Maureen, age 20, figures she can save $325 each month; or she can keep frittering it away at the mall. She lives with her parents and they think she should save it. Dad says, 'Put it into an RRSP and get a tax break as well.' Her friends think RRSPs are for old fogies and she doesn't need to start thinking about retirement savings until she's 30.
Statistics show that about half of marriages end in divorce. Ed and Liz are ending theirs and are concerned about changes that will have to be made to their financial and estate plans. Some considerations, also in common-law relationships, are:
On May 25, 2009 Finance Canada announced some proposed changes to how Canada Pension Plan will work.
If approved, the changes will take effect over a period of time from
2011 to 2016, so they will affect anyone planning to retire after 2010.
Below is a brief summary of some of the most important changes:
Early retirement (before age 65) will result in a reduction in CPP benefits by 7.2% per year, which is up from the traditional 6%. This means that if you
begin to take your pension at age 60, your payments will be cut by 36%, not 30%.
Aligned Capital Partners Inc. ("ACPI") is a full-service investment dealer and a member of the Canadian Investor Protection Fund ("CIPF") and the Canadian Investment Regulatory Organization ("CIRO"). Investment services are provided through Open View Securities, an approved trade name of ACPI. Only investment-related products and services are offered through ACPI/Open View Securities and covered by the CIPF. Financial planning and insurance services are provided through Open View Wealth Advisory. Open View Wealth Advisory is an independent company separate and distinct from ACPI/Open View Securities.
