We’re rewarding the question askers & reputations are being recalculated! Read more.

Questions tagged [canada]

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

Filter by
Sorted by
Tagged with
12
votes
3answers
821 views

TFSA vs. RRSP… Best retirement approach

What's the best retirement strategy? Assuming I have $1000 and room in both my TFSA and RRSP contribution, where should the $1000 go?
11
votes
4answers
669 views

What's the general principle behind choosing saving vs. paying off debt?

In "general" is it better to pay off one's debt (line of credit, etc.) or is it better to invest (retirement account / RRSP or the like)? I understand that the answer will depend on terms of debt and ...
11
votes
4answers
5k views

Bigger mortgage downpayment vs. paying extra on the first regular payment?

Assuming there is no fees on paying extra $10k at the time of the first scheduled mortgage payment, what would be better - to put this $10k towards a downpayment or make bigger regular payment? ...
11
votes
2answers
435 views

I've heard pennies are being phased out in Canada. Is this true?

If so, will it affect how retailers price items? Will they round up?
11
votes
3answers
334 views

What does quantitative easing 2 mean for my bank account?

My wife and I have been saving aggressively for the last year now and all of our savings are in the form of cash in the bank. About half of the money is in US dollars and half is in Canadian dollars. ...
11
votes
5answers
9k views

Tax consequences of a foreign bank account for a US/Canadian citizen

My wife is a Canadian citizen, I am a US citizen. We live in the US, but make frequent trips to Toronto. The problem we face each time we cross the border into Canada is that we have to change our ...
10
votes
2answers
981 views

Am I responsible for an annual fee on a credit card I never picked up?

I just received a bill for a VISA card at a bank where I'm not a customer. There is just one charge on the card and it is for an annual fee of $120. The card is not actually made out to my name, but ...
10
votes
2answers
3k views

Save on taxes by paying oneself dividends instead of salary from a Canadian company

Shareholders of Canadian companies enjoy a so called dividend tax credit. Basically, this means a reduced rate of tax on the dividends paid by the company to the shareholder. That makes me think.......
10
votes
3answers
783 views

Should we try to make additional mortgage payments if we want to sell the home after 5 yrs?

In this question: Why making additional payment to mortgage counts towards principal? Why does it matter? it is explained why making additional payments towards your mortgage will bring down the total ...
10
votes
4answers
685 views

When will Canada convert to the U.S. Dollar as an official currency?

(note I really don't want this to sound argumentative, I'm genuinely interested. The title is simply a follow up to this question and my answer. To the Canadian users of this site, would you agree ...
10
votes
6answers
191k views

Ontario harmonized sales tax (HST) transition benefit rebate cheques / OSTTB: Who, when, how much?

As part of introducing the HST this July 1st, 2010, the government of Ontario promised to issue special HST rebates to people meeting certain criteria, in order to ease the transition to the new tax. ...
10
votes
4answers
2k views

Will says “divide estate equally”. Life insurance has one named beneficiary. Can proceeds be made estate property?

If a parent dies and leaves a will that divides the estate equally, but also leaves a life insurance plan that names only one child as a beneficiary, can the other siblings force the life insurance ...
10
votes
4answers
576 views

What happens if a purchase is $0.02 in Canada?

In 2012, the Canadian Mint abolished the 1¢ penny, and decided that all cash payments be rounded to the nearest 5¢ nickel, so that: $0.98 to $1.02 → $1.00 $1.03 to $1.07 → $1.05 $1.08 to $1.10 → $1....
10
votes
1answer
2k views

Defer bonus pay to next year

My employer offers the option of deferring my bonus payment to 2015 i.e instead of taking it in December, I have the option of taking it in 2015. Now, I understand if I was planning to retire/quit in ...
10
votes
4answers
911 views

What low-fee & liquid exchange-traded index funds / ETFs should I consider holding in a retirement portfolio?

I'm still (one year later) going through an exercise to restructure my retirement portfolio. To date, I've been using a mix of exchange-traded index funds. Some trade on the TSX, and others trade in ...
10
votes
4answers
87k views

What Canadian account number format do European banks need for wire transfer instructions?

I am trying to transfer funds from my account in Europe to my account in Canada. On the sending (European) bank's transfer instruction form there is a field I need to fill-in in the beneficiary's ...
10
votes
2answers
918 views

Does a restaurant have to pay tax on a discount?

I have a coupon which gives me 25% discount in a restaurant. Does the restaurant pay tax (and therefore should they charge me tax) on the full amount, pre-discount, or the amount after the discount? ...
9
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 low-...
9
votes
6answers
4k views

If I have no exemptions or deductions, just a simple paycheck, do I HAVE to file taxes?

My company holds back tax from each of my pay checks. I have no other sources of income. I don't expect I owe anything more on my pay. Do I really need to file an income tax return? I live in ...
9
votes
4answers
3k views

How much is university projected to cost in Canada in 18 years?

I don't know how much I should put into an RESP for my son. I have $1000 to start and plan to put $100 / month into it. Will this be enough to pay for university when he turns 18?
9
votes
3answers
5k views

Can I charge interest on money that I have lent out, even though I am not a financial institution?

On the news a couple of years ago, in BC, they said that if you are NOT an financial institution, it was illegal to charge interest on any money that you have lent out. Now I live in Alberta. And ...
9
votes
5answers
69k views

Transfer money from Canadian bank account to US bank account while living in the US

I'm Canadian and I will be doing graduate study in the US, but I will have scholarship money deposited in my Canadian bank account (it has to be done like that, and no, they won't send checks). So I ...
9
votes
2answers
2k views

Should my husband & I be saving money?

My husband and I are looking to buy a new house with a mortgage of about 400K-500K and a downpayment of 200K-300K (max value of home:700k). (We currently own a home that we purchased for 300K, and ...
9
votes
3answers
22k views

Is there a penalty if I withdraw from TFSA?

I have a TFSA account to which I have contributed 5000 yearly since past 3 years. Now in emergency, I need to withdraw some money. What are the penalties (if any) I am looking at? Thank you EDIT: My ...
9
votes
2answers
10k views

Does the sale of personal items need to be declared as income on my income taxes?

I have been selling some books that I own. I am selling them at a loss (less than I bought them for and less than market rate). However, I have gotten about $1,400 in income minus $400 for shipping ...
9
votes
4answers
764 views

Can I take advantage of lower interest rates while I'm stuck in a fixed-rate mortgage?

Interest rates across Canada are gradually creeping up, but they're still incredibly low compared to when I started my 5.79% fixed rate mortgage a few years ago. Several lenders still seem to be ...
9
votes
1answer
2k views

What is the difference between an A+, A or A- Insurance Company?

I've noticed insurance brokers providing me quotes and tables of quotes that compare insurance plans, and all of the institutions have a letter grade value assigned to them. Nobody that I have asked ...
9
votes
1answer
497 views

Starting off as an investor

For 2 years I am alternating between 4 months of work and 4 months of school, so for the first time in my life, I have a lot more money than I need. I will be graduating in 15 months and am looking ...
9
votes
2answers
362 views

Can I claim lost income if a company I invested in went out of business?

What happens when a company I invested in goes out of business? Is that declared as a personal capital loss? Does it offset capital gains elsewhere, and how do I include it in my tax filing?
9
votes
1answer
242 views

What happens when your Canadian ETF shuts down?

I just got a notice that an ETF I own will termiate in 2 months if the shareholders don't vote for an extension. I understand that if I kept the shares until the termination date, I would get a ...
8
votes
4answers
559 views

Does a stay at home mom need term life insurance?

I know the idea is to get life insurance on anyone who has a dependent so what about a family of three with a stay at home mom? I would assume the dependent would only be the child as I can continue ...
8
votes
3answers
10k views

Why do banks require small businesses to open a business bank account instead of a cheaper personal one?

I understand the need to separate personal finances and the business finances, be it sole-proprietorship or incorporation. I also understand that in the former it's optional, but in the latter it is ...
8
votes
1answer
4k views

Are Chase credit cards commonly accepted for purchases?

While trying to buy stuff online with a credit card, the options available are usually restricted to Visa, MasterCard and AMEX. I am thinking of getting a credit card from Chase, but where could I ...
8
votes
7answers
5k views

Losing Money with Norbert's Gambit

In attempt to avoid the usual 1.5-2% exchange fees levied by brokers, I perform Norbert's gambit: I purchase DLR.TO in CAD (Canadian dollars) from TSX, journal it over to DLR.U.TO, and then sell the ...
8
votes
5answers
3k views

Withdrawing cash from investment: take money from underperforming fund?

Suppose Bob has $15K invested in an account with 2 funds (for this question we'll assume a Canadian RRSP, but the country/tax implications probably aren't relevant). He has $10K in a conservative ...
8
votes
2answers
2k views

Should I remodel or buy a bigger house?

My husband and I have two children under 2 years old and have outgrown our current 1400 square foot home. My husband and I both work from home, and we have a day nanny who comes and helps with the ...
8
votes
6answers
6k views

How to pay U.S. bills while living in Canada with Canadian income?

I'm from the U.S., but I'm living in Canada and all my income is in Canadian dollars. What good options do I have for paying my American bills? Currently, the best option that's been presented to me ...
8
votes
4answers
3k views

Donating books to charity & claiming a deduction on my income tax: How to value the goods?

I have a large number of books. I tried selling them on Amazon, but they don't cost enough to make up for the shipping. I tried selling them at local book stores, but they barely took any of them ...
8
votes
2answers
1k views

Is Buying American Shares in Canada a Good Idea?

I am looking at buying some American based shares such as SPY (the S&P 500 Index ETF), but I am in Canada. I am wondering if buying something like this will have any consequences (e.g. I have to ...
8
votes
3answers
431 views

If I volunteer to give back to my community, is there a monetary amount assigned to my time, to act as an Income Tax Deduction?

Is there a value that can be assigned to my time, i.e. an hourly rate, so that I can be given a receipt to remit to CRA come Income Tax Filing time? I live in Canada.
8
votes
3answers
342 views

Which account should I put my money to get the most tax benefit?

I have $5,000 that I would like to put in to an investment account. To get the maximum tax benefit, should I put it in my RRSP, my child's RESP, or my TFSA account? I have enough room in each of these,...
8
votes
3answers
29k views

Are there any consequences to having a negative balance on a credit card?

I have two credit cards, a VISA and a MasterCard. I primarily use my MasterCard and only use my VISA when MC isn't accepted. I went about 18 months without using my VISA (I didn't use it at all in ...
8
votes
1answer
282 views

Smart Investments With No Risk

I have a chunk of money, around $20,000. I don't want to touch it until I am ready to buy a house, which could be anytime within the next 2-5 years. What would be the smartest way to make some money ...
8
votes
1answer
2k views

Borrowed money from a friend for my business, & can't pay it back. Got a lawyer's letter. What can happen?

I borrowed some money from a friend of mine for use in my business and I am not able to pay back to him now due to the bad business. Actually, he put the money into my business first and later decided ...
8
votes
2answers
5k views

Is there a free online credit report service in Canada?

This question refers to the AnnualCreditReport.com service in the United States. Similarly, is there a free online credit report service in Canada?
8
votes
2answers
1k views

Are TD e-Series Funds worthwhile, or am I better off with ETFs? Why or why not?

I'm looking at e-Series funds offered by TD. They have low MERs and seem to offer a good low cost alternative to traditional mutual funds. What do you guys think? Am I better off with ETFs? Why ...
8
votes
2answers
470 views

Cash out retirement account or sell and downsize the house to pay off line of credit?

I am in my mid 40's and I have an outstanding secured line of credit with a large balance that I want to clear. I can only come up with 2 scenarios to clear this amount based on my home equity and ...
8
votes
2answers
2k views

Is there something similar to Mint.com for Canada?

Mint.com sounds like an interesting service, but it doesn't look like it works in Canada. Is there an alternative for us?
8
votes
1answer
1k views

Peer to peer lending in Canada?

Is there a service similar to Lending Club in Canada or is it possible to use Lending Club without having a U.S. bank account? Edit : If you have an answer that might help with opening a U.S. account ...
8
votes
3answers
239 views

How do I figure out the market value of used books?

I have some used books and I would like to figure out their market value. Does anyone have any suggestions for how I should do that? Should I use prices on Amazon? If so, what formula should I use? I ...