Random Thoughts

I understand you’re aware of the profit-driven approach taken by banks, and the recent CBC coverage on this topic. It’s important to recognize that banks are not your friend, but rather they are businesses focused on generating profits for their shareholders. As a customer, you are simply an income stream that banks can exploit to meet their financial goals. We need to remember that our relationship with banks is purely a business one, and it’s up to us to be vigilant and protect our interests. The onus is on us to take charge of our finances and not rely on our banks to have our best interests at heart. Oh those naughty banks.

Remember those thoughts the next time you think your bank is helping you out, by allowing you to have a new service. The only reason they let you have it, was to make them money.

March Madness has begun, I am cheering for Deep State to take the whole thing. Curious stat I found that this time of year is when the most vasectomies occur (and around time for the Masters), so the patient can “recover” at home and watch the games in peace. Seems a little extreme just to have the family leave you alone, but, to each his own. One day I will write about my two vasectomies. Might this be March Vasness ?

Have I mentioned how much I dislike finding snakes in my car? As Bugs Bunny said, “Good Bye Florida!”.

It snowed, in Ottawa, too much. That is all.

My Writings for Week Ending March 17^th

I took a week off, given it is March Break. Stay tuned we will be celebrating my 12th year of being the “Cranky old man of Personal Finance”, next week!

A Money Thought

Stan Buell has the correct view on the whole, “The Banks are out to get us” statement.

'We are all doing it': Employees at Canada's 5 big banks speak out about pressure to dupe customers https://t.co/vQbJ2xeYDM – Surprise!

— Stan Buell (@BuellStan) March 15, 2017

Read More »Naughty Banks, March Madness, Big Snow and #MoneyTalk

Lent for 2017 has begun, and as usual, I hope folks use this period to enrich and change their lives (spiritually and financially). This is an excellent time to try new lifestyles, financial ideas, and concepts. The period is only 40 days, which allows for a short-term experiment.

The Bank of Canada has decided the Inflation scare from Stats Canada is to be ignored for now. The happy world of loose money continues on, but for how much longer? The Bank did comment on the current economic state:

“In Canada, recent consumption and housing indicators suggest growth in the fourth quarter of 2016 may have been slightly stronger than expected. However, exports continue to face the ongoing competitiveness challenges described in the January MPR…. In this context, Governing Council judges that the current stance of monetary policy is still appropriate and maintains the target for the overnight rate at 1/2 per cent.”

The days of incredibly loose money policies may be numbered, but I have been saying that for about 10 years.

Ontarians will be paying less for electricity soon (17% less?), but will be paying for it later. What will lower hydro bills in Ontario do to the Inflation numbers? Will this somehow salvage the Liberals’ chances in the next provincial election?

RRSP season is over, but it has also begun again for 2018. What if you put a little away every pay cheque, and adjusted your tax at source to reflect that? That way, you will not be loaning the government money this year.

It is Crashed Ice weekend here in Ottawa. Crazed skaters go up and down a roller coaster of an ice track, racing each other? Luckily it has cooled off. What better way to help celebrate Canada’s 150th birthday?

My Writings for the Week Ending March 3rd

It was a busy week for me, with plenty to write about. I started off with Gasoline Pushed Inflation to 2.1 %, which of course is from our friends at Stats Canada. The good news is that fresh fruit and veggies are cheaper. With RRSP season coming to a close on March 1st, I felt it important to remind folks about 5 Things to Remember about RRSPs. Finally with Lent starting on March 1, I gave a few good ideas of things to try out during Lent with, Money and Lent : Clutter too ?

A Money Thought

I sometimes like making flow charts, and this is one of my favorites. Yes the box shapes really mean something.

Time to start a financial plan, A good time to start a new journey, try something new a Financial Plan is needed https://t.co/sUUqbjxAcb pic.twitter.com/H2PfLht3iS

— Big Cajun Man (aw) (@bigcajunman) March 2, 2017

Read More »Lent Begins, Loose Money and #MoneyTalk

Estimated reading time: 4 minutes

RRSP season is slowly coming to a close, if we are to believe the advertising campaigns from the banks and mutual funds. RRSP season is actually all year round, however March 1, 2017 is the deadline for contributing to an RRSP for the 2016 tax year.

---

---

It is bad planning (in my opinion) to buy RRSPs at this stage of the game, but if you find money (and don’t have debt to pay off), it is an OK place to put found money. I have over the years written plenty of articles on RRSPs, and here are a few for you to read:

• The Spousal RRSP the Forgotten Savings Tool, is a useful tool.
• Are you getting tired of listening to all the financial jargon?RRSP Bingo is for those lucky folks who might be visiting their investment folks.
• RRSP Rebalance Season, if you are going to be looking at your retirement investments, maybe it is time to rebalance them too?
• Which do you do? RRSP then TFSA ?  Of course I am assuming you have paid off your debt.
• In a more snarky line, TFSA Retirement Welfare Bums, is a discussion about all those rich folks who can put money in their TFSA for their retirement.

If this is RRSP season, remember that it is tax season as well. For folks in Ottawa who work for the Federal Government, there are tax problems. Over 50,000 have had issues with their T4 slips from the new Phoenix pay system. Ironically the CRA (who are also part of the Phoenix Pay system) say that there will be no dispensations for them. The CRA was kind enough to put up an FAQ Page for Tax Questions.

The ultimate concept in the #Fakenews? The status bar and how long it says it will take to install your software (several minutes, my arse!)

My Writings for Week Ending February 24th

Given we are in the RRSP Season, I had my own poke at the topic, which I borrowed from a discussion I had with Preet B. and Michael James about how so many folks seem to forget that an RRSP is a Tax Deferral Savings Plan. How many times have you heard someone tell you how much money they have in their RRSP and never mention the taxes they might have to pay on that sum?

Read More »RRSP Season, Tax Time, and #MoneyTalk