Whether you’re buying a house, going back to school, starting a business, planning a trip or paying down a mortgage, you should consider various financial strategies to ensure the goals and projects that are important to you become a reality.
Buying a property is one of the largest investments you’ll ever make, so we recommend that you consult FÉRIQUE's Advisory Services.
For the down payment, you should be aware of a government program – the Home Buyers’ Plan (HBP) – that lets you borrow from your RRSP. In addition to the down payment, you’ll have to plan for mandatory expenses, such as notary’s fees, appraisal fees, transfer tax, insurance and, in the case of a new house, sales taxes. Other aspects of a legal nature should be considered if you buy in co-ownership or if you make the purchase with a de facto spouse.
Unless you been planning and have saved the necessary funds, going back to school is usually a financial challenge. Becoming a full-time student when you have a family, a house and various obligations involves serious adjustments.
You should know that you may be eligible for loans and grants offered by Student Financial Assistance, but that the maximum amount available is $13,500. If your spouse earns more than $48,000, the amount gradually decreases. Another possibility is the Lifelong Learning Plan (LLP), which allows you to withdraw $10,000 a year from your RRSPs, if you have accumulated sufficient funds, to a maximum of $20,000.
This is the question that homeowners who cannot do both at once must ask themselves. Whether to pay your mortgage or contribute to your RRSP depends on your individual situation. The factors to consider are the amount of your mortgage, the interest payable, your taxation rate and your age. The answer to this question will therefore be different from one person to another.
Contact FÉRIQUE’s Advisory Services to determine what suits your situation best!
You’re about to make one of your fondest dreams true by starting your own business.
Don’t hesitate to contact FÉRIQUE’s Advisory Services team to find the best-adapted financial planning solutions. In addition, our Advisory Services personnel can refer you to specialists who will assist you with legal matters, taxation and wealth management. Like you, we want the launch of your business to be a success!