How Much Do You Need To Retire In Canada? It Might Be Less Than You Think
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- เผยแพร่เมื่อ 11 พ.ค. 2021
- Fee for service planning from Parallel Wealth: www.parallelwealth.com/planning
One of the most important questions you can ask yourself...how much do I need to retire? There are obviously a lot of factors that go into this question: your age at retirement, your lifestyle, your pension, your OAS amount, and of course a lot more.
While the question is important, it can often leave Canadians stressed which is exactly the opposite what you want in retirement! This is where a financial plan can be extremely important. Everyone's situation is a bit different, so a plan designed for your situation will alleviate any stresses that you may have...plus, you may find that the savings number in your mind may be far higher than what it actually needs to be.
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If you have any further questions about this video's topic or any financial planning questions in general, I encourage you to find a certified financial planner in your area or book a consultation with us to get your savings plan on track. You can email Info@Parallelwealth.com or call 604-256-1151 and we will set up a meeting with you.
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DISCLAIMER: The videos and opinions on this channel are for informational and educational purposes only and do not constitute investment advice. Adam Bornn is not registered to provide investment advice and as such does not provide recommendations - those looking for investment advice should seek out a registered professional. Adam is not responsible for investment actions taken by viewers and his content should not be used as a basis for investment trades.
Retirees who struggle to meet their basic needs are the ones who could not accumulate enough money during their active years to meet their needs. Retirement choices determine a lot of things. My parents both spent same number of years in the civil service, but my mom was investing through a wealth manager, and my dad through the 401k. My mom retired with about 4.2 million, but my dad retired with roughly 1.8 million.
This is true. I'm in my mid 50's now. My wife and I were following this same trajectory. Last two years, I pulled out my money and invested with her wealth manager. Not catching up with her profits over the years, but at least I earn more. I'm making money even before retiring, and my retirement fund has grown way more than it would have with just the 401(k). Haha.
@@sherryie2 I think this is something I should do, but I've been stalling for a long time now. I don't really know which firm to work with; I feel they are all the same.
@@sherryie2 I might have heard this name somewhere, but can't really recall. I'll be following her up. Thank you. Do you know if she manages family fund too?
Trust me your parents did exceptionally well compared to the majority of us, no matter how hard we worked. Not everyone can have a government job.
I was stressed the first 2 years of retirement , started reducing my stress by volunteering locally after 6 months . Found out how fortunate I was . Learned to spurn debt early in life ( sometimes debt is useful to improve equity , purchase a home , transportation to improve employment ). Been retired over 10 years , took advice from real people that had been retired for a while and managed their own affairs . I enjoy the quiet life , travel at every opportunity . Spend less than you make , make a habit of saving , and enjoy yourself frugally between splurges .
COVID ocked up in your little apartment saves money...but TERRIBLE for physical and mental health! NOT retiring in 'Canada
Great info!!! I really like how you broke it down, gave examples and then gave the questions to ask when you speak to a CFP about creating a plan. And to include the estate planning component.
I applaud you for attempting to explain this complicated topic, considering how many variables there are. Of all of our friends and family we are the only ones - honestly, because we asked - who know what they spend every month in each category, who re-balance or take a good look at their portfolio twice a year, who can explain how inflation affects their retirement, and who have a decent idea of what taxes they have already paid and what more they will have to pay. Having someone who is able to explain retirement funding, specifically for Canadians, is so necessary. We have subscribed.
Thank you for making this video. I'm one of the people who has a questionable savings plan for retirement. I am 41 years old though, so I still have time. This video is definitely reassuring and gives me some direction, along with the other videos you have made on TFSA's.. While it is a scary thought, not knowing if you'll have enough money in retirement, I also feel that people underestimate their own resourcefulness, grit, critical thinking. Of course, you don't want to be working in your retirement years, but if you take into account other current events like the debt and deficits of governments, I think we can all feel a little better knowing that we aren't exactly "alone"..
This is so realistic and very helpful for everyone. Well done!!!
Absolutely love these videos, especially this one. He makes such complicated scary concepts so simple and easy to understand and apply. Thank you!
Thanks Heather!
Thank you for putting together this information in such a clear and comprehensive way. I look forward to watching your other content too. Keep up the amazing info!!
Thanks for the kind words. Appreciate it and thanks for watching.
This is THE question everyone is asking. Great Advice!! Thanks Adam!!
This is amazing. Just what I was looking for. Valuable content delivered in a friendly, Canadian way. Thank you.
Thanks Laura!
Well spoken and great presentation. Thank you for your time. 👍👍👍
Your videos are great!....and your background is very calming
This is a Great site. Insightful expertise delivered with clarity and simplicity. The tip on ensuring the TFSA recipient is set up as a successor/holder vs a beneficiary is Hugely important in the event the TFSA owner dies prior to drawdown. Thank You. I am now another appreciative subscriber.
Thanks Brent!
Thank you for the videos. Great information for Canadians. Nice to get Canadian information instead of USA information that’s not relevant.
Very much enjoyed this video...planning on retiring in 3.5-4 years. Every little tidbit of info you provide is very useful and helpful.
Thank you. Glad it's helping.
This was incredibly helpful, especially for those of us who are not in such a healthy position. Thank you.
Very helpful - thanks for the insights on retirement planning.
Currently 25 years old. Thanks for the video! Very informative.
If you are watching this at age 25, you are well ahead of millions of people.
Nice one! Keep up the great work! I really appreciate that your videos are targeted towards fellow Canadians. :D
Your information on retirement is a great eye opener! Thank you.
Thanks for watching!
I dont normally comment on any videos but this is one of the best videos I have seen, I have probably watched this a dozen times. I really appreciate all your content and watched the majority of them, so keep up the great work and thank you! Can you do a video on DC plans and when there is a mix of a dc pension and rrsps and how they can be converted and used in the most tax efficient manor. Thanks!
Great great video.
Simple but straight to the point
I’m from the Uk so things are slightly different here . However the broad detail of your advice I have found very useful. Thank you 🙏
Thanks for watching. Yes there will be a little difference in some topics, but overall most of the content will apply.
Great advice. There are very few planners who create a plan this detailed.
I have one which is even more detailed that I did myself. Trust me it is worth it's weight in gold. Once you have a full financial plan, your worries evaporate. Call this guy and get one done before you retire. It will make the retirement decision easy if you have been preparing. Or it will scare you to death and shock you into taking your future seriously.
Thanks for these videos!
I really appreciate you differentiating between the 3 phases of retirement needs. I had a financial plan done not that long ago and they had told me I was in dire straights and had to contribute 100% of my take home money into retirement savings to ensure I wouldn't starve in retirement. Needless to say, not very comforting. I will reach out for a more common sense plan. Your video content is fantastic.
You can plan your life so you live very cheaply. Ride a bike if you can. Cook all your meals - eat a lot of beans as they are extremely healthy and very cheap and filling - oatmeal and barley is not bad either - clothing can be all bought at garage sales or hand me downs from friends, and thrift shops. Furniture is free as people leave castaways on the street and you can get all second hand. Entertainment is the internet and Netflix and books that are free. You can draw pictures of things you like. Meditate. It is fun to live cheap and not have to work. Too bad though if you have an expensive hobby like horse back riding or collecting cars.
In other words “live like a hobo”!
In other words vote liberal and this will be a reality(already is) thanks Justine!!
@@ztekz If living like a hobo means riding your bike and grocery shopping/cooking your own meals with healthy ingredient then YES, reward your body with this lifestyle. Past two yrs I put more mileage on eBike than new truck. Cook at home instead of dining out. luv it.
@@spud2727 you probably don’t have to worry about retirement because you’re too “stupid” to put away money.
@@TheBoomtown4 justin is that you??
Great content on all your videos and finally Canadian! Subscribed.
Many thanks!!
Thanks for the video, you confirmed what I have planned was correct.
Glad I could help!
Great content. Thank you!
That same money can be in RRSP(100% taxable), non register accounts(50% capital gain tax) - if it’s in corporate account(return of capital. Defer tax payable until initial capital depleted), TFSA (0% tax payable), permanent life insurance (policy loan @12%, it may very from company to company or collateral loan from bank). Details on that how it works is outside of the scope for this thread.
Therefore, for example, when you see $100k in your account. You will not get $100k, unless it’s in TFSA.
Note: Inflation have no boundary.
Downsizing real estate is also another safety valve many people may have - eg. at 70 yrs old sell your $1M house and buy a $500k condo and add 500k to income bucket. These are great videos and Im sure you are putting some minds at ease. I will bring my accounts over to you guys soon with my general plan (i will retire Sept 2027). keep the videos coming - can you do one on types of safe income plans (MIC, Bond Funds, Dividend funds etc) that you use for accounts that need 5-7%
don't forget about the GIS as well if you qualify. remember its your income excluding was and supplement.
Great video, awesome topic. Thank you.
Really happy I found your channel. Great job with these videos!
Thank you. Always appreciate the positive feedback.
My goodness gracious, nice job on the background, lighting and camera.
Thanks Vin - as a financial planner is took some time to work this out. Not exactly my strength!
Yay, a Canadian financial TH-cam channel! Thanks for doing this!
Can you talk about spousal rrsp?🙂
Once I hear the K werd I usually just shut it offffff
Fantastic!!! Thank you for all your helpful videos. A suscriber.
Thanks for the sub!
Very nicely explained. Thanks
Great video, thanks!
thank you for this. great info.
Great video. I thought I would have needed a lot more! I was aiming for 4 million!
Excellent as usual!
i am already doing myself but seems your excel sheet gives me some new hint.
Best advice. Thanks.
Good information. Subscribed!
Would you ever consider touching on the topic of retiring with debt? There are a lot of people in that situation. I know people in their 60s who still have a mortgage.
At 55 my personal situation is I'm mortgage free since 2012 and I have just over $300K in RSPs. I have no financial plan for retirement. And I have not talked to anyone about it. At the same time I still don't think I have enough in my RSP to retire comfortably.
With all levels of government constantly coming after us for more taxes I think it's getting harder and harder for people to meet their retirement goals.
Thank for the video. you mentioned about medical bills but I did not hear about pharmacare for senior in BC!
thanks for the good information.
Long term care insurance will significantly cut back on the cost of the "no-go phase" and is one of the first actions to take when it comes time to think about estate preservation.
Somewhat agree. LTC insurance has been out for years and I have been licensed to sell it for 16+ years. The issue is that the products available are all just sub par IMO.
Thanks for the upload😮
Thanks for your videos. Wondering in the “no go phase” of retirement how you plan for that expensive retirement/long term care facility you might have to move to. The monthly fee for them can be very high.
So many are afraid to retire thinking they will not have enough money. For some people they will never have enough. Some think they need millions whilst others are happy with 40,000 a year. The important thing is when you have had enough with work, just retire, stop worrying live the time you have left.
Great content. Love your approach.
Thanks Robert
Good lesson.
Great video 👍👏
This is really great! So happy to have a HUMAN advisors and not sales person (aka investment advisors). My god, the 1% they take from the portfolio for 45 minutes once a year is criminal!
Thanks! If there is no planning it can be expensive. If you are paying up to 1% and getting planning advice its worth it. There is also value in having someone to lean on when times get tough. Vanguard did a great study on this.
Thank you so much Adam ❤
My pleasure!
73% are worried about outliving their savings. Yup. I understand my plan and am quite conservative but inflation could still be a killer. 2.2m invested but 60 years left of retirement. So far the account grows more than I use but the worry about a multi year market correction is real. Currently a 5-year GIC ladder is the insurance against a large drawn out correction.
My Retirement Plan is monthly income equal to 3.5x my monthly expenses at age 55. I figure my monthly expenses will be consistent from age 50-70. 3.5x should easily cover increase in inflation
Great info as always!!! A video comparing taking CPP at 60 vs 65 but still working till 65. I’ve been told if I take CPP at 60 but keep working and paying into CPP until 65 I’ll still get my normal payment at 65 with no reduction. Thanks
Thanks Ron. I'll see if I can get a video together on this. It's going to be less at 65 if you start at 60 even if you keep paying in, but I will try and get some numbers behind this so we can work through a case study. It's on the list!
You should switch the column headings - the nominal value should be the constant $69k, and the ‘real’ dollars should be the adjusted ones.
🤷🏻♂️🤷🏻♂️
If you have a colleague in the GTA/Southern Ontario area I would like to contact them. Thank you and I appreciate the time and effort you are giving to help people.
Thank you.
I don't, we are based in BC. That said, we work with people right across Canada. We have MANY clients in Ontario/GTA.
We worked with Adam and his team. The fact we were in eastern Canada and they were in BC, was irrelevant. In fact the time difference worked well; we found we were getting quick answers in the evenings.
Hello, any idea how it works for cross border workers who live in Canada and working in US? How does the retirement scenario work for them in US or Canada or any other country. The US employment takes deduction for social security and medicare every paycheck.
It is better to work with a Financial Planner like yourself, than doing it yourself. The fact, is and Im only talking about a good Financial Planner, will do better for you than doing it yourself. Why? Because do it yourselfers only focus on the bottom line. What is the return and that is the wrong way to look at it. like what is more important Mortgage Interest Rate OR Mortgage Interest PAID
Thanks for this video, well done. I notice that when you showed the couple Plan #2, you reduced the CPP to $1,500/month Vs $1,000 each /mo - Was there a reason for this?
Most common is partial CPP for 1 of the spouses. Just working with averages we see everyday (not necessarily Cdn averages)
The secret to a successful retirement is don't get married. If you do get married, then don't get divorced.
Divorce costs so much!
@@yukouchida9344 ...Usually 50%..plus residuals forever.
And don't live with someone.
@@yukouchida9344 Divorce costs so much because it's worth it!!!
@@kimberlini347 I think when you want to divorce, it doesn’t matter how much it will cost you.
I don't see anybody addressing that you might have a mortgage after retirement. This is the big elephant in the room/
You are screwed brother.
you probably should have that paid off in your 40's
@@meilingedm I will be done at the age of 75, I had to save money for several years before buying a house.
Wow I didn’t realize banks in Canada will give you a mortgage for that long. In my home country you have to be able to pay your mortgage off by 60 to qualify for it.
@@yarabamba the older you are depending on your income streams the easier it is to get more money..... there is ways to navigate, but most of it is to bud massive passive income stream and live off the dividends.
Hi, thank you for the great info! What retirement planning software would you recommend for Canadians?
There isn't many great ones for public use. Hoping to change that one day!
most people that doesn't have any retirement savings don't save because they don't have any spare income to put away. cost of living is high in this country and wages are low. the examples given show employment income like 80k, 160k... but most people are working with income more like 50k.
I agree. There's a lot of Canadians who are retired that live hand to mouth. They live on very tight budgets. Not all of us can work for the government and be blessed with a taxpayer funded pension.
Gov. seems like setting some new rules to withhold your CPP & OAS, either or both. Until you money & assets fall back to certain limit before getting it back????
Intersting, but do you take into account the inome tax peole and the crdeit bureaus and how they deal with the maoney we have and where and how we acquire it.
Also consider, moving abroad to a cheaper country might reduce your needs of income. Living in the Philippines i.e. and to keep your comparable lifestyle is 3:1. To live on 4.500 in Canada is equivalent to live in the Philippines on $1,500
People from some European countries mover to Canada to take advantage of the same thing.
So does it make sense to hold off on CPP and/or OAS to max out (perhaps) at the No Go Phase? Doesn't make sense to me; but every case depends on individual circumstances. I took early retirement at 62 after 42 years of service because I no longer enjoyed going to my job every day (politically correct description). Zippo retirement savings, major credit card debt and 5 years left on mortgage. The plan was to seek part-time employment to help pay off debt. Well the reality was, took early reduced CPP at just over $700 per month (would have received maximum if waited until 70), commenced Defined Benefit Pensions (x2), one included option of OAS equivalent until 65 when actual OAS kicks in and it ceases and could not find a part time job (have had to pay taxes since retiring). Lived on a strict budget and spent wisely also had some rental income. Instead of working a part time job, worked on getting as healthy as possible (losing weight) taking personal responsibility for keeping as healthy as possible. By the time I am 65, I will be mortgage free, debt free, stress free, prescription free, healthy (from what i can control) and free to travel if so desired, with guaranteed pensions that increase yearly with inflation and paid until death. If my spouse outlives me, they will continue to receive 100% of my private pensions, until their death. I can't complain.
$40,000 a year in Canada, in the province of BC, is simply inconceivable. Living in the country is getting far too expensive.
Just to simplify, on a 3% ROI you can withdraw about 5% for 25 years?
On a 5% ROI you can with draw about 7% for 25 years?
Is that a correct assumption?
Curious what are the statistics of living beyond 90 years and what is the cost of living after that.
Aside from that I think the 4% rule is a great goal for people planning for their retirement early in life or financial independence. It's an early lesson about the potential of wealth saved and invested early.
For people that are approaching retirement it is more important to plan for what you will have rather than what you wish you had. Looking at your retirement as a draw down to 0 is much more feasible and is commonly practiced for the people who could not build a large nest egg.
Just need little clarification on 3 % retrun, 3% of 274,139 = 8224.17 /12 = 685.34/month
Great video. Looks like I might have enough money unless I live past 90. Most of my income is in a RRIF. Looks like this year we will have a recession so my nest egg is going to take a beating. 4% of $400,000 is lot less than 4% of $700,00. And I understand at my age ,72 I have to take out more than 4% according to government rules? I wanted to retire with $1 million but life got in the way but with my mortgage and car both paid off ,plus 2 years of Covid do nothingness I was surprised how little I needed to live on. Do I wish I had more money? Of course , but be realistic and budget and you should be OK.
I'm an American and I'd like to retire to Canada. I'm 71 years old with a heart condition and diabetes. I control my diabetes through weight control, exercise and diet. No medication needed. I also have COPD because of life long asthma. But ironically, I'm as active as I've ever been. I still do serious hiking, aerobics, weight lifting, etc. But I'd still probably be barred from permanent residence in Canada because my age and health issues.
Good info 👍🏻
I have a question. When people are assessing their ability to retire based on their net worth/assets - how do you account for property/real estate? Do I include the value of my primary residence in my Retirement egg - assuming that I will be selling this property at some point (maybe when I'm 77+, and I no longer want to manage the property) and then be using all or a portion of the capital from the sale of the house to help with my retirement egg. Maybe I plan to downsize or move to another type of accommodation. This is a big part of some peoples plan for retirement - they own their own, and expect that this is part of the retirement nest egg that they have been nurturing for years. How do we account for this part of the puzzle. I appreciate your comments , and by the way - I love your channel - its so great to have Canadian content from such a reliable source.
We usually don't include the PR, unless you plan to downsize - then you could include some of that asset. For some, the equity os required to draw on...but a greatplan leaves your home as an asset in the background as a buffer for the unexpected...
Pay off my house and retire around 55 or younger. Go to philippines . I'm 28 btw
Go for it! Good plan. 😀
No thanks
Something I like to add onto the 4% things. I was researching for retirement because it is an inevitable subject. Somehow, I did come across the 4% rule, a very popular discussion in the space and books. A very simple solution is to invest in ETF, index fund, and quality growth stocks. Do this while you are still young. By the time you reach close to retirement, you will need not do the 4% rule thing because you are living off of your dividends instead of touching your 4% principle. This is diversification strategy and a great solution.
Sir, great contents by the way and thanks for sharing.
4% is hard to come.
Stay in a one room house where the bedroom is in the kitchen to save on heating costs. Eat no name pasta and regular ground beef. That’s the reality.
It wont be my reality. I have planned for retirement my whole working life. People who simply live for today and forget about planning for tomorrow are the ones eating the hamburger helper.
My mom and dad planned for and looked forward to retirement. Dad was going to retire at 60...but mom passed away at age 57. Dad then remarried a witch who wanted a large house...so there went my inheritance. He then had to work after the age of 60...he got sick and died...never to enjoy retirement.
Your math assumes one retires at CPP age. Of one retires at say 60, and holds CPP to 65, there is no CPP supplement of course.
Only fit in so many examples per video. I'll do more videos with different examples and suggestions down the road.
When you are retired you should have no mortgage (mine is $30k/year) and you also won't be saving for retirement anymore (max saving for RRSP and TFSA is $33k/year that you'll no longer be "spending"). You'll also have way more time to shop around for bargains, etc. You will need way less than 60% - 70% of your current income.
Definitely some do, but average we see from over a few hundred retirees is 60-70%. Traveling adds up quickly!
Totally agreed!! If you’ve been working from 25 to 65, should your house be paid off by now? No more savings for retirement, take those 2 factors out, then CPP, Old Age + some extra income (from your savings/investments buckets) is good enough to enjoy your basic retirement life. If you have more $$ then you can think of traveling, domestically or internationally, depending on your financial situation …
Speaking from someone who used to worry so much before and now been happily retired for 3 years … LOL
Retired 2019 at age 58. At the go go phase but I havent been able to travel since March 2020.
Is it possible to do a video on how insurance can help in retirement?
Thanks in advance.
It’s good info you’re sharing.
Yes we can. The problem with insurance videos- ppl don't watch them! Lol. Not sure why, but views are so limited. It's on the list and we will get to some concepts down the road.
@@ParallelWealth
People got misled about life insurance and insurance as a whole have a bad rap.
Most do to lack of understanding and ignorance on the insurance topic.
It’s a double edge sword.
I was one of those misunderstood about life insurance and had done stupid things on it.
Now I appreciate for what it is and how it could help in many ways.
It's always about what you want to do when you are retired.
Agreed Tim!
Thanks
I’m fro calgary Alberta, I always watch your you tube channel. Is there any financial planner like you in my area? North of calgary thanks Violet
Tfsaaaaa. So flexible and free, especially if you want to leave anything to children as it's not taxed like pension assets in an rrsp
But it is, a) limited in how much you can contrib, b) money used to fund this, is taxed at a higher rate. Surprised you do not get that simple fact
@@SeanONeill13 explain how it's taxed at a higher rate please. It's funded with after tax dollars if that's what you mean but thereafter all growth and distributions received after free and clear. but that has no bearing on its value if you understand tax rates and brackets. Even comparing the tax break you get by deferring via RRSP, you can't beat its ultimate value, and since I'm younger than 40 yrs old I have a long horizon to build the assets in it.
@@David.Bergeron yeah! even so, the flexibility to me outweighs even the savings from tax for high income individuals. i love both programs but tfsa is just so much better overall for most people.
Most people will never have an extra 1 million to invest and banks will pay you 0.4% not 4% interest nowdays.
I've done OK, but I still feel behind. 43, paid for house, no debt, 6 months expenses in emergency fund, 135k in RRSP, 6 figure salary, single. Now's time to get serious and start building up the RRSP and post-tax savings. If all goes well, should be able to retire comfortably. Assuming good health and able to maintain working in the tech sector until retirement.
Thank sounds pretty solid to me. What comes after this?
@@kunallaungani1703 max out my retirement accounts next, and pile up cash for a replacement vehicle in a few years. After that, likely start investing into a taxable account
You certainly have done ok. With those numbers at your age, stop worrying and enjoy life and look after your health, without that you have nothing. I manage on much less.
I'm one of those lucky Canadians who has a defined benefit pension plan. I will retire next year at 54 with 31 years of service which provides for 62% pension. Still, I wish this type of information was available to me 30 years ago. I will make sure my kids are aware of the need to save for their retirement.
Me too. Retired at 49 with 30 years. I have 66% with COLA. I've been retired just over 20 years and live very comfortably. My daughters are both treachers in Ontario. They will have an even better pension. I made sure they were aware of that when choosing a career.
@@davidgiles5030
Can never go wrong working for the public sector. Although for taxpayers it's unsustainable to keep giving into public sector union demands. This is one reason why Ontario is broke.
Retiring at 47 with no defined pension, all self directed investing using low cost index funds. :)
@@davidgiles5030 you really left a good world behind. It's like a wake of environmental destruction and it's your fault.
@@davidgiles5030 I'm glad were giving government workers pensions for doing terrible overpriced sub par work. Pensions at the expense of the responsible I guess
Awesome Adam
What do you mean by rental property. At time of retirement.
U are very smart person
Too kind!
Hi ..I want to know if I'm entitled to receive united states pension when I worked only 2 yrs ( 1972 to 1974) then back to Canada till now I'm 75 yrs old now and I don't receive CPP or US pension only OAS.up to now..can I still apply ? If I am entitled to the benefits? PLs reply. Thank You. .
In 2023, even tho' at a low risk investment fund, we are losing money. And the cost of everything keeps going up.
I have been doing taxes for years and do all our monthly/yearly budgets. So I am not naive about the costs of living. We are both retired, do not travel & pay our bills on time so no interest. It is getting exhausting. Who can we trust to direct us in the right direction as we age. We live in Calgary, AB
Thanks for sharing your experience on this channel Adam. I had a question about the 65 yr old couple needing to take 1,300 per month from a 250k nest egg. That is a 6.2% withdrawal rate which seems quite high given earlier comments about the 4% rule being relatively safe. How do you account for sequence of returns risk when you prepare plans?
Drawdown of capital for this case. We usually target ROR at inflation plus 3% on our plans
You can retire with $1.2 millions today. You can have approx $50k income/year and still have 2% or more continue to compound interest factor.
Every 6 to 7 years or so. You can increase that original $50k.
Once you understand the Canadian basic tax laws. You’ll be surprise how tax efficient you could be. Result, more money in your pockets.