I am 53 and retired at 50. 1 thing I did do to retire early was to get out of the 401K and IRA programs. Bought rental real-estate and I am now a Limited Partner in about 1500+ units from collabrative efforts in the fund my estate planner has me invested in. I do not work.
I only contribute 5% to get full company match, that’s it. The 401K plan is designed for you to work until you are about dead. Also, the government does not have their hands on it yet either.
My wife and I live off of our 401K. We don't work. I recommend highly to everyone to build your 401K or Roth IRA's as an alternate revenue stream in retirement to your Social Security. An observation on 401K's is when it gets over 300K it starts to accelerate. When you get over 500K it can really accelerate as the stock market grows.
Melissa Elise Robinson is the licensed advisor I use and im just putting this out here because you asked. You can Just search the name. You’d find necessary details to work with to set up an appointment.
Thanks for sharing. I curiously searched for her full name and her website popped up immediately. I looked through her credentials and did my due diligence before contacting her.
I'm 54 and my wife and I are VERY worried about our future, gas and food prices rising daily. We have had our savings dwindle with the cost of living into the stratosphere, and we are finding it impossible to replace them. We can get by, but can't seem to get ahead. My condolences to anyone retiring in this crisis, 30 years nonstop just for a crooked system to take all you worked for...
I feel your pain mate, as a fellow retiree, I’d suggest you look into passive index fund investing and learn some more. For me, I had my share of ups and downs when I first started looking for a consistent passive income so I hired an expert advisor for aid, and following her advice, I poured $30k in value stocks and digital assets, Up to 200k so far and pretty sure I'm ready for whatever comes.
Depends on how old you are and where you live. $750k isn't a ton to retire on. 1 month T Bills are around 5% right now, which would annualize to around $30k annually or $2600 a month. If you feel like you can live on that where you have that as a safe, medium yield investment. Of course everyone will tell you just buy the S&P500, VOO, etc. since it averages 8% - 12% long term, so maybe allocate less of your nest egg to that for the years the market is down.
You may want to research ETFs and other low cost mutual funds. I would strongly suggest you speak to a financial adviser as they will be able to provide advice based on your specific situation as well as help you devise a retirement budget that accounts for things like inflation and taxes.
Low cost of living location is key. Can be in the USA or not, but I wouldn't pick an expensive market to live in like SF or LA for example. If you are still young you may want to stay investing at 75% or more in the US stock market with mutual/index funds like VTSAX or FSKAX, and hold long term. Do NOT try to time the markets. That is often fatal.
@vincentchan5773 I agree. Working with a fiduciary not just an advisor is crucial to navigating the volatile market. My portfolio is currently diversified $600K in stocks (tech, big Pharma and consumer goods) and $350K in alternatives (private equity, precious metals, cryptocurrencies), which has boomed significantly!
This video is making lot of assumptions. It says to invest $2500 per month in the market. $15000 per year into mortgage prepayment or $1250 per month. Also has $900k mortgage on primary residence. About $5000 per month mortgage in best case. Let us assume $5000 is the monthly living expenses (based on the spreadsheet shared in the video). So you need about $13750 per month after taxes or $165,000 before taxes yearly. Which translates to $250k (approx.) house hold income before taxes with 33% tax rate.😂 And this is with that you do not save anything for the kids (RESP, day care etc.) I don't even want to talk about how you will get investment properties that are cash flow positive. Even 5% down on 500k property is some good money. Good luck getting investment property with 5% down. Usually 20% is required unless owner occupied. Please be very careful when watching such videos. They will tell you do this or do that. But will not explain where the funds are coming from. Also don't be depressed. A family earning $250k every year are very rare. Doctors or lawyers etc. Average household does not have that kind of income.
I get it, but that’s what it takes to retire in Canada. I have made plenty of video on the channel on how to make more money. Some will complain and do nothing and others will absorb the information and act on it. You saying it’s an impossible task won’t change the fact that you need these numbers to retire in 25-30 years. What’s the alternative? What’s your plan?
Can you compare the current net worth of this theoretical family and net worth of the when you are proposing to retire? You will get your answer if the rate of growth of the net worth is realistic. Otherwise it is just talk and not practical. Also share starting from zero how long did it take to reach current net worth, what was the family's salary for each year. What was the seed investment (inheritance from family etc.)? It is very easy to say when you are 37 years old you will have the following in net worth (based on the video): - Primary residence of 1.2M (900K in mortgage). - TFSA of 75K. - 2 (or 3) investment properties that are cash flow positive.
I’m well positioned with good blue chip companies and A.I stocks but I know crash is inevitable. Intend buying $200K worth of Plantir soon, some experts say it's the next Nvidia. Hoping to retire comfortably in 5 years
The issue is people have the "I want to do it myself mentality" but not equipped enough for a crash, hence get burnt. Ideally, advisors are best for investing jobs, and at first-hand encounter, my portfolio has yielded over 300% since 2020 just after the pandemic to date.
@@chadgriffith1969 truly appreciate the implementation of ideas and strategies that result to unmeasurable progress, thus the search for a reputable advisor, mind sharing info of this person guiding you please?
Great video but 2 things that were missing and can make a large impact on decision making. 1. You will need that calculated amount once you retire but you will probably need much less money as you get to 70, 75 and 80 years of age. For example, you will likely not be travelling as much and will most likely downsize eventually. There are videos online that break down how much you need at 60, at 70, at 75, at 80 and so on and is tapered to make your money last much longer. You may need $200,000 per year in the first 10-15 years but maybe only 180,000 for the next 5 years and 150K after that. This reduces your overall goal of money you must save. 2. This doesn't take into account the cpp/pension plans and other money you get from the government after 60 or 65 or whenever you retire. However, that amount is generally so low that I don't use it in my calculations either. I think of it as bonus money :D
In Canada, we get CPP and OAS. Even if you use conservative numbers of $500 each, you will get $1,000/month. For a couple that’s around $2,000/month which is significant. This number will grow with inflation. In my opinion, you should take this into account. Thanks.
Great Video. I am 37 too and my retirement goal is very similar to yours and retire before 55. I did take into account CPP and OAS which lowers my retirement number. Overall, very nice and informative video!!
The things you did not include were the cost of education for kids, the cost of maintenance including one-time big ones like changing the roof or external. You also need to add the cost of changing old cars once in 10 years
I am 43 with a net worth of $14 million. I have no need to touch this net worth (in real estate, stocks and crypto), because I also have a monthly income of $15,000 from a home based business. I started investing in 2001, sadly, this goal is not achievable for new immigrants including yourself that invested in real estate at the peak and signed up for expensive mortgages. You are forever going to be stuck in a loop paying extremely high living expenses. It is like trying to hit a target that is constantly moving. The future will have two categories of entrepreneurs, the rich upper class and then those that have a false illusion of making it. Gone are the days when immigrants achieved success after working hard for 10-15 years. Now, you are lucky if you can pay your monthly bills.
Thank you :) I am 37, and I am doing well because many people underestimate me and at times gave up on me. I figured that my gift is that I like to prove others wrong 😃
@@growwithnav impossible! Everything is stacked against you my friend. It’s 2024, a tale of two immigrant stories, those that came to Canada before 2010 and those that came after. Let’s chat again in ten years!
Wow talk about pessimism. I came to Canada about the same time as Nav, I think I'm doing pretty well in terms of finances. I would like to think it is possible for immigrants to make it here in Canada. If you invest 20 to 40% of your income no matter where you are you should be able to retire comfortably.
Great connect. definitely got me thinking. I did some calculations and our household income needs to go up by 60% to achieve something similar here. The end goal does seem a little daunting. Suggestion: present some basic calculations on the income needed now to achieve these. While there will be a lot of ausmptions. It could help a lot of folks set short term goals.
Dhasu! I wanted a channel like this for USA! Chalo aapka channel dekh ke accha laga. 👍 Will explore more. Hope you have podcast or interview of people who have achieved it so that people can learn from it!
Appreciate the way you explained this in detail. Especially diversifying funds and not considering any pension or social security. However, these numbers are very high for most individuals. like investing 2500$ in stocks is no way achievable in this inflation. I understand that these are just the numbers for calculation. but create something near to reality would be great help for everyone. However, great insight, keep up the good work.
I am 41 and a single mum. I haven’t taken retirement seriously but I do have 1 mil in equity in my two houses. I am swing trading on my 70k usd portfolio to grow it and 25k if rrsp. My target is close to 10 million at 65 because I will pay off my house in next 4 years with 1.8 million in equity(2 homes).
Hey Nav, Great insights in the video! Just a couple of points I wanted to mention: In the 25-year scenario, it seems the cost of maintenance wasn't factored in, which can easily be around $25,000 a year, or roughly $2,000-$2,500 per month. This would reduce the net income by about $4K-$5K for both homes. In your example of selling a home, you mentioned net proceeds of around $270K. However, after considering interest costs, investments in the home (like building a deck), and realtor fees (about 5%), the actual figure for expenses might be closer to $150K-$180K. So, the net profit could realistically be around $100K rather than $270K for the home that you just sold. Other than that, I really loved the video. Keep up the good work, and best of luck on your financial independence journey!
Thank you so much. I am glad you liked it. I did factor maintainence of 2K-2.5K. The rent will increase to $7000+ at 3% YoY. I did factor 5% costs & fees in the sale of the home. Cost of upgrades / deck is luxury spend and an expense. But fair, if you include that, I should knock off $25-30K from the net gains.
@@growwithnav welcome Nav.. you did factor maintenance of 2000$ - 2500$ but that part only included everything apart from the maintenance and repair of a 25 yr old home which i am assuming will atleast be 2% of the cost of house. Hence, I came up with the figure of atleast additional 24k$ per year. For the sale of the new home, the interest cost that you have paid would have come to atleast around 70k-100k$ which i felt was not included in ur calculation. But all in all, you did a splendid job of covering everything. If i have to give you my 2 cents, focus on just builing one additional property and invest the money from your second home to the stock market investment. That would easily ensure that your target of 200k $ gross is taken care. All the best.
Hey Nav, great video, thanks for sharing. Something to consider, xqq and vfv have a significant overlap in their holdings. Top ten holdings in both are big tech (aapl, nvdia, msft etc). It can still make sense to hold both but definitely something to consider if you want to diversify further.
Hi Nav, Super useful content as usual. Couple of questions 1. Isn’t 33% tax rate for 207k high in 25 years? In Canada the tax slabs are inflation adjusted. My understanding is if you need 5k per month(60k yearly) net income today you need to gross 75k with average tax rate at 18%. Since the tax slabs are inflation adjusted isn’t it reasonable to assume lower tax rate when extrapolating future income? Say between 20 and 25% 2. Though there isn’t guarantee on social security (OAS) shouldn’t CPP be considered. It is funded by tax payer and is supposed to replace 33% of income in retirement in 30 years. Thanks
Hi Jithin, thanks :) 1. The income will be split between 2 people + a lot of the stock portfolio will be TFSA. Since there is realestate involved, the tax will be under 25-30% easily, if not under 20%. Not a tax consultant, so didn’t want to talk about that here. 2. Social security isn’t a given. Don’t want to rely on the govt for my retirement 😀 if I get, great!! Extra money and leave more for the kids - or I will spend it on more travel 😀
Have you ever considered investing in Dubai ? What are your thoughts? The payment plans are very attractive in Dubai and rental yields are 8-12%. Also remember they have no taxes on capital gains
Hi Nav, great content. You are one of the best. Question - I invest in stocks and ETFs on Quest trade. Whenver I have some extra, I invest. I am finding it difficult to keep track of my return on investment. Example - $500 invested this month again $1000 invested after 6 months in same ETF / stock and I get dividend. How do I calculate my ROI. any app or excel format etc?
As a beginner, it's essential for you to have a mentor to keep you accountable. I suggest Miss Nancy William's Laplace is extremely good on that. She is really good on what she does, Now I can pay so many bills because of her help.
Do we compound stock market monthly or yearly. Isn’t monthly 6% return quite high. I understand that investment is done on a monthly basis. Do correct me if I’m wrong.
Incredible. I believe in investing and working because I love luxury . when a buddy of mine recommended me to a financial advisor. We spoke about investments and money. I began investing with $120,000, and after two months, the value of my portfolio was $314,800. You think this is crazy, but I choose to reinvest my profit and become more intriguing. We have been working together for more than 10 years, consistently turning a profit. a year ago, opened my first restaurant and bought myself a brand new car last week.
@@growwithnav Sorry to disagree with you here. Every investment channel that you mentioned is very dependent upon Govt. House prices, stock market, economy and thus CPP and OAS. You can take the min of the # but still that is 'extra' money that needs to be considered in the 5M$.
And what exactly you’re going to do with that kind of money. Eat it or sleep on it. Healthy way of life is keep working until your physical health can’t take it.
Great Video Nav, how do CPP and OAS fit into this retirement calculation? Assuming one decides to take them at 70 vs 66? OAS might have clawback but CPP is guaranteed and we are contributing towards it regularly nonetheless.
@@growwithnav Thanks for the new video with CPP and OAS built into your retirement planning. Managing one cash-flow property is less work than managing one for sure 😉🎉
great video. im 43 and late to the investing game. Lucky i do have a defined pension plan. and slowly starting to invest into vfv. i also started putting $100 a month auto investing for my son. What are your thoughts on auto investing on wealth simple.
This is such a good video for anyone looking to learn how to be secure at retirement Question : Your $2500 is going into an RRSP account since your TFsA is maxed out ? Or it’s something different investment account ?
Thank you for sharing such great content on TH-cam and Instagram, especially regarding investments. I have a question about one of your videos, "My $5,000,000 Retirement Plan" on TH-cam. In the breakdown section of your mortgage, you mentioned making a 20% down payment on a $635,000 property. However, the outstanding mortgage you referred to is $516,000. Could you clarify how this amount was calculated? Do not you think that this should be at least less than $508,000 as you did 20% down payment on your first home. ($635,000-20%*635,000=$508,000).
Thank you :) I had put $20K of upgrades on my mortgage, so the starting loan balance was $524,000. That’s why I said, it’s a long story and maybe will get into it some other video 😀
Hey Nav, will this same technique work for equivalent US stocks as well if we start investing today? VOO, QQQ, INDA, VYM Just asking from stocks perspective.
Bro you always give your numbers, I used to follow your potato talkies channel. Both of you always talking about money. People have kids, they have to pay for their education too. Taking care of expenses of elderly parents back home. Your number won’t work for all!!!
Are we assuming that the 5 million corpus we have created at retirement will pass onto family as legacy and we are just using the annual return on that to meet our post retirement expenses?
I admire your content, however How is this possible for a new immigrant without having a good job and struggling to feed the family! Just try to save what you can and try mortgage free after retirement. That is my thought in this.
Thank you :) Let’s say we do that.. the income will drop to $0. Let’s say we get $2000 from the govt every month… would that be enough for retirement? The whole idea of the video is to face the reality and make moves to improve income.
I’ll recheck. :) but amazing video. Kept me hooked for entire duration and now am curious to plan my retirement and investment journey ! Thank you for putting this up. 😊
So many calculations and don't know for tomorrow..... Simple rule of thumb try to be mortgage free as early possible and invest in some business if you can......
Just a warning if you get such a huge mortgage. What happens if you get into any accidents( god forbids not) and you are unable to pay the mortgage and value of the house falls than the purchasing price due to market crash.
@@growwithnav with CMHC essentially saying a starter home is 1.5mill now, I think most people would agree that 1.2 isn't high enough an aspiration for a forever home. But hey some people may want to live out of a van and they can be happy. To each their own.
Hi Navjot, I am getting ready for an investment property by the end of 2024, hopefully interst rates will also be a bit lower. We should connect soon as I want a positive cash flow property I am not a candian citizen but can I still buy a property in US?
Sorry, but this video looks like you wanted to make a video on FIRE number in rush asthere are lot of TH-cam capitalizing on FIRE.Many things in your video are missing and will stress your viewers till death! Key points which are missing are : CPP amount of you and your spouse you have totally missed also 1.2 million should be fairly big sized detched house and you can easily downsize to townhouse and put the difference in stocks and use them to fund your portfolio. Personally I feel 2 million of new worth can be a decent number
Babaji, Eh dollaran de chakkar vich kithhe paey gaye ho. Leave this gyan for the goras to give. Tussi taxi chalao, gurdware jao, rab da naa leo, chill paaji. Dimaag nu zyada zor na deo.
I am 53 and retired at 50. 1 thing I did do to retire early was to get out of the 401K and IRA programs. Bought rental real-estate and I am now a Limited Partner in about 1500+ units from collabrative efforts in the fund my estate planner has me invested in. I do not work.
I only contribute 5% to get full company match, that’s it. The 401K plan is designed for you to work until you are about dead. Also, the government does not have their hands on it yet either.
My wife and I live off of our 401K. We don't work. I recommend highly to everyone to build your 401K or Roth IRA's as an alternate revenue stream in retirement to your Social Security. An observation on 401K's is when it gets over 300K it starts to accelerate. When you get over 500K it can really accelerate as the stock market grows.
If I may ask, as in withdrew all of the money from the 401K and IRA programs? If so, what was your strategy behind that decision? Thank you.
Melissa Elise Robinson is the licensed advisor I use and im just putting this out here because you asked. You can Just search the name. You’d find necessary details to work with to set up an appointment.
Thanks for sharing. I curiously searched for her full name and her website popped up immediately. I looked through her credentials and did my due diligence before contacting her.
I'm 54 and my wife and I are VERY worried about our future, gas and food prices rising daily. We have had our savings dwindle with the cost of living into the stratosphere, and we are finding it impossible to replace them. We can get by, but can't seem to get ahead. My condolences to anyone retiring in this crisis, 30 years nonstop just for a crooked system to take all you worked for...
I feel your pain mate, as a fellow retiree, I’d suggest you look into passive index fund investing and learn some more. For me, I had my share of ups and downs when I first started looking for a consistent passive income so I hired an expert advisor for aid, and following her advice, I poured $30k in value stocks and digital assets, Up to 200k so far and pretty sure I'm ready for whatever comes.
@@FlorentGulliver That's actually quite impressive, I could use some Info on your FA, I am looking to make a change on my finances this year as well
@@johnawara9719 My advisor is MARGARET MOLLI ALVEY;
You can look her up online
Nah I Can't say I can relate, MARGARET MOLLI ALVEY charge is one-off and pretty reasonable when compared to what I benefit in returns.
I'm retiring with a $750,000 nest egg and aim to make it last. Which investments would you recommend for steady growth and reliable income?
Depends on how old you are and where you live. $750k isn't a ton to retire on. 1 month T Bills are around 5% right now, which would annualize to around $30k annually or $2600 a month. If you feel like you can live on that where you have that as a safe, medium yield investment. Of course everyone will tell you just buy the S&P500, VOO, etc. since it averages 8% - 12% long term, so maybe allocate less of your nest egg to that for the years the market is down.
You may want to research ETFs and other low cost mutual funds.
I would strongly suggest you speak to a financial adviser as they will be able to provide advice based on your specific situation as well as help you devise a retirement budget that accounts for things like inflation and taxes.
Index funds.
Low cost of living location is key. Can be in the USA or not, but I wouldn't pick an expensive market to live in like SF or LA for example. If you are still young you may want to stay investing at 75% or more in the US stock market with mutual/index funds like VTSAX or FSKAX, and hold long term. Do NOT try to time the markets. That is often fatal.
@vincentchan5773 I agree. Working with a fiduciary not just an advisor is crucial to navigating the volatile market. My portfolio is currently diversified $600K in stocks (tech, big Pharma and consumer goods) and $350K in alternatives (private equity, precious metals, cryptocurrencies), which has boomed significantly!
This video is making lot of assumptions.
It says to invest $2500 per month in the market. $15000 per year into mortgage prepayment or $1250 per month. Also has $900k mortgage on primary residence. About $5000 per month mortgage in best case.
Let us assume $5000 is the monthly living expenses (based on the spreadsheet shared in the video).
So you need about $13750 per month after taxes or $165,000 before taxes yearly. Which translates to $250k (approx.) house hold income before taxes with 33% tax rate.😂
And this is with that you do not save anything for the kids (RESP, day care etc.)
I don't even want to talk about how you will get investment properties that are cash flow positive. Even 5% down on 500k property is some good money. Good luck getting investment property with 5% down. Usually 20% is required unless owner occupied.
Please be very careful when watching such videos. They will tell you do this or do that. But will not explain where the funds are coming from.
Also don't be depressed. A family earning $250k every year are very rare. Doctors or lawyers etc. Average household does not have that kind of income.
I get it, but that’s what it takes to retire in Canada. I have made plenty of video on the channel on how to make more money. Some will complain and do nothing and others will absorb the information and act on it.
You saying it’s an impossible task won’t change the fact that you need these numbers to retire in 25-30 years.
What’s the alternative? What’s your plan?
Can you compare the current net worth of this theoretical family and net worth of the when you are proposing to retire? You will get your answer if the rate of growth of the net worth is realistic. Otherwise it is just talk and not practical.
Also share starting from zero how long did it take to reach current net worth, what was the family's salary for each year. What was the seed investment (inheritance from family etc.)?
It is very easy to say when you are 37 years old you will have the following in net worth (based on the video):
- Primary residence of 1.2M (900K in mortgage).
- TFSA of 75K.
- 2 (or 3) investment properties that are cash flow positive.
I built it all up when I was 33. From zero.
And the entire journey is on the channel - but it’s ok, you don’t have to do it if you can’t 🙌
I’m well positioned with good blue chip companies and A.I stocks but I know crash is inevitable. Intend buying $200K worth of Plantir soon, some experts say it's the next Nvidia. Hoping to retire comfortably in 5 years
Buy and wait for 5 years then see how it plays out. Personally, I will not sell any of my NVDA shares to buy PLTR
I prefer to invest in large cap companies which have economic moats, good cash flow and strong balance sheets such as AAPL, SCHD, NVDA and Barclays.
The issue is people have the "I want to do it myself mentality" but not equipped enough for a crash, hence get burnt. Ideally, advisors are best for investing jobs, and at first-hand encounter, my portfolio has yielded over 300% since 2020 just after the pandemic to date.
@@chadgriffith1969 truly appreciate the implementation of ideas and strategies that result to unmeasurable progress, thus the search for a reputable advisor, mind sharing info of this person guiding you please?
Annette Louise Connors is the licensed advisor I use. Just research the name. You’d find necessary details to work with and set up an appointment.
Great video but 2 things that were missing and can make a large impact on decision making.
1. You will need that calculated amount once you retire but you will probably need much less money as you get to 70, 75 and 80 years of age. For example, you will likely not be travelling as much and will most likely downsize eventually. There are videos online that break down how much you need at 60, at 70, at 75, at 80 and so on and is tapered to make your money last much longer. You may need $200,000 per year in the first 10-15 years but maybe only 180,000 for the next 5 years and 150K after that. This reduces your overall goal of money you must save.
2. This doesn't take into account the cpp/pension plans and other money you get from the government after 60 or 65 or whenever you retire. However, that amount is generally so low that I don't use it in my calculations either. I think of it as bonus money :D
In Canada, we get CPP and OAS. Even if you use conservative numbers of $500 each, you will get $1,000/month. For a couple that’s around $2,000/month which is significant. This number will grow with inflation. In my opinion, you should take this into account. Thanks.
Great Video. I am 37 too and my retirement goal is very similar to yours and retire before 55. I did take into account CPP and OAS which lowers my retirement number. Overall, very nice and informative video!!
The things you did not include were the cost of education for kids, the cost of maintenance including one-time big ones like changing the roof or external. You also need to add the cost of changing old cars once in 10 years
Thanks for the video. Just one thing, in the investment calculator I would compound annually rather than monthly
I like that idea of making a payment to your future self's benefit on a significant day you will remember (your birthday).
Good break down
I am 43 with a net worth of $14 million. I have no need to touch this net worth (in real estate, stocks and crypto), because I also have a monthly income of $15,000 from a home based business. I started investing in 2001, sadly, this goal is not achievable for new immigrants including yourself that invested in real estate at the peak and signed up for expensive mortgages. You are forever going to be stuck in a loop paying extremely high living expenses. It is like trying to hit a target that is constantly moving. The future will have two categories of entrepreneurs, the rich upper class and then those that have a false illusion of making it. Gone are the days when immigrants achieved success after working hard for 10-15 years. Now, you are lucky if you can pay your monthly bills.
Thank you :) I am 37, and I am doing well because many people underestimate me and at times gave up on me. I figured that my gift is that I like to prove others wrong 😃
@@growwithnav impossible! Everything is stacked against you my friend. It’s 2024, a tale of two immigrant stories, those that came to Canada before 2010 and those that came after. Let’s chat again in ten years!
Ok now go back to
Wow talk about pessimism. I came to Canada about the same time as Nav, I think I'm doing pretty well in terms of finances. I would like to think it is possible for immigrants to make it here in Canada. If you invest 20 to 40% of your income no matter where you are you should be able to retire comfortably.
@@danielli9569 yes. I’m planning to. Enjoy being poor :0)
Great connect. definitely got me thinking. I did some calculations and our household income needs to go up by 60% to achieve something similar here. The end goal does seem a little daunting.
Suggestion: present some basic calculations on the income needed now to achieve these. While there will be a lot of ausmptions. It could help a lot of folks set short term goals.
Fantastic video 👏
1 question : Which brokerage you use/suggest for stock investing especially when we investing 100s of thousand.
Dhasu! I wanted a channel like this for USA! Chalo aapka channel dekh ke accha laga. 👍
Will explore more. Hope you have podcast or interview of people who have achieved it so that people can learn from it!
Appreciate the way you explained this in detail. Especially diversifying funds and not considering any pension or social security. However, these numbers are very high for most individuals. like investing 2500$ in stocks is no way achievable in this inflation. I understand that these are just the numbers for calculation. but create something near to reality would be great help for everyone. However, great insight, keep up the good work.
Loved the video as usual. Very informative and insightful 🙌🏼🙌🏼
Glad you enjoyed it!
I am 41 and a single mum. I haven’t taken retirement seriously but I do have 1 mil in equity in my two houses. I am swing trading on my 70k usd portfolio to grow it and 25k if rrsp. My target is close to 10 million at 65 because I will pay off my house in next 4 years with 1.8 million in equity(2 homes).
It was a couple of months ago when I first gave a thought to retirement planning in Canada. Ran my numbers and boy, I couldn't sleep that night!
I am glad you did it 😀
@@growwithnav Great job Nav! This is a triggering video. So I believe it met its objective 🙃
💯
When you talk about the financial freedom numbers and investments, do you say it for a couple, or just yourself?
Hey Nav, Great insights in the video! Just a couple of points I wanted to mention:
In the 25-year scenario, it seems the cost of maintenance wasn't factored in, which can easily be around $25,000 a year, or roughly $2,000-$2,500 per month. This would reduce the net income by about $4K-$5K for both homes.
In your example of selling a home, you mentioned net proceeds of around $270K. However, after considering interest costs, investments in the home (like building a deck), and realtor fees (about 5%), the actual figure for expenses might be closer to $150K-$180K. So, the net profit could realistically be around $100K rather than $270K for the home that you just sold.
Other than that, I really loved the video. Keep up the good work, and best of luck on your financial independence journey!
Thank you so much. I am glad you liked it.
I did factor maintainence of 2K-2.5K. The rent will increase to $7000+ at 3% YoY.
I did factor 5% costs & fees in the sale of the home. Cost of upgrades / deck is luxury spend and an expense. But fair, if you include that, I should knock off $25-30K from the net gains.
@@growwithnav welcome Nav.. you did factor maintenance of 2000$ - 2500$ but that part only included everything apart from the maintenance and repair of a 25 yr old home which i am assuming will atleast be 2% of the cost of house. Hence, I came up with the figure of atleast additional 24k$ per year. For the sale of the new home, the interest cost that you have paid would have come to atleast around 70k-100k$ which i felt was not included in ur calculation. But all in all, you did a splendid job of covering everything. If i have to give you my 2 cents, focus on just builing one additional property and invest the money from your second home to the stock market investment. That would easily ensure that your target of 200k $ gross is taken care. All the best.
Thanks for the video. Quite Insightful. Why didn't you account for old age and cpp as Income?
It makes me feel so insane why you only have 16k subscribers.
Come on guys, support him.
This is quality content of the highest level ♥️.
Wow, thank you! 🙏
Hey Nav, great video, thanks for sharing. Something to consider, xqq and vfv have a significant overlap in their holdings. Top ten holdings in both are big tech (aapl, nvdia, msft etc). It can still make sense to hold both but definitely something to consider if you want to diversify further.
Yeah true. I was going do to 60% VFV, then though of doubling down on tech a bit.
That’s what I thought your intent would have been; To double down on tech!
This is a great video. Loved it. Thank you.
🙌
Just excellent! 👌
Hi Nav, Super useful content as usual. Couple of questions
1. Isn’t 33% tax rate for 207k high in 25 years? In Canada the tax slabs are inflation adjusted. My understanding is if you need 5k per month(60k yearly) net income today you need to gross 75k with average tax rate at 18%. Since the tax slabs are inflation adjusted isn’t it reasonable to assume lower tax rate when extrapolating future income? Say between 20 and 25%
2. Though there isn’t guarantee on social security (OAS) shouldn’t CPP be considered. It is funded by tax payer and is supposed to replace 33% of income in retirement in 30 years.
Thanks
Hi Jithin, thanks :)
1. The income will be split between 2 people + a lot of the stock portfolio will be TFSA.
Since there is realestate involved, the tax will be under 25-30% easily, if not under 20%. Not a tax consultant, so didn’t want to talk about that here.
2. Social security isn’t a given. Don’t want to rely on the govt for my retirement 😀 if I get, great!! Extra money and leave more for the kids - or I will spend it on more travel 😀
Have you ever considered investing in Dubai ? What are your thoughts? The payment plans are very attractive in Dubai and rental yields are 8-12%. Also remember they have no taxes on capital gains
You have to pay income tax on foreign income in Canada.
Hi Nav, great content. You are one of the best.
Question - I invest in stocks and ETFs on Quest trade. Whenver I have some extra, I invest. I am finding it difficult to keep track of my return on investment. Example - $500 invested this month again $1000 invested after 6 months in same ETF / stock and I get dividend. How do I calculate my ROI. any app or excel format etc?
Great video!
🙌
What company’s term insurance have you bought ? Can please share a link for that
How does this trading stuff work? I'm really interested but I just don't know how it go about it. I heard people really make it huge trading
As a beginner, it's essential for you to have a mentor to keep you accountable. I suggest Miss Nancy William's Laplace is extremely good on that. She is really good on what she does, Now I can pay so many bills because of her help.
This is correct, Nancy's strategy has normalized winning trades for me also and it’s a huge milestone for me looking back to how it all started..
Nancy is considered a key Crypto Strategist with one of the best copy Trading Portfolios and also very active in the cryptocurrency space.
I watched countless trading vids and still encountered many failures until Nancy started managing my trades
Now they yield about $13000 weekly
Good that you are not taking social security into consideration also health insurance is better in Canada compared to USA
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Please make video about details explanation of CPP plan in Canada🇨🇦
Do we compound stock market monthly or yearly. Isn’t monthly 6% return quite high.
I understand that investment is done on a monthly basis. Do correct me if I’m wrong.
Hardly matters. 6%
Annually - $2,020,842
Monthly - $2,076,020
Excellent video! However, in Canada you should also include CPP and OAS. Although who knows that in 30 years we will still be getting it.
Thanks :) which is why, I don’t want to rely on it 😀 I trust me > Govt
Incredible. I believe in investing and working because I love luxury . when a buddy of mine recommended me to a financial advisor. We spoke about investments and money. I began investing with $120,000, and after two months, the value of my portfolio was $314,800. You think this is crazy, but I choose to reinvest my profit and become more intriguing. We have been working together for more than 10 years, consistently turning a profit. a year ago, opened my first restaurant and bought myself a brand new car last week.
CPP and OAS should also be considered. I know it's not applicable to everyone but still important
I trust me > Govt 😀
If I get, that will be extra travel money, but I am a super safe person who wants to prepare for the worst.
@@growwithnav Sorry to disagree with you here.
Every investment channel that you mentioned is very dependent upon Govt. House prices, stock market, economy and thus CPP and OAS.
You can take the min of the # but still that is 'extra' money that needs to be considered in the 5M$.
@@RobinReji1990 100% - you can definitely consider that for your retirement plan.
any update on Tax deductable mortgage strategies for Canadians - Smith Manouver
And what exactly you’re going to do with that kind of money. Eat it or sleep on it. Healthy way of life is keep working until your physical health can’t take it.
Spend time with family. Travel. Work only if I want to.
Money doesn't solve all the problems, but it does solve a lot of problems. Also, 5M doesn't have the same value that it has today.
sirji tusi great hoo
Great Video Nav, how do CPP and OAS fit into this retirement calculation? Assuming one decides to take them at 70 vs 66? OAS might have clawback but CPP is guaranteed and we are contributing towards it regularly nonetheless.
It’s not enough and I can’t rely on the govt for my retirement - if I get $1000-$2000 extra, great - I can spend that on travel :)
@@growwithnav Thanks for the new video with CPP and OAS built into your retirement planning. Managing one cash-flow property is less work than managing one for sure 😉🎉
great video. im 43 and late to the investing game. Lucky i do have a defined pension plan. and slowly starting to invest into vfv. i also started putting $100 a month auto investing for my son. What are your thoughts on auto investing on wealth simple.
Sure, auto investing is great 👍
Talk more on term insurance and how to save on premium in coming days
There is nothing much to talk here honestly - you can talk to a couple of brokers and go for the best value.
This is such a good video for anyone looking to learn how to be secure at retirement
Question : Your $2500 is going into an RRSP account since your TFsA is maxed out ? Or it’s something different investment account ?
Thanks :) Non registered account.
So if it’s in non registered account, you need to pay taxes on it every year right?
Only when you sell
Thank you for sharing such great content on TH-cam and Instagram, especially regarding investments. I have a question about one of your videos, "My $5,000,000 Retirement Plan" on TH-cam. In the breakdown section of your mortgage, you mentioned making a 20% down payment on a $635,000 property. However, the outstanding mortgage you referred to is $516,000. Could you clarify how this amount was calculated? Do not you think that this should be at least less than $508,000 as you did 20% down payment on your first home. ($635,000-20%*635,000=$508,000).
Thank you :)
I had put $20K of upgrades on my mortgage, so the starting loan balance was $524,000. That’s why I said, it’s a long story and maybe will get into it some other video 😀
Hi Nav, Please advise how to invest in US real estate for rental cash flow. How to select property/which state etc.
That’s a really long topic, and a YT video won’t be enough :/ I like red states - Ohio, Florida, Texas, North Carolina, Arizona
Hi Sir, I don’t see the excel sheet you used for your calculations. Can I get the exact sheet
Hey Nav, will this same technique work for equivalent US stocks as well if we start investing today?
VOO, QQQ, INDA, VYM
Just asking from stocks perspective.
100%
Look into FLIN, lower MER than INDA
An alternate to ZID could be FLIN - lower MER
👍
Bro you always give your numbers, I used to follow your potato talkies channel. Both of you always talking about money. People have kids, they have to pay for their education too. Taking care of expenses of elderly parents back home. Your number won’t work for all!!!
bro 3 percent inflation is too optimistic please open your eyes and analyse real data
You mean it will be higher?
Hi, Please share your thoughts on Bitcoin ETF, is it worth investing in it.
I won’t risk my retirement on it. But definitely, invest the money you can lose :)
Are we assuming that the 5 million corpus we have created at retirement will pass onto family as legacy and we are just using the annual return on that to meet our post retirement expenses?
Yes. And it’s not actually a corpus. It’s a mix of stock investments and cash flowing realestate + primary home
Most difficult part of retirement planning is finding the right number... 😅
Haha, use the calculator :)
how to invest in stock from canada any video guide
Many videos on the channel.
Why are compounding monthly?
Exactly! I came to comment section to ask this 😂
Which term insurance you are taking?
Sunlife - 25 year term insurance
@@growwithnav Thank you for prompt response.
I admire your content, however How is this possible for a new immigrant without having a good job and struggling to feed the family! Just try to save what you can and try mortgage free after retirement. That is my thought in this.
Thank you :)
Let’s say we do that.. the income will drop to $0. Let’s say we get $2000 from the govt every month… would that be enough for retirement?
The whole idea of the video is to face the reality and make moves to improve income.
Hi Nav, great video. I am assuming all these numbers are for a household ( individual and their spouse) , is that correct ?
Yes
Retirement calculator spreadsheet link isn’t working.
Not sure why… it’s working for me
I’ll recheck. :) but amazing video. Kept me hooked for entire duration and now am curious to plan my retirement and investment journey ! Thank you for putting this up. 😊
🙌🙌
So many calculations and don't know for tomorrow.....
Simple rule of thumb try to be mortgage free as early possible and invest in some business if you can......
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Just a warning if you get such a huge mortgage. What happens if you get into any accidents( god forbids not) and you are unable to pay the mortgage and value of the house falls than the purchasing price due to market crash.
Do watch the full video :)
So much value in one video! Always love your content. By the way, the WhatsApp group link isn’t opening.
Thank you. That’s weird. It’s working for me
Try this - www.growwithnav.com/investorlist
Hi Nav, how are your parents staying with you? They are on which Visa?
Super visa
I am 32 years old, what I do for retirement
Watch this video :)
Does your wife helps with income or Just you alone doing everything??
Oh buoy, you have no idea what’s coming tomorrow and you’re out here planning for 100 years!
You do you my friend :) it’s ok 🙌
😂😂
@@growwithnav No doubt, great efforts in making this video but I feel it's too much on future planning.
I am a super safe guy :) don’t want to regret not planning.
Bhaji can u give me something on wealth simple
Just watch my investing video.
Link to value deals group please
www.growwithnav.com/investorlist
Forever home is 1.2mill? That's beta bro, aim higher
I probably have a different definition of aiming higher. It’s possible isn’t it?
@@growwithnav with CMHC essentially saying a starter home is 1.5mill now, I think most people would agree that 1.2 isn't high enough an aspiration for a forever home. But hey some people may want to live out of a van and they can be happy. To each their own.
Where is the link to WhatsApp group?
It’s in the description
Hi Navjot, I am getting ready for an investment property by the end of 2024, hopefully interst rates will also be a bit lower. We should connect soon as I want a positive cash flow property I am not a candian citizen but can I still buy a property in US?
Sure, you should get in touch soon. Link to book a call with the team is in the bio.
Sorry, but this video looks like you wanted to make a video on FIRE number in rush asthere are lot of TH-cam capitalizing on FIRE.Many things in your video are missing and will stress your viewers till death! Key points which are missing are : CPP amount of you and your spouse you have totally missed also 1.2 million should be fairly big sized detched house and you can easily downsize to townhouse and put the difference in stocks and use them to fund your portfolio. Personally I feel 2 million of new worth can be a decent number
Sure, it’s my plan which I am most comfortable with. Doesn’t have to be yours’ :) if $2M is your number, that’s great 🙌
Babaji, Eh dollaran de chakkar vich kithhe paey gaye ho. Leave this gyan for the goras to give. Tussi taxi chalao, gurdware jao, rab da naa leo, chill paaji. Dimaag nu zyada zor na deo.
You need some serious maths lessons. 😂
Does your firm help with US focussed real estate investments?
No. I don’t. I just have a course inside of my Grow Nation community for clients.