Pensions Are Worth Zero?

Pensions Are Worth Zero?A recent Family Finance column in the Financial Post showed something strange about the way that financial planners calculate a person’s net worth. Apparently, having a defined-benefit pension plan does not add anything to your net worth. The article profiled Doris, a grandmother with a simple balance sheet. She has a car worth $3000, owes $10,000 on her line of credit, and can begin drawing a $1400 per month pension…

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5 Alternative Ways to Retire Early

5 Alternative Ways to Retire EarlyFor many of us, retirement is a far off dream. It’s already difficult enough to pay our current bills on time, and we aren’t able to contribute to our retirement funds as much as we’d like. But early retirement is a real possibility if you work for it in your 20s and 30s. Here are a few alternative paths to early retirement: Cut expenses. Many financial planners recommend that you…

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How the Age and Pension Amount Tax Credit Works

How the Age and Pension Amount Tax Credit WorksAs I mentioned in the Old Age Security (OAS) clawback article, a reader requested an explanation of the various seniors benefits in Canada.  While I’ve explained some income sources (oas and gis), lets get into a couple popular tax credits. Age Amount Tax Credit This tax credit, as the name suggest, is for seniors age 65 and older within an income threshold.  Like Old Age Security and Guaranteed Income Supplement,…

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