Nearing Retirement? Should you use your TFSA or your RRSP?

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  • Опубліковано 29 гру 2024

КОМЕНТАРІ • 55

  • @RobbieSolo
    @RobbieSolo 2 роки тому +17

    I absolutely loved this video, I am in my mid 50’s, I am in much better financial shape than your examples, but, no other UA-camr shows how scenarios like that can work. I think you did an awesome job !

    • @freewheelin7536
      @freewheelin7536 2 роки тому +4

      I agree. Much respect for using low income numbers instead of the typical married couple making a combined $150,000.

    • @RobbieSolo
      @RobbieSolo 2 роки тому +6

      I would love to see more videos on people with assets of say, $250,000, or, $500,000. I think it is more realistic than showing examples of people with millions in assets with homes paid off. That is not the reality for the vast majority of Canadians.

    • @K4Financial
      @K4Financial  2 роки тому +4

      Thanks Robbie. I try to use more examples of what people with average or below average have, because it honestly doesn’t really matter what rich people do. Any basic plan will work for them. Of course there are ways to help them make more and save more in taxes, but it’s not actually necessary when you have a high net-worth.

    • @K4Financial
      @K4Financial  2 роки тому +6

      @@freewheelin7536 planning is more valuable for people who have less to work with, so I do try to focus my attention on that a bit more.

    • @RobbieSolo
      @RobbieSolo 2 роки тому +4

      I absolutely agree with you, that is why I loved your video. Fantastic.

  • @CalmPlains
    @CalmPlains Рік тому +2

    Breakdowns of specific circumstances like this are amazing to see, keep them coming and thank you for the video.

  • @vandanapatel1080
    @vandanapatel1080 2 роки тому +9

    Very well explained I have watched some Canadian retirement videos and they always show so much more money in Rrsp and tax free a/c but many people are immigrants here do not have the cushion for retirement thanks for all the information .If possible to make more videos on this situation where you cannot get full OAS as you are in Canada for 20 years than how to plan for retirement.Thanks a lot .

    • @K4Financial
      @K4Financial  2 роки тому +3

      I plan on doing quite a bit of retirement planning stuff in the near future, so I’ll add it to the list.
      Thanks for the comment

  • @marksurette5241
    @marksurette5241 2 роки тому +5

    Now that is creative thinking. Well Done!

    • @K4Financial
      @K4Financial  2 роки тому +2

      I try my best to think outside the box.
      Thanks

  • @karenoddy7108
    @karenoddy7108 2 роки тому +4

    Really good show once again! Thanks you are very helpful!

    • @K4Financial
      @K4Financial  2 роки тому

      Thank you Karen. I try my best.

  • @rachellynch7958
    @rachellynch7958 2 роки тому +2

    Thank you so much for your examples

  • @Peepa_and_the_Pearl
    @Peepa_and_the_Pearl 2 роки тому +6

    Great content. Wish I'd not taken CPP at 60 in order to qualify for more GIS at 65.

    • @K4Financial
      @K4Financial  2 роки тому +1

      Thanks. It’s a hard decision and the default it unfortunately for people to just get what they can as soon as they can.

  • @Heeter_23
    @Heeter_23 2 роки тому +1

    I love numbers!! I'm retired now, but this strategy is awesome!!

  • @91rss
    @91rss 2 роки тому +2

    Have a friend in Montreal that plays a game where they chase a puck around. They are hoping to use some division final bonus $$ for their RRSP.. but it aint looking good... Need a caddy this summer..to help em out...

  • @Ian-of9oi
    @Ian-of9oi 2 роки тому +2

    Heard some guy saying something about RRSP withholding tax and how if you are leaving Canada forever you will get dinged. I know this video is not about that but will my RRSPs get taxed differently if I move out of Canada? Thanks in advance.

  • @normnike9082
    @normnike9082 2 роки тому +4

    I plan on doing the GIS hack from age 65-70. The question i have though is how do you get the GIS at 65 if you had a high income at 64? Hope that makes sense. Or, do you have to have little to no income in year 64? Thanks and love the channel.

    • @K4Financial
      @K4Financial  2 роки тому +4

      You do have to show little to no income at 64. Sometimes it takes a little bit of pre-planning to make that happen

  • @evadeanu1
    @evadeanu1 2 роки тому +4

    Brilliant!

    • @K4Financial
      @K4Financial  2 роки тому +3

      Thanks Enid. I try

    • @tjh3744
      @tjh3744 2 роки тому +4

      Yes brilliant, that's why they pay Kent the big bucks; when he retires he will be so rich even his money will have money!

    • @K4Financial
      @K4Financial  2 роки тому +7

      @@tjh3744 Haha, I'm not sure about that. I'm a pretty good teacher, but am not the greatest capitalist. Plus, I don't really care about being really rich. I know it's just a waste to have more money at a certain point and I'd prefer to enjoy my short time here.

    • @tjh3744
      @tjh3744 2 роки тому +4

      @@K4Financial Heh, refer to this post in twenty seven years and see who's not the greatest capitalist mr.modest, slow and steady wins the race and you can use that as a Kent Tilley promise in the future if you like! Cheers!

  • @alreade8477
    @alreade8477 2 роки тому +1

    Very well done!!

  • @Sonickrunch
    @Sonickrunch 2 роки тому

    This is great. I know you've talked about the GIS hack in previous videos and even in this one you did at least give the warning that this is "right now". It would be nice if they keep this hack eligible for long enough for me to use it as well. I have a gov't pension coming but by retirement I do expect to have a good amount in my TFSA to live on while I hold off on collecting on my pension. I also like your RRSP/TFSA work, it's something I haven't implemented yet due to my pension making an RRSP not as usable later in my retirement since my expected income will still be quite high but I do think it's a great way to push savings for retirement vs using those returns to spend willy nilly.

    • @K4Financial
      @K4Financial  2 роки тому

      It’s doubtful that trying to get GIS would make sense based on what you’ve said regarding the pension, but maybe it can. A likely alternative is to build an RRSP that can fund early retirement allowing you to delay CPP and the government pension. Also comes down to health as well.

  • @kenschmidt8738
    @kenschmidt8738 2 роки тому +3

    so helpfull i would like to run some by you if thats possible

    • @K4Financial
      @K4Financial  2 роки тому

      You can absolutely contact us at any time. Just email info@k4financial.ca and we can discuss.

  • @Curnbox22
    @Curnbox22 2 роки тому

    Very good thx

  • @rb239rtr
    @rb239rtr 2 роки тому +1

    I looked at skinning this cat a few ways, to get GIS. Based on the size of my RRSPs, for all the gains in free GIS I pay for in extra taxes and clawback after 70. Assuming I live to 90, much better to burn a pile of RRSPs in the 65-70 age range for my tax plan.

    • @K4Financial
      @K4Financial  2 роки тому

      Yeah, it’s definitely not worth trying if you have a good sized RRSP. Better to melt it down and delay. Assuming a long life expectancy

  • @trinitytunes
    @trinitytunes 2 роки тому +1

    Just a curiosity question...who are your comedic mentors ...

    • @K4Financial
      @K4Financial  2 роки тому +1

      Mentors wouldn’t exactly be anyone, because for me I just knew how to deliver a line, but didn’t know why, so I I never really had anyone I wanted to emulate, but I have dozens of amazing comedians that I have met that helped me. As far as my favourite comedians:
      - Bill Burr
      - Bill Hicks
      - Jon Dore
      - Anthony Jesselnik
      - Sean Lecomber
      - Josh Wolf

    • @markust8904
      @markust8904 2 роки тому +1

      @@K4Financial All great comedians, very cerebral and real. I can see why you like them.

  • @steveplays5408
    @steveplays5408 2 роки тому

    What if u pull more out of the rrsp in the first years. And differ the cpp. This way you pay the same tax but differ the cpp making it a bigger monthly payment

    • @K4Financial
      @K4Financial  2 роки тому

      It definitely can work. Makes sense in a lot of cases.

  • @ronotoole4537
    @ronotoole4537 Рік тому

    Hi great video i am getting ccp now at 61 is it possible to stop getting it and then wait till 65 or 70 to get it again thanks

    • @K4Financial
      @K4Financial  Рік тому

      If you have been getting it for less than 6-months, I believe you can stop it and pay it back

    • @ronotoole4537
      @ronotoole4537 Рік тому

      @@K4Financial oh thanks i heard also that you cant opt out of getting it once you have been getting it for 12 months.

  • @paulpoco22
    @paulpoco22 2 роки тому

    Pay off Mortgage(2.05%) or keep money in TSFA(earns 10%)? People in their mid 50s. Or wait till their TSFA equals their Mortgage balance?

    • @K4Financial
      @K4Financial  2 роки тому

      Well, I think you answered the question if you think the TFSA is going to earn 8% more than you’re paying on the debt.

  • @cheyenne_spring
    @cheyenne_spring 2 роки тому

    Do you only have 1 chance to apply for gis?

    • @K4Financial
      @K4Financial  2 роки тому +2

      No, it’s based on your income the year before, so I guess you’d basically apply for it anytime you can. I’ve never actually applied for it, so am not totally familiar with the process.

  • @Tenzyu949
    @Tenzyu949 2 роки тому

    if you are a couple, your total income should be less than 27k to get GIS, am i rite?

  • @paulpoco22
    @paulpoco22 Рік тому

    Do you have to be careful how much income you make from work at age 64? To much and you will not qualify for GIS?

    • @K4Financial
      @K4Financial  Рік тому

      Yeah, but I don’t love how often people try to manipulate things to qualify for GIS. It doesn’t sound like you’re a good GIS candidate

  • @trinitytunes
    @trinitytunes 2 роки тому +1

    Great topic...gets you thinking and hopefully planning a bit more about your future and your income when that happens...
    Could K4 become a religion...so we could get a tax break when we donate...😂😂 thanks for the worst case Ontario example...