Calgarypuck Forums - The Unofficial Calgary Flames Fan Community
Old 12-01-2022, 09:39 PM   #541
chedder
#1 Goaltender
 
chedder's Avatar
 
Join Date: Dec 2011
Exp:
Default

Quote:
Originally Posted by RichieRich View Post
The thing is to find "a guy" (so to speak) that can consistently do a good job... which IMO is to at least match market returns (or maybe more) and magically avoid most of market drops, whilst most importantly not miss market increases.
Anyone that tells you they can match or beat 'market' (whatever that means) returns and avoid most of the drops is at best a liar. Especially after fees.
chedder is offline   Reply With Quote
The Following 6 Users Say Thank You to chedder For This Useful Post:
Old 12-01-2022, 10:01 PM   #542
Slava
Franchise Player
 
Join Date: Dec 2006
Location: Calgary, Alberta
Exp:
Default

Quote:
Originally Posted by chedder View Post
Anyone that tells you they can match or beat 'market' (whatever that means) returns and avoid most of the drops is at best a liar. Especially after fees.
Especially buying the indexÖyou know, because thereís zero percent chance of doing this. The thing is, thereís no such thing as passive investing. Once you accept that, you move to what kind of active investing you want to do and how you want to implement that.

And let me be clear about the ďbeating the marketĒ part. Itís entirely irrelevant. People are trying to reach specific goals and with risks they can tolerate.
Slava is offline   Reply With Quote
The Following User Says Thank You to Slava For This Useful Post:
Old 12-04-2022, 01:04 AM   #543
Red Ice Player
Powerplay Quarterback
 
Red Ice Player's Avatar
 
Join Date: Jul 2008
Exp:
Default

I neglected retirement planning almost to the last minute. I have some RSP savings but certainly not enough. My TFSA gets maxed every year and is doing reasonably well. Due to the previously mentioned neglect and disinterest I have a lot of accumulated RSP room. My plan is to leave my job at mid year, having turned 65 the previous year. At tax time, I will make an RSP contribution large enough to bring my total income for the year of my retirement to zero. This would qualify me for a monthly max GIS payment tacked on to my OAS, a strategy I can continue until I use up all my RSP room. My question is, would I also qualify for retroactive GIS for my entire retirement year? Technically, I'll be a destitute senior for that year so I would think so.
Red Ice Player is offline   Reply With Quote
Old 12-04-2022, 08:42 AM   #544
Slava
Franchise Player
 
Join Date: Dec 2006
Location: Calgary, Alberta
Exp:
Default

Quote:
Originally Posted by Red Ice Player View Post
I neglected retirement planning almost to the last minute. I have some RSP savings but certainly not enough. My TFSA gets maxed every year and is doing reasonably well. Due to the previously mentioned neglect and disinterest I have a lot of accumulated RSP room. My plan is to leave my job at mid year, having turned 65 the previous year. At tax time, I will make an RSP contribution large enough to bring my total income for the year of my retirement to zero. This would qualify me for a monthly max GIS payment tacked on to my OAS, a strategy I can continue until I use up all my RSP room. My question is, would I also qualify for retroactive GIS for my entire retirement year? Technically, I'll be a destitute senior for that year so I would think so.
I don’t want to give advice online, because it’s obvious that I don’t know the full situation here. But a couple things in general:

A) you could get retroactive payments from Service Canada because they do this when they pay things like CPP/OAS depending on the exact situation. I’m not completely sure about GIS though.

B) I’d really think about the plan of taking your income to zero for a few reasons. First, it sounds like you’re about to make a bunch of non-taxable or already taxed money, taxable. While that might get you some GIS, you want to make sure that makes sense (assuming you can get the GIS this way).

B1/2) ETA: you might not need to take your income right down to zero in this plan. You get the basic personal amount and things like that, so those RRSP contributions are almost a moot point. You could be best to set those funds aside and stagger the contributions through the next few years. I’m not saying that’s what you should do for sure, but you’d need to do the math and see what comes out the most favourable.


I know some people here are going to get irritated with my saying this for the second time in a few days…but there are professionals who do this kind of thing for a living, and we can handle these kinds of scenarios. You should probably consider some professional advice.

Last edited by Slava; 12-04-2022 at 08:45 AM.
Slava is offline   Reply With Quote
The Following 3 Users Say Thank You to Slava For This Useful Post:
Old 12-04-2022, 08:52 AM   #545
Sliver
evil of fart
 
Sliver's Avatar
 
Join Date: Sep 2009
Exp:
Default

Quote:
Originally Posted by Slava View Post
I donít want to give advice online, because itís obvious that I donít know the full situation here. But a couple things in general:

A) you could get retroactive payments from Service Canada because they do this when they pay things like CPP/OAS depending on the exact situation. Iím not completely sure about GIS though.

B) Iíd really think about the plan of taking your income to zero for a few reasons. First, it sounds like youíre about to make a bunch of non-taxable or already taxed money, taxable. While that might get you some GIS, you want to make sure that makes sense (assuming you can get the GIS this way).

B1/2) ETA: you might not need to take your income right down to zero in this plan. You get the basic personal amount and things like that, so those RRSP contributions are almost a moot point. You could be best to set those funds aside and stagger the contributions through the next few years. Iím not saying thatís what you should do for sure, but youíd need to do the math and see what comes out the most favourable.


I know some people here are going to get irritated with my saying this for the second time in a few daysÖbut there are professionals who do this kind of thing for a living, and we can handle these kinds of scenarios. You should probably consider some professional advice.
FWIW, I completely agree. I don't know where I'd be without my financial advisor. I definitely sleep better at night having that expertise in my corner. This poster absolutely, positively needs some professional guidance before retiring. It's a borderline emergency for him.
Sliver is offline   Reply With Quote
The Following User Says Thank You to Sliver For This Useful Post:
Old 12-04-2022, 09:04 AM   #546
Geraldsh
Scoring Winger
 
Join Date: Jun 2019
Exp:
Default

I second that advice. I tried gaming the system myself for a few years before I found a good financial advisor. With his help, after 10 years of retirement my nest egg is still the same size as when I started - much better than the path I was on by myself.
Geraldsh is offline   Reply With Quote
Old 12-04-2022, 07:51 PM   #547
Red Ice Player
Powerplay Quarterback
 
Red Ice Player's Avatar
 
Join Date: Jul 2008
Exp:
Default

Quote:
Originally Posted by Slava View Post
I donít want to give advice online, because itís obvious that I donít know the full situation here. But a couple things in general:

A) you could get retroactive payments from Service Canada because they do this when they pay things like CPP/OAS depending on the exact situation. Iím not completely sure about GIS though.

B) Iíd really think about the plan of taking your income to zero for a few reasons. First, it sounds like youíre about to make a bunch of non-taxable or already taxed money, taxable. While that might get you some GIS, you want to make sure that makes sense (assuming you can get the GIS this way).

B1/2) ETA: you might not need to take your income right down to zero in this plan. You get the basic personal amount and things like that, so those RRSP contributions are almost a moot point. You could be best to set those funds aside and stagger the contributions through the next few years. Iím not saying thatís what you should do for sure, but youíd need to do the math and see what comes out the most favourable.


I know some people here are going to get irritated with my saying this for the second time in a few daysÖbut there are professionals who do this kind of thing for a living, and we can handle these kinds of scenarios. You should probably consider some professional advice.
Thanks for your reply. I strongly value your expertise in all things financial.
I am not about to turn my hard earned TFSA into taxable money. It will be my best income stream when I start drawing from it in three years. My RSP contribution will come out of my wages, as always. I actually won't have to make a massive contribution to achieve the zero income, as I have a good amount of unused RSP contributions that I made two years ago.
I have enough RSP room to collect max GIS for the first four years of my retirement. I only have to offset my CPP, which I already collect, and a very small company pension. I would also pay no income tax for those years. I am prepared to pay the tax on the RSP when I start withdrawing from it. To me, having that GIS money means I don't have to draw from my investments as much for those years.
Maybe "zero income" is the wrong term. What I meant was whatever amount of RSP contribution is necessary to qualify for max GIS. I should also mention that I am still eighteen months away from my retirement, so no rash decisions are being made. Thank you for your concern, Sliver.
I am trying to structure my retirement so that at least half of my income will be tax free, even when I start doing the RIF withdrawals.
I really do need to find out about retroactive GIS payments. It could amount to over twelve grand for my retirement year so I at least want to be prepared for it. GIS is not usually considered in most retirement plans but I think it should enter the conversation. I barely knew about it until a couple of years ago. Thanks to my RSP room, I can collect an extra cheque every month on top of the tax deferral.
Red Ice Player is offline   Reply With Quote
Old 02-22-2023, 11:04 AM   #548
kcin
Backup Goalie
 
Join Date: Oct 2014
Exp:
Default

Does anyone have a detailed and highly customizable retirement planning calculator for Excel that they can link to? Happy to pay a little bit if it's what I'm looking for. Looking for something that's powerful enough to run various scenarios and optimize drawdowns (by account) for taxes, OAS, and CPP. Could build a model myself but wanted to ask if there's something amazing out there first.

Thanks in advance
kcin is offline   Reply With Quote
The Following User Says Thank You to kcin For This Useful Post:
Old 02-26-2023, 05:44 PM   #549
RichieRich
Powerplay Quarterback
 
Join Date: Dec 2017
Exp:
Default

Quote:
Originally Posted by kcin View Post
Does anyone have a detailed and highly customizable retirement planning calculator for Excel that they can link to? Happy to pay a little bit if it's what I'm looking for. Looking for something that's powerful enough to run various scenarios and optimize drawdowns (by account) for taxes, OAS, and CPP. Could build a model myself but wanted to ask if there's something amazing out there first.

Thanks in advance
Thatís something Iíd also be interested in.
RichieRich is offline   Reply With Quote
The Following 2 Users Say Thank You to RichieRich For This Useful Post:
Old 06-02-2023, 09:24 AM   #550
edslunch
Franchise Player
 
edslunch's Avatar
 
Join Date: Apr 2009
Exp:
Default

What is a typical rate of return on investments for someone of retirement age (i.e. a less aggressive investment approach). I'm unhappy with my current advisor but want to calibrate my expectations.
edslunch is offline   Reply With Quote
Old 06-02-2023, 09:34 AM   #551
Slava
Franchise Player
 
Join Date: Dec 2006
Location: Calgary, Alberta
Exp:
Default

Quote:
Originally Posted by edslunch View Post
What is a typical rate of return on investments for someone of retirement age (i.e. a less aggressive investment approach). I'm unhappy with my current advisor but want to calibrate my expectations.
I think it's really hard to say with any certainty because it depends on the asset mix. It's also going to matter what kind of timeframe you're looking at, because if you were looking at a one year figure from today, it's not likely that amazing. If you're looking at longer, say the past decade or so, you should likely be high single digits for an average.

(I'll just throw my self forward as a shameless plug if you want to sit down for an unbiased look)
Slava is offline   Reply With Quote
Old 06-02-2023, 09:56 AM   #552
you&me
Powerplay Quarterback
 
Join Date: Nov 2017
Exp:
Default

Quote:
Originally Posted by edslunch View Post
What is a typical rate of return on investments for someone of retirement age (i.e. a less aggressive investment approach). I'm unhappy with my current advisor but want to calibrate my expectations.
The obvious goal should be to outpace inflation while balancing risk and if not self-managing, having someone taking a more active management roll to keep on top of the changing market.

There are a number of blue chip stocks currently paying dividends well in excess of inflation...
you&me is offline   Reply With Quote
Old 06-02-2023, 09:59 AM   #553
Slava
Franchise Player
 
Join Date: Dec 2006
Location: Calgary, Alberta
Exp:
Default

Quote:
Originally Posted by you&me View Post
The obvious goal should be to outpace inflation while balancing risk and if not self-managing, having someone taking a more active management roll to keep on top of the changing market.

There are a number of blue chip stocks currently paying dividends well in excess of inflation...
Well to be fair, dividends are just a different way to get your return. I know people that love them (and I feel like I have this conversation regularly!), but the reality is that total return is what matters and dividends are just a piece of that.
Slava is offline   Reply With Quote
The Following User Says Thank You to Slava For This Useful Post:
Old 06-02-2023, 03:37 PM   #554
DoubleF
Franchise Player
 
DoubleF's Avatar
 
Join Date: Apr 2014
Exp:
Default

Quote:
Originally Posted by Red Ice Player View Post
I neglected retirement planning almost to the last minute. I have some RSP savings but certainly not enough. My TFSA gets maxed every year and is doing reasonably well. Due to the previously mentioned neglect and disinterest I have a lot of accumulated RSP room. My plan is to leave my job at mid year, having turned 65 the previous year. At tax time, I will make an RSP contribution large enough to bring my total income for the year of my retirement to zero. This would qualify me for a monthly max GIS payment tacked on to my OAS, a strategy I can continue until I use up all my RSP room. My question is, would I also qualify for retroactive GIS for my entire retirement year? Technically, I'll be a destitute senior for that year so I would think so.
For GIS, I'm not 100% sure, but have a feeling it's based on the calculation of gross income (ie: Total box 15000 on your tax return).

RRSP contributions (as a deductions) are in the 20,XXX range to calculation net income (ie: Total box 236000). I don't think you can use RRSP contributions (ie: RRSP deductions) to have low enough taxable income (ie: Total box 26000) to qualify for GIS as a strategy.

Hire a professional to explain this stuff to you. Pay hourly for the requested questions and work (I assume you'd probably would be anywhere between 3-5 hours before you get the answers you need) and then go back on your merry way. Don't hire someone based on a percentage of your investments.

However, you might quickly find out that you were asking the wrong questions, so you have to go back and ask revised questions for a new scenario you may have ended up in. It's very normal to have to redo calculations every 3-5 years. You can't just do one up and leave it for decades until you die.

By the way, the same should be done for wills. Re-read and evaluate them every 5 years and get them updated/corrected if certain things change.

I don't have any recommendations for professionals. I'm just saying I'm 99% sure GIS income calculations are untweakable via deductions.
DoubleF is offline   Reply With Quote
The Following User Says Thank You to DoubleF For This Useful Post:
Reply

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump


All times are GMT -6. The time now is 07:12 AM.

Calgary Flames
2023-24




Powered by vBulletin® Version 3.8.4
Copyright ©2000 - 2023, Jelsoft Enterprises Ltd.
Copyright Calgarypuck 2021