Should we take Advantage of our unused RRSP contribution limits?

Should we take Advantage of our unused RRSP contribution limits?

Excerpts from the Book - Preserving Wealth - written by Jack Lumsden, MBA, CFP® A common question that we receive every year prior to the RRSP deadline is should we take advantage of our unused RRSP contribution limits? Your RRSP deduction limit is how much you can contribute to your RRSP based on your prior years income, and includes any unused contribution limits from prior years. The following excerpt describes this. Uncle Wayne started off by saying this wouldn’t take any more than forty-five minutes, because he really had to get back to Aunt Jen. Then he told us to pull out our binders or go online to our secure cloud service and look at a tax-related form called a Notice of Assessment. Everyone who files a tax return gets one of these from the Canada Revenue Agency (CRA) every year, but sur­prise, surprise … Sally couldn’t find hers! Anyway, the point of checking out this form was to determine our limits for RRSP contributions...
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Rebalancing Your Portfolio

Rebalancing Your Portfolio

Excerpts from the Book - Preserving Wealth - written by Jack Lumsden, MBA, CFP® Today we are going to be reviewing portfolio rebalancing, and how it can be used to your advantage. Sometimes it is hard to know when to make adjustments and when to leave your portfolio alone. By creating a systematic plan, you are able take advantage of global market fluctuations. The following excerpt reviews this. “Exactly,” Uncle Wayne agreed. “But people will bail out of their investments when they see a decline in value, and then they’ll buy when prices start going back up. They’re doing exactly the opposite of what they should. It’s obvious that these people don’t have a long-term plan, or a wise old uncle!” “How do we buy low and sell high?” I asked. “Isn’t that what the experts call market-timing?” “I’ve got an answer for you that will be easier in the long run. We’ve already reviewed the various asset allocations based on risk level and goals....
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The Four Essential Family Conversations

The Four Essential Family Conversations

Excerpts from the Book - Preserving Wealth - written by Jack Lumsden, MBA, CFP® Based on my experience of helping many families over the years, I have found that there are four essential conversations that families should be having concerning their financial and estate plans.  They are: The Estate Documents Conversation.The Eldercare Conversation.The Legacy Conversation, andThe Next Gen Financial Education Conversation. The Estate Documents Conversation The estate documents conversation is a conversation you should have with your parents, children, executors, and powers of attorney to review and discuss the following key issues: With your parents: Find out who their powers of attorney and executors are.Obtain copies of their wills and powers of attorney (or the location of the documents).Meet your parents’ financial advisor(s).Obtain the listing of the location of their financial assets and contacts for their bank, accountant, and lawyer (see Appendix C). Have a frank discussion on what they would want to happen if they were unable to make financial decisions for themselves. Have a frank discussion...
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You better have a Plan for a Retirement Home

You better have a Plan for a Retirement Home

“You better have a Plan for a Retirement Home, as I am not funding that bill.” Excerpts from the Book - Preserving Wealth - written by Jack Lumsden, MBA, CFP® While having dinner with our daughter Paige the other night, the topic of money came up.  Paige told us, “you better have a plan for a retirement home, as I am not funding that bill.” I responded, “well Paige, if you had read my book, we’ve got this covered.” When all of us get older, we will have to review the Eldercare conversion in more detail with her and her brother Connor. Eldercare Conversation – Excerpt from the Book – Preserving Wealth  “The next conversation this led to was an ‘eldercare’ conversation based on the advice Uncle Wayne had given me. In this conversation, we discussed and made plans with our parents about what they wanted us to do if a potential medical or physical set-back occurred as they aged. For example, what would the plan...
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