gather MF lives in Toronto and has indeed missed out on the housing lotto. hence the bitterness when the topic of home ownership arises.

#39 WUL on 01.05.20 at 5:31 pm

“The Little House in the Taiga”:

In my current hometown, Fort McMurray foreclosures:

https://www.cbc.ca/news/canada/edmonton/fort-mcmurray-foreclosure-homes-1.5405220

Not surprising. In about 2014 (the height of the boom) YMM had the second highest average house price after Vancouver. About $740K. Eclipsed on the podium after that by Hogtown.

Believe me, Diefenbaker and Laurier Drive in the neighbourhood of Timberlea, while Prime Ministerial in name, ain’t exactly Point Grey Road.

#40 oh bouy on 01.05.20 at 5:32 pm

@#34 Chimingin on 01.05.20 at 5:01 pm
MF your generation has done nothing of value that I can see. I am GenX and we trail behind the Boomers in every way but it seems to be the Mills whining about it. You and your ilk bore me.
__________________________________________

Actually Chimi, if you spend some time on this blog you’ll realize this is where ALL the generations come to air grievances and play the victim card (MF being the loudest of the bunch :) it’s an equal opportunity comments section.

#41 oh bouy on 01.05.20 at 5:35 pm

@#29 PetertheSeparatistfromCalgary on 01.05.20 at 4:25 pm
Combined with global warming hysteria this left wing drift is the reason Alberta needs independence.

We just need a girl to skip school and preach how adults stole her future with big government and pipeline obstructionism. Shame on you!
_________________________________

yawn.
Doesn’t jason kenney have a blog you can post on.

#42 Your Investment Guru on 01.05.20 at 5:39 pm

The completely Norwood 7 bald 20-something, hipsters are paying top dollar for the Pacers today!
https://barnfinds.com/values-are-on-the-rise-1975-amc-pacer-d-l/

#43 -=with wings=- on 01.05.20 at 5:40 pm

@ #20 jaguar

remain disciplined on the retirement savings front while exercising restraint and modesty in their housing choices.

please do tell how one can be ‘modest’ in housing choices today? What part of “every type of housing costs 4x as much as it used too” did you not understand?

Pretty sure those feeling the pressure will find a list of ‘toys’ such as quads, boats, RV campers, every adult in the home owning a vehicle versus trying to get by on one, and massive credit card debt related to vacations and excessive household and personal purchases.

This attitude is exactly why we have this problem today. What drivel. How appalling to even think something like this. Blame the victim, right? Must be their fault, as you were just fine 100% due to only your hard work! You *earned* the Harley you bought using your Heloc! All you!

Anyway you would be completely wrong. Completely. Should I send a few of my mid to late 20’s employees over to your $$$house so you can put them on the right path? The glorious modest path? P.S. Their only ‘toy’ is student debt.

#44 crowdedelevatorfartz on 01.05.20 at 5:44 pm

@#26 Sail away
“A country’s leadership is representative of its populace, or at least a large portion of it:”
+++++
Wrong.
Or a country’s ‘Leadership” is awarded via a minority coalition no matter how unpopular.( Canada)

Or a country’s ‘Leadership” jails, tortures or hangs all opposition and sets up a dictatorship (Iran).

I assume you wont be visiting the Iranian people in Tehran any time soon?
If you change your mind could you paint a few Rainbow crosswalks there for old times sake?

#45 DON on 01.05.20 at 5:47 pm

Nice fulsome post Garth. Should tweak most people’s thinking but most likely until it becomes mainstream thinking.

And BS has a point – as soon as a critical mass of boomer’s realize that they need to monetize their real estate gains before any ‘slow melt’ really starts to eat into their retirement plans. Fear of getting out. It will snowball at some point. I have two boomer friends that were forced retired with hefty mortgages now looking to sell and move somewhere cheaper.

This spring will be interesting.

#46 crowdedelevatorfartz on 01.05.20 at 5:51 pm

@#24 MF
“you are De-Lu-Sion-Al if you think you earned anything you have.”
++++++

Pot meet Kettle.
You’re even more delusional if you think taxing Boomers will make YOU wealthy….
Start saving for a rainy day Mil ,because, statistically speaking, most Boomers will be living off untaxable scraps for most of their “retirement” years….

#47 crowdedelevatorfartz on 01.05.20 at 5:56 pm

@#32 Stylite
“Bring back the piggy bank!”
+++++

Nah.
The Debt Clock was a real slap in the face to a lot of Voters 20 years ago when it travelled across Canada.

https://www.debtclock.ca/

Time to reinstate it.
Now.
While the Liberals are in Power.
And lets not forget our fiscally irresponsible Provincial idiots….

https://www.debtclock.ca/provincial-debtclocks/ontario/ontario-s-debt/

https://www.debtclock.ca/provincial-debtclocks/british-columbia/about/

https://www.debtclock.ca/provincial-debtclocks/alberta/alberta-s-debt/

#48 SunShowers on 01.05.20 at 6:06 pm

According to the Federal Reserve’s Survey of Consumer Finances, when Boomers were the age that Millennials are today (around 1989), they owned 21% of all US wealth.

Millennials currently own 3%.

This structural, inter-generational theft cannot continue. Something has got to give. If businesses won’t pay Millennials as generously as they paid Boomers willingly, then Millennials are just going to rely on the government to compel the businesses to do it.

#49 Mattl on 01.05.20 at 6:09 pm

Residential real estate’s only been a ‘wealth builder’ in certain markets and over defined periods of time. Generalizations like that are useless to pass along, unless this makes you feel manly

———————

Residential real estate has made enormous gains in the markets where most Canadians live. I don’t feel manly for winning the RE lottery but I’m not going to pretend that the 20k I put into my first home in 2006 hasn’t turned into 600k on equity. Or that a family member didn’t buy a home in Langley for 285k with 40k down and sell it 15 years later for 1.1.

Nothing manly about it but Canadians have 6t in re equity. Up substantially the past 2 decades. Not healthy at all, and there will be a price to pay, but you can’t just pretend this wealth generating even didn’t happen for hundreds of thousands of Canadians. Or that guys like
MF and jealous because others were willing to take risks in 2006, 2008, 2012 and made out big.

#50 DON on 01.05.20 at 6:22 pm

#17 Felix on 01.05.20 at 2:56 pm

The best way to reduce financial risk is to get rid of your dogs and adopt cats. They cost less and make you smarter.
***************

I have both species and you are all the same at feeding time as well as being well aware of your rights with respect to treats.

Back to the topic at hand, had a meeting with an investment banker (not at the bank for that reason) but the conversation led to mortgages. Apparently, things aren’t great, slowing this and that, increasing loan risk etc etc but in the end still the old ‘it’s a great time to buy as interest rates are low’. To that I gave a blank stare and took a moment of yes uncomfortable silence before responding “how so, in light of what you just shared with me?” I got a blank stare back and we switched back to what I initially came for and that was simple information I just happened to be directed towards him. Nice sales funnel the banks pushes you through when you come in person. Apparently no one at the front counter could answer a simple question.

#51 the Jaguar on 01.05.20 at 6:26 pm

@#41 -=with wings=- on 01.05.20 at 5:40 pm

Modest choices are always available. Live better with less. Share your living space, etc. You have to get your head around the concept.
“This attitude is exactly why we have this problem today.” This is a very revealing comment. An attempt to shift attention away from the behaviours that resulted in the problem which is confirmed by independent sources (debt level of Canadians). How can my or anyone else’s “attitude” be held responsible for someone else overspending? It has also never been easier to borrow for student programs. Whether that is done responsibly is another question.
Guess you looked in the mirror and saw your own reflection, huh?

#52 Cottingham a bargain on 01.05.20 at 6:27 pm

So if the government is just going to take more and more from prudent investors and savers as time goes on, to give to those who enjoy life for today, spending all they have , who are the smart ones again?

#53 Stone on 01.05.20 at 6:31 pm

So compared to their parents the young adults have more education…

———

… but not more smarts.

#54 DON on 01.05.20 at 6:32 pm

Garth

You forgot to include the possibility of the CRA coming for unreported rental income.

#55 leebow on 01.05.20 at 6:34 pm

Garth,

Your personal finance blog turns into a battleground. Appears not everybody can understand hyperbole as a literary device.

#56 oh bouy on 01.05.20 at 6:40 pm

@#43 DON on 01.05.20 at 5:47 pm
Nice fulsome post Garth. Should tweak most people’s thinking but most likely until it becomes mainstream thinking.

And BS has a point – as soon as a critical mass of boomer’s realize that they need to monetize their real estate gains before any ‘slow melt’ really starts to eat into their retirement plans. Fear of getting out. It will snowball at some point. I have two boomer friends that were forced retired with hefty mortgages now looking to sell and move somewhere cheaper.

This spring will be interesting.
__________________________________

I think BS’s point is more wishful thinking than anything.

#57 Treasure Island CEO - 81,736,746.88 Offshore on 01.05.20 at 6:41 pm

Rent vs Own calculations are pointless now. People entering the shelter game are screwed both ways. The mortgage will be too high right along with the rent. Homelessness is becoming trendy.

Bad job = disaster? Considering younger people have zero job security in the gig economy and switching up jobs constantly means low confidence in buying shelter and a greater need to be mobile in able to move around for work.

No surprise investing will go to the back burner forever.

The gov can cook the markets all they want. Debt will eventually hit a wall and unless the gov creates huge wage inflation resets will happen along with helicopter money and inflation.

WWIII will materialize before North American hyperinflation from unabated money printing sets in though.

#58 TurnerNation on 01.05.20 at 6:43 pm

Well if Mills or Booms want to get outta town here’s a starter cottage. On a big lake system. But Overpriced by 50k. A few hours to TO or Ottawa by car:

https://www.realtor.ca/real-estate/20948694/2-bedroom-single-family-house-44a-ponacka-road-bancroft

Logged into check Futures. Yowee gold, oil.
Don’t worry folks in a global conflict this country’s army will do just fine. As soon as its leaders figure out the correct gender balance for deployment. And as soon as the new batch of recruits complete basic training, which consists now only of sensitivity and climate studies. We’ll be fine just fine.

#59 Nonplused on 01.05.20 at 6:47 pm

More CPP money would be great if there were a way to pay for it. But there isn’t. Many socialist ideas are kind-hearted in intention but financially bankrupt in practice. They only really work if the country in question has a large natural resource export economy so the extra money required is actually coming from outside. If that export revenue disappears, the country collapses as did the Soviet Union when oil prices crashed.

At some point in the future there will have to be a great reckoning that what we generally think we are entitled to just isn’t there. It isn’t available. We aren’t working hard enough to be able to afford it, if it were even possible to do so. I’m using the word “we” collectively, as a country. We will eventually have to come to terms with the fact it was oil, gas, coal, forestry, farm produce, and hydro exports to the US and other points that gave Canada “free health care”. It wasn’t and isn’t free; the US paid for it. Now that Trudeau intends to shut down everything but hydro, we will eventually have to face the fact that the Canadian government will have to be severely downsized.

For every dollar that gets paid out in CPP or other benefits, someone somewhere at sometime has to pay a dollar in taxes. But we are already taxed to the point where it is a big disincentive to working too hard, and the main non-labor sources of taxation (natural resource exports) are all under attack. For Dog’s sake there are people trying to shut down cattle ranching, as if there was anything else we could do with that land. They don’t run cattle where wheat can grow. And cattle ranching is actually more sustainable than wheat farming because it does not cause topsoil erosion. One only needs to consider the great buffalo heards that use to roam North America for millennia to see the wisdom in this.

Unfortunately, when the realization sets in, I predict the mood will turn hard to the left. Politicians will propose even more taxes. But realistically people are already taxed too much, any further taxes will have to come out of economic activity. In other words we will all have to adjust to reduced living standards even if we have a job.

The Bank of Canada could paper things over for a while by printing money to monetize the debt, but that will cause serious inflation so living standards will still go down. You can’t print or borrow your way to prosperity. As Adam Smith highlighted many years ago, prosperity comes as a result of labor and natural resources to apply the labor to. But there are only so many hours in a day and only so much free labor a person is willing to do on the behalf of others.

So I think this ends badly.

Will things get as bad as they are in Venezuela? There is no real reason they couldn’t if we lose our collective minds as they did. Remember, they are also a resource rich country. It was politics that killed them. The politics of redistribution of wealth. Once you redistribute the wealth enough, nobody has any money and nobody sees the point in working. Why plant a garden if the neighbors are going to steal all the carrots?

#60 Timmy on 01.05.20 at 6:49 pm

DELETED

#61 No Mailroom Job for Millennials on 01.05.20 at 6:51 pm

At least not permanent. It is on call, casual, temporary or auxilary.

Contract baby. No pension, no benefits, no rights.

Millennials can only dream of a starter job that boomers had. I thought I had it rough coming into the working world. Not even close to what Millennials face. Not hard to understand their frustration born from being short changed and ripped off.

The hand millennials were dealt was a bad one. They are playing it but that doesn’t mean it will be a good outcome. It is rigged and they are setup to fail thanks to greedy people before them who could care less about the future. The trick is to manage millenial anger just enough so that civil war does not break out all over the world like in Hong Kong. Stuff like that isn’t good for gov, gov pensions and the associated economy.

Now run along good little millennial.

#62 islander on 01.05.20 at 6:52 pm

https://globalnews.ca/news/6359984/sechelt-seawatch-property-assessments/
“According to BC Assessment, the 14 properties in the Seawatch neighbourhood of Sechelt were each worth more than $1 million in 2018, with many close to $1.2 million.

But as of July 1, 2019, the properties — which were evacuated nearly a year ago after sinkholes formed in the development — are now worth just $2 each: one dollar for the land, and another for the home.”

https://vancouverisland.ctvnews.ca/work-begins-on-structurally-reinforcing-potentially-unsafe-langford-highrise-1.4742315
“Work is underway to temporarily shore up a Victoria BC (rental) concrete highrise apartment building’s first and second floor after it was found to be potentially structurally unsafe last week.

Safety concerns for the building, Danbrook One, are centered on the structural integrity of the building if a major earthquake were to occur. That is why, out of an abundance of caution, shoring is being put in place.”

As we lurch into the new year!

As least the renters in “Danbrook One” , Langford can walk away with assistance from the municipality; can’t say the same for the home owners in Sechelt.

#63 IHCTD9 on 01.05.20 at 6:54 pm

I get the feeling again that we are talking specifically about big city, well educated Mils. Yes they are screwed, but they have options should they choose to exercise them.

If I were a Mil, I’d figure out my lifestyle goals, grab a calculator and start crunching numbers from one city to the next comparing expected wages and housing costs – and go where the value is.

In my area a brand new house is about 500k, or 2,300.00/ mo. A 2 bed apartment is 1200.00/mo. A starter home is 250k or about 1200.00/mo.

A couple here could soon be making 40-50.00 hr combined even with minimal education – but you’ll probably not be doing office work. This income EASILY gets you a starter (new even if you want to splurge) home with room to save too. All you have to do is get your hands a little dirty.

If the urban Mils can forsake their big city restaurants and entertainment, they can avoid a retirement renting and eating cat food.

It’s a simple plan: get married/shacked to an employable spouse (99% of singles are screwed financially no matter where they go), grab that calculator and find those greener pastures where life can be better.

If you’re having trouble with the concept, ask an immigrant who moved to Canada from a third world/developing country. They’ll be able to answer any questions you may have…

#64 Sail Away on 01.05.20 at 6:55 pm

#42 crowdedelevatorfartz on 01.05.20 at 5:44 pm
@#26 Sail away

“A country’s leadership is representative of its populace, or at least a large portion of it:”

———————————-

Wrong.

Or a country’s ‘Leadership” is awarded via a minority coalition no matter how unpopular.( Canada)

Or a country’s ‘Leadership” jails, tortures or hangs all opposition and sets up a dictatorship (Iran).

I assume you wont be visiting the Iranian people in Tehran any time soon?

If you change your mind could you paint a few Rainbow crosswalks there for old times sake?

—————————–

You assume correct.

#65 Dave on 01.05.20 at 6:57 pm

Re:”Would love to see some evidence that renters are saving at a higher rate then home owners. I would be a lot of money the opposite is true. So I’d bet on homeowners being ahead in 20 years even at these stupid prices. Renters without any savings and 5% yoy rent increases are going to be pooched come retirement. At least those with a house to sell have a chance.”

——-
In my early 50’s always rented, now have a million in investments. Discipline, focus and minimizing fees…it’s not that difficult.

#66 John Foster on 01.05.20 at 7:00 pm

Congrats to Team Canada from Ostrava, CZ. What an amazing game!!!

#67 DON on 01.05.20 at 7:00 pm

#31 Mattl on 01.05.20 at 4:46 pm

MF – sorry you missed the RE train. Greatest wealth builder my generation will see. I take it you are in your early 20s and had no opportunity to participate.

Residential real estate’s only been a ‘wealth builder’ in certain markets and over defined periods of time. Generalizations like that are useless to pass along, unless this makes you feel more manly. – Garth
****************

Perhaps someone’s in denial and trying to shore up public sentiment in terms of prices rising forever.

I am still wondering what monetary hidden costs come with renting? I sure as hell know the hidden costs associated with home owning (water tank, roof, old style electrical wiring and plumbing, cracked foundation, mold, sink holes etc).

Ignorance is blissful to say the least.

#68 IM in C on 01.05.20 at 7:08 pm

And since $1 million houses are not going to $4 million in thirty years,

Don’t be too sure Garth. There are 7 billion people on this planet, and most of them would love to come here if they could.

So Canadian. – Garth

#69 Lost...but not leased on 01.05.20 at 7:23 pm

#65 Sail Away on 01.05.20 at 12:21 pm
#52 MF on 01.03.20 at 8:09 pm
#48 Lost…but not leased on 01.03.20 at 7:52 pm

Lol reading comprehension not even once.

Complete sentences not visible for miles.

Cohesive arguments more absent than parliement on holidays.

I’d respond but I have no idea what you are saying.

MF

————————————-

MF, you mis-spelled ‘parliament’ in your English lit critique yesterday.

Thought you should hear it from a friend…

===================

FYI info..I got “A”s in English curse

Regardless… certifiable LOSERS in debates have to scrape the buttom of the bearwhole in childish ad- hominem attacks.

In Udder wurds…$#@%^

#70 IHCTD9 on 01.05.20 at 7:27 pm

#64 IM in C on 01.05.20 at 7:08 pm
And since $1 million houses are not going to $4 million in thirty years,

Don’t be too sure Garth. There are 7 billion people on this planet, and most of them would love to come here if they could.
———

There is like a fraction of 1% of the population of the planet that could come here and plunk down 4 million for a house…

#71 oh bouy on 01.05.20 at 7:36 pm

@#65 Dave on 01.05.20 at 6:57 pm
Re:”Would love to see some evidence that renters are saving at a higher rate then home owners. I would be a lot of money the opposite is true. So I’d bet on homeowners being ahead in 20 years even at these stupid prices. Renters without any savings and 5% yoy rent increases are going to be pooched come retirement. At least those with a house to sell have a chance.”

——-
In my early 50’s always rented, now have a million in investments. Discipline, focus and minimizing fees…it’s not that difficult.
__________________________________

you’re the outlier

#72 Nonplused on 01.05.20 at 7:40 pm

Well the Soleimani assassination has so far gone without much reprisal, a bit here and there. Slow news day. But I noticed that Iran declared “3 days of mourning”. So that means Tuesday is go-time if anything serious is going to happen.

I’d use Monday to go long gold and oil. It won’t collapse if nothing happens so you can always sell Wednesday. Maybe a bit of a loss.

It will be interesting to see what happens. Assassinating terrorists is one thing, but taking out a national government figure is another. Sure, Soleimani tried a few assassinations himself, so maybe he had it coming. But this is new territory. This is some sort of 007 stuff. License to kill.

I’ve been sort of supportive of Trump mostly because he’s so entertaining, but if he did really approve this it is over the line. I think other characters are and were behind it. I think he negotiated the end of the impeachment in exchange for the strike. But whatever the calculations and negotiations were, it is bad news because it means political assassinations are back on the table. And killing one guy doesn’t change anything on the ground.

Tuesday will be interesting. I predict the slow news cycle comes to an end.

#73 oh bouy on 01.05.20 at 7:41 pm

@#69 Lost…but not leased on 01.05.20 at 7:23 pm
#65 Sail Away on 01.05.20 at 12:21 pm
#52 MF on 01.03.20 at 8:09 pm
#48 Lost…but not leased on 01.03.20 at 7:52 pm

===================

FYI info..I got “A”s in English curse

Regardless… certifiable LOSERS in debates have to scrape the buttom of the bearwhole in childish ad- hominem attacks.

In Udder wurds…$#@%^

___________________________________

I always figured you were smokingman under another alias.

#74 JohnL on 01.05.20 at 7:42 pm

“Permanent high plateau” in housing prices, you say??
/
That rhymes with another famous quote I’ve read……..
/
Your middle name isn’t Irving, is it Garth??

Have no idea what you mean. – Garth

#75 Matt Landry on 01.05.20 at 7:48 pm

Don – I have no real vested interest in RE continuing to appreciate. I follow Garths rule of 90 and my mortgage is 2:1 gross income to loan value. If properties dropped significantly we would add a property or more likely upgrade. Or maybe just be able to find some contractors to do renos – its impossible to find good help, the trades have made a small fortune the past 15 years.

Have had this back and forth with you probably 10 times so please make notes or stop quoting me.

As to the long term downside of renting, should be fairly obvious. Evictions and rent increases. At the current pace a single family home to rent in a major market will be 5-8k in 25 years. Yes, you can always get a cheap basement suite or condo or move to a third world country but some of us want to live in homes and have back yards, dogs, park toys. I’m willing to replace a roof every 30 years (never done one), a water tank every ten years (they are 1200 installed) and a foundation never (they fail at less then 1%) in exchange for the security that home ownership offers. To each their own but if a roof every 30 years scares you off from owning a home then a basement suite is probably best. Home ownership isn’t for everyone for sure.

#76 Mike Martins on 01.05.20 at 7:48 pm

Mike Martins, Mike Martins channel. Rent prices for a Bachelor/studio apartment will rise to $3,500/mthly in Toronto by 2025:

https://www.youtube.com/watch?v=E_x0GBOxkYI

One million international students in Toronto voting for Trudeau in the next election.

#77 Westcdn on 01.05.20 at 7:48 pm

Yeah. Who is more electable? The Politian who says “pension reform” or “pension enhancements”. I expect more taxation of so called passive income -ouch. Misery loves company. I was never a spendthrift so I resent public servants who won a pension lottery and benefits.

#78 BlogDog123 on 01.05.20 at 7:48 pm

re: #61 No Mailroom Job for Millennials on 01.05.20 at 6:51 pm
At least not permanent. It is on call, casual, temporary or auxilary.

Contract baby. No pension, no benefits, no rights. Millennials can only dream of a starter job that boomers had…

===
Ain’t it true. Back in the old days before employers got smart and automated and hired temp agencies… They actually had to hire people directly for all levels of jobs.

Now with all the mergers and acquisitions that have happened over the last 30 years (Kraft+Heinz, Honeywell / Intermec, Boeing+ McDonnell Douglas, big Pharma, TD+Canada Trust, …) the name of the game is headcount reduction, outsourcing and automation.

New jobs in new industries can fill the void, but they are not necessarily good jobs. There are plenty of shitty IT jobs that get outsourced overseas eventually.

#79 Dave on 01.05.20 at 7:56 pm

DELETED

#80 IHCTD9 on 01.05.20 at 7:57 pm

#59 Nonplused on 01.05.20 at 6:47 pm
— –

Good post, there are very good arguments that all our material wealth begins with the wealth of the earth itself. We add value to these earth products we extract, and resell them in stages with each participant earning along the way. Eventually we end up with cars, machinery, technology, and the creation of non material wealth like human rights, freedoms, services etc…

Take these natural sources of wealth away after it establishes the society we live in, and there will be big problems maintaining the status quo. Regression is assured in this scenario – just a matter of time.

#81 jsto on 01.05.20 at 8:02 pm

I have always believed the economy and all of us would have been way better off had we not have to spend so much on mortgages. Vancouver house prices are insane, incomes low/disconnected thus causing people to make tough choices… something’s gotta give… Yet, we need to be able to spend for things OTHER than mortgages, don’t we?

#82 oh bouy on 01.05.20 at 8:16 pm

@#80 jsto on 01.05.20 at 8:02 pm
I have always believed the economy and all of us would have been way better off had we not have to spend so much on mortgages. Vancouver house prices are insane, incomes low/disconnected thus causing people to make tough choices… something’s gotta give… Yet, we need to be able to spend for things OTHER than mortgages, don’t we?
________________________________________

folks need to quit buying $hit they can’t afford and stop blaming everyone else for their problems. like a few other curmudgeons on here say – can’t afford the city, get out of it. It’s a big country with a ton of opportunity.

#83 Bytor the Snow Dog on 01.05.20 at 8:24 pm

Garth, you sure attracted a lot of professional victims today.

#84 DON on 01.05.20 at 8:46 pm

#75 Matt Landry on 01.05.20 at 7:48 pm

Don – I have no real vested interest in RE continuing to appreciate. I follow Garths rule of 90 and my mortgage is 2:1 gross income to loan value. If properties dropped significantly we would add a property or more likely upgrade. Or maybe just be able to find some contractors to do renos – its impossible to find good help, the trades have made a small fortune the past 15 years.

Have had this back and forth with you probably 10 times so please make notes or stop quoting me.

As to the long term downside of renting, should be fairly obvious. Evictions and rent increases. At the current pace a single family home to rent in a major market will be 5-8k in 25 years. Yes, you can always get a cheap basement suite or condo or move to a third world country but some of us want to live in homes and have back yards, dogs, park toys. I’m willing to replace a roof every 30 years (never done one), a water tank every ten years (they are 1200 installed) and a foundation never (they fail at less then 1%) in exchange for the security that home ownership offers. To each their own but if a roof every 30 years scares you off from owning a home then a basement suite is probably best. Home ownership isn’t for everyone for sure.
****************

You got it all figured out and nothing will change your mindset. Yet you make baseless assumptions everything is happy path and your recency ‘assumptions’ are just that. In the event of sustained downturn you can’t even envision that ‘much’ hardship. Have you ever experience a downturn or is achieving 30 something the holy grail and the end of learning. Most lessons is life come after 30 ish.

If the markets stalls, so will new construction, and then job loss and contagion to other supporting industries and so on. It won’t happen is a nice vacuum. I guess YOU will have to learn through experience. Even in light of the data and evidence you argue with your opinion and thoughts based on what exactly.

For you Mattl the…THE BLANK STARE.

#85 45north on 01.05.20 at 9:00 pm

MF: January 03: my dad was a teacher. He taught grade 12 science for 30 years. I saw him leave at 7:30 and come home at 21:00 most days. Never earlier than 20:00. Tons of lesson planning on weekends and evenings. Staying after class to help struggling students. Calling parents. Many of his students went on to be really successful, often keeping in touch with my dad and letting him know how much he helped them. This, in addition to helping me and my brother with our own work, projects, speeches, essays etc.

That pension is well deserved IMO. To brand the entire teaching profession as PC entitlement just shows how ignorant and clueless you are

MF: January 05: I’m not into generational conflict, every generation has unique challenges, but you are delusional if you think you earned anything you have.

There’s a disconnect here: On the one hand, your father was a tireless, dedicated teacher who guided a generation towards success. On the other hand, his generation didn’t earn anything.

https://www.youtube.com/watch?v=VXh9kahK0Dw

#86 crazyfox on 01.05.20 at 9:10 pm

#37 DON on 01.05.20 at 5:24 pm

Correct you are, Don.

https://www.cnn.com/2020/01/05/world/soleimani-us-iran-attack/index.html

How long has the U.S. had access to Iraqi soil and air space, must be a decade now. Well, that’s all gone. The only way the U.S. will have access to Iraqi air and soil will be by force now meaning western oil production in Northern Iraq is left on its own with security.

I can’t see how the U.S. will have any future allies in a war with Iran considering American policy from POTUS in the runup to all this. A quick recap:

– 2016 Muslim ban held up in the Supreme Court in summer of 2018. The government argument was terror cells set up on U.S. soil in case of a war in the middle east.

– 2017 end to nuclear research treaty between Iran and Europe/U.S. even though Iran was in full compliance.

– Trade embargo slapped on Iran. China was the largest importer. To enforce the embargo cutting deep into Iran oil exports, it could be argued that trade tariffs were applied specifically to create leverage to enforce the embargo because of the timing.

https://en.wikipedia.org/wiki/United_States_sanctions_against_Iran

French energy giant Total (30%) has pulled out of large natural gas field project (Pars) in Iran due to embargos (China now owns 51%):
https://en.wikipedia.org/wiki/List_of_natural_gas_fields

– The attack on Japanese oil tankers in June 2019 were likely a U.S. false flag event.
– attack on Saudi oil refinery was likely Yemen based as world’s worst human rights violations have occurred in Yemen in 2019.
– U.S. drone shot down in Iranian air space (can’t blame Iran really, given recent history).
– U.S. contractor killed Dec. 27th, U.S. and Iraqi’s wounded from a rocket on a U.S. compound. Rockets have been flying during recent unrest elsewhere in Iraq and Iran given economic circumstances (Iran inflation running 40%).
– U.S. embassy overrun in Iraq, Dec. 27th, no casualties.

POTUS responds with an assassination of what is considered to be Iran’s #2 leader:

https://www.youtube.com/watch?v=sfr8tfm_IxA

So… considering Republican plans regarding war with Iran, it can be argued that this was Republican policy since Trump was elected into power. Because of these largely unprovoked policies presumably to create a world oil production shortfall of light crude ensuring higher prices needed for continued record U.S. oil production mostly out of Texas, culminating with the POTUS assassination of Soleimani as well as 10 other Iraqis in two combined separate attacks… we are now seeing relations quickly deteriorate between the U.S. and Iraq while Iran prepares for war and U.S. relations with it’s allies in Europe and elsewhere become further strained as the result of U.S. trade and foreign relation policy destabilizing the entire region and in some contexts, the world.

https://www.youtube.com/watch?v=sfr8tfm_IxA

Not yet mentioned in this prelude to war, is what Iran’s allies will do. How will China and Russia react to a full blown military war between Iran and the U.S. in the region? If Iran keeps it’s word:

https://www.cnn.com/2020/01/05/middleeast/iran-soleimani-khamenei-adviser-intl/index.html

Iran will attack hard targets only. However, Al Qaeda is still presumably a threat and Soleimani was the on responsible for cleaning up Al Qaeda threats. U.S. false flags are very real threats considering Republican policy with oil.

Investors should be looking into an oil bull ETF as a hedge against geopolitical risk and avoid the recent state oil Saudi IPO from the region. Gold is likely to rise as well, especially if Iran hits back with military force on hard targets.

#87 Ustabe on 01.05.20 at 9:16 pm

I certainly am glad I do not live in the world it seems most of you have constructed for yourselves!

I have mid and late 20’s children, both with a wide social circle. My Millennials bear almost zero resemblance to the image propagated in here.

I also live in a working class neighbourhood, surrounded by folks with paid off mortgages, some rental stock. There is a 3Bed, 1.5 bath rancher up the road on offer for $2,000 per month, pet friendly. You can still get a home for in and around $300,00, less if you aren’t needy.

Stores, restaurants all full, place is busy. Both rental and market housing recently built or being built, all selling or leasing as fast as they can get it to market.

I can still get a burger and beer under ten bucks too…and there are good jobs available locally as well.

But I suppose when you chose to stand up to your neck in a cesspool everything begins to look like poo to you.

#88 Sail Away on 01.05.20 at 9:27 pm

#17 Felix on 01.05.20 at 2:56 pm

The best way to reduce financial risk is to get rid of your dogs and adopt cats. They cost less and make you smarter.

——————————

Adopt a wild raccoon instead. It’ll keep you on your toes 24/7, will destroy your house and eat your cat.

That will also make you smarter. At least about adopting raccoons.

#89 crowdedelevatorfartz on 01.05.20 at 9:41 pm

@#61 No Millenial males
“Millennials can only dream of a starter job that boomers had.”
+++++

My God the brainwashing in schools/ universities is complete.
I guess thats why most young tradespeople now are female.
The boys just want to stay home and play video games.

TONS of work out there fellas.
TONS of govt jobs begging for newbies.
TONS of Boomers retirng out of govt.
I’ve personally watched 10 retirement parties in the past year and it’s accellerating.
3 new welders on the job are girls in their 20-30’s
Female Electricians are popping up more and more on the jobsite.
Every truck and van I see on the road has a “We’re Hiring” sign stuck to the back.
No job experience?
No education?
Willing to work to get ahead?
No problem.
This country is bereft of electricians, plumbers, HVAC, etc etc etc.
Earn while you learn with an apprenticeship and burn that useless “degree” that cost you years of debt.
Waste of time when accountants, engineers, consultants can be replaced by India’s software programmers.
Or you can cocoon in Mom’s basement and blame the world……..because, besides your Mom……no one cares.

#90 Dr V on 01.05.20 at 9:42 pm

Lots of heated comments today. Funny thing is my personal experience sounds so much more millennial than boomer (which I am).

Six years post-secondary. Break between 2 yr tech diploma and engineering degree.

Homeowning mills at 216% debt ratio? Same as me in my early 30s, but at much higher rate. This is not “whopping”.

Did have a union job but never qualified for the pension.
Eventually struck out on my own – the ultimate gig.

I never spent more than $250k on a house, which was
a little over twice my income at the time. So I have not driven up prices.

Paid off all my debt 10 years ago. Yes, I would be
considerably wealthier if I had put that money into
investments.

Investable assets in the 7 figure range. Other assets (home, business, rental) about the same.

Must have made some good choices along the way.

Retirement soon…….

#91 Miserable Boomer on 01.05.20 at 9:43 pm

#25 MF. If you sold on the dip in ’08 for sure you lost 50%. But you had to be pretty stupid to have done that.

Trudeau is flushing your generations future down the toilet with new debt faster than an PM in history. Yet, Mills voted for him almost exclusively. Don’t blame me when you’re paying 100% income tax and have to plant trees in bear country while Trudeau builds sand castles in Costa Rica. The real enemy is Trudeau, not the Boomer who went to work every day.

Boomers are spending like crazy while Mills are hiding under the bed. Mills should be begging Boomers not to change. Boomers are all that keeps the economy afloat.

My personal financial philosophy became dialogue in a Hollywood movie, The Gambler. Scroll up to around 58 minutes and listen to John Goodman tell Marc Walberg how to organize himself. It’s what I used to tell my clients about life planning vs simplistic diversification. John states to Marc, ” You need the ‘F You’. Meaning, if you want to succeed in life and finances you need to plan to overcome every contingency.

Did I get movie credit, no. One of the clients I advised in the entertainment industry “borrowed” the line from my book on the subject. So what. It holds as true today as ever was. Plan to lose your job, get divorced, live through a market crash etc etc etc. If you do then a Mill Crisis, a Boomer Crisis, a Trudeau Crisis won’t matter to you, you’ll have it covered. Make contingency plans for every event. Don’t stumble through blaming someone else.

Yes, I worked for that. And, I got more than 100 dividend deposits into my acct the past month as a reward. What’s your claim to fame?

#92 crazyfox on 01.05.20 at 9:46 pm

https://www.msn.com/en-us/news/politics/we-now-have-the-endless-conflict-in-the-middle-east-rahm-emanuel/vi-BBYDm0v

It’s worth a watch.

#93 Sail Away on 01.05.20 at 9:47 pm

https://youtu.be/0DfGf4M3QZo

——-

https://youtu.be/s7o8MS-ApwI

——-

https://www.dailymotion.com/video/x171ddw

#94 Millennial Realist on 01.05.20 at 9:47 pm

# 59 Nonplused

“For every dollar that gets paid out in CPP or other benefits, someone somewhere at sometime has to pay a dollar in taxes.”

Such typical Paleo-Boomer whining, LOL!

Actually, since the LIBERALS!!!! (NOT BOOMER CONS!!!!!) fixed the CPP in the 1990s, it has been on-track as a mostly sustainable fund that has prepared and invested wisely, just like a Turner Investments client would.

The CPP fund is now pretty much sustainable for the next 50 years or more based on existing investments. Check the numbers, it’s pretty impressive all considered. (But it does need to grow, as some are protesting today, because so many private plans have been so badly bungled and people have been lured into gambling on real estate instead of investing for retirement, mostly by idiotic Boomer Con reality-denying policies created under Harper and Flaherty )

This, in spite of the fact that Stephen Harper tried to delay the onset of benefits to age 67 (how convenient, this would have affected people born just after him but not himself – sheesh!)

Lesson learned?

If you care about your retirement and CPP pension, then……..

DO NOT EVEN THINK EVER AGAIN OF VOTING FOR BOOMER CONSERVATIVES!!!!!

NEVER!!!!

In anyone else’s hands, NDP, Liberal, Green or whoever, the CPP should be just fine.

But any pensions managed by Boomer Con governments, or corporate sector private pension plans managed by Boomer corporate elites – well, those will be FUBAR’ed for sure.

Because that’s what most Boomer Cons do.

Think seriously about your next votes everyone – provincially or federally, especially Boomers heading into retirement.

You’re voting with your wallets now, like never before.

Don’t be Greater Fools!

#95 akashic record on 01.05.20 at 9:52 pm

#82 oh bouy on 01.05.20 at 8:16 pm

like a few other curmudgeons on here say – can’t afford the city, get out of it. It’s a big country with a ton of opportunity.

Canada’s homegrown economic refugees hit with compassion :D

#96 Dutchy on 01.05.20 at 10:02 pm

“And since $1 million houses are not going to $4 million in thirty years”

Forget about it.

The average price of a home, outside the GTA and LM varies from about $175,000 to $450,000 and will appreciate nicely (in many if not all locations) over the next 30 years. And that includes places like Ottawa, Montreal, Calgary, etc.etc. and (at today’s interest rates) with mortgage payments lower then rental costs.
Plenty of money left over to stuff your TFSA’s and Margin Accounts.

Unless you want to live in a box (cardboard??) these are all very nice options to have a place of your own with a patio and a BBQ to share with friends and family.

Happy and Prosperous 2020, The future looks bright !!

#97 Sail Away on 01.05.20 at 10:24 pm

#86 crazyfox on 01.05.20 at 9:10 pm

————————

Crazy, some good points.

Good luck trying to predict, though; any information we think we have is so far out of date that it’s absolutely irrelevant, and any conjectures are based on interpretation of old or false news.

The levels of intrigue, treason and backroom deals in the middle East are so far beyond anything reported on MSM, that it’s equally effective to shake an 8-ball as try to guess or predict.

24-hr TV will be happy.

#98 Yulyyz on 01.05.20 at 11:01 pm

As the Federal Gov’t looks for ways to tax the taxpayer more, why doesn’t it start to target the Federal public service? Just the insane practice of having no limit to banked sick days makes no sense and has a huge cost associated. I know the unions will moan about it, but in the end can the Federal Gov’t not simply impose it? There are plenty of provincial govs that have stopped allowing banked sick days or at the minimum set a limit.

https://www.cfib-fcei.ca/sites/default/files/2018-05/cost_banking_sick_days_public_sector.pdf

#99 SoggyShorts on 01.05.20 at 11:04 pm

#48 SunShowers on 01.05.20 at 6:06 pm
According to the Federal Reserve’s Survey of Consumer Finances, when Boomers were the age that Millennials are today (around 1989), they owned 21% of all US wealth.

Millennials currently own 3%.
*********
Those numbers stink.
What % of the population were boomers in 1989?
What % of the population are mills today?
Surely that must factor in?

#100 SoggyShorts on 01.05.20 at 11:07 pm

#94 Millennial Realist on 01.05.20 at 9:47 pm

Honestly your non-stop whining is so annoying that I’ll be voting con until I die— itll be a mail in ballot from my cushy FIRE travels though since i worked hard instead of bitching about how great previous generations had it.

M40Belize

#101 oh bouy on 01.05.20 at 11:11 pm

@#87 Ustabe on 01.05.20 at 9:16 pm
I certainly am glad I do not live in the world it seems most of you have constructed for yourselves!…
_______________________________

Ustabe, I honestly believe a lot of the folks who post here suffer from ‘mean world syndrome’. look it up.

obviously the world/society has its issues but life has literally never been better than it is right now.

#102 I want to ride my bike on 01.06.20 at 12:20 am

Couldn’t justify the price of real estate in YVR; moved to a small town, still find the prices here inflated. With all this taxation potentially gunning for the savers I am thinking of jumping ship on Canada altogether. If you could take your savings and move anywhere in the world where would you land?

#103 Leo Trollstoy on 01.06.20 at 12:30 am

I don’t read ppl who are short money

#104 Mattl on 01.06.20 at 12:37 am

Don- I don’t need a lecture on what could happen in a downturn….I’m not over extended. I have always been a RE bear and buy half what I can borrow. I am sorry RE is so painful for you but for the 50th time I am good and could care less what RE markets do. I am here because I believe in what Garth preaches – rule of 90 and buy what you can afford.

I am curious to know what RE did to you to make you so bitter. You are in YVR, and I would guess in your late 40s +. Bitter about your neighbours/ family/ friends good luck and hoping to see then get crushed? Thats my guess.

#105 Leo on 01.06.20 at 12:52 am

I work for one of the provincial DB pension administers.
We allow our members to commute their pension… It takes the onus off of the pension provider and the pension plan members(No, not tax payers) from having to provide that pension plus annual cost of living increases to an ever aging group of pensioners….
That risk and the financial responsibility is quite large which is why most public DB and public/private DC pension plans that I am aware of allow the member to commute the pension. To my knowledge, CPP is the only public DB plan that does not allow its members to commute the value.

As an employee, I would be reluctant to accept a job at an organization that would not allow me some say in what happens to my pension contributions, or locks them into some poor performing high fee financial institution, or worse the company that who knows if it will be gone along with my pension by the time I am ready to retire.

#106 Al on 01.06.20 at 1:50 am

“Remember the post some days ago about Mills turning into lefties wanting more government in their lives plus the taxes to get it? Bingo. Here it is”

Life’s been tough if those in the picture are mills, looks like they’ve earned their retirement!

#107 just snootin' on 01.06.20 at 2:55 am

Vow of Perpetual Poverty, line 256 in the income tax guide. Order of the Blessed Beagle. While you’re in rush hour, I’m not.

Life can be beautiful… just grab hold, bite down, and shake the bejeebers out of it.

#108 Captain Uppa on 01.06.20 at 7:41 am

#28 MF on 01.05.20 at 4:20 pm
#15 Captain Uppa on 01.05.20 at 2:25 pm

Wrong. RE rose because of manipulation.

The market, including the garbage you own, should have been decimated in 2008. The only reason why it wasn’t is because interest rates were stupidly reduced to zero, and stupidly kept there.

There were also other dumb policies implemented along the way to goose this gasbag and keep people like you erroneously believing you made a “smart investment”.

Raise interest rates where they should be, get rid of the capital gains exemption (pointless), get rid of the CMHC (pointless) and watch prices get halved over night.

MF

————————————————-

Again, my point is that income, as in money you take in, is the real x-factor.

People who rent can be broke. People who own homes can be broke … but I would wager that the number lies larger on the renter side over a large period of time.

#109 TF on 01.06.20 at 8:15 am

For those who are waking up trying to absorb what is happening from a facts perspective:

Over the weekend, Iraq parliament voted to expel US troops from the country
Iran vowed retaliation, and President Trump promised that 52 Iranian sites would be immediately targeted if any US bases or personnel were attacked.

Iraq and Iran produce ~4.7mmbpd and ~2.1mmbpd of crude, respectively, which compounded with concerns around the Strait of Hormuz (~21mmbpd of crude flows) being at risk in times of elevated Middle East tension has crude well bid. Additionally, within OPEC,

Saudi controls the vast majority of spare capacity, producing ~9.9mmbpd (vs. ~12mmbpd capacity) and not only relies heavily on the Strait but is also susceptible to regional attacks as seen last year;

however the East-West pipe has ~7mmbpd of capacity limiting part of the Strait risk.

If regional production was hampered, the US and other OECD nations with ample reserves could rely on an Strategic Petroleum Reserves release in the short term but any outages of longer duration would likely lead to a further bid in crude risk premium.

This is the landscape.

#110 Q2 Class No. 6131 on 01.06.20 at 8:28 am

Hey Garth –

I guess they’re coming for me, then.

Interesting photo. Just a guess, but are they all civil servants? The T-shirts, look-alike placards, the entitled look and yelling mouths – I’d say government ‘workers’.

#111 IHCTD9 on 01.06.20 at 8:30 am

#94 Millennial Realist on 01.05.20 at 9:47 pm
___

A growing number of us knuckle draggers are starting to care less who gets in.

If Cons get in – great, maybe we’ll see some changes at least to the handouts and spending.

If Lefties get in, then we become the recipients of said handouts and spending.

Between a bro and I, we’ve banked close to Two Hundred Thousand Dollars in returned taxes and handouts since Trudeau was voted in, and we’ll bank even more than that over the next 4 years if he lasts that long.

That kind of money has a strong soothing effect when say, Trudeau plans another trip to India or China and decides to pack the tickle trunk again.

I’d never vote for a Liberal like Trudeau – but I’ll happily take the cash!

#112 Dharma Bum on 01.06.20 at 9:01 am

#13 Sold Out

We have plainly failed to ensure the basic numeracy of Canadians, regardless of demographic cohort.
——————————————————————–

Basic Education of a typical Canadian boomer:

Mr. Dressup
Romper Room
Razzle Dazzle
The Forest Rangers
Wojeck
The Galloping Gourmet
Hinterland – Who’s Who
The Irish Rovers
This is the Law
The Littlest Hobo
Howie Meeker’s Hockey School
The Amazing World of Kreskin
Stompin’ Tom’s Canada
The Tommy Hunter Show
The King of Kensington
The Beachcombers
Hockey Night in Canada
The Trouble with Tracy
The Wayne & Shuster Show

Worked for me!

#113 Stan Brooks on 01.06.20 at 9:15 am

There will be non retirement for a few generations.

Then all private sector jobs will become obsolete/through AI and outsourcing, so the very words: ‘salary’, ‘career’, ‘job’ and ‘pension’ will lose any meaning.

In the meantime get what you can/what is yours and run.

We will see every trick in the bag here by governments trying to first confiscate pensions funds of the ordinary folks ‘in order to ensure decent income in retirement and security of investment for all Canadians’ or some other utter BS.

Let’s not forget that the budget is based on taxing the little guy and once the little guy is broke/we are there already/ and there are tons of unemployed and broke retirees relying on the government what do you think will the finance minister do:
Tax the billionaires/himself?

Sure. Enjoy the ride as your life will be envied by the next generations. And what will all these new immigrants do with all this automation and AI is a mystery to me. I am sure it is all very clear/and empty in socks boy’s head.

Cheers,

#114 Phylis on 01.06.20 at 9:15 am

tickle trunk, i remember that.
Dharma list, add The Friendly Giant.

#115 Remembrancer on 01.06.20 at 9:35 am

#37 DON on 01.05.20 at 5:24 pm
I still want to know where IS came from…seemingly appeared over night at one point.
————————————————-
Actually well fairly well documented at this point, you can start with the following:
https://www.cbc.ca/player/play/772737091872

Basically you cook a resistance movement up from scratch by locking up assorted players, including from Saddam’s intelligence agencies, together in the same prison…

Basically a winning the war / losing the peace scenario brought to you by a leadership that at least pretended if not actually believed a repeat of Holland in 1945 at the start of the war…

#116 SunShowers on 01.06.20 at 9:45 am

#99 SoggyShorts on 01.05.20 at 11:04 pm
There are slightly more Millennials than Boomers, but because of lower overall US population in 1989, Boomers made up a SLIGHTLY higher percentage of the population.

1989:
43.24m people age 25-34 / 246.8m total pop. = 17.5%
(1.2% of nationwide wealth held per % of population)

2018:
45.69m people age 25-34 / 327.2m total pop. = 14%
(0.2% of nationwide wealth held per % of population)

So accounting for differences in demographics, we go from Boomers having 7x more wealth than Millennials, to Boomers have 6x more wealth. You’re barking up the wrong tree. Demographics alone does not explain the disparity.

#117 Remembrancer on 01.06.20 at 9:53 am

#111 Dharma Bum on 01.06.20 at 9:01 am

Front Page Challenge?

#118 Blog Bunny on 01.06.20 at 10:15 am

Got money? Get a double citizenship. The world does not begin and end with Canada. If taxes get too crazy, I can always hike in Patagonia or the Dolomites instead of Banff.

#119 SunShowers on 01.06.20 at 10:23 am

And what really cheeses me off about all this is that instead of Boomers acknowledging that Millennials have less than 20% of the wealth the Boomers did despite doing the same work for the same amount of time and trying to find out why (much less actually trying to HELP), they just shrug their shoulders and say “Well, I guess Millennials will just have to work 6x harder than we did.”

Nuts to that. We’re coming for your assets.

#120 crazyfox on 01.06.20 at 10:35 am

#97 Sail Away on 01.05.20 at 10:24 pm

Agreed. Anything can happen. Trump can clutch his chest today and fall over dead. Or, a big long pause could ensue. Logic tells me however, when I watch video’s like this one with parliament mantra chants of “death to America”:

https://www.youtube.com/watch?v=-x88HVir4qA

For some reason I don’t see Iran headed for peace. Instead of watching economic caused riots in Iran from sanctions, now I see a united Iran looking for revenge. What we are seeing is the power of the victim (or martyr because it personifies their nation now) used as a weapon and its a powerful weapon in warfare to be sure.

What Trump did was openly order an assassination for the world to see. It’s one thing to do it covertly for regime changes, quite another to do it openly like this as it’s the trademark of what nutter power tripping brutal dictators do. In doing so, POTUS has lost the support of most if not all U.S. allies in a war on Iran, save maybe Boris Johnson and galvanized support against the U.S. overnight.

One can only speculate as to why POTUS did it. It weakens alliances, weakens NATO, damages credibility… maybe Biden says it best:

https://preview.msn.com/en-ca/video/news/biden-trumps-iran-tweetstorm-incredibly-dangerous/vi-BBYCGEc

#121 IHCTD9 on 01.06.20 at 10:38 am

Hey Urban Mils, you can “have it easy” too!

Here are 10 ways to win just like the Boomers did:

1. Average wages in Ontario Paper Mill – $65K

2. Average wages in Ontario Millwright – $62K

3. Average wages in Ontario Electrician – $67K

4. Average wages in Ontario Mechanic – $56K

5. Average wages in Ontario Drywaller – $63K

6. Average wages in Ontario Roofer – $54K

7. Average wages in Ontario Plumber – $70K

8. Average wages in Ontario Machinist – $47K

9. Average wages in Ontario Welder Fitter – $49K

10. Average wages in Ontario Carpenter – $53K

These are rough average numbers and do not include OT.

Just about every Mil I know is winning doing work such as described above. Married/shacked Mils are pretty much all grossing 90-100K+ combined and paying a small city mortgage of $1.6-2K per month. That leaves them 4-5K for everything else – every month. 99% of them have zero/little school debt, as most are apprenticeship/College educated.

These working Mil couples have it made in the shade – 1000% better than any boomer could have dreamed of at that age. Better than Gen X by a long shot too. Great earnings at a young age, dirt cheap mortgages, cheapest consumer goods in history, easiest credit in the history of the universe – all the way down to 0% financing for 84 months on a brand new truck. PLUS Trudeau will pay them 10’s of thousands just to have a few kids (Boomers had to pay for their own kids).

I know the big city has it’s allure, but that shine will tarnish fast when 65 is 10 years out, and you’re still renting and have jack for savings.

#122 IHCTD9 on 01.06.20 at 11:11 am

#117 Blog Bunny on 01.06.20 at 10:15 am
Got money? Get a double citizenship. The world does not begin and end with Canada. If taxes get too crazy, I can always hike in Patagonia or the Dolomites instead of Banff.
___

There are several reasons why Ottawa can’t just go haywire taxing the crap out of everyone in this country.

Yours is one of them.

Way too many working people in Canada have dual Citizenship and could bail like – tomorrow.

#123 Sail Away on 01.06.20 at 11:49 am

Sunshowers, release the envy. It’s counterproductive.

#124 IHCTD9 on 01.06.20 at 11:55 am

#113 Phylis on 01.06.20 at 9:15 am

tickle trunk, i remember that.
Dharma list, add The Friendly Giant.
___

Also add:

The Red Fisher show

Fables of the Green Forest

#125 Hobo dog wisdom on 01.06.20 at 11:56 am

Maybe tomorrow, I’ll want to settle down
Until tomorrow, I’ll just keep moving on
Down this road, That never seems to end

#126 Mattl on 01.06.20 at 12:06 pm

#118 SunShowers on 01.06.20 at 10:23 am
And what really cheeses me off about all this is that instead of Boomers acknowledging that Millennials have less than 20% of the wealth the Boomers did despite doing the same work for the same amount of time and trying to find out why (much less actually trying to HELP), they just shrug their shoulders and say “Well, I guess Millennials will just have to work 6x harder than we did.”

Nuts to that. We’re coming for your assets.

—————————————————————

You are coming for your parents assets? You going to inherit their wealth ya dummy.

The assets that will be confiscated will be yours, by the bitter children you end up raising. And all of the taxes you will propose.

I find it amazing that Mils think they are going to take down Boomers – a generation that has their wealth locked in, and is well past their big tax paying years. Slitting your throat to spite your nose.

#127 James on 01.06.20 at 12:57 pm

#119 crazyfox on 01.06.20 at 10:35 am

#97 Sail Away on 01.05.20 at 10:24 pm

Agreed. Anything can happen. Trump can clutch his chest today and fall over dead. Or, a big long pause could ensue. Logic tells me however, when I watch video’s like this one with parliament mantra chants of “death to America”:

https://www.youtube.com/watch?v=-x88HVir4qA

For some reason I don’t see Iran headed for peace. Instead of watching economic caused riots in Iran from sanctions, now I see a united Iran looking for revenge. What we are seeing is the power of the victim (or martyr because it personifies their nation now) used as a weapon and its a powerful weapon in warfare to be sure.

What Trump did was openly order an assassination for the world to see. It’s one thing to do it covertly for regime changes, quite another to do it openly like this as it’s the trademark of what nutter power tripping brutal dictators do. In doing so, POTUS has lost the support of most if not all U.S. allies in a war on Iran, save maybe Boris Johnson and galvanized support against the U.S. overnight.

One can only speculate as to why POTUS did it. It weakens alliances, weakens NATO, damages credibility… maybe Biden says it best:

https://preview.msn.com/en-ca/video/news/biden-trumps-iran-tweetstorm-incredibly-dangerous/vi-BBYCGEc
__________________________________________
Should have stayed up at the cottage one more week! Came back last night and all you can hear is Iran, Iran death to America, blah, blah, blah. Trump took out a bad guy and had the audacity to bloat about it on twitter? For Christ’s sakes is he 17 years old. Trump needed a shiny object out to deflect his poor standing and resultant situation re impeachment as well as the free flowing irrefutable felonious evidences forthcoming that shadow his illustrious career as POTUS. Anyway fact is Soleimani and the other Iranian that he nuked were not good little boy scouts however the timing does appear coincidental doesn’t it? They could have taken this guy out any time. Trump has now nuked Soleimani but in the ashes created a phoenix that is now an Iranian martyr. He may have played his cards erroneously. “I’m convinced he is a terrible gambler. An excellent bull-shitter and con-man yes” Not to say that the US could not take on Iran in a war but wasn’t that one of his premises in the election platform “to get the hell out of the middle east?” He will be most likely going it alone as he has alienated just about everyone in NATO and the west with the exception of Briton. Donny baby just take on board a long protracted war in a region where the only way to win is to turn the area into glass. In doing that we all lose! I’m buying military stock options, ammunition, petrol and blankets. Damn it I hate it when Trumps handlers can’t control him and he listens to his hawkish idiot friends.

#128 SunShowers on 01.06.20 at 1:00 pm

#122 Sail Away on 01.06.20 at 11:49 am
Sunshowers, release the envy. It’s counterproductive.
——————–

One of the biggest misinterpretations people have about Millennials (aside from the fact that we’re “lazy” despite being more educated and working more jobs with longer hours for less money) is that we’re envious. What we feel is most certainly not envy.

If you become the victim of identity theft and ~80% of your wealth is stolen as a result, does “envy” appropriately describe your feelings towards the newly enriched thief?

(FWIW, it’s corporations and capitalists who are the thieves in this case, not Boomers as a generation. However, some redistributive taxes would need to be levied which could affect Boomers as a whole, whereas new regulations would affect only corporations and capitalists to prevent the problem from recurring.)

#129 jess on 01.06.20 at 2:29 pm

…”Million dollar oceanview homes in a sinkhole-plagued area of Sechelt on the Sunshine Coast are now worth a toonie while nearby undeveloped plots that previously sold for hundreds of thousands of dollars are now valued at a mere loonie, according to B.C Assessement.

The figures released Thursday are yet another blow to the already heartbroken residents of the Seawatch neighbourhood on the Sunshine Coast who were forced from their homes over 10 months ago when the district declared a local state of emergency because of unstable ground. …read more @

https://www.cbc.ca/news/canada/british-columbia/1-and-2-property-assessments-confirm-worst-fears-for-residents-of-sinkhole-plagued-b-c-neighbourhood-1.5414366

=======

#130 Remembrancer on 01.06.20 at 2:43 pm

#127 SunShowers on 01.06.20 at 1:00 pm
…If you become the victim of identity theft and ~80% of your wealth is stolen as a result, does “envy” appropriately describe your feelings towards the newly enriched thief?…

…However, some redistributive taxes would need to be levied which could…
———————————————-
So this is either a Parody troll account or a Troll parody account as a performance art project?

#131 Sail away on 01.06.20 at 2:51 pm

#127 SunShowers on 01.06.20 at 1:00 pm
#122 Sail Away on 01.06.20 at 11:49 am

Sunshowers, release the envy. It’s counterproductive.
——————–
One of the biggest misinterpretations people have about Millennials (aside from the fact that we’re “lazy” despite being more educated and working more jobs with longer hours for less money) is that we’re envious.

(FWIW, it’s corporations and capitalists who are the thieves in this case…)

————————–

I don’t actually spend much time thinking about Mills as a separate species, but it seems to occupy an inordinate amount of your time.

People are people. Mills in my firm are happy and prosperous in this capitalistic corporation, just like the rest of us people of all ages.

What if it’s just you?

#132 jess on 01.06.20 at 3:01 pm

shadow industry

Chinese students say mother-daughter homestay hosts bilking newcomers in B.C. and Ontario
Sask. business people caught up in massive immigration fraud case

Qi Wang and Yujuan Cui accused of paying business people in exchange for job offers for Chinese nationals
Geoff Leo · CBC News · Posted: Jul 03, 2019 2:00 AM CT | Last Updated: July 3, 2019

passport babies
https://www.cbc.ca/fifth/m_site/

#133 Sail away on 01.06.20 at 3:19 pm

#127 SunShowers on 01.06.20 at 1:00 pm
#122 Sail Away on 01.06.20 at 11:49 am

Sunshowers, release the envy. It’s counterproductive.

———————–

One of the biggest misinterpretations people have about Millennials (aside from the fact that we’re “lazy”….

————————

That should be ‘misconceptions’, by the way. And writing it’s a fact that mills are lazy is probably not what you meant.

More educated, you say? Hmmm…

#134 Canuckystan on 01.06.20 at 3:20 pm

OMG – pessimism bias anyone? Mills will have plenty of opportunities to grow their net wealth.

Boomers are retiring by the truckload (I can not go to yet another retirement party, too many!). Those jobs will remain and work opportunities will abound.

Boomers will need to sell those houses to retire, all in roughly the same time frame, putting major downward pressure on prices.

So lots of open jobs and cheaper housing coming. Don’t think the current state of affairs predicts your future.

#135 LP on 01.06.20 at 3:24 pm

#123 IHCTD9 on 01.06.20 at 11:55 am

and don’t forget [Our Pet] Juliette & Friends.

F72ON

#136 Thedood on 01.06.20 at 3:33 pm

#49 Mattl on 01.05.20 at 6:09 pm
Residential real estate’s only been a ‘wealth builder’ in certain markets and over defined periods of time. Generalizations like that are useless to pass along, unless this makes you feel manly

———————

Residential real estate has made enormous gains in the markets where most Canadians live. I don’t feel manly for winning the RE lottery but I’m not going to pretend that the 20k I put into my first home in 2006 hasn’t turned into 600k on equity. Or that a family member didn’t buy a home in Langley for 285k with 40k down and sell it 15 years later for 1.1.

Nothing manly about it but Canadians have 6t in re equity. Up substantially the past 2 decades. Not healthy at all, and there will be a price to pay, but you can’t just pretend this wealth generating even didn’t happen for hundreds of thousands of Canadians. Or that guys like
MF and jealous because others were willing to take risks in 2006, 2008, 2012 and made out big.
______________________________

Some people have made out big. They should count themselves lucky and shut up about it.

As for the 6t in RE equity – of the people who treat their home like ‘investment’, the smart bunch have already cashed out, invested their winnings and are renting. The dumb ones are holding on while the market continues to decline.

#137 yvr_lurker on 01.06.20 at 3:44 pm

#131

Chinese students say mother-daughter homestay hosts bilking newcomers in B.C. and Ontario
Sask. business people caught up in massive immigration fraud case

Qi Wang and Yujuan Cui accused of paying business people in exchange for job offers for Chinese nationals
Geoff Leo · CBC News · Posted: Jul 03, 2019 2:00 AM CT | Last Updated: July 3, 2019

passport babies
https://www.cbc.ca/fifth/m_site/
————————

I saw the first estate show on passport babies this weekend. A real eye-opener. Canada is way too lax in
allowing this to happen. I do not understand why this loophole is not closed. Many such “birth tourism” families have not paid their hospital bills when unforseen interventions are required at birth. The little local Canadian taxpayer is then on the hook for this outrage. I strongly believe we need to do a better job to control our borders to prevent these abuses. Other countries seem to do a much better job in preventing this than we do. Canada has been played for as a sucker for so many years.

From the web:
“In an effort to discourage birth tourism, Australia, France, Germany, Ireland, New Zealand, South Africa, and the United Kingdom have modified their citizenship laws at different times, mostly by granting citizenship by birth only if at least one parent is a citizen of the country or a legal permanent resident who has lived in the country for several years. Germany has never granted unconditional birthright citizenship, but has traditionally used jus sanguinis, so, by giving up the requirement of at least one citizen parent, Germany has softened rather than tightened its citizenship laws; however, unlike their children born in Germany, non-EU- and non-Swiss-citizen parents born abroad usually cannot have dual citizenship. “

#138 Thedood on 01.06.20 at 3:58 pm

#111 Dharma Bum on 01.06.20 at 9:01 am
#13 Sold Out

We have plainly failed to ensure the basic numeracy of Canadians, regardless of demographic cohort.
——————————————————————–

Basic Education of a typical Canadian boomer:

Mr. Dressup
Romper Room
Razzle Dazzle
The Forest Rangers
Wojeck
The Galloping Gourmet
Hinterland – Who’s Who
The Irish Rovers
This is the Law
The Littlest Hobo
Howie Meeker’s Hockey School
The Amazing World of Kreskin
Stompin’ Tom’s Canada
The Tommy Hunter Show
The King of Kensington
The Beachcombers
Hockey Night in Canada
The Trouble with Tracy
The Wayne & Shuster Show

Worked for me!
_______________________________

You forgot;

Friendly Giant
SCTV

#139 Sold Out on 01.06.20 at 4:28 pm

Anyone opining that a Boomer retirement = a new full time job for an envious Millennial – is just advertising their cluelessness. Job elimination by attrition is much more likely. The Boomer vacating the position was probably not very productive anyway, needing Gen-X or Millennial help with printing, document formatting, software updates, and generally finding their arsehole with a map and a flashlight.

The retired Boomer will be replaced by an unpaid, p/t intern with a PhD.

#140 AP on 01.06.20 at 4:39 pm

CPP ain’t taxes. Yes it’s mandatory, but you will receive the value of what you put into it and it’s well managed with earning similar to those of the indexes.

And it’s even sustainable in it’s current contrary to the federal and provincials finances according to The parliamentary budget officer.
https://www.pbo-dpb.gc.ca/fr/blog/news/FSR_September_2018

#141 YVR Expat on 01.06.20 at 4:46 pm

#94 Millennial Realist on 01.05.20 at 9:47 pm
# 59 Nonplused

If you care about your retirement and CPP pension, then……..

DO NOT EVEN THINK EVER AGAIN OF VOTING FOR BOOMER CONSERVATIVES!!!!!

NEVER!!!!

In anyone else’s hands, NDP, Liberal, Green or whoever, the CPP should be just fine.

**********************************

Except the NDP, Liberals or Greens will take all your income and CPP and invest in ‘Green’ technology that doesn’t work. This is how politicians get into the Davos Club, they STEAL our money and give it to their friends.

#142 Steven Rowlandson on 01.06.20 at 11:27 pm

Why would employers pay the youngsters more when the government brings in a third of a million immigrants to compete with them for jobs?????????? Especially non union jobs… Employers are not going to pay a living wage ever. They don’t consider it their job or responsibility and even minimum wage for skilled labor is too much for them…. Ebeneezer Scrooge lives! That is part of the reason why financial and social disaster is coming or is happening. Restricted income plus a hyper-inflated real estate market. It will not end well.