For questions that relate to the laws, practices, and products of Canada.

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3
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1answer
36 views

What happens when a promissory note wasn't specific enough about interest?

My mom loaned a 'friend' some money a few years ago, which was supposed to be paid monthly. Since then the friend has been paying sporadically and they are now in a disagreement over what the ...
1
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0answers
37 views

Salary vs Dividend: is this example wrong?

I saw a link to a great article in old (2012) question. http://vereecke.ca/index.php/articles/will-that-be-salary-or-dividends/ I've tried understanding the article well, but I think that the author ...
2
votes
1answer
25 views

Switching Accountants - who does the audit review for past years?

If I switch my accountants, and the later CRA audits my returns (that were done with the previous accountant), who will be responsible for helping me with the audit: the new accountant or the previous ...
0
votes
3answers
87 views

If I was to buy something a day before my due date for my credit card bill, would I be charged interest?

First of all, I am a resident of Canada. I am sort of new to credit cards, so I hope my question makes sense. I've had my card for a few months ago and I've always payed the balance in full by the ...
0
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0answers
25 views

New TD D-Series funds: are they worth considering (unknown expense ratios)?

I am currently a holder of TD's e-Series funds in my investment portfolio. However, the other day, I came across a new series of funds offered by TD: D-Series funds. From what I can tell, the funds ...
1
vote
1answer
19 views

How to calculate after-tax return if investor can use capital loss, in Canada?

[Source:] As you can see in the table, the $105,000 government bond matures at $100,000, for a capital loss of $5,000. The investor would also collect interest totalling $9,660 over the three years ...
4
votes
1answer
313 views

Never-cashed cheques

A scenario: You pay someone with a cheque for something, receiving a receipt for it. They do not cash in the cheque. What is the ettiquette for this situation? Are you to go on living your life, ...
3
votes
1answer
77 views

Taking out money on current home for down payment of new home

My real estate broker is advising me to borrow money against my current house for the down payment on a second house . I need to borrow about 50k. My current house has a principal balance of 80k and ...
1
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1answer
95 views

How do I determine which ETFs yield more than, but are nearly as safe as, high-rate savings accounts?

Abbreviate High-interest Savings Accounts to HISAs. This question is restricted to ETFs that can be traded in only Canada. This question assumes the superiority of investing in ETFs, over HISAs. ...
0
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0answers
34 views

First time buyer in Ottawa and need some advice!

Hi im thinking of buying a home in Ottawa south for 350,000$ and im going to put 25,000$ as a down payment. I will be moving to another country in 3 years so i will have to sell my home. Do you think ...
0
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1answer
33 views

Foreign intern in USA - filling out W-8BEN form

I'm a Canadian student doing a paid internship in the United States for the summer on a J1 visa. I've set up a bank account here in the United States which has been used to successfully directly ...
0
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0answers
42 views

How to transfer funds online from a Canadian CIBC account to RBC instantly?

I thought Interac transfer is instant but my mom wants to send me money from her CIBC account but she said it takes 2-3 business days? What method can be used to transfer from a CIBC checking to a ...
1
vote
1answer
65 views

Candian citizen working for USA company staying in Canada

I am a Canadian citizen. What legalities do I need to follow if I take up a full time remote job offer from a company in USA? Also, how does the answer change if the job offer is in USA (remote) but i ...
2
votes
1answer
81 views

How do dividends affect your average cost (both re-invested and non re-invested)

I have read that re-invested dividends lower your taxes by increasing your average cost of the security so that when you sell your security, the difference between the sales price minus the book value ...
3
votes
1answer
78 views

US Citizen Buying Rental Property in Canada

I currently own a few rentals (town homes / condos) in the United States. I pay on average about 1% higher interest because it's not owner occupied. I have friends in Canada. I've been told there are ...
0
votes
1answer
60 views

What suggested supplemental income opportunities exist for a 70 year old Canadian retiree?

This is similar to the question "Extra revenue for retiree receiving a basic public pension", but focusing not on whether, but what. I am wondering what forms of supplemental income (jobs/gigs) would ...
1
vote
1answer
122 views

For long-term savings: Short-term Bond ETFs vs High-interest Savings Accounts

In the Summer 2015 edition of MoneySense magazine, the article Value Hunter (Cash cows for your portfolio) by Norm Rothery, recommends replacing High-interest Savings Accounts (HISAs) with Short-term ...
5
votes
1answer
78 views

Do Canadian citizens have to file Canadian income tax returns even when living abroad?

American citizens are required to file taxes from abroad and to declare all world income. Is something like this also a requirement of Canadians when not residing in Canada? Does anyone have any ...
1
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3answers
173 views

Is it smarter to buy a small amount of an ETF every 2 or 3 months, instead of monthly?

Hereafter, all money is in Canadian Dollars. My relative in Canada buys and holds for the long run. She plans to invest around $2000 of only ETFs monthly. Market timing is hard; so she refuses it. ...
-1
votes
1answer
47 views

Trade ETFs with Banks' Brokerages or separate Discount Brokerage? [closed]

Hereafter, all money is in Canadian Dollars. My relative in Canada banks with HSBC Canada, is an Advanced customer, and possesses an HSBC InvestDirect account. She buys and holds for the long run, ...
3
votes
1answer
94 views

Implications of a Canadian company IPO having a dual TSX/NYSE stock listing?

As an exampe, Shopify will go public this upcoming May 26th, selling shares both on the TSX and the NYSE. What are some of the main implications of this dual IPO, other than the fact that the ...
0
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3answers
133 views

How to exchange foreign non-US currencies cleverly, in Canada?

I ask this for my friend in Canada who wants to exchange some Asian currency into CAD. We all wish to avoid banks' exorbitant conversion fees. Norbert's Gambit appears to apply only for converting ...
1
vote
2answers
190 views

What is the optimum way to draw money from your retirement nest egg

Let us say I have put away a nest egg like this (all numbers in CAD): Cash/GIC : 100,000$ Stocks/ETF: 100,000$ Bonds:100,000$ REIT: 50,000 Own rental property : 200,000 Let us say, I wish to retire ...
7
votes
5answers
2k views

Pros/cons of borrowing money using a mortgage loan and investing it in a low-fee index fund?

I'm wondering if this investment strategy would work: I get a mortgage loan for $300K at a 3% rate (realistic for current 5-year fixed mortgage rates here in Canada). I invest the proceeds in a ...
3
votes
2answers
393 views

Unable to pay even the minimum payment on credit card

I was in USA for last 10 years, and I am not able to repay the credit-card payment, not even the minimum payment due. I was paying the minimum payment due before, but as I do not have a job anymore I ...
0
votes
1answer
35 views

Where to see SEC filings for companies that only trade on TSX

For a Canadian company that only trades in TSX and none of the US exchanges, is there a Canadian equivalent of SEC filings? Which website will have that info?
2
votes
1answer
130 views

Should I put a small amount of savings in a high interest savings account?

The highest in Canada that I've found is 2.8% interest, compounded annually where the interest is calculated daily. I have $2000, and the initial amount and the interest earned is guaranteed by a ...
0
votes
1answer
78 views

Do health insurance premiums go up as you age?

If I buy private health insurance at the age of 40, and start off with a monthly contribution of 200$ (for example), then does the amount of premium change when I reach 50? Since at 50, my medical ...
2
votes
1answer
87 views

What is the best way to pay my American rent from Canada?

I need to pay rent to my landlord on or before the day I arrive in America. Right now I live in Canada, and I have the money to pay (in USD), I just do not know what the most efficient payment method ...
2
votes
1answer
68 views

At what point do recurring small business losses become a problem with Canada Revenue Agency?

How many times can a small business owner claim an overall yearly loss, when filing income taxes, before the Canadian Revenue Agency (CRA) will consider it a problem? A friend who runs her own small ...
3
votes
0answers
57 views

Inheriting funds from a U.S. trust where you are not the trustee

I am a U.S. citizen trustee and executor of my mom's trust. My brother is a Canadian citizen and lives in Canada and not a trustee. I will be dividing the trust funds or investments between the two ...
2
votes
1answer
59 views

Can a dividend reinvestment plan (DRIP) and share purchase plan (SPP) be used with a TFSA?

Can I put Sun Life (SLF) shares into a dividend reinvestment plan (DRIP) and share purchase plan (SPP) plan, and then put into a TFSA investment account for a family member, 5 to 10 year term?
2
votes
1answer
129 views

How much should I charge a U.S. company for IT work I'll do remotely from Canada?

I'm currently living in Canada. I have very nice job and I'm happy with it. My previous company in the U.S. contacted me and they want to hire me as a 1099 (independent contractor) working remotely. ...
1
vote
1answer
88 views

T4A Slip received by student. What is it?

I am an 18 year old first year university student, and moving out of residence at the end of the semester recently I was informed that there was a letter that was not picked up. It turned out to be ...
1
vote
2answers
182 views

How to report Canadian T4 slip items (e.g. CPP, EI) on a U.S. tax return?

I am a U.S. citizen resident in Canada. Does anyone know how to report the various items on a Canadian T4 (a rough equivalent of a W-2) on a U.S. tax return? I am not sure about the following items: ...
0
votes
1answer
99 views

How can a Canadian establish US credit score

I don't have a SSN or US address. I would like to start establishing a credit score in US. What are my options? What is the fastest way?
0
votes
1answer
33 views

What duration bonds are held by the ETF XBB

I am looking at the bond etf XBB. This ETF mostly holds Canada govt bonds. What I don't understand is what is the duration of these bonds held by the fund?
3
votes
1answer
79 views

Can I use losses from sale of stock to offset capital gains from sale of property

If I make a capital gain from the sale of a house but make capital losses from the sale of stocks in my brokerage account (not tax sheltered), then can I use the losses against the gains to reduce my ...
-3
votes
1answer
66 views

How will a rise in interest rate affect the CAD

When Bank of Canada raises interest rates ( not sure when or if that will happen), can I expect the CAD to regain its former glory against the USD? Is it fair to say that buying the CAD: USD pair ...
-1
votes
1answer
75 views

How can a Canadian get exposure to safe haven currencies?

How can a Canadian get exposure to a safe haven currency like CHF and JPY? I don't want a U.S. dollar denominated ETF. I want something in Canadian dollars, to save on conversion fees. Is this ...
2
votes
1answer
74 views

How do management fees affect the money invested in a mutual fund

On mutual fund brochures, they state a management fee and also a MER. How to interpret these two numbers? For example, if management fee is 1% and MER is 2%, then for an investment of 100$, does it ...
0
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0answers
16 views

Time to receive foreign dividends (SET) to N. America

Is there an expected time to receive foreign dividends? It seems to take weeks or longer to receive dividends from stocks on the SET exchange. Granted they have to do a currency conversion and take ...
0
votes
1answer
53 views

Why does the Fidelity Canadian Bond Fund have such a high beta? How is it measured?

I am looking at some Canadian bond funds (recommendations welcome) for my RRSP. Relatively safe, and with a dividend yield ~ 3% is good enough. While looking at Fidelity bond funds, I came across this ...
1
vote
1answer
35 views

What is the difference between issuing company and holding company in a convertible bond

I am researching convertible bonds in Canada. While looking at the index etf that tracks convertible bonds, CVD What I don't understand is how come the list of Top 10 issuers is different from teh ...
2
votes
1answer
72 views

Buying Euros in a Canadian Trading Account

The Euro is trending low, and I have long term plans which might involve living there. I have a German girokonto (which costs me an outrageous Eur5/mo to hold), but no European trading account. ...
3
votes
2answers
187 views

How is someone tax exempt at Walmart in Canada?

When going to some stores, such as Walmart, there is a sign at every till: If you are tax exempt, please let us know before the first item is scanned. What qualifies as being tax exempt? Can anyone ...
0
votes
1answer
93 views

Does the CRA charge any penalty if you file a wrong tax return?

If you misreport a number on your tax return, will the CRA just charge you the extra money that you owe them? Or will they actually 'punish' you by charging hefty fines and penalty , and slap charges ...
2
votes
1answer
36 views

Spousal RRSP account

I am a first time home buyer and am thinking of making use of the HBP (Home Buyer's Plan). Both me and my wife are currently employed and have RRSP accounts in financial institutions through our ...
1
vote
1answer
55 views

Can the Home buyer's Plan (HBP) RRSP repayment start from the same year in which the loan is taken?

I am a first time home buyer and am thinking of making use of the HBP (Home Buyer's Plan). I have $35,000 in RRSP contribution limit. I am planning to deposit $25,000 into my RRSP account and $10,000 ...
2
votes
1answer
47 views

Is my contribution to my company pension plan (not RRSP) considered tax deductible?

My employer (a big bank in Canada) has a pension plan where I am allowed to make optional contributions. There is no matching contribution from the employer, but they do already contribute a tiny ...