Because we’re about half way through the year, we thought it would be a good time to review our financial resolutions for 2015. Here are our top five – how many of these are on your to-do list?
1 – Get your finances organized. Do you have a regular savings strategy in place? Studies have shown consistent savers are healthier and live longer. Ensuring you’re tucking money away and staying on top of your assets and obligations can go a long way towards eliminating financial stress in your life.
2 - Get rid of debt. Often easier said than done, debt costs the average Canadian thousands annually. If you have a finish line in mind, it’s easier to create (and stick to) a timeline for paying off debt. We have a budget toolkit that we’d be happy to share.
3 – Take advantage of registered accounts. Government initiatives such as Registered Retirement Savings Plans (RRSPs) or Tax Free Savings Accounts (TFSAs) are a great way to save on tax. For example, the TFSA contribution limit has increased to $10,000 in 2015. Have you and your advisor discussed how this increase can benefit you?
4 – Be prepared for tax time. An unexpected tax bill can be an unpleasant surprise. Make a point of regularly discussing tax minimization strategies such as charitable donations, flow-through shares, and RRSP contributions with your wealth advisor and accountant. Sometimes tax is inevitable but it doesn’t have to be a surprise.
5 – Draw up a financial plan and keep it up to date. Not only should your financial plan illustrate where you want to be, it should show you where you currently are and map you to your destination. The simpler you make the directions, the easier it will be to stay on track. A comprehensive financial plan will include the four other goals on this list and more. An important thing to remember is that a great financial plan doesn’t have to cost a great deal of money. We guide our clients through our refined “Hat-Trick Process” to craft detailed financial plans as a part of our ongoing service to them.
Jeremy Ruban and Trevor Stark, in partnership with the Bradet-Simpson Investment Group at Richardson GMP, work hard to develop focused strategies to meet the unique needs of today’s investor. Richardson GMP is Canada’s leading independent wealth management firm, supported by expert tax and estate planning professionals.
If you have questions, feedback or topics you would like us to write about, please contact us at (204) 953-7850 or email Team.Bradet-Simpson@RichardsonGMP.com. You can also visit us online at www.Bradet-Simpson.com
The comments contained herein are general in nature and are not intended to be, nor should be construed to be, legal or tax advice to any particular individual. Accordingly, individuals should consult their own legal or tax advisors for advice with respect to the tax consequences to them, having regard to their own particular circumstances. Before acting on any of the above, please seek individual financial advice based on your personal circumstances. Richardson GMP Limited is a member of Canadian Investor Protection Fund. Richardson is a trade-mark of James Richardson & Sons Limited. GMP is a registered trade-mark of GMP Securities L.P. Both used under license by Richardson GMP Limited.