Interest rates are low. But they’re not as low as you might think if you’ve only been looking at big bank rates for Guaranteed Investment Certificates (GICs). Just look at these GIC rates from RBC: 0.15% for a one-year GIC! Why even bother? Fortunately (sort of), this it’s just the big banks taking advantage of … The post Where Can You Find the Best GIC Rates? appeared first on Frugal Fake Economist ..read more

Have you ever heard someone question whether a promotion would be worth it because it would push them into another tax bracket? That’s not how income tax rates work. But it’s a common misunderstanding rooted in a confusion between average and marginal tax rates. Your average income tax rate is the total income tax you … The post How do Tax Rates Work? appeared first on Frugal Fake Economist ..read more

Most people are afraid of the stock market. They see it as a casino that is rigged by billionaires. In a 2018 Ontario Securities Commission survey, savers and investors were asked how much of their portfolio was in cash or Guaranteed Investment Certificates (GICs), and how much was in stocks, bonds, mutuals funds, ETFs and … The post Is The Stock Market Risky? appeared first on Frugal Fake Economist ..read more

A service that requires an iPhone, an Apple Watch an Apple TV, and some home fitness equipment for the full experience may not seem very frugal. But hear me out. Apple Fitness+ is really good, and it is an excellent value if you already have the required Apple devices. What is it? Apple Fitness+ is … The post Apple Fitness+ Review appeared first on Frugal Fake Economist ..read more

Our happiness depends on how we see ourselves relative to others. We look at the houses our friends and neighbours live in, the clothes they were, the vacations they take, or the cars they drive. Unfortunately, it’s becoming easier and easier to compare ourselves to strangers. The problem with these comparisons is that the appearances … The post Don’t Compare Yourself To an Illusion appeared first on Frugal Fake Economist ..read more

Living in a paid-off home can be a nice way to keep your expenses low in retirement. All you need to worry about are property taxes, maintenance, utilities and insurance. But what if your home is really valuable? You might own a detached house in an expensive city. Or, you might live in a home … The post Should You Sell Your Home and Rent in Retirement? appeared first on Frugal Fake Economist ..read more

The federal government recently projected a $343 billion deficit for the current fiscal year. Predictably, everyone seems to be freaking out. That’s not a surprise. $343 billion is a lot of money, especially if you aren’t used to thinking about government finances. Imagine taking out a $343 billion mortgage! This has lead to all sorts … The post Is a $343 Billion Deficit a Big Deal? appeared first on Frugal Fake Economist ..read more

Are dividends magic? Some investors seem to think so. I get it, dividends are easy to love. It’s nice to think that you could live off dividend payments without ever needing to sell any of your stocks. But should your investment strategy focus on dividends? Dividend investing strategies generally either target companies that have high … The post Is a Dividend Strategy Right for You? appeared first on Frugal Fake Economist ..read more

Before I get to saving you money, I just want to note that Frugal Fake Economist has made Feedspot’s Top 50 Canadian Personal Finance Blogs and Websites for Canadians in 2020. Thank you Feedspot! Food is probably one of your biggest expenses. As you can see in Statistic Canada’s graphic below, the average couple spends … The post How to Get Your Food Expenses Under Control appeared first on Frugal Fake Economist ..read more

This is meant to provide a quick overview of how the Canada Pension Plan (CPP) works for most Canadians. For retirement planning purposes, please refer to the official government documentation. I’m going to focus on the CPP as it exists today. The CPP is being enhanced, but with contributions being phased in between 2019 and … The post The Canada Pension Plan (CPP) appeared first on Frugal Fake Economist ..read more