Author Archive for: Veronica

Bitcoin was once exclusively associated with shady dealings, until it had an unexpected boom in 2010. Since then, cryptocurrencies have entered the public eye and it is a heavily debated topic in the finance and tech world. Today, you can use it to pay for various things, even your Starbucks latte. Are you still not convinced? It’s easy to be skeptical. First, crypto’s volatility is enough to make traditional investors and regular spenders squirm. Then, you have new crypto scams popping up everywhere.In this article, we’ll explore the legitimateness of Bitcoin and other cryptocurrencies in an attempt to answer the question: Is Bitcoin legal in Canada? Just because Starbucks allows crypto payments, does that mean you can use it anywhere? Well, legal and legal tender are two different things. We’ll cover Bitcoin’s legality, tax status, and more about crypto with this guide. What is Bitcoin? Bitcoin is a digital currency (better known as cryptocurrency) created with computer algorithms through a

A life partner adds a lot of value to our lives. Many Canadians are looking for that perfect someone and when they find them, you may want to celebrate your love by moving in together or getting married. However, marriage isn’t just about celebrating your love, it’s also a legal contract that involves the Canadian government and your finances (we know — this part isn’t very romantic!) This isn’t to say you shouldn’t get married, but you should have financial conversations with your partner before tying the knot to ensure you’re aligned. In some cases, you may find that common law is actually a better fit for you and your partner due to the differing financial and legal implications. To learn more about common law vs marriage in Canada, continue reading this guide. Common Law vs Marriage Canada Does a piece of paper really signify a loving relationship between two people? For many couples in Canada, the answer is no.

The Canada Pension Plan (CPP) is a national program that provides retirement benefits to Canadians. The CPP is funded by contributions from both employees and employers, in addition to contributions from the self-employed. It offers various types of payments, including a retirement pension, disability benefits, and death benefits. If you receive benefits from CPP, you may be asking yourself, is CPP taxable income? The answer is yes, CPP benefits are taxable, but there may be ways to reduce your tax liability on the payments you receive. Read on to learn more about how CPP is taxed and what steps you can take to minimize the impact of taxes on your benefits. What is CPP? The Canada Pension Plan (CPP) program originally started in 1965 to combat poverty among retired Canadians at the time. Since then, it has evolved and changed to adapt to modern needs. When the program first started, it relied solely on contributions from employees, employers and the

Every year, as the cold weather sets in and the leaves start to change colour, Canadian snowbirds from coast to coast make their annual pilgrimage south to escape the cold. Funny enough, so do Canadian geese! Whether this is your first year embracing the snowbird lifestyle or you’re looking for a new destination this winter, we compiled a list of the best places for Canadian snowbirds. Continue reading to figure out what the top locations are. What is a Canadian snowbird? A Canadian snowbird is a person who winters in a warmer climate, typically in the United States. However, Canadian snowbirds may go wherever else, but usually the reason for leaving is to escape the dreary winters. In the summer months, Canadian snowbirds often return home. These snowbirds, as they’re often called, spend anywhere from a few weeks to several months elsewhere to take advantage of the milder weather. Canadians retiring abroad are those who leave Canada all together, on

When you retire, one of the things you may be looking forward to is collecting your Old Age Security (OAS) payments. But is OAS taxable? The short answer is yes, but there are some nuances to consider. Furthermore, how much tax you pay on OAS depends on other aspects of your finances. In this blog post, we’ll take a look at the taxability of Old Age Security payments in Canada. Keep reading for more information! What is OAS? Old Age Security (OAS) is a retirement benefit available to Canadian citizens and residents. You may be eligible if you are 65 years of age or older. Plus have lived in Canada for at least 10 years after turning 18. However, if you retire to a foreign country, you must have resided in Canada for at least 20 years after turning 18 to keep receiving your OAS pension. If seniors choose to wait until they are 70 years old to start collecting

Are you curious about the average credit score in Canada and how you rank? By assessing the averages across Canada, you can understand how you compare to others who are in a similar position to you. If you’re below average, it may be time to sit down and devise a strategy to increase your score. If you’re close to or above average, then keep doing what you’re doing! In this article, we’ll explore what credit scores are and how they work in Canada. From there, we’ll provide a breakdown of the average credit scores by age and province or territory. Continue reading to learn more. What are credit scores? Credit scores are a number that represent your creditworthiness. A credit score communicates whether you are a good candidate for a loan or other financing. They can determine the interest rate you pay as well, which is based on your risk level as a borrower. In addition, sometimes landlords and even

Currently, the unemployment rate is 4.9% in Canada. While the unemployment rate has recouped to pre-pandemic levels, many Canadians are still at risk of losing their job. In fact, Statistics Canada reported that 31,000 jobs were lost in July 2022. If you’re one of the thousands of Canadians who have lost their job in recent months, you may be feeling uncertain about your future – and you’re not alone! If you are worried about a layoff, or have already faced a layoff, we explore what to do when you get laid off in Canada below. This includes managing your finances, searching for a new job and seeking support from friends and family. Read on for details. What does laid off mean in Canada? In Canada, a layoff generally refers to the temporary suspension or reduction of an employee’s work hours. Although, sometimes a layoff means the employee is out of work permanently for no fault of their own. A layoff

Despite inflation continuing in Canada, many employers are failing to pay higher salaries in line with increasing costs to their employees. Perhaps you’re considering self employment to earn a higher income using your existing skills. Or maybe you have a passion to pursue or you desire the flexibility that comes with self employment. However, there is a lot of work that goes into self employment and the burden of responsibility is undoubtedly larger. By the end of this article, you’ll gain insight into life as a self employed Canadian before you embark on the journey yourself. What is self employment? Self employment occurs when a person works for themselves as a freelancer, independent contractor or business owner, as opposed to working for an employer. A person in this state generates their own income and also covers business expenses. Because of this, self employed individuals have different taxation and face unique circumstances in their careers. Freelance vs self employed Often, freelance

A popular lifestyle choice in retirement is to become a Canadian snowbird. This refers to individuals who live in Canada for part of the year and elsewhere for the other part of the year. But when you leave Canada for extended periods, it can affect your residency status which can have tax implications. If you’re committed to the Canadian snowbird lifestyle, don’t let your retirement bliss be disturbed by an unexpected tax obligation. Here’s everything you need to know about the tax implications of living the snowbird lifestyle in retirement. What are Snowbirds? Snowbirds refer to individuals who live in one place for half the year, and in another place for the other part of the year. Normally, Canadians choose this lifestyle to escape the winter months and enjoy a warmer climate. In addition, the lifestyle is maintained in such a way as to reduce tax burdens and maintain residency in the desired location. Many retired Canadians enjoy the snowbird

Tax-Free Savings Accounts, or TFSAs for short, are powerful financial tools available to Canadians. Those who have access to these accounts typically make routine contributions each year. Withdrawing money from TFSA accounts may become necessary if you have an unexpected expense. Or maybe you want to invest in something, like a car purchase, education, or downpayment on a home. Luckily, withdrawing money from TFSA accounts is easy – and there’s no penalty for doing so. In this article, we’ll explore how to withdraw money from a TFSA and what you need to know before you complete the transaction. What is a TFSA? The Tax-Free Savings Account (TFSA) program began in 2009 as a way to motivate Canadians to set aside money throughout their lifetime. The tax-free incentive allows individuals to earn interest, dividends and capital gains on their investments without taxation. TFSAs are registered accounts meaning they’re registered with the Canada Revenue Agency and subject to special rules. Special rules: