Ask MoneySense My mom passed away a number of years ago and sadly we just lost our dad. My brother and I are wondering about taxes owing, the timing of distributions, and if we should move all of the investments to cash. My brother and I are beneficiaries of the RRIF and TFSA, and the grandkids will also inherit money. A long time ago my parents did an estate freeze on their holding company with me and my brother, and they have a second will. There is about $200,000 in the TFSA, $450,000 RRIF, $400,000 non-registered with a $200,000 gain, and $1,000,000 in the holding company with a $250 ..read more

The federal government touted Budget 2024 as providing “fairness for every generation” of Canadians. There are plenty of tax changes, especially for higher income earners, as well as incentives for renters and first-time home buyers. Here is what you need to know.  The new capital gains inclusion rate There has been speculation in recent years about an increase in the capital gains inclusion rate. Currently, one-half of a capital gain is taxable, a so-called 50% inclusion rate. Budget 2024 finally introduced an increase but only for certain capital gains.  Capital gains realized ..read more

Kyle Prevost, creator of 4 Steps to a Worry-Free Retirement, Canada’s DIY retirement planning course, shares financial headlines and offers context for Canadian investors. U.S. inflation intimidates stock market We were supposed to be entering the time of the year when inflation should be trending downward and stock markets could get back to a “normal” state of slow growth or perhaps marginal pullbacks. Instead, the U.S. stock market has been on a relatively fast climb, even though high inflation should have begun to drag it down. Something had to give. And on Wednesday, the stock market gave ..read more

Kyle Prevost, creator of 4 Steps to a Worry-Free Retirement, Canada’s DIY retirement planning course, shares financial headlines and offers context for Canadian investors. Are we in the middle of another Roaring ’20s? For those who aren’t into history, the Roaring ’20s has been referred to as the decade of innovation, celebratory spending, a booming stock market and general good feelings that occurred in the U.S. during the 1920s. A hundred years later, history may be repeating itself, says Ben Carlson, director of institutional asset management at Ritholtz Wealth Management in Grand Rapids, M ..read more

Kyle Prevost, creator of 4 Steps to a Worry-Free Retirement, Canada’s DIY retirement planning course, shares financial headlines and offers context for Canadian investors. You can’t handle the truth—Truth Social! You might’ve read a headline like this the past week, “Trump’s social media company to trade on the Nasdaq.” While some might think there’s money to be made, the underlying transaction is substantially more complicated. If you’re looking for the Coles Notes version, know that this story is interesting in the same way as watching a fender bender on the highway holds everyone’s attentio ..read more

Finance tips and advice that worked decades ago aren’t always relevant in today’s day and age. Still, well-meaning friends and family often recycle the same information for younger generations—only for them to find out the hard way the advice might be inaccurate.  Financial experts say they encounter myths every day in their line of work. Popular examples are that home ownership is the only way to get rich or budgeting rules that are outdated. The Canadian Press spoke with Jason Heath, an advice-only certified financial planner at Objective Financial Partners; Jessica Morgan, founder and ..read more

Kyle Prevost, creator of 4 Steps to a Worry-Free Retirement, Canada’s DIY retirement planning course, shares financial headlines and offers context for Canadian investors. Lower inflation clears runway for rate cuts Canadians dreading their spring and summer mortgage renewals got some good news this week, as Canada’s annualized inflation rate dropped to 2.8%. The Statistics Canada report stated that the slower growth of cell phone service fees, groceries, and internet bills were key reasons why the consumer price index (CPI) number came in significantly lower than the 3.1% economists had repor ..read more

As I wrote in my previous column on Fred Vettese’s PERC, I’ve reached the age when my registered retirement savings plan (RRSP) will soon have to be converted to a registered retirement income fund (RRIF) and/or annuitized. I turn 71 in early April, which means I have until the end of December 2024 to wind up my RRSP. Thousands of baby boomers will be in the same boat as me this year, so this column shares what I’m learning about this process.  It pays to know! Get FREE MoneySense financial tips, news & advice in your inbox. Subscribe now The latest you can receive your first RRIF pay ..read more

Kyle Prevost, creator of 4 Steps to a Worry-Free Retirement, Canada’s DIY retirement planning course, shares financial headlines and offers context for Canadian investors. Oracle continues U.S. tech dominance Whether we’re talking software, streaming, artificial intelligence (AI), computer chips or, now, servers, the U.S. tech sector is booming at the moment. After reporting earnings on Monday this week, shares of server extraordinaire Oracle climbed 13%. Earnings highlights for the week All numbers in this section are in U.S. dollars. Oracle (ORCL/NYSE): Earnings per share came in at $1.41 ..read more

Saving for retirement at age 45 means you’ll have a 20-year runway toward a traditional age 65 retirement. But what’s your starting point? The National Bank of Canada suggests that by age 40 you should have 2.1 times your annual income saved for retirement, while the U.S.-based firm Fidelity recommends three times annual income in retirement savings by age 40, and four times annual income saved by age 45. Are you on track, or are you playing catch up? For some Canadians, that may feel like plenty of time to ramp up their retirement savings, especially if expensive childcare years are behind th ..read more