One of the main factors in a financial analysis and subsequent forecasts is expense levels. Successful sustainability of net worth to age 100 is achievable when expenses are covered by cashflows over the entire period - if you are not in tune with your monthly expenses, even having a discrepancy of $500/month could be detrimental to one’s financial success when it is projected over for 40+ years.
Everyone has some sort of dream retirement mapped out in their minds – if not on paper – whether it’s wintering in warmer climates, playing endless golf or travelling the world. But after a period of higher inflation, uneasy markets and higher interest rates, some are wondering if they will have to scale back their plans.
After paying rent or the mortgage, buying groceries, putting gas in the car and covering a variety of other monthly expenses, it might feel as if there’s little money left to think of investing for the long term. Thanks to higher-than-normal inflation, Canadians are under increasing financial pressure. In a recent Manulife Bank survey, 79 per cent of respondents felt worried about their ability to save for retirement.
The freedom to enjoy life on your own terms, with plenty of time (and money) to travel, focus on your hobbies or do whatever your heart desires may come to mind first when you think of retirement. But funding this milestone stage of life takes planning, discipline and perseverance – and the sooner you start, the better.
When summer gets into high gear, families with young children know about the costs associated with summer camps—not to mention the logistics of getting kids to and from camp, making lunches, and all the other juggling.
Today in the middle of May as I write, the S&P500 sits just north of 4,100. It has been used as a good gauge of market value and direction, it is basically a measure of the performance of 500 of the most successful American public companies. For perspective on where the market sits today, at the end of 2019 the S&P traded around 3,200. That was 3 months prior to the Covid crash in March of 2020.
The first quarter (Q1) of 2023 was a rollercoaster ride for investors. Market volatility unfolded following U.S. and European banking turmoil, and interest rates and inflation climbed—evoking investor fears about financial stability.
After saving for countless years to build up a sizeable retirement fund, you are left with more questions than when you started. Do you start withdrawing from your RRIF in hopes of reducing your minimum withdrawals? What about your non-registered investments that are generating a possible tax liability each year? There are many different options for withdrawing your retirement income which can be correct depending on several variables.
[Manulife Investment Management] Managing duration risk is important for all portfolios, so we modeled duration risk in equities. We also shed some light on what tech layoffs mean (or don’t mean) for the wider economy. Finally, we explain why the Bank of Canada’s aggressive monetary tightening relative to its peers may not be enough to prevent a recession.
Why this blast from the past might be making a comeback. Solutions For Financial Planning, Winter 2022*
[Manulife Investment Management] The latest 2023 tax rate card puts the most up-to-date marginal tax rates and tax brackets by taxable income source, non-refundable tax credits, and much more all in one place. This reference card is designed to help you and your clients with tax planning for the 2023 calendar year.
This blog will talk about some hidden healthcare costs that Canadians may face in retirement and how to prepare for them.