Dr. Garth

The doctor is IN.

First up, Mike, we’ll treat him although he comes to this blog for animalistic reasons. “I’m a longtime reader of your blog and credit it with taking me from a zero to hero with my finances but really I read it for the dog pics,” he admits.

I have a question. My partner (Beth) and I have taken your advice and we are selling her rental condo. People here out west have lost their minds and as a result we just accepted an offer that’s $40k over asking. It is a 396sf one bedroom condo with 50 stairs to get to it and the accepted offer is for $641,000!  With only five figures owing on the mortgage we are going to walk away with a nice chunk of change but since it is a rental I’m assuming it will trigger an equally large tax bill.

What are the ways that we can avoid paying as much tax as possible? We both have maxed out TFSAs but we both also have lots of room in our RRSPs. I’m hoping we can use those for some tax shifting purposes but we aren’t sure about the best way to maximize them and we would appreciate any advice you may have as to how we can minimize our tax bill. For reference I make a little over $100k/year and my partner makes around $70k/year. The condo is in her name as she owned it before we met.

Yikes! That’s $1,620 for every foot of a place barely big enough to swing a wet feline in (they dry faster that way). This is all the evidence anyone needs that our house-horny society has truly lost its way.

Anyway, congrats on the bail. Good move. Now, don’t sweat the tax.

First, if you two recently hooked up, Beth was likely living in the condo for most of the time she owned it. This could eliminate any tax on the gain – so let your accountant know the dates involved. Second, the levy on capital gains is among the lowest you’ll ever pay. Half is free and the other half taxed at the owner’s marginal rate. In Beth’s case the max would be 28%.

So let’s say she made $100,000 on the unit. Only $50,000 is taxable at 28%, for a bill of $14,000. The other $86,000 is tax-free. Not a bad gig.

Can that be reduced? Of course, if B takes some of the condo proceeds and dumps the money into her RRSP that will reduce overall taxable income for the year. But, of course, she’ll have taken after-tax capital and made it taxable again. Think twice before you do that. And , besides, get a grip. You got forty thousand over asking, so that greater fool can pay your taxes!

Now here is Matt, who is easy to hate because he has one of those government defined-benefit pension plans we all enjoy dissing. At least he’s humble.

I will start with the MSU; I’m a long-time reader who is fortunate enough to have had one of my e-mail questions featured in one of your columns, and back groveling for more advice. My question is relating to your emphasis on having that 60/40 split (equities/fixed things) for long term investing. Your reasoning of this makes sense for most people, but what about the few of us who are fortunate to have a defined benefit pension plan.

My thinking is that with a solid reliable monthly income, which is tied to inflation that I can afford to be more risky as it relates to my TFSA. I plan to max out my TFSA each year, but instead focus on a 90% equities, 10% fixed ratio for investing. What do you think of this approach for somebody in my situation?

The logic is pretty sound, Matt, but you are forgetting about one key element – human psychology. Everybody is a swaggering, make-my-day cowboy when (like now) stock markets are percolating and the economy’s expanding. But things can turn on a dime, and it’s shocking what a 10% garden-variety equity correction can do to the macho men around us. They wilt.

The 60/40 model is for people who want to not lose money and make predictable long-term returns. The fixed-income hunk (not all bonds, for sure) helps quell volatility and achieve those goals. It also removes temptation, which is the downfall of many a DIY keyboard guru.

People jump on rising assets then fear everything’s going to zero when they fall. We buy high. We sell low. Watching a portfolio shed 10% or 20% of its value tempts investors without balance to seek shelter at the worst possible time. Being 90% into equities when North American markets are at record highs will probably make you dough in the short term (the vax recovery has a long way to go), but it could also bite you in the space of a day or two.

Why take the risk? Yep, greed. Shame on you, Matt. Now go back to running the CRA.

About the picture: “This is my executive assistant, Sunny, ” writes Lee. “She is our 8 year old mini-schnauzer who has brought so much sunshine into our family! She loves long dog-walks, chasing bunnies and crows and ensuring I stay on task while WFH-ing.”

115 comments ↓

#1 TurnerNation on 11.18.21 at 4:59 pm

Supply chain. Remember that stupid leaked email, it said shortages in Q3? A little late – Q4.

https://www.freightwaves.com/news/flooding-cuts-off-port-of-vancouver-rail-service
“Flooding cuts off Port of Vancouver rail service”

—-
We pay high taxes in Kanada for all the stuff we get! *
(*more hospital capacity excluded). Believe it!!
You are SOL. They ain’t coming for you.
All monies will be spent on “Climate action” (to cool down Lytton BC).

https://twitter.com/kainagata/status/1461053293791088640
@kainagata Day 3. While B.C. cabinet ministers debate whether to declare #bcfloods an emergency, Gurdwaras in Surrey rent helicopters and chopper thousands of meals in for people stranded in Hope.

@Tarnjitkparmar Dozens of volunteers at Surrey’s Dukh Nivaran Sahib Gurdwara cooked more than 3000 meals for those stranded in Hope. They’re paying for private helicopters to deliver meals (roti, cooked carrots, fruit) Wed AM – and will try for more trips in the coming days @CityNewsVAN #BCStorm

— What is going on this almost seems like terrorism, destroying BC. Setting off mudslides then burning people out. All natural disaster? They invented a new word for us “Astmospheric river”.

https://twitter.com/AMBERontheair/status/1461007323199987714
FraserWay RV just east of Whatcom / Hwy1 burning as crews can’t access the site for to flooding

#2 atlast on 11.18.21 at 5:16 pm

first finally

#3 Ponzius Pilatus on 11.18.21 at 5:16 pm

#136 Billy Bob
What are you talking about? Covid isn’t nearly over in Canada, and I’m quite happy to have the unvaccinated locked down. Pro-science and all that. Not sure that Czechs would be quite as docile about it as Austrians or Canadians though.
—————————-
Let’s just talk facts here, shall we.
During the last 3 days, BC reported cases in the 320 to 340 range.
Czeck Rep has twice the population of BC.
And they are reporting over 22k cases per day! A Whopper!
Not even on the same planet.
The only good news coming out of your new home is that “Babisch” is a goner,
and the Cheques will finally become part of civilized Europe, rather than playing on the fringe with Poland and Hungary.
——————————-
Updated: 
17 Nov 2021
01:32 PM (GMT)
The Czech Republic has reported a record number of new daily coronavirus infections since the pandemic started.

Health Ministry data published on Wednesday showed there were 22,479 new infections within the preceding 24 hours.

The daily figure represented a 54 percent jump from a week ago.

The Czech Republic’s vaccination rate has lagged those of other countries, with 57.6 percent of the population fully vaccinated versus a European Union average of 64.9 percent, according to data from the European Centre for Disease Prevention and Control (ECDC).

The Czech Republic, home to 10.7 million people, has now recorded a total of 31,709 COVID-19 deaths, with the daily count mostly above 60 in recent days.

#4 Nonplused on 11.18.21 at 5:17 pm

Finally a solution:

https://mishtalk.com/economics/mish-for-president-of-the-dallas-fed

#5 I'mshort_corpdebt on 11.18.21 at 5:19 pm

We sell low – wezell low – wizelow – Zillow!

Just felt like a bit of humor today ;-)

#6 The Woosh on 11.18.21 at 5:20 pm

What? 5:20pm EST and not one comment yet? Did everyone go on strike?

#7 Dolce Vita on 11.18.21 at 5:22 pm

“the vax recovery has a long way to go”
-Garth

Agree but if you consider what 21st C medicine has achieved in not even 2 years in which in my mind is the worst Pandemic of all time…I believe they’ll get there.

The Merck and Pfizer pills halfway along. Merck pill an addition to steroids in treating severe Covid patients and Pfizer preventing disease in the unvaxd with Covid symptoms – 89% effective, being licensed Worldwide (kudos to Pfizer for that).

What’s needed is a Oseltamivir or Zanamivir as used for A/H1N1 that pretty much kills it off and a PrEP 99% prevention effective * vs. HIV.

They’re getting there Doc Garth.

How long will it take?

Who knows. Maybe not a long way to go? Hope so for all of our sake.

———————

* PrEP. Taking the awkwardness out of 1 night stands (for some).

So shoot me Garth. I couldn’t resist.

#8 Ponzius Pilatus on 11.18.21 at 5:24 pm

Interesting, our friends are also looking to liquidate their rental property in Vancouver.
Tired of the hassle playing amateur landlord.
Trying to figure out a way to get around paying the capital gains taxes, which could be huge.
Should be interesting.
They promise they would still be our friends, once they’re rich and famous.

#9 Felix on 11.18.21 at 5:31 pm

“Yikes! That’s $1,620 for every foot of a place barely big enough to swing a wet feline in (they dry faster that way).”

Yet more despicable anti-feline RACISM – not to mention promoting vicious animal cruelty!

Meanwhile, dogs continue to defecate on all your neighbour’s lawns, plus attempt to murder your children because their owners are such idiots:

https://www.theglobeandmail.com/opinion/article-unless-we-find-a-way-to-ban-terrible-dog-owners-banning-pit-bulls-is/

#10 TurnerNation on 11.18.21 at 5:34 pm

— Control over our Feeding. Check.
In mid-2019 entire transit vehicles and subway station in Toronto were wrapped completely with ‘Go Vegan’ messages and ads. No sponsor was listed. They were prepping us for the New System

https://www.zerohedge.com/political/its-begun-get-ready-pay-much-higher-prices-meat-now
“The era of cheap meat is over. For those that are carnivores, that is really bad news. For decades, Americans have been able to count on the fact that there would always be mountains of very inexpensive meat at the local grocery store, but now those days are gone and they aren’t coming back. ”

——–
— Almost back to normal. Keep doing what you are doing. 3rd. 4th. 5th! In one year. Or stop testing the healthy people. Whatever. This is the #reset.

.Austrian COVID-19 cases keep rising as provinces prepare full lockdown (reuters.com)

.Salzburg is poised to impose a general lockdown as Covid spreads in Austria (nytimes.com)


— Control over our Movements/Travel. Our global rulers want us Huddled around candles. Energy poverty.

https://news.sky.com/story/four-more-energy-firms-collapse-taking-total-number-failing-during-crisis-to-18-12458114
“Four more energy suppliers in the UK have collapsed amid the crisis enveloping the sector as a result of surging wholesale gas prices.
Omni Energy, MA Energy Limited, Zebra Power and Ampoweruk served a total of 21,400 domestic and 2,300 non-domestic customers.”

#11 Prep Time! on 11.18.21 at 5:40 pm

This was a headline this morning but I see they have buried it now:

https://calgary.citynews.ca/video/2021/11/17/more-strain-on-supply-for-calgary-stores/

If a run on grocery stores is coming, why not start it now? And they say they only report the news, they don’t manufacture it.

Anyway, it doesn’t really what starts it, like so many things once it is underway that is the reality you must deal with.

However I don’t recommend stocking up on lettuce and gourds. I also don’t recommend hording. Limit 2 per customer. If you take it all the neighbors will just come knocking anyway. Let them pay for their own supplies.

#12 cuke and tomato picker on 11.18.21 at 5:44 pm

Wow 396sq ft I would like to see the floor plan and where it is for $641,000.00.

#13 Dolce Vita on 11.18.21 at 5:45 pm

Off topic Doc Garth.

Robert Kennedy Jr (anti-vax) came to Milano for Green Pass protest as a speaker this past weekend and simultaneous protests in other Italian cities (I was in Napoli then hoping to see some anti-vax action, 400 of them in all).

Italian MSM from dismissive to trying so hard to be balanced by wry Italian humour could not resist.

“Il Tempo” shows Kennedy in a Sieg Heil moment, only photo, very short article:

https://i.imgur.com/76B2HWQ.png

“Sky tg24” tried to be fair and balanced but…

Kennedy Milan tourism background photo of Sforzesco Castle:

https://i.imgur.com/Beq5wMz.png

Americane groupies up front (Milano is the fashion capital of the World and I can assure you Milanese would not be caught dead dressed like that with a Kennedy meters from them) – wry Italian humour:

https://i.imgur.com/E5FSnsh.png

Iwo Jima:

https://i.imgur.com/sktSyQH.png

And Kennedy’s loyal supporters at Circus Maximus, Rome that day:

https://i.imgur.com/9iOlumm.png

“Liberta per i nostri fratelli” or “Freedom for our brothers” – reads great unless you are Italian knowing fully well that an election moniker of Forza Nuova (Fascists). Popular party in Italia, 41,077 votes last election or 0.15%.

So, did Kennedy and his Fascist supporters sway the hearts and minds of Italia? 5 hr ago, Covid Measure checks by Il Viminale:

https://twitter.com/Viminale/status/1461384948645085184

The People compliance = 99.9%
Business compliance = 99.8%

Kennedy should have headed north to Austria lockdown novaxers, Deutschland 3G or farther afield to Singapore no vax, get sick, you pay which all make Italia look like a Bastion of Covid democracy.

#14 Mark Mywords on 11.18.21 at 5:54 pm

#2 atlast on 11.18.21 at 5:16 pm

first finally

___________________________________________

The only thing you are first at is being second!

Once a loser; always a loser… but take solace in knowing that you are #2!

#15 Sail Away on 11.18.21 at 6:01 pm

Prepping? Get a 50lb bag of dried beans, a 50lb bag of rice and 1lb of salt.

That’ll get you to March. And keep you regular.

#16 Sheesh on 11.18.21 at 6:14 pm

@Richardto
“Well, maybe if obesity was contagious.”

Notice how families generally share the same body weight and dimensions, and fat couples never consist of hugely disparate partners… You appear to be wrong.

You appear not to understand what contagious means. Several people that I work closely with are obese. Am I worried about catching a case of the fats from them? No, I am not. Nice try, though.

#17 habitt on 11.18.21 at 6:19 pm

More spot on reasoning. Thanks Mr. Turner.

#18 Faron on 11.18.21 at 6:22 pm

#150 Sail Away on 11.18.21 at 5:45 pm
#144 Faron on 11.18.21 at 4:36 pm

Oh, okay, I’ll fix it:

This is the stupid argument that Sail Away burbled titteringly typed out in tempestuous triumph some months ago…

Or did you forget that you called a win when the infection rate in Canada ever so briefly exceeded that of the US? For like 10 days. While the death rate never fell below something like triple that of Canada’s? Facts, ya’know?

#19 BillyBob on 11.18.21 at 6:25 pm

#3 Ponzius Pilatus on 11.18.21 at 5:16 pm
#136 Billy Bob
What are you talking about? Covid isn’t nearly over in Canada, and I’m quite happy to have the unvaccinated locked down. Pro-science and all that. Not sure that Czechs would be quite as docile about it as Austrians or Canadians though.
—————————-
Let’s just talk facts here, shall we.
During the last 3 days, BC reported cases in the 320 to 340 range.
Czeck Rep has twice the population of BC.
And they are reporting over 22k cases per day! A Whopper!
Not even on the same planet.

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

Errm…respectfully…so what? Your whole comment is a utter non sequitur.

You claimed that Covid is practically over in Canada. Sorry, it isn’t. So far Canada has lagged the EU in numbers every wave. Settle in.

Meanwhile I continue to cross borders and travel with ease. Why would I care about stats?

#20 Ballingsford on 11.18.21 at 6:33 pm

Must be a short leash on that wet cat. 396 sq ft isn’t room enough for a dog to chase it’s tail.

#21 Dolce Vita on 11.18.21 at 6:35 pm

#3 Ponzius Pilatus, #136 Billy Bob

It’s getting bad here in Europa people.

Was in Roma and Napoli the past 5 days and talked to a lot of scared Euro tourists from Ireland, Slovenia, Germany, France, Netherlands, etc. Most came to Italia to escape their country woes, even if for just a few days.

Europa new cases:

https://i.imgur.com/o7UmtnI.png

And a lot of them, including Canada & the USA are doing little or no testing (thus cases probably worse than are being reported “Don’t test, don’t count”):

https://i.imgur.com/7W66uQh.png

You’ve been cocky every Wave Canada to no avail (cocky a good thing in the face of adversity). You have yet to escape a European Wave. This the 4th.

You’ll have plenty to talk about for Canada soon enough. Winter coming. Little or no testing. You’ve opened up your borders to tourism. Far too many freedom loving, loose gun on deck, no vax whack jobs in your midst.

Winter of Discontent.

[if it were not bad enough already with the situation in poor BC – hope it gets better there for them like yesterday]

#22 Faron on 11.18.21 at 6:38 pm

#147 Dr V on 11.18.21 at 4:53 pm

132/134 faron – Thanks!

The ‘hat will be fine but the coca-cola is f…..d.

Yeah boy. Whole river channels realigned. Saw some footage of a back-hoe shoring up one of the cut banks that had gobbled some stretch of the highway. Reminded me of the one trying to “free” the Evergreen cargo ship in the Suez earlier this year. Laughable.

With the Malahat, it’s the last thing I want, but I think it’s only a matter of time before a public road is opened through the Sooke Hills. There’s a practicable route, there are many road-beds. The Malahat may be perma-gone when the big temblor comes.

#23 Dave on 11.18.21 at 6:39 pm

What is ‘vax recovery’?

#24 Leichendiener on 11.18.21 at 6:41 pm

#14 Second is the first loser.

#25 Faron on 11.18.21 at 6:45 pm

#3 Ponzius Pilatus on 11.18.21 at 5:16 pm
#136 Billy Bob

I’m pretty sure BillyBob’s blind, turgid member of Czechian pride is immune to un-patriotic facts such as those. I hear he will soon be celebrating “zombie struggle for sustenance day” — moaning and staggering through the streets of Praha, fighting for his right to the brains he has been denied for oh-so-long by his woke-ist overloards.

Shoot, now I’m going to have to go listen to Thriller. LOL

#26 the Jaguar on 11.18.21 at 6:47 pm

@#15 Sail Away on 11.18.21 at 6:01 pm
Prepping? Get a 50lb bag of dried beans, a 50lb bag of rice and 1lb of salt.
That’ll get you to March. And keep you regular. +++

Sail Away is always up to every challenge. There is a fun character in the National Car Rental Ads who reminds me of Sail Away. Here are two clips:

https://www.ispot.tv/ad/wKnQ/national-car-rental-smooth-operator-featuring-patrick-warburton

https://www.ispot.tv/ad/dpHH/national-car-rental-weve-got-it-covered-feat-patrick-warburton

Don’t ever change Sail Away. We love you just the way you are…

#27 Ponzius Pilatus on 11.18.21 at 7:01 pm

#12 cuke and tomato picker on 11.18.21 at 5:44 pm
Wow 396sq ft I would like to see the floor plan and where it is for $641,000.00.
—————
I owned a bachelor suite in Downtown Vancouver.
About 400 sq.
Paid 120k. Rented it out to Students.
30 years ago.
Lived there myself for 6 months.
10 minutes walk to work. all amenities.
If I were by myself, I’d go for it again.
Easy life.

#28 Stephladimir Harputin on 11.18.21 at 7:06 pm

Geez Turner, you don’t even post until 4:30 today, and now you’re already taking a dinner break.

Unionized government slacker?

No wonder I had to get rid of you.

That’s my MFU for today.

#29 I'mshort_corpdebt on 11.18.21 at 7:16 pm

@#10 TN – how many energy suppliers/resellers failed in Alberta by 2016? Just look up the juniors and you will see the carnage.

#30 IHCTD9 on 11.18.21 at 7:17 pm

#133 Not Fooled on 11.18.21 at 1:59 pm

Cats are disease vectors with filthy mouths. Their bites uniformly become infected. You don’t see their crap because they buried it in the neighbour’s flower bed. Keep the filthy little bird murderers indoors.

https://www.cbc.ca/news/canada/british-columbia/cats-spread-deadly-parasite-1.6244761
———-

Ah yes, “cat scratch fever” et al. Toxoplasmosis is nothing new, at least to anyone who has been/lived with a pregnant Woman. Must have been a slow news day at the CBC, lots of “can’s”, “potentially’s”, and “likely’s” employed in that article. The bacteria is in the feces, and you know what cats do with theirs. Virtually zero risk.

Say, would you rather live with a bunch of Cats with a near zero potential for toxoplasma infection, or with a Rat infestation? Rats have a colourful history when it comes to disease no? Rats just don’t get to reproduce much when there’s a cat around. A cat will have a rat dead and gone in under a minute, most breeds of dogs will run around and make a shitload of noise until you dispatch the thing yourself. A cat is all business, all the time. Doesn’t take shit from anything. Including you. Respect.

If cats are killing billions of birds, then they must be killing quadrillions of small rodents. A job well done IMHO. The best thing about a Cat is how good they are at killing things that invade human spaces. There’s no better house pet on this front. No conditions required, if something small and furry scurries by, it’s as good as dead. They don’t need a reason.

#31 crowdedelevatorfartz on 11.18.21 at 7:24 pm

@#27 Ponzies Patrimonial Paradigm

“If I were by myself, I’d go for it again.
Easy life.”

+++

Wishful thinking Ponzie?

#32 crowdedelevatorfartz on 11.18.21 at 7:31 pm

@#22 Faron
“With the Malahat, it’s the last thing I want, but I think it’s only a matter of time before a public road is opened through the Sooke Hills. There’s a practicable route, there are many road-beds. The Malahat may be perma-gone when the big temblor comes.”

++++

The powers that be only start looking at spending billions for new routes when they, themselves, are inconvenienced.

Thats why we Lower Brainlanders have been waiting 30 years for an upgraded or replaced Massey Tunnel.

#33 BIG LEAFS FAN on 11.18.21 at 7:35 pm

Schnauzers are the best!

#34 Almighty on 11.18.21 at 7:47 pm

#2 atlast on 11.18.21 at 5:16 pm
first finally

Those who post “first” shall be last in the kingdom of heaven.

#35 Shawn on 11.18.21 at 7:47 pm

My Investors Group guy said to myself and wife’s face with a straight face back in 1999 that we would run out of money by the time we retired or with in a few years. We had to go all in equities and real estate. The same old mantra, taxes and inflation would make us run out of money.

He said we could not keep saving in our Ontario savings bonds and GICs, term deposits. He was really wrong. We had a fully paid house back in 1999 and $400,000 plus no debts with 2 kids to raise. Now, we have $1.8 million and a house worth $900,000 and still now no debts. We just keep buying our 5 to 10 year GIC’s, term deposits, Ontario Savings bonds mature until 2028 and keep going ahead. We average our 5.69% per year interest rate after compounding interest into effect since 1999.

The problem today is people waste alot of money on their cost of living on crap and people that they do not need to. Saving aggressively and maximizing RRSPs, TFSAs, RESPs, reinvesting RRSP tax refunds and splitting income and keeping debt to $0 and paying interest to a real minimum is the key to get ahead. We only paid $40,000 or $20,000 each of us in total interest and service charges, bank fees in our entire life. Most Canadians pay on average each in their entire lifetime $375,000 in total interest and service charges, bank fees.

#36 Nonplused on 11.18.21 at 8:01 pm

#15 Sail Away on 11.18.21 at 6:01 pm

Prepping? Get a 50lb bag of dried beans, a 50lb bag of rice and 1lb of salt.

That’ll get you to March. And keep you regular.

—————————————–

That assumes you have water and reliable cooking. I’d say 40 of those 1 lb propane bottles for your Colman camping stove should do it, or 2 – 20 lb bottles and a converter hose. Propane that has been burned in the stove cannot also be used for the generator, so double up.

I prefer prepping in style, so things I like anyway like cans of Stagg chili or chunky soup. In addition to tasting better, it isn’t as hard on the propane to heat up a can of something as it is to boil beans for a whole day. Dried beans and rice are definitely cheaper but the money is no good anyway so get rid of it.

And water. Have a plan for water.

#37 Nonplused on 11.18.21 at 8:06 pm

#20 Ballingsford on 11.18.21 at 6:33 pm
Must be a short leash on that wet cat. 396 sq ft isn’t room enough for a dog to chase it’s tail.

——————————————

My camping trailer is 300 sqft with the slide out, and it is not a large camping trailer (28 foot 5th so tows 24). And it was only $32,000 but that was before the big RV bonanza of 2020. I should have sold it since all the campgrounds were full.

#38 Wrk.dover on 11.18.21 at 8:23 pm

Brainstorm! Lets drain a lake in a river valley that has a ginormous upstream catchment area, to create farmland, and then later on park millions of dollars worth of RV’s on a random acre in the middle of it.

Who needs flood insurance when you can get fire insurance at a lower price?

I sympathize resident farmers that didn’t understand the risk to buildings after all of these consecutive lucky years, but commercial zoning in an agricultural flood plain? Come on.

I suppose they too will call DR Garth re: a tax break because of this fiasco.

#39 Nonplused on 11.18.21 at 8:27 pm

#30 IHCTD9 on 11.18.21 at 7:17 pm

If cats are killing billions of birds, then they must be killing quadrillions of small rodents. A job well done IMHO. The best thing about a Cat is how good they are at killing things that invade human spaces. There’s no better house pet on this front. No conditions required, if something small and furry scurries by, it’s as good as dead. They don’t need a reason.

—————————————

I’m not sure how this came up but anyway birds and cats have lived in harmony, er, or should I say balance, for a very long time. It’s the pesticides killing the bugs which is killing the birds. And pinwheels.

We don’t have rats in Alberta because there’s an app for that but if you need some de-mousing done nothing beats a cat. We had one that was killing up to 3 a day in the spring. Unfortunately an owl got it. Evil cat eating owl. Something should be done about the menace that is large birds. Besides pinwheels, although that is a start.

#40 crowdedelevatorfartz on 11.18.21 at 8:29 pm

@#30 IHCTD9
“The best thing about a Cat is how good they are at killing things that invade human spaces. There’s no better house pet on this front. No conditions required, if something small and furry scurries by, it’s as good as dead. They don’t need a reason.”

+++

One can assume….you own a cat?

#41 Sail Away on 11.18.21 at 8:29 pm

#36 Nonplused on 11.18.21 at 8:01 pm
#15 Sail Away on 11.18.21 at 6:01 pm

Prepping? Get a 50lb bag of dried beans, a 50lb bag of rice and 1lb of salt.

That’ll get you to March. And keep you regular.

——–

That assumes you have water and reliable cooking. I’d say 40 of those 1 lb propane bottles for your Colman camping stove should do it, or 2 – 20 lb bottles and a converter hose. Propane that has been burned in the stove cannot also be used for the generator, so double up.

I prefer prepping in style, so things I like anyway like cans of Stagg chili or chunky soup. In addition to tasting better, it isn’t as hard on the propane to heat up a can of something as it is to boil beans for a whole day. Dried beans and rice are definitely cheaper but the money is no good anyway so get rid of it.

And water. Have a plan for water.

——–

A pot on a woodstove or pressure cooker is efficient.

When hiking in New Zealand, we noticed the regular use of coal in their hiking huts, so we now do that with our woodstove, since Nanaimo has many big coal deposits. Works great. Way better than wood. Everyone should burn coal.

#42 Wrk.dover on 11.18.21 at 8:30 pm

#36 Nonplused on 11.18.21 at 8:01 pm
#15 Sail Away on 11.18.21 at 6:01 pm
I’d say 40 of those 1 lb propane bottles for your Colman camping stove should do it
_______________________
That shrewd dude can cook with solar or by rubbing sticks together! Or by recycling the bean methane.

#43 Faron on 11.18.21 at 8:50 pm

#36 Nonplused on 11.18.21 at 8:01 pm

#15 Sail Away on 11.18.21 at 6:01 pm

“boil beans for a whole day”

Remind me to decline any invitations for beans at your place.

“And water. Have a plan for water.”

Probably not going to be a problem in SWern BC for the next 8 months.

#44 Albertaguy in AB on 11.18.21 at 8:52 pm

Oh great, here come the prepers. Squirrel stew recipe time!

#45 Faron on 11.18.21 at 8:57 pm

#38 Wrk.dover on 11.18.21 at 8:23 pm

Brainstorm! Lets drain a lake in a river valley that has a ginormous upstream catchment area, to create farmland,

There are a lot of Dutch names in the Fraser Valley, the Lindon area and down to the Skagit in Washington. Seems they saw the flat lowlands near the sea and it reminded them of home. A dike here, a dike there a couple of polders and there was no looking back. Tulips galore too.

They just come up shy on the infrastructure from time to time.

Perhaps my Dutch ancestors foresaw the problems when they chose to settle in Edmonton where the river is in a nice, deep valley.

#46 Faron on 11.18.21 at 8:59 pm

#32 crowdedelevatorfartz on 11.18.21 at 7:31 pm

@#22 Faron

Massey Tunnel.

Needed, for sure. But that’s a tricky bugger. Depth to any kind of solid footing for a bridge is huge. Just wobbly sediments for many hundreds of feet.

#47 IVoteIndependent on 11.18.21 at 9:00 pm

B&D 60/40 is a solid plan. But what if Matt’s question was phrased a little differently? What if he looked at his entire financial situation together as a whole, and proposed to count the current value of the golden DB pension as part of the 40% safe stuff (if the national treasury isn’t safe, then we have bigger problems to worry about). Then he can add as much safe stuff as necessary to investments outside the DB plan to hit a total of 40% of his overall portfolio. And then the rest to rocket fuel. Doesn’t that meet both the asset class and psychological requirements?

#48 IVoteIndependent on 11.18.21 at 9:04 pm

In fact, if Matt does 60/40 outside the DB plan, when one considers his whole portfolio it will be way overweight in safe stuff…

Almost half the 40% is made up of preferreds which provide a tax-efficient and generous dividend and rise in capital value with interest rates. What’s not to love? – Garth

#49 BillyBob on 11.18.21 at 9:17 pm

25 Faron on 11.18.21 at 6:45 pm
#3 Ponzius Pilatus on 11.18.21 at 5:16 pm
#136 Billy Bob

I’m pretty sure BillyBob’s blind, turgid member of Czechian pride is immune to un-patriotic facts such as those. I hear he will soon be celebrating “zombie struggle for sustenance day” — moaning and staggering through the streets of Praha, fighting for his right to the brains he has been denied for oh-so-long by his woke-ist overloards.

Shoot, now I’m going to have to go listen to Thriller. LOL

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

Nothing like referencing a molester’s masterpiece in service of some sparkling repartee, eh Faron? lol

But seriously, what’s with the regular phallic references? I might expect such things, like crude drawings, from teenage boys. But from a grown man I must ask: is there something you wish to unburden yourself with to the comments section?

This a safe space. We’re here for you. :-)

#50 Home buyers upping bid price BEWARE on 11.18.21 at 9:18 pm

True story. From seller’s side: One open house weekend for >10yr old place. Next day, 3 offers submitted. All under ask by 20-50k. After Buyer 1 learned there were 2 other offers, upped their bid by >40k, past asking price by >20k.

Unbeknownst to Buyer 1: their original bid was already the highest of the 3! They would’ve been counter offered and could’ve bought for ~35k less than what they will pay. 35k is a lot of $$$$$! It’ll cost them ~$750 more property transfer tax, and more importantly, ~15k more interest over a 30 year amortization (assume 20% down, 3% throughout).

Did this buyer know that 5 blocks west there was a comparable sized place, same asking price, BRAND NEW???

How would this deal have gone if blind bidding were eliminated? Would Buyer 1 have upped their bid at all or by that much? Would all the buyers have just kept outbidding each other and driven the price up beyond even what this buyer will pay? Which way is better, blind bidding or not?

#51 Stone on 11.18.21 at 9:49 pm

#47 IVoteIndependent on 11.18.21 at 9:00 pm
B&D 60/40 is a solid plan. But what if Matt’s question was phrased a little differently? What if he looked at his entire financial situation together as a whole, and proposed to count the current value of the golden DB pension as part of the 40% safe stuff (if the national treasury isn’t safe, then we have bigger problems to worry about). Then he can add as much safe stuff as necessary to investments outside the DB plan to hit a total of 40% of his overall portfolio. And then the rest to rocket fuel. Doesn’t that meet both the asset class and psychological requirements?

———

I get the feeling that you don’t understand the concept of rebalancing. A DB pension will not help anyone when they need to rebalance their investment portfolio during a market downturn.

I’d love for someone to explain the counter-logic to what I’ve indicated above.

#52 crowdedelevatorfartz on 11.18.21 at 10:04 pm

I just watched a Trudeau presser on Global tv
Freeland in the back ground.

I’m just curious.
Does she drink 15 cups of coffee or cans of Coke a day?
While the constant head nodding to everything Trudeau said was to be expected….
Never stopped fidgeting, looking around, nodding her head, checking her watch, brushing her hair, or permutations of all types.

Non stop.

#53 IHCTD9 on 11.18.21 at 10:15 pm

#40 crowdedelevatorfartz on 11.18.21 at 8:29 pm
@#30 IHCTD9
“The best thing about a Cat is how good they are at killing things that invade human spaces. There’s no better house pet on this front. No conditions required, if something small and furry scurries by, it’s as good as dead. They don’t need a reason.”

+++

One can assume….you own a cat?
——-

That’d be a good bet :)

#54 Faron on 11.18.21 at 10:23 pm

#49 BillyBob on 11.18.21 at 9:17 pm

I’m intrigued by your profoundly insightful comment. Please find evidence and present it so we can all judge fairly.

#55 Vlad on 11.18.21 at 10:26 pm

To Shawn there, I am a single guy immigrated from Romaina and now here at 29 years old and have been working 8 years now full time. I don’t have time and money to lose. I did manage to save up to $71,000 in my TFSA GIC’s and $88,000 in RRSP GIC’s the last 9 years with catchup TFSA room and contributions. I work 6 days a week, 50 hours a week making minimum wage and renting a 800 square foot apartment in Pickering and driving a used 6 year old Toyota.

My goal really is to replace 8 years of all of my current my gross income by the time I am 40, 16 years of my gross income by 50 and replace 25 to 30 years of my gross income by 60 to 65. I am currently 4 years of replacement gross income right now.

#56 april on 11.18.21 at 11:03 pm

#42 – she must have been talking to someone otherwise it does look odd.

#57 april on 11.18.21 at 11:04 pm

Correction: re 42…should be 52.

#58 april on 11.18.21 at 11:09 pm

correction: #56 comment refers to #52

#59 IHCTD9 on 11.18.21 at 11:31 pm

#50 Home buyers upping bid price BEWARE on 11.18.21 at 9:18 pm

How would this deal have gone if blind bidding were eliminated? Would Buyer 1 have upped their bid at all or by that much? Would all the buyers have just kept outbidding each other and driven the price up beyond even what this buyer will pay? Which way is better, blind bidding or not?
———

I think it’d be just as bad. I’ve watched used equipment go at open auctions for more than new price. Any kind of auction is designed to get max dollars. At an equipment auction there is enough bs to get in the door that you feel not walking out with something is a waste. The “just a little bit more” factor is at play. The egos are stoked via open competition.

Any kind of auction sucks, that’s the long and short of it. They’ve had years to tweak the conditions and work human nature to get the price up, and when they’re selling a single item in huge demand to a flock of thirsty, inexperienced buyers, it’s lambs to the slaughter. They won’t know what hit ‘em till later.

#60 DON on 11.18.21 at 11:33 pm

Personal Responsibility needs to be reintroduced be it financial, adverse weather event, etc.

When they say a storm is coming…maybe limit to your essential travel. Stupid inconsiderate people put others in harms way. Someone has to save the idiots so they can swarm the gas stations to ensure they can travel to the mall in the next storm. Then blame the governments for not warning them exactly where the landslides would take place…

FFS…Blank stare.

Me thinks its time to look into the rushed (Expo 86) construction of the coca cola highway. That bridge collapse where’s the reinforcement big rocks etc.

#61 IHCTD9 on 11.18.21 at 11:54 pm

#55 Vlad on 11.18.21 at 10:26 pm
To Shawn there, I am a single guy immigrated from Romaina and now here at 29 years old and have been working 8 years now full time. I don’t have time and money to lose. I did manage to save up to $71,000 in my TFSA GIC’s and $88,000 in RRSP GIC’s the last 9 years with catchup TFSA room and contributions. I work 6 days a week, 50 hours a week making minimum wage and renting a 800 square foot apartment in Pickering and driving a used 6 year old Toyota.
——-

Looks like you’re off to a great start, but I’d still lose those GIC’s. Shawn already had 400K back in 99 when rates were 5-6%. You’re here in 2021 with 159K and sub 2% returns. Shawn must have piled in a lot of cash also – to go from 400K to 1.8M in those particular 22 years because rates have only gone down since 99.

You’re not going to do what Shawn did with GIC’s. You’re earning under half the official inflation rate. A B+D will have you surfing the highs and lows, but you get used to it. It’s the nature of the beast. A good 60/40 setup will more than triple your returns.

#62 BillyBob on 11.18.21 at 11:56 pm

#54 Faron on 11.18.21 at 10:23 pm
#49 BillyBob on 11.18.21 at 9:17 pm

I’m intrigued by your profoundly insightful comment. Please find evidence and present it so we can all judge fairly.

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

hahaha Awwww…now you’re shy. No need! You can come right out and continue to speak freely about “turgid members”, “sucking eggplants” and the like all you want, this is 2021! No one is fooled and no one will judge.

Sure hope you were smart enough to buy a Tesla, or more appropriately to your income level maybe a Leaf. Looking a little short of gasoline there in Victoria these days.

https://www.vicnews.com/news/gas-tankers-getting-escort-over-malahat-to-greater-victoria/

Ahhhh…liberal Victoria. All cozy rhetoric when the living is easy, but the second things get scarce, it’s every man and womyn for themselves.

Fossil fuels getting an escort while no other traffic allowed to move. lol

If anything neatly illustrates the folly of green ideology without regard for reality, this is a nice example. One whiff of not being able to drive their ICE vehicles and any opposition melts like…wet cardboard.

#63 IHCTD9 on 11.19.21 at 12:22 am

#44 Albertaguy in AB on 11.18.21 at 8:52 pm
Oh great, here come the prepers. Squirrel stew recipe time!
——-

I’ve followed the prepping movement since its mainstream debut after the GFC. It has matured from crazy doomsday lunatics to practical well conceived preps for real world potentials and has become an industry. Everything from power outages to social unrest with plenty of thought given to climate change impacts.

I have to say, these days they are more right than wrong. Just look at what’s been going on over the last 13 years. A global pandemic? That would be a joke 20 years ago. Social unrest aplenty in North America. Stores getting cleaned out, regular riots and looting, increasing polarization, extreme violent activism, and totally useless Trudeau-style governments.

It used to be entertainment, but now it’s starting to make some sense.

#64 Sail Away on 11.19.21 at 12:28 am

#30 IHCTD9

The best thing about a Cat is how good they are at killing things that invade human spaces. There’s no better house pet on this front. No conditions required, if something small and furry scurries by, it’s as good as dead.

———

When our dogs see something small and furry scurry outside in THEIR YARD, they carve a permanent toenail sculpture in the maple floor. So endearing.

#65 Miss Boomer on 11.19.21 at 12:47 am

Expropriation , the word uttered by the BC NDP should have sent shudders down your spine when the Transportation Minister puked out those ugly thought. He was crying when he said it. ” It’s not my fault” he said.

” It’s a Sky River….climate change”. Never mind this happened many times before. We used to call it Jet Stream and La Nina bringing the Pineapple Express from the South Pacific. But now, it’s a mysterious River in the Sky caused by flatulent cattle. Will we ever refer to regular November rains as ‘winter’ again?

The facts are ugly. The flood controls were left to rot, forgotten about by the government guys. When the main pump blew the water rushed in. The landslides are coincidental. They also happen fairly often.

But now, even before it was decided to allow the Cold Water River to reestablish itself down the main street of Merritt, the Minister defaults to the communist playbook….expropriation. That’s right up there with eminent domain. The two dirtiest ideas in the NDP lexicon…legalized theft.

Old time bad guy , loved by all, Wacky Bennet, called it right. “The NDP couldn’t operate a lemonade stand”. And when the left fringe in Canada is exposed to the big stuff, that smear bubbles up to haunt them .

Big Joe snubbed Mr Socks today on the EV subsidy which unchecked will wipe out Canadian Auto in a decade. Fearless Freeland jumped in after hours, because she had to do something after Justin left Joe hanging during the photo op handshake. It was a disaster.

Justin was craning his neck 360 , looking for his close up, when Joe thrust his hand out and Justin’s handlers had to snap to attention. It was a furious loss if face. But he’s used to that . AMLO answered Justin’s one question in Spanish. Oh oh …are we getting it from Mexico as well?

What the heck is going on in this leaderless country? I feel sorry for the dairy farmers who’ve lost everything. I’m already seeing hording on milk. A gallon from Washington will be priced like Alaska, guaranteed. Quebec is safe, thank God. But why did the Washington and Oregon farmers get a 48 advance notice when the NDP didn’t make a move until it was too late?

Sorry to the supporters of the Liberal/NDP but your team really dropped the ball.

#66 Ponzius Pilatus on 11.19.21 at 1:55 am

15 Sail Away on 11.18.21 at 6:01 pm
Prepping? Get a 50lb bag of dried beans, a 50lb bag of rice and 1lb of salt.

That’ll get you to March. And keep you regular.
———————
Better make it brown rice.
Otherwise you could get Beri-Beri, and/or buck teeth.

#67 Ponzius Pilatus on 11.19.21 at 2:06 am

#46 Faron on 11.18.21 at 8:59 pm
#32 crowdedelevatorfartz on 11.18.21 at 7:31 pm

@#22 Faron

Massey Tunnel.

Needed, for sure. But that’s a tricky bugger. Depth to any kind of solid footing for a bridge is huge. Just wobbly sediments for many hundreds of feet.
———————
Not needed.
My wife carpools and takes the tunnel everyday.
HOV lane.
Also lots of very comfortable and clean buses now from White Rock, Delta and the Ferry.
In any case, I will take at least 8 years, by that time the single occupancy dinos will be gone.

#68 Ponzius Pilatus on 11.19.21 at 2:11 am

#31 crowdedelevatorfartz on 11.18.21 at 7:24 pm
@#27 Ponzies Patrimonial Paradigm

“If I were by myself, I’d go for it again.
Easy life.”

+++

Wishful thinking Ponzie?
———————
On second thought, the Jolly Taxpayer Pub is no longer.
But then again, Steamworks is quite nice.
Well, you never know what the future holds.

#69 Dr V on 11.19.21 at 2:25 am

38 wrk.dover – not sure how the property is zoned, but if i have the right place it is in the Agricultural land reserve on the other side of the trans-canada (near the
base of Sumas mtn) from the Sumas prairie. You would require a permit from the land commission.

Google earth shows it as cultivated back about 2010, but in recent images it looks to be surfaced and
streetview shows the RVs. Also I see it referred to as a
“holding” area.

You can see the RVs in the shaded area of the ALR mapping tool.

Now the interesting part. From streetview, the property is actually noticeably higher than the frontage road.

#70 Jane Finch on 11.19.21 at 4:16 am

Canada is failing, our flag is a political pawn, our nation is denounced by it’s leader as having no national character, ad a “post national entity”. But that not what’s happening in Quebec.

TSN: Quebec premier to announce plan to increase Quebec-born NHL players.
https://www.tsn.ca/quebec-premier-set-to-announce-plan-to-increase-number-of-quebec-born-nhl-players-1.1722805

Trudeau is adamant that he is a Quebecer. He repeats this over and over again. But I have never heard him say a good thing about Canada. Is Trudeau right guy to have as leader of Canada? Or is Canada gone as Trudeau has stated?

Does anyone have a better explanation than the obvious? Why is Quebec a nation and Canada is not? What is the Liberal Party rational on this. For the life of me I do not understand how Quebec and 52 seats in the GTA can rule Canada when they have no interest in Canadian affairs.

#71 Club Lunar on 11.19.21 at 4:27 am

I’m intrigued by your profoundly insightful comment. Please find evidence and present it so we can all judge fairly.

#72 Under the radar on 11.19.21 at 5:20 am

my neighbors cat only eats what she kills. There is a lesson to be learned .

#73 Wrk.dover on 11.19.21 at 7:28 am

#69 Dr V on 11.19.21 at 2:25 am
Now the interesting part. From streetview, the property is actually noticeably higher than the frontage road.
______________________________

Oh, I’m sure to be biased in my point about the particular RV lot fiasco, but I can easily guess that there must be subdivisions and downtown cores somewhere within the confines of that agricultural flood plane.

I drove down the hill to Hope directly to the N Van Nanaimo ferry, then weeks later via the Victoria boat, we drove from Ladner to the border, back in 1987 (which was enough for me) so I have no specific lower brainland knowledge. (does black smog still linger over the city in September though?)

It is pretty hard to turn down zoning variance requests while in search of the almighty municipal tax bucks anywhere, although on flood plane, that will be a death sentence for some dupe at a later date.

You can see 10% of Canada’s class A farmland from the CN tower. Some of it is zoned otherwise, as a classic example of zoning gone wild.

#74 Wrk.dover on 11.19.21 at 7:46 am

I knew an old widow in Saskatoon with bird feeders in the fenced backyard. There was a live trap with tuna under the bush by the door. When she whispered “kitty kitty”, if the bush responded with a mew, her BIL would slow rinse the cage in his rural pond after dark that night.

The unbalance of nature. Wild song birds live through hellish elements, while pampered cats snooze by the fire, then move outdoors after the storm to hobby hunt.

#75 crowdedelevatorfartz on 11.19.21 at 8:15 am

@#66 & 68 Ponzie’s Pair

“Beri Beri disease”

+++

About 10 years ago I met a British prisoner of war captured by the Japanese at a Nov.11 ceremony.
He was in Singapore with his parents at 16 years old when war was declared and volunteered for the Brits.
Was captured about a week later. Didnt even have a uniform yet. Spent the entire war in a pow camp.
Barely survived the rice diet.
Everyone got Beri Beri.
He recalled a trip the pow’s were forced to make in a prison ship. It was torpedoed and sank. A few of them ended up floating in the water holding on to debris for over 24 hours.
2 men that had severe Beri Beri went in the water with swollen legs that looked like a Michelin man , they were in extreme pain and could barely walk, or swim…24 hrs later when they were pulled out….totally normal.
All the water retention in their legs had gone.

True story.
+++++++++

The Jolly Taxpayer.
My favorite pub for many years working down town.
The VSE stockbrokers, the bike couriers, and all the other riff raff.
Good times.

#76 crowdedelevatorfartz on 11.19.21 at 8:19 am

@#73 Wrk.dvr
“(does black smog still linger over the city in September though?)”

+++

Sadly, its year round now.
Perhaps when all the cars and big trucks are electric….that will change.
But I wont hold my breath until then.
I’ll keep wearing a mask.

#77 IHCTD9 on 11.19.21 at 9:01 am

Speaking of prepping, young Canadians should be doing some to ready themselves for the new post-Trudeau Canada. Folks just getting started out in this country have been presented with a new set of rules to play by.

The Trudeau Liberals have set youth and recent immigrants up for failure due to totally insane housing costs, berserk level debt accumulation, and hugely inflationary fiscal policies. This seals their fate both today, and in the future. Especially in the future.

To those who just showed up in the workforce in the last 5 years or so – consider your options carefully. Average incomes don’t buy much in post-Trudeau Canada. If you’ve got hopes and dreams for your life, don’t get too attached to Canada, because Trudeau has obviously not been feeling too attached to you. Despite all the hurdles already placed in between you and your dreams, the Libs aren’t even done yet. New heavy taxes are on the way to cover servicing our Trillion+ dollar Trudeau debt pile. Don’t forget rates are also going up… Carbon taxes and eco-warrior costs are also set to explode. Billions going into stuff that essentially does no good whatsoever. It probably won’t be long before average SFD’s in the GTA run 2 Mil, top marginal income tax rates rates cross 60% (into the Laffer curve danger zone), and inflation has you passing on that fresh cauliflower in favour of a can of beans – due the cost.

Kids and new immigrants: Don’t act without thinking long term. Do not make long term commitments without same. Fully understand what Trudeau has set you up for, and understand the timelines involved. If you hit 40 years old in this country with next to nothing for hard/liquid assets on a typical income you’re sunk homies. This age limit will drop as the COL ascends as the years go by. Just remember, there are no plans to fix this situation – in fact Trudeau is out there further solidifying your serfdom. Everything Trudeau has done, and is doing, is on the backs of the lower middle class. That’s probably you.

#78 Bezengy on 11.19.21 at 9:33 am

Apparently our federal government revenues are rising from 296b last year to 437b (most coming from income tax) in 4 years, this according to our own government’s calculations. Does anyone else see a problem with this? What do they know that I don’t? Since retirement the wife and I are paying a little over 10 percent overall tax rate, which translates into about $15g less cash for Justin to spend. Where is all this growth in revenue coming from?

https://www.budget.gc.ca/2021/report-rapport/anx1-en.html

#79 IHCTD9 on 11.19.21 at 9:48 am

Prepping for Old Stock Canadians.

So, err.. You don’t have to prep.

You already own a decent house that was paid off a decade + ago. You might have paid less than 2X income for it (we paid 1.37X). No doubt you’ve saved a bit of coin too, that’s what small mortgages and a low COL allows you to do. Before Trudeau showed up, a fat slice of Canadians had successfully been able to collect both hard and liquid assets on regular ho-hum incomes.

Just about every dude I know around my age has a paid off house, decent savings, 2+ nice vehicles, a few toys, 2-3 kids in University, and live comfortable low stress, low cost, financial lives. Exactly the way it should be in a properly run first world economy in the West.

So, no prep work needed for OSC’s. 20 years from now, the last of prosperity enjoying Canadians (eldest of Mils) will begin retiring. Hopefully they turbocharge immigration as no born Canuck will be having kids by then, and someone’s gotta pay my CPP/OAS/Health Care, and cover whatever disasters Ottawa has managed to create on top. I’ll move further from the GTA as required after selling my place for 800%+ tax free profit to some stark raving mad fomo snorting nimrod from Toronto.

If you’re an OSC, you have had the sweetest of environments to prosper within the confines of the Old Canada. Sockhead flayed that environment – and it will be a permanent condition from the looks of it. Hopefully the New Canada can keep up with the payments for our entitlements.

#80 Dharma Bum on 11.19.21 at 9:55 am

#70 Jane Finch

Why is Quebec a nation and Canada is not?
——————————————————————————————–

Common culture.

Common heritage.

Common cause.

Common language.

The majority of the population consists of French-Canadians, the descendants of 17th century French settlers who have resisted centuries of pressure to assimilate into Anglo society. (the canadaguide.com)

What do the rest of Canadians have in common?

Not much, if you think about it. Maybe in an outwardly fake way they do, but mostly Canadians outside of Quebec are a mishmash of cultures, heritages, ideas, nationalities, religions, creeds, etc. There is no actual cohesiveness, so we are a “nation” in theory only.

There are, however, some segments of unification. But you really only find that regionally.

Like the Newfie ex-prison guard I met at a Toronto Walmart recently said to me: “Y’know why dere’s no prejudice in Newfoundland? ‘Cause everybody’s da same!”

#81 Dharma Bum on 11.19.21 at 10:03 am

#75 crowdedelevatorfartz

All the water retention in their legs had gone.
——————————————————————————————————-

The high concentration of salt in the seawater sucked all of the water from the legs.

Water is attracted to the sodium chloride crystal because water is polar and has both a positive and a negative end. The positively charged sodium ions in the crystal attract the oxygen end of the water molecules because they are partially negative.

The first part of this statement I completely made up.

The second, I fully plagiarized.

#82 Dharma Bum on 11.19.21 at 10:18 am

#52 crowdedelevatorfartz

[Chrystia] Never stopped fidgeting, looking around, nodding her head, checking her watch, brushing her hair, or permutations of all types.
———————————————————————————————-

She’s a classic wind up toy on steroids.

https://www.youtube.com/watch?v=DAWbZJWw2P0

#83 the jaguar on 11.19.21 at 10:28 am

@ 80 Dharma Bum

Nailed it. Tribalism.

#84 IHCTD9 on 11.19.21 at 10:34 am

Ok last Prepping post, this one for OSC’s who object to the destruction of Canadian prosperity that has been brought about by the Trudeau Liberals.

I am one of these, a Conscientious Objector to the war on prosperity and the Canadian dream. Sure I vote, but that’s not enough. A better plan is to avoid paying your fair share of taxes. Pay as little as you can.

The way I see it, Trudeau is well off and running bankrupting Canadians, although the stage is only now being set. The show doesn’t start until we have to start paying for his debt orgies and BS SJW/Climate Change policies. Inflation is here now to bleed both Canadians and Ottawa both. 10 years from now when Trudeau is long gone, we will be in the thick of suffering under what was done to us since 2015. Well, the kids and new immigrants will.

So I avoid paying my fair share alongside the bullet holes Trudeau is ripping into our economy and public finances. Together, Canucks who do like me, and Trudeau himself, will bring the Federal purse to its knees. Things have already started to turn against the free spending abilities Trudeau has enjoyed over the last 6 years. I aim to make it even worse.

Why is this good? Well it ain’t, but it’s the lesser evil. The sooner Canadians get kicked in the teeth, the sooner we might get someone with a freaking brain running the show. The higher rates rise, the sooner RE may cool off. Right now we have a government actively working to make living in Canada pure hell – but many Canucks haven’t figured that out yet. When shoe-leather meets face, they’ll start cluing in – but not a moment before then.

So bring the pain on a rocket, and may the force be with you.

#85 Quintilian on 11.19.21 at 10:35 am

#77 IHCTD9:
A bit too dystopic, I don’t think it’s a good idea to let, the heavy drinking ,crowdedelevatorfartz cloud your otherwise lucid thinking.

Trudeau has less power than you think. He is not a despotic emperor who capriciously makes up the rules of the game on a whim.

Political parties in Canada are not purely ideologically drive, but rather pragmatic, and their platform is constructed carefully to get as many votes as possible.

That is why O’Toole swerved left in the middle of the campaign. The Cons would have been wiped out had he stayed the course.

Be introspective, be honest….. would the Conservatives actually, deliberately take meaningful steps to puncture the bubble?

Disclosure:
I am left leaning only because the left is less vicious; once they have their turn at society’s trough, they will then share with the weaker piglets.

#86 IHCTD9 on 11.19.21 at 10:52 am

#78 Bezengy on 11.19.21 at 9:33 am
Apparently our federal government revenues are rising from 296b last year to 437b (most coming from income tax) in 4 years, this according to our own government’s calculations. Does anyone else see a problem with this?
___

Probably an expectation due to more economic activity.

Regarding income tax, from the link:

“Because more people will be working, and earning more, income tax revenues are projected to be $11.8 billion higher in 2020-21 due to strong year-to-date results…”

11.8 Billion, what’s that… roughly 3-4 weeks worth of Trudeau spending? Not to mention it looks like a lot of folks are actually deciding to not work.

Doesn’t matter though. They expect 35 Billion more revenue per year, but they’re blowing 100’s of billions despite the massive shortfall. Why don’t they just borrow a Trillion? More has to be better, and if doesn’t matter, what’s the hold-up?

#87 ImGonnaBeSick on 11.19.21 at 10:59 am

#79 IHCTD9 on 11.19.21 at 9:48 am
#84 IHCTD9 on 11.19.21 at 10:34 am

I come for Mr. Garth’s daily blog, but I stay for IH doing these types of posts… Gold!

#88 DON on 11.19.21 at 11:16 am

One thing that seems to be lost on some.

When storms happen in BC – TREES tend to fall and the power goes out. Hard to charge any battery let alone an electric car. As more and more electric vehicles come on the market, the cost of electricity will go up, that you can bet on.

#89 BillyBob on 11.19.21 at 11:17 am

83 the jaguar on 11.19.21 at 10:28 am
@ 80 Dharma Bum

Nailed it. Tribalism.

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

Yep. It’s THE completely immutable trait of humans.

Believing it can be eradicated is the blind spot and greatest conceit of all social engineering efforts to do so.

#90 Not Fooled on 11.19.21 at 11:23 am

#30 IHCTD9 on 11.18.21 at 7:17 pm
#133 Not Fooled on 11.18.21 at 1:59 pm

Cats are disease vectors with filthy mouths. Their bites uniformly become infected. You don’t see their crap because they buried it in the neighbour’s flower bed. Keep the filthy little bird murderers indoors.

https://www.cbc.ca/news/canada/british-columbia/cats-spread-deadly-parasite-1.6244761
———-

Ah yes, “cat scratch fever” et al. Toxoplasmosis is nothing new, at least to anyone who has been/lived with a pregnant Woman. Must have been a slow news day at the CBC, lots of “can’s”, “potentially’s”, and “likely’s” employed in that article. The bacteria is in the feces, and you know what cats do with theirs. Virtually zero ….

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

I’m sure you know more than veterinarians.

https://vetmed.tamu.edu/news/pet-talk/put-a-paws-on-hunting-keep-your-cat-safe-from-rodent-carried-disease/

#91 mike from mtl on 11.19.21 at 11:25 am

#80 Dharma Bum on 11.19.21 at 9:55 am

Not much, if you think about it. Maybe in an outwardly fake way they do, but mostly Canadians outside of Quebec are a mishmash of cultures, heritages, ideas, nationalities, religions, creeds, etc. There is no actual cohesiveness, so we are a “nation” in theory only.
/////////////////////////////////////////////////////////////

Agreed.

Most “Canadians” are so smug in their wishy washy “Canadian” image of being not-American – which is of course purely superficial. Honestly the ‘culture’ 100km south is no different.

That said, how we govern politically on a federal level needs to be revisited; it is so very lopsided. Case in point the last federal election.

#92 Dr V on 11.19.21 at 11:27 am

73 Wrk.dover – the Agricultural Land Reserve was created by the first provincial NDP government in the early 70s with the intent of protecting BCs limited farmland which was disappearing into urban sprawl in the lower mainland. While there was lots of complaining at the time, no subsequent government of any political
stripe has quashed it as everyone concedes it is at least well intended. When it was created, existing uses were grandfathered, but once that use ceases, it’s a whole new process to use it for non-agricultural purposes.

The abbotsford on-line map shows it as zoned A2, but it is coloured differently, along with some surrounding parcels. Not sure what the deal is.

A major issue in urban planning is minimizing conflicts between residential use and the more obtrusive uses
of industrial and agricultural. In this case, locating a RV dealer or storage yard is basically akin to a light
industrial use. Locating it where it is makes sense for
visibility and ease of access, and minimizes the conflict.

As the parcel has transitioned from agricultural use, I believe the raised area was fill brought to the site specifically to lessen the flood risk.

#93 Satori on 11.19.21 at 11:49 am

CATS the best pet??!!!
They shed all over EVERYTHING, have smelly pooh houses and after they walk around with their pooh-feet all over the house and fish-stink your kitchen. This is where you eat and live… No Thank You. I’d rather walk a dog.

#94 Satori on 11.19.21 at 11:52 am

#2 atlast

Good luck, maybe next time. (Good to have some goals!)

#95 IHCTD9 on 11.19.21 at 12:02 pm

#85 Quintilian on 11.19.21 at 10:35 am
____

I agree that parties craft their narrative to get votes, then later they tend to pick and choose through their promises. The cons definitely would not have pricked the RE bubble, but they definitely would have not gone off the deep end with debt, nor would they be out to destroy Alberta like the Libs are either.

At the end of the day, it’s Canadians themselves who have to wise up.

These things take a long time to play out. If I compare how my finances shaped up over the last 30 years, I can state with 100% certainty that there is no way in hell my kids will ever do the same here in Canada as I did. It’s simply impossible given all the advantages I had that my kids will not. The results of Trudeau’s tenure in office will take years more to hit the stage, with worse consequences than any PM in Canadian history. I’ll likely be watching them unfold from retirement. You can take this to the bank: we’ve never, ever had such a destructive PM as Trudeau.

Trudeau is a colossal joke. Biden sure wasn’t fooled as we just found out. Canada is fading in the West, and Trudeau has 100% accelerated that trend. Mexico may have more Political clout than Canada does in 20 years. In fact, no one on the entire planet gives a rip about Trudeau outside the 30 something % of hard left Canadian voters who put this ding dong into power – who think he’s a god. Trudeau’s 3 amigos visit was an utter fail because no one gave a rip about what he had to say, not Biden, not the press, just the CBC. He’s a joke, and we will all pay.

#96 crowdedelevatorfartz on 11.19.21 at 12:17 pm

@#80 Dharma Bum

“The majority of the population consists of French-Canadians, the descendants of 17th century French settlers who have resisted centuries of pressure to assimilate into Anglo society. (the canadaguide.com)”

+++

Ahh yess.
The “distinct society”.
As a friend of mine from Thetford Mines once said to a group of Quebecois ski bums living in Whistler.

“Distinct? What’s so distinct about a province full of French rednecks that will fill the Olympic Stadium in Montreal for a Monster Truck Rally?”

#97 crowdedelevatorfartz on 11.19.21 at 12:28 pm

@#85 A Quintillian options for the PM

“Trudeau has less power than you think. He is not a despotic emperor who capriciously makes up the rules of the game on a whim.”

+++

Actually a Prime Minister has more power than a President of the US to spend taxpayer dollars.
A US president has to jump through multiple hoops to get Laws passed.
A PM just whips his caucus and the lapdogs vote the way they are told.
The unelected Canadian Senate rubber stamps it.
Done deal.

In this day and age with multi billion dollar budgets and trillion dollar debt….. it’s criminal how much power a PM has to blow through dump truck loads of cash for anything he wants.

#98 Felix on 11.19.21 at 12:40 pm

#93 Satori on 11.19.21 at 11:49 am
CATS the best pet??!!!
They shed all over EVERYTHING, have smelly pooh houses and after they walk around with their pooh-feet all over the house and fish-stink your kitchen. This is where you eat and live… No Thank You. I’d rather walk a dog.

__________________________

We know where you live, we know everything about you.

Cats are in control.

Smarten up. Show some respect for Feline Friday.

#99 Sail Away on 11.19.21 at 12:57 pm

The best prep is common sense and resistance to panic. It’s hard to know how people will react when the chips are down. This is a reason army bonds can be so strong. You know each other.

Even simple things like getting disoriented in the woods can drive some people completely ’round the bend.

Sit, think, make a plan.

#100 Stone on 11.19.21 at 1:56 pm

#80 Dharma Bum on 11.19.21 at 9:55 am
#70 Jane Finch

Why is Quebec a nation and Canada is not?
——————————————————————————————–

Common culture.

Common heritage.

Common cause.

Common language.

The majority of the population consists of French-Canadians, the descendants of 17th century French settlers who have resisted centuries of pressure to assimilate into Anglo society. (the canadaguide.com)

What do the rest of Canadians have in common?

Not much, if you think about it. Maybe in an outwardly fake way they do, but mostly Canadians outside of Quebec are a mishmash of cultures, heritages, ideas, nationalities, religions, creeds, etc. There is no actual cohesiveness, so we are a “nation” in theory only.

There are, however, some segments of unification. But you really only find that regionally.

Like the Newfie ex-prison guard I met at a Toronto Walmart recently said to me: “Y’know why dere’s no prejudice in Newfoundland? ‘Cause everybody’s da same!”

———

Completely agree. Moving to Ontario (English Canada) was great for my career and making money. Aside from that, it’s an empty husk of a shell. No soul, culture, or common cause.

Aside from the crazy lusting for an over-priced cardboard house. That might be due to a lack of intelligence though.

#101 crowdedelevatorfartz on 11.19.21 at 3:02 pm

@#100 Stoned
“Completely agree. Moving to Ontario (English Canada) was great for my career and making money. Aside from that, it’s an empty husk of a shell. No soul, culture, or common cause.”

+++

Ontario isn’t “Canada”.

I’ve LIVED in 4 Provinces and visited all the Provinces and Territories multiple times.

Quebec is like all areas visited.
Different in some ways, similar in others.

But no one has drivers like Vancouver…..
:)

#102 @Billy bob Thornton on 11.19.21 at 3:06 pm

136 Billy Bob
What are you talking about? Covid isn’t nearly over in Canada, and I’m quite happy to have the unvaccinated locked down. Pro-science and all that. Not sure that Czechs would be quite as docile about it as Austrians or Canadians though.

There’s no shortage of asymptomatic idio.ts apparently…

Billy bob… Lock yourself up dude. U are roaming free, the funny farm and nuthouse are waiting for u

#103 crowdedelevatorfartz on 11.19.21 at 3:08 pm

@#95 IHCTD9

“In fact, no one on the entire planet gives a rip about Trudeau outside the 30 something % of hard left Canadian voters who put this ding dong into power – who think he’s a god. Trudeau’s 3 amigos visit was an utter fail because no one gave a rip about what he had to say, not Biden, not the press, just the CBC. He’s a joke, and we will all pay.”

+++

Beers on me!

#104 Quintilian on 11.19.21 at 3:15 pm

Simple Summary

The liberals’ values can be represented by:
Taleeb Noormohamed
Adam Vaughan

The conservatives’ values can be represented by:
Stockwell Day
Jason Kenney

#105 Diamond Dog on 11.19.21 at 3:53 pm

Excellent financial advice Garth. If anything, 60/40 is too weighted in equities in this market but that’s my own opinion. If I was managing other people’s money, but I’m not, but if I was but I’m not and it’s not my place but I’m going to say it anyway, it’s not a golden rule and needs to be flexible according to risk but I would be pitching fixed income.

But that’s me, I’m defensive and definitely risk off as of right now until the beginning of the next earnings season or the bottom of a crash, whichever comes first.

A bit off topic, but just wanted to point out the DXY which is the dollar compared to a basket of world currencies (57% Euro I believe):

https://www.marketwatch.com/investing/index/DXY

The U.S. dollar has risen 6 pennies since June (note, this is the month the #2 world economy China indicated trouble in real estate). I’m pointing this out since as the dollar rises, the effect is deflationary. The dollar has gained more than 6% and U.S. CPI inflation still hit 6.2% yoy in October:

https://www.usinflationcalculator.com/inflation/current-inflation-rates/

Just imagine what inflation would be if the dollar was falling by 6% instead of rising. There are 2 obvious factors behind the dollar’s strength. Strong energy prices should be noted as most energy in the world is traded in dollars and the other I believe, is China. China’s economic real estate woes are a growing concern and could turn into a global shock at any time.

https://www.bloomberg.com/news/articles/2021-11-08/fed-warns-risky-asset-prices-are-rising-adding-to-crash-worries

The report (Fed report from a couple weeks back) included a survey of 26 market contacts — consisting of brokerages, investment funds, political advisory firms and other companies — on what they consider to be the top threats to financial stability. As their top concerns, the firms cited persistent inflation, vaccine-resistant Covid variants, China regulatory and real-estate risks, U.S. relations with China, and cryptocurrencies.
– Bloomberg

One final note on crypto (besides 67,000 being the top, but I digress). Stable coin (Tether) claimed it’s crypto is backed crypto dollar for U.S. dollar, a claim proved false. Btw, this was their shtick. Investors in Crypto might want to do a quick search on:

“Tether fraud”.

Of note, one measure of identifying fraudulent companies is by measuring assets with employees managing those assets. Bernie Madoff managed ten’s of billions with just 28 people.

Tether manages over 70 billion with just 13 employee’s.

#106 SoggyShorts on 11.19.21 at 3:54 pm

#47 IVoteIndependent on 11.18.21 at 9:00 pm
B&D 60/40 is a solid plan. But what if Matt’s question was phrased a little differently? What if he looked at his entire financial situation together as a whole, and proposed to count the current value of the golden DB pension as part of the 40% safe stuff (if the national treasury isn’t safe, then we have bigger problems to worry about). Then he can add as much safe stuff as necessary to investments outside the DB plan to hit a total of 40% of his overall portfolio. And then the rest to rocket fuel. Doesn’t that meet both the asset class and psychological requirements?

*************************
It probably wouldn’t satisfy the psychological requirements.
I dunno how good a DB is, but let’s say it’s 40% of your retirement plan, then everything outside would be equities.
In that case, you’re still only seeing your visible PF crashing hard in March 2020, your DB is kinda hidden so the feeling of doom might still be there.

#107 espressobob on 11.19.21 at 4:00 pm

When it comes to everyday market activity, what is a retail investor to think? Valuations, sentiment, fatigue?

Contrarians lay silently in wait for opportunity. It’s what we do…

#108 Satori on 11.19.21 at 4:20 pm

#98 Felix on 11.19.21 at 12:40 pm

Feline Fridays??? hmmm that might be why I forgot to mention that cats vomit a lot…all over the place. lol!!

#109 kommykim on 11.19.21 at 5:26 pm

RE: #48 IVoteIndependent on 11.18.21 at 9:04 pm
In fact, if Matt does 60/40 outside the DB plan, when one considers his whole portfolio it will be way overweight in safe stuff…

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

Tell us how you would rebalance the equity portion of your portfolio from the actuarial value of your DB pension plan during a bear market?
You can’t.

#110 IVoteIndependent on 11.19.21 at 6:57 pm

Re: #109 kommykim on 11.19.21 at 5:26 pm

RE: #48 IVoteIndependent on 11.18.21 at 9:04 pm
In fact, if Matt does 60/40 outside the DB plan, when one considers his whole portfolio it will be way overweight in safe stuff…

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

Tell us how you would rebalance the equity portion of your portfolio from the actuarial value of your DB pension plan during a bear market?
You can’t.
___________________________________________
Of course you are right that you cannot rebalance FROM the DB plan, so if that makes up the entire 40% then you would be stuck, but if the DB counts as just a portion of your 40% and the rest is outside in investments you control, then you would be able to rebalance, at least up to the amount of safe stuff you hold outside the DB plan.

#111 IVoteIndependent on 11.19.21 at 7:06 pm

Re: #106 SoggyShorts on 11.19.21 at 3:54 pm

#47 IVoteIndependent on 11.18.21 at 9:00 pm
B&D 60/40 is a solid plan. But what if Matt’s question was phrased a little differently? What if he looked at his entire financial situation together as a whole, and proposed to count the current value of the golden DB pension as part of the 40% safe stuff (if the national treasury isn’t safe, then we have bigger problems to worry about). Then he can add as much safe stuff as necessary to investments outside the DB plan to hit a total of 40% of his overall portfolio. And then the rest to rocket fuel. Doesn’t that meet both the asset class and psychological requirements?
*************************
It probably wouldn’t satisfy the psychological requirements.
I dunno how good a DB is, but let’s say it’s 40% of your retirement plan, then everything outside would be equities.
In that case, you’re still only seeing your visible PF crashing hard in March 2020, your DB is kinda hidden so the feeling of doom might still be there.
———————————————————-
I guess it depends on the % of the total portfolio contributed by the DB plan and the investor’s ability to look at the whole picture. You’re probably right in many cases all the same. Even in the 60/40 plan, in the event of a 50% decline in equities, does the investor look at that as a loss of 50% of the equity portion or a 30% decline in the overall portfolio? Depends on the person.

#112 Paul on 11.19.21 at 7:57 pm

IHCTD9, if he can get close to a 3% annual 5 year to 10 year GIC rates in his RRSP’s, TFSA’s maxing those out plus what he has got, he can easily have $1,000,000 to $1,100,000 by his age 60 which is 25 years of replacement income which is his goal, $40,000*25 years. This is over a 31 year period.

I doubt GIC rates will be below 3% a year the way for 31 years. Right now, inflation just started and 2.5% to 2.85% 5 year GIC rates today.

#113 SoggyShorts on 11.19.21 at 11:01 pm

#111 IVoteIndependent on 11.19.21 at 7:06 pm
Re: #106 SoggyShorts on 11.19.21 at 3:54 pm

#47 IVoteIndependent on 11.18.21 at 9:00 pm
———————————————————-
I guess it depends on the % of the total portfolio contributed by the DB plan and the investor’s ability to look at the whole picture. You’re probably right in many cases all the same. Even in the 60/40 plan, in the event of a 50% decline in equities, does the investor look at that as a loss of 50% of the equity portion or a 30% decline in the overall portfolio? Depends on the person.

*****************************
Well, you can’t see the DB portion of your PF, and, more importantly, it doesn’t go up when equities drop which is very different than a 60/40.

In March 2020 you’d have seen your whole investment PF drop 30% or so with nothing positive. Very gut-wrenching, I can assure you since I was there: I was a 100% equity cowboy with 7 months to go before retirement.
But, with even a simple 20% in IEF you would have 1/5 of the PF that actually spiked up in value allowing you to “sell high, buy low”

Sure, the bond portion of my PF has been a drag on returns this year sitting at -5% compared to the equities at +25%, but that only happens when things are this good.
Now, being retired and hoping to stay that way for 50-60 more years I’m content with a PF that swings from
♦Very Good to Bad
returns instead of
♦Great to Very Bad

When times are hard or the next seemingly inevitable black swan event occurs not only will losses be mitigated, those bonds will spike allowing me to sell some or all and participate in the equity sale instead of being just a “fingers crossed” bystander again.

You’re right that it depends on how much of your NW is in the DB but if it’s significantly less than 40% like say 20 or 10% then it really doesn’t hurt returns that much to simply ignore it.

#114 SoggyShorts on 11.20.21 at 8:12 am

#35 Shawn on 11.18.21 at 7:47 pm
My Investors Group guy said to myself and wife’s face with a straight face back in 1999 that we would run out of money by the time we retired or with in a few years. We had to go all in equities and real estate. The same old mantra, taxes and inflation would make us run out of money.
….. We average our 5.69% per year interest rate after compounding interest into effect since 1999

******
Considering IG’s MER of almost 3.5% + inflation he wasn’t totally wrong… The math changes when someone takes over 60% of your gains

#115 Ron on 11.20.21 at 2:01 pm

SoggyShorts, looking at Shawn, wife’s average 5.69% per year interest rate after compounding interest into effect since 1999, according to my calculations it works out to be 3.71% 5 to 10 years GIC rates per year. This 3.71% on average going by his words so some years it was probably as high as 5% to 5.5% and some years as low as 1.8% to 2.3%. This 3.71% to 3.74% yearly GIC rate that compounds on average per year is over 22.5 to 23 years from 1999 to end of 2021.

I saw some MER yearly mutual fees at 2.25% to as high as 4% a year back in the 90’s and even until 2008. Even today 1.10% to 1.5% annual mutual fees are out there but to be fair, ETF annual fees are in the 0.30% to 0.75% range. This could add up to I think another important point is they look like really good savers, I know some that save 20%+ their gross income a year and another valid point is they reinvest their RRSP tax refunds each year instead of spending it on stuff they probably did not make sense to buy. The RRSP, RESP, TFSA are very good compounding interest plans that keep yearly tax consequences in check and can give good tax planning before retirement and RRIF withdrawal time at 71. They were also smart to do splitting income were possible by what they stated in their comments.

Just back in 2019, 5 to 7 year GIC rates were in the 3.45% to 3.75% range at many financial institutions in Canada. I remember at least 8 to 12 at minimum. I remember in 1999 to 2000 5 year GIC rates were in the 5.5% to 6.5% range but I doubt we will be there but close to 4% 5 year+ GIC rates are quite possible. Even at 3% to 3.5% GIC rates plus a 0.5% to 0.75% annual fees savings from and reinvesting everything in RRSP’s, TFSA’s, RESP’s and keeping debt low to $0 can go a long way these days.