tsumorichisato

10# B仔


我覺得買ok, 但要知道點解你要買, 高人工買D可以降一個tax bracket, 0甘RRSP 響呢度好有用
但如果為左save $$, 對我來講就算把啦.........

pkphilip

The reason I buy is to lower my tax bracket - I have yet to be so rich to share my wealth with the government. Still, I didn't really "pay" for my RRSP. I did something called the in-kind contribution - I simply move some slow performing stocks into my RRSP trading account and let it sit there for the time being.

I think as an investor, if you can play with TFSA and RRSP accordingly, you save quite a bit of taxes.

Philip

kingsway

The reason I buy is to lower my tax bracket - I have yet to be so rich to share my wealth with the government. Still, I didn't really "pay" for my RRSP. I did something called the in-kind contribution ...
pkphilip 發表於 2010-2-1 22:37

Nice~  That's good..  I shall check with my brokerage and see how to do the in-kind contribution..
Thanks..

tofu

no money to buy

tofu

1) Future tax rates will almost certainly be higher than they are right now
-probably, but the govn't may have regulation to lower rrsp income insist people to have their own retirement fund
2) You won't take the money out until you retire (most cases), but you might not live till you retire - what are the difference of you keep your money in the safe,  if you don't live long enough to enjoy it.  before you use the money, it is just a number
3) Clawbacks if you have too much in your RRSP - if you are stupid enough not to read your noa before contribution, you better not to make any investment
4) It just sits idle in your account and it's very easy to forget about it
-it will just happen to any account
5) There are a lot of restrictions on how you can invest in a registered account
-yes there are restriction, but the options are more than enough for normal person
6) If you decide to migrate to another country, you need to think about when you want to withdraw it - same as non-rrsp account.  timing & tax implication apply to both.
7) Many people passively put it in some shxt mutual fund and let it erode
-same as non-rrsp account
8) A few thousand dollars a year won't make you rich when you retire
-agree, no matter rrsp or not

pkphilip

Bear in mind that when doing any in-kind contribution, it will be treated as a sell and re-buy, you must take note of the cost of the positions that you bought; once the positions are transferred, the cost will be the market value of the moment that is transferred.

2 scenerios will happen after the transfer:
- cost is up, you must report this as "capital gain" in your tax report
- cost is down, this is a capital loss, but you can't report this in this case (I need to verify this)

Philip

chobit

I think it make sense if your company would do matching.  Say first 100% match for your first 5% income, then 50% up to 10% etc...!  Then you are making 100% profit right away..,when you decide to sell them.. you may be tax, but for less than what you have already made...!

快樂牛郎

I think it make sense if your company would do matching.  Say first 100% match for your first 5% income, then 50% up to 10% etc...!  Then you are making 100% profit right away..,when you decide to sel ...
chobit 發表於 2010/2/4 17:26

But most matchings have 3-5 years of vesting period.

Our generation these days don't usually stay at the same company for that long.

chobit

Guess I am too old cake then haha!!

But most matchings have 3-5 years of vesting period.

Our generation these days don't usually stay at the same company for that long.
快樂牛郎 發表於 2010-2-4 17:31

ricrick

if you are a first time home buyer, it is a good way to save your down pay