What is the best age to start investing for your retirement in Canada?
The earlier you start, the better. Thanks to compound interest, even small contributions in your 20s or 30s can grow significantly. Canadian investors benefit from tax-advantaged accounts like RRSPs (for tax-deferred growth) and TFSAs (for tax-free withdrawals). Starting by age 25 is ideal, but it’s never too late—focus on consistent contributions.
How much money do I need to retire comfortably in Canada?
There’s no exact number, and it’s different for everyone. That being said, a common rule is to aim for 60-80% of your pre-retirement income. Using the 4% rule, a $1,000,000 portfolio could provide $40,000 a year (plus CPP and OAS). Adjust for inflation, healthcare, and lifestyle. Our retirement calculator may be a more convenient way […]
RRSP vs. TFSA: Which is better for retirement savings in Canada?
They both serve their own purpose, but for your retirement plan: RRSP: Ideal for those earning a higher income now and expecting a lower one in retirement so they can take advantage of tax deferral. TFSA: For those in search of tax-free growth and withdrawals—which won’t impact income-tested benefits like OAS. It’s recommended to use […]
How can I reduce portfolio risk as I go through retirement?
Shift to conservative investments like bonds, GICs, or dividend stocks as you near retirement. Follow a “glide path” strategy (e.g., target-date funds). Diversify across asset classes and consider annuities or a RRIF for steady income. Rebalance annually and prioritize capital preservation. First and foremost, though, is to have a conversation with your Family Wealth Advisor.
How can I avoid OAS clawback and maximize benefits in retirement?
The Old Age Security (OAS) clawback reduces benefits if your annual income exceeds $93,454 for the 2025 tax year. To minimize this: