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Can we talk about people who live beyond their means? (pg. 10)
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| Nrg2Nfinit |
And another thing is the maintenance of high value assets.
With the incredibly high tax rates in Canada, it's not enough to just work for your money, but you need to "hoard it" and make it work for you. For the very wealthy, i'm sure investments usually make the bulk of their wealth and one should always try to take advantage of capital gains taxes which cut your marginal rates in half. |
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| Vivid Boy |
who needs money! god gave rock n roll to you!
I am Bill S preston...Esquire!
and I am Ted Theodre Logan!
and we are the wyld stallynsss!!!!! |
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| Nrg2Nfinit |
Now Now!
don't make this a thread about God. |
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| Silky Johnson |
| quote: | Originally posted by Nrg2Nfinit
And another thing is the maintenance of high value assets.
With the incredibly high tax rates in Canada, it's not enough to just work for your money, but you need to "hoard it" and make it work for you. For the very wealthy, i'm sure investments usually make the bulk of their wealth and one should always try to take advantage of capital gains taxes which cut your marginal rates in half. |
What would you suggest to an amateur (like me), as a good place to start putting their money? I know all about investing and will be looking to put 1 to 2 grand towards something that will yield more than my TFSA every month. |
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| Nrg2Nfinit |
| quote: | Originally posted by Miss Pie
What would you suggest to an amateur (like me), as a good place to start putting their money? I know all about investing and will be looking to put 1 to 2 grand towards something that will yield more than my TFSA every month. |
Risk = reward. If i was in your position i would look into dabbing into mutual funds where you contribute to the fund on a monthly or semi annual basis. So a less volatile medium to low risk would be what you would look for which can pay out decent and not have so much risk attached to it.
Do this all in your TFSA account to avoid any taxes on gains.
You can talk to your bank about mutual funds. Make sure they pay out dividends so at least you get paid for holding your money in there.
The point of contributing monthly or semi annually (lets say 100 a month, or 500 every 6 months) is that if the price drops you can get a better price average.
The point of a TFSA is to invest in something that gives you a return so you don't pay taxes. If you are unsure of what to invest in now, i would suggest increasing your RRSPs as this will at least give you a tax break (as i believe from what you state that your a higher income tier earner).
Long story short, talk to your bank about contributing monthly or semi- annually into a medium to low risk mutual fund that pays out dividends.
If you want to get a bit fancier, take the dividend payouts from the first mutual fund and invest them in a riskier mutual fund. |
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| Silky Johnson |
Awesome, thanks dude. I actually used to have mutual funds years ago when I also put money away in a GIC. I ended up blowing all that money though, lol. And actually...the return I made on the GIC I used to pay off a loan, and then I reinvested the principle. Annnnd I think I blew all that money too.
I will def do this though. Should prolly do some of my owb research too I guess. |
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| Nrg2Nfinit |
| quote: | Originally posted by Miss Pie
Awesome, thanks dude. I actually used to have mutual funds years ago when I also put money away in a GIC. I ended up blowing all that money though, lol. And actually...the return I made on the GIC I used to pay off a loan, and then I reinvested the principle. Annnnd I think I blew all that money too.
I will def do this though. Should prolly do some of my owb research too I guess. |
yeah don't make any decisions at the bank immediatley
just ask them for a booklet on teh different type of mutual funds, what they are invested in and make sure there are little to no comissions involved (no-load)
then on your next visit pick one.
I don't suggest GICs or bonds now as the rate of return is fixed now for the life of your investment and the rate is too low.
a general rule of thumb (although might not always be the case) is if mortgage rates are high - go to bonds and gics
if mortgage rates are very low - go to stock market investments or mutual funds. Our current situation is the latter. |
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| Silky Johnson |
| Cool. Good to know. I'm pretty much looking for a relatively uncomplicated way to yeild some decent returns. Not trying to be a millionaire, but wouldn't mind a few pretty extra dollars. Bang for my buck and all that. |
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| UWM |
| quote: | Originally posted by Omega_Blue
though i totally agree, eating healthy *is* more expensive. fresh veggies and quality meats are in painfully expensive for the college kid on a budget. hence why most of them eat hot pockets and bagel bites. and pizza rolls. basically any variation of pizza. |
Eating fresh fruits and vegetables and fresh meat might be a little bit more expensive than eating ty boxed foods but wouldn't you rather eat actual food? In my opinion the biggest hurdle people have with buying fresh ingredients is that they are either too lazy to put them together into a meal or too lazy to figure out how to. I would know because I used to be that person. Now I won't touch anything that is boxed or pre-processed. Even eating sandwich meats is a stretch for me. The extra few dollars a week you might spend will be well worth it, trust me. |
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| Silky Johnson |
| It isn't that much more money to eat fresh...the difference in price is negligible imo. When you learn how to eat clean, you actually eat less...it all balances out in the end. I really don't know how people can eat processed - how they aren't aware of the way it makes them feel crappy. So many people I work with eat such terrible food, the same people who always complain about being tired all the time, who are always sick, always stressed out....bad skin, bad hair, can't understand why they can't maintain a healthy weight. Truly boggles the mind. You are what you eat!! |
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| Silky Johnson |
| I also don't buy the "college kid on a budget" excuse either. The thing with college kids, and I totally understand, is that fresh food/healthy living isn't a priority for them. 20 somethings don't give a about that - they want beer, sex, and parties. Which is fine...there's no better time to get away with polluting your body than in your 20s while it's still resilient. But don't in say you can't afford to eat well because you're a college student. Just admit you'd rather blow your money on fun stuff. Jeez. |
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| Dykes_on_Jay |
| For about 6 dollars i can get 2 big bags full of veg and fruit that last the week. China is ed up like that. Meat is pricey, so they are all underfed. I wear a top hat and eat more meat than ever. *kick to chest*. |
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