Posts from the ‘Legal’ Category

Apr 24

Joint Adventures: The Dos and Don’ts of Owning Assets Jointly for Estate Planning Purposes

Introduction

If you happen to live in provinces like Alberta or Quebec with only token probate fees, planning to avoid them may be like wearing a tuxedo to barbeque– far more of a hassle than it’s worth. Both these provinces have capped fees that will probably cost you less than a two night’s stay at a good hotel. Yes, there is still the hassle and delays that can go along with the probate fee. You may also need to pay a legal wordslinger to guide you through the process, which can add several thousand dollars more to the bill but, most of the time, the total bill still isn’t enough to motive most of us to take additional steps while above ground. Furthermore, Quebec has different laws than the rest of Canada anyway, so the rest of this article doesn’t apply to those of us who own chateaus by the St. Lawrence in any event. Read more

Mar 12

4 Tips for A Better Will

Further to requests following my webinar for Canadian Moneysaver magazine last October, I’m going to write a number of articles designed to help you understand the estate planning process, detail your choices, and assist you in increasing the chances of the right people getting the right assets at the right time — and with as little hassle, tax or expense as possible. If I can make you laugh or at least tweak the corners of your mouth from time to time along the way, I’ll consider that an added bonus. Read more

Feb 18

1 Comment

Borrowing From Peter to Invest in Paul: Does Borrowing Against Your Home To Invest Make Sense?

To quote an oft-repeated line from Hamlet, “Neither a borrower nor a lender be.” To many of us, like my grandfather, these are words to live by (particularly the bit about not borrowing). Traditional wisdom suggested saving until you could pay in cash and, if you had to borrow to buy something like a home, moving heaven and earth until you owned a clear title. As for me, I don’t see things as nearly that clear- cut. While I agree that saving for the future is a wonderful thing and that living beyond your means is the road to ruin, carrying debt isn’t necessarily as evil as some might suggest. I hope to show you at least a couple of exceptions to the general rule, after which I’ll turn the focus to leveraged investing using home equity. Then you can decide if it’s a good thing for you or merely for those receiving commissions. You’ll also see some suggestions that I hope will help tip the odds more firmly in your favour if this path appeals to you. Finally, although I’ll discuss some borrowing options in passing, I will leave a more detailed review of this subject to Russ Morrison, a mortgage-broker friend of mine who excels at this sort of thing.

Jan 1

Insured Annuities

Do you have pension envy? Are you one of those people who secretly or not-so-secretly covet a gold-plated defined benefit pension plan that promises a stable income for life, no matter how long you live or how poorly the stock markets perform? If so, funds permitting, you can take matters into your own hands and create one for yourself by purchasing a life annuity. Even better, unlike some pensions that only provide you with limited choices, a life annuity provides you with far more options on the features and guarantees that go with it so that you get the best fit for your situation. Even better, even inside most registered plan, you are not required to spend every last dollar on an annuity. As a result, you’re not stuck committing more of your retirement dollars towards monthly annuity cheques than makes sense, which means getting to keep the surplus invested for rainy days and emergencies. Sound enticing? Read on. Read more