RETIREMENT PLANNING
Retirement Planning: Your Future Starts Now
What is retirement planning, and why does it matter?
Retirement planning is the process of preparing financially and emotionally for a stage of life when you’re no longer working full-time. It’s about ensuring you can maintain your lifestyle, cover rising healthcare costs, and fund activities that bring you joy. Without a well-thought-out plan, you risk outliving your savings or sacrificing your dreams for a secure retirement.
Ask yourself:
- Do you know how much you’ll need to retire comfortably?
For most Canadians, the number is approximately $1.5 million. - Have you calculated how much to save each month to hit your goal?
If you start at 25, you may need just $270/month, but waiting until 45 means setting aside a daunting $2,088/month to reach the same target by 65.
| Starting Age | Monthly Savings Required (10% Annual Return) (write statement for this) |
|---|---|
| 25 | $270 |
| 30 | $441 |
| 35 | $727 |
| 45 | $2,088 |
| 55 | $7,505 |
STATEMENT: If you start taking advantage of compound growth at the early age of 25 you will only need to save
270$ monthly to reach 1.5M by the age of 65.
(Keep changing the age and saving amount according to the table)
The earlier you start, the more you benefit from compound growth. Are you maximizing this advantage?
Employer-Sponsored Retirement Perks
Are you taking full advantage of these workplace benefits?
- Registered Pension Plans (RPPs): Contributions are often matched by your employer. This is free money—are you leaving it on the table?
- Group RRSPs: These tax-advantaged accounts reduce your taxable income while building your nest egg.
- Deferred Profit-Sharing Plans (DPSPs): If your company profits, you benefit. Are you optimizing these contributions?
Government Retirement Benefits: What’s Available?
Do you know how much income to expect from the government?
1. Canada Pension Plan (CPP):
- Starts as early as 60 or can be deferred until 70 for higher payouts.
- Contributions during your working years determine your eligibility.
- Have you considered the best time to start collecting?
2. Old Age Security (OAS):
- Begins at 65, but high-income earners face clawbacks starting at $86,912 (2023).
- Is your income structured to minimize this clawback?
3. Guaranteed Income Supplement (GIS):
- Provides additional support for low-income retirees.
- Do you qualify? If not, what steps can you take to safeguard your income?
What’s at Stake if You Delay?
- Missing out on employer matches is like turning down a raise.
- Starting later means saving much more, putting your current lifestyle at risk.
- Poor tax planning could leave you with less income in retirement.
Have you thought about this yet??:
- Will you have enough to travel, enjoy hobbies, or support loved ones during retirement?
- How will you cover healthcare costs as they rise?
- Are you leveraging tax-saving accounts like RRSPs and TFSAs effectively?
Take the First Step Today
Don’t leave your retirement to chance. Our expert advisors specialize in building tailored retirement plans for Canadians.
- Are you confident in your current plan? If not, why wait?
- Let us help you uncover opportunities to maximize your savings and protect your future.
Schedule your free consultation today! A secure and fulfilling retirement starts with a single step—let us guide you there.
