Best of

Hope everyone is enjoying the festive last week of RRSP season and for those who enjoy getting that last-minute Income Tax break buzz, you have until Monday next week to get your last minute RRSP contributions in place, to get a break on your 2014 taxes. As I mentioned this week, maybe we should have this kind of excitement for TFSAs? It’s not necessary as the limits carry forward for you (another reason to like the TFSA more than the RRSP).

Sunday is Saint David’s Day for my Welsh brethren. Wales plays France on Saint David’s Eve, let us hope for a festive win to help usher in this happy day. Dydd Gwyl Dewi Hapus.

Dydd GwÅ·l Dewi (Sant) hapus

I gave blood again this week, and due to a small pimple on my regular “giving arm” I gave with my right arm this time. Always an exciting time, but it worked just fine, and I can now feel pious for Lent, knowing I helped someone out. Have you given blood lately? If you can, why not?

The Rideau Canal has set a record for a number of days open this year. We in Ottawa hope it won’t still be open in May.

My Writings for Week Ending February 27th

I did enjoy the festive feel for this final week of RRSPs, and my twitter feed was peppered with useful RRSP commentaries :

• Didn’t hear if anyone used my RRSP Bingo card for their RRSP purchases, I hope someone had fun with it.
• What order do you do your savings RRSP then TFSA ? I have a different idea, but if you are a regular reader you can guess my point of view on this.
• Lent Begins, Freezing Temps, Apples and RRSP and #BestOfThisWeek

Tax Tip: Family Caregiver Amount http://t.co/22ULg5baMw #Autism #CRA

— Big Cajun Man (aw) (@bigcajunman) February 24, 2015

Read More »Saint David’s Day and #RandomThoughts

Lent began in 2015 with colder temperatures, and also it was the start of RRSP season for some folks, although they are not as in vogue.

It is RRSP season, if you have not noticed, and there is still time for you to put money into your RRSP and claim it for your 2014 taxes. You should have done this a long time ago, but if this is how you do things, you still have about 16 days to get this done. A word of warning: you are not buying an RRSP. You are either (1) Setting up an RRSP account and depositing money into the account to purchase or set up a savings vehicle, like GICs, Bonds, Securities, Mutual Funds or the like, or (2) You are adding money to an existing RRSP account, where you will purchase or set up a savings vehicle. You are not “buying an RRSP”, please don’t say that.

This Valentine’s Day Weekend remember your loved ones, and show them that you love them in some fashion, that does not entirely bankrupt you. No matter what the diamond industry says, 3 months’ gross income is far too much to spend on anything that dangles off your loved one, or slides onto a part of their body. Just remember that Lent starts this coming Wednesday, so start getting your Shrove together as well.

Speaking of Valentine’s Day, a truly lovely romantic movie is coming out, 50 Shades of Grey, is being touted as a beautiful love story. I have read 2 of the books, and I can assure you, that is not how I read them (I couldn’t get through the final book it was, “too beaucoup”). The books are quite graphic, which makes me wonder how the movie will cover some of the more exciting parts of the books. Still, it is not likely that I will see the movies unless I get a free copy or it appears on NetFlix (and even then, I think I’d rather watch House of Cards (U.S. and UK versions) or the IT Crowd). The one exciting prognostication I have seen is that the sales of “sex toys” may skyrocket thanks to this movie, so all you We-Vibe stockholders must be rubbing your hands with glee (at least I hope that is your hands).

And I do have a partially written article entitled 50 Shades of Debt, but I can’t quite get it right. Oh and yesterday was my 2700th post as well, I guess that is what 10 years of writing will do for you.

My Writings for Week Ending February 13th

I had only planned on two articles this week, but the extra “Valentine’s Doom” post just wrote itself:

• The Canadian economy seems quite adept at creating Part-Time jobs, but how Stats Canada counts them is still incorrect (IMHO) as we saw in More Part Time Jobs in Canada in January
• Retirement is a beautiful thing to dream about, but if you die before you get there, what is the point of saving all that money? That is at the core of Going to the Gym to Work on My Retirement. Either way, pick up Seasick Steve’s album. Well worth the price.
• Society seems to condone the concept that Money is Love, and the retail industry not only agrees with this, but they think you are not spending enough.
• Superb Decisions, Gas Going Up, Rugby and #BestThisWeek

Read More »RRSPs, Valentines, 50 Shades of Debt and #BestOfThisWeek

The Bank of Canada threw us all a knuckleball this week when they announced a quarter point drop of their key overnight rate (on Wednesday). The rate is now at 3/4%, dropping a 1/4, and it seems the Bank assumes the economy needs even more stimulus.

The telling statement from their announcement is the final paragraph of their statement:

The oil price shock increases both downside risks to the inflation profile and financial stability risks. The Bank’s policy action is intended to provide insurance against these risks, support the sectoral adjustment needed to strengthen investment and growth, and bring the Canadian economy back to full capacity and inflation to target within the projection horizon.

This suggests that the very commodity-reliant, Canadian economy is going to take a hoof in the “lower abdomen” thanks to plummeting oil prices. Lower inflation, but higher unemployment seems to be on the event horizon.

The Canadian dollar continues to plummet, thanks to very low oil prices, which may slow down the cross-border shopping insanity that has been going on for a while. Maybe we shall see more of our American family dropping by in Canada this summer? Is this lower interest rate simply going to accelerate the drop of the Dollar’s value? Some experts feel this is going to cause a Canadian dollar back around the 70 cent level (compared to the US dollar), we shall see whether that comes to pass.

My Writings for Week Ending January 23rd

The cold of Ottawa in January constantly begs the question, why do we live here?

• I had another run at some of the Best Financial Tweets of the week. I thought I wasn’t going to be able to find many, but the real problem is, there are too many, and my Twitter feed is too large (I miss far too much).
• I did finally get my money out of the TD RESP account for my daughter, but it took longer than I wanted and I highlight the issues I created by trying to use lower MER Mutual funds with TD E-series RESP Bear Trap.
• How do you eat an elephant ? Here is an idea, don’t order the frigging elephant!!
• RESPs are too hard for Mommies? My regular readers could spot the Swerve title, but I am just not too sure why I have seen so much mainstream media (TV) pushing this Giraffe & Friends RESP thing, and yes, Mrs. C8j was really quite insulted by the pitch.
• Canadian Economy on the Edge, Frigid Temps and #BestThisWeek

Read More »Looser Money, Plummeting Loons and #BestThisWeek