Allan Norman CFP

CFP®, CIM | MoneySense & Financial Post
Scenario-based financial planning for active Canadians in or near retirement.

[Allan Norman CFP @ManFromAtlantis]

@AaronHectorCFP My wife’s eligibility expired and although the initial message says you can upload the information, when you go to do it, it says the option isn’t available when applying for the disability tax credit. We had to mail. This was about a month ago.

[Allan Norman CFP @ManFromAtlantis]

@MPelletierCIO @desireefixler What book is this from?

[Allan Norman CFP @ManFromAtlantis]

@CodexAndCode @MPelletierCIO Plus there is an extra CPP pension at retirement

[Allan Norman CFP @ManFromAtlantis]

@AravindSitham Thanks. I see it. In this example it takes about 10 years for the refund contributions to equal the gross up contributions. It will never catch the RRSP total value using the gross up method but it will likely beat TFSA contributions.

[Allan Norman CFP @ManFromAtlantis]

@AaronHectorCFP @AVibrantDreamer @TIERWealth I’m curious, what is your rational for drawing the TFSA fee from a non reg vs a RRSP or LIRA?

[Allan Norman CFP @ManFromAtlantis]

@AaronHectorCFP @AVibrantDreamer @TIERWealth So you are telling clients not to deduct the TFSA fee coming out of non-reg? How does that compare to drawing fees from RRSP/RRIF? Waiting for your thread on drawing fees from different accounts and the various combinations.

[Allan Norman CFP @ManFromAtlantis]

@AravindSitham Interesting. Talbot Stevens did some work on this a number of years ago and showed investing the gross up amount each year beats reinvesting the refund each year. I’d be curious to see the math. Thanks for the post.

[Allan Norman CFP @ManFromAtlantis]

@AravindSitham I find that even if they reinvest the refund a TFSA has a good chance of outperforming a RRSP. They really have to gross up the amount. I’m with you on the living part. It’s not all about the money.

[Allan Norman CFP @ManFromAtlantis]

@JamieGolombek What do you think about buying a flow through with an immediate buyer. Do you see a tax risk?

[Allan Norman CFP @ManFromAtlantis]

@AaronHectorCFP Maybe it is just good social policy and the government’s way to encourage seniors to couple up. 😊

[Allan Norman CFP @ManFromAtlantis]

@AravindSitham I would say the way a RRSP may work better than the TFSA is by grossing up the RRSP contribution. It will likely still fall short if you only reinvest the refund. Unfortunately most people don’t even invest the refund putting the TFSA way ahead.

[Allan Norman CFP @ManFromAtlantis]

@edrempel I’m sorry to hear your news Ed.

[Allan Norman CFP @ManFromAtlantis]

@MarkMcGrathCFP I find mowing the lawn is good thinking time.

[Allan Norman CFP @ManFromAtlantis]

@ThomasBeyer @MWMacKenzie Not $37,000. I think you may have added all of the maximum benefits together to get that number. It doesn’t work that way. The CPP will result in a GIS Clawback. You point is still good. Nothing for seniors.

[Allan Norman CFP @ManFromAtlantis]

@AaronHectorCFP Thanks for checking. It was a large national custodian. Your people are probably right. Is it odd that a partner can sign an agreement binding the other partner without their consent or possible knowledge?

[Allan Norman CFP @ManFromAtlantis]

@AaronHectorCFP It took a little persistence 😊

[Allan Norman CFP @ManFromAtlantis]

@jasonpereira And then add this to the mix

https://t.co/LuvmZM95QA.

[Allan Norman CFP @ManFromAtlantis]

@JimChuong Funny. I visited my 86 yr old dad at his big house this weekend. His comment was that having a big house to maintain keeps him active and healthy. If he had a condo he would have nothing to do. P.S. he still has an active life visiting friends and family.