Retirement Income - Not All Income is Created Equal 2/3

When planning for retirement, not all income is created equal. Some income is guaranteed some is not. Some income is flexible some is less flexible. 

The key to creating a balanced income in retirement is to diversify your financial assets and income streams. 

This is the focus of the second part of my series on Retirement Income - Not All Income is Created Equal.

Stock Trading Reality

Have you every thought of getting rich by buying gold, investing in a technology IPO, or hitting the jackpot with a stock tip.

To be honest I have.

I seems we all have a desire to hit the jackpot in our lives. With all the money that can be made in stock market ... many choose to treat it more like a lottery than a market for investment.

You could be next George Soro's and make 1 billion dollars in real estate in one day ... or could you?!

Top Financial Scams

Every year scamers take millions of North American's for billions of dollars.

With easy access to  the internet the ability to reach an endless supply of potential new marks, almost anyone can become a professional con artist.

According to the Better Business Bureau in 2010 Roofers had the most inquiries at 2,409,190 the most complaints were levied at the Television industry with 30,985, and  the most unsolved complaints  was amongst Spiritualists at 100% (8 out of 8). Go figure?!

Check this infographic from makeusof.com on the Top 10 Scams of 2010 ...

Budgeting Part 1

Lets face it. It is so much easier to spend than save. We live in a spending culture. We work, we spend, we work, we spend ... such is the way we live our lives in North America. 


Spending is like a disease ... if left untreated the credit card bills start to grow. Does this remind you of anyone you know?

Stressed Financial Life

Stress is becoming a way of life for many of us.  Regardless of income many are starting to feel the pinch ... and keeping up each month is harder than has ever been.

I have noticed after a number of meetings with my clients in the last 6 months, incomes are under pressure, personal debt is climbing and everyday costs are starting to rise.

Add to this the prospects of potential job loss ... most are not prepared as the economic slow down approaches the average family.

Today I found an article and infographic that confirms my worries (Thanks to Guy Kawasaki at alltop.com for the link)

Costly Pet Ownership

Are you a pet owner? If you are you among a large group in Canada. From what I have been able to find there are some where in the neighbourhood of 8 million domesticated dogs and cats in Canada.

Lets be honest, when you decided to get an animal did you consider the financial costs of pet ownership. The pet industry is huge and very profitable, but the effect on the personal budget can range upwards of 15 to 20 percent of the owners income.

Wedding Bliss Wedding Bills

Getting married for many is a time in your life when your life priorities start to change. Creating a new partnership helps us to focus on what really matters, and this includes our financial lives.


Unfortunately for many the road to marriage bliss comes with a huge bill attached. Based on 2010 results on the smartmoney.com the average wedding today costs more that 26,000 dollars!


(The question that crossed my mind ... just how can you spend 26,000 on wedding anyway? Check out the infographic below.)

5 Ways to Beat the Pain of Change

Change is never easy. Just ask my legs last Monday morning.  I am training for my first sprint triathlon and to be honest I am starting to doubt my decision.

I have always been reasonably athletic. I was a good runner in high school, enjoyed lifting weights in the gym and have been able to adapt to changing athletic pursuits through out my life. Or at least until now.

Last weekend I jumped on the road bike I borrowed from a friend and went for 1 hour ride. Then the next day went for nice 2 hour hike with my family. Of course to complete my weekend I went for a 5 km run on the treadmill at the gym.

As I am now finding out ... change is painful! But I know if I continue to change my behavior my fitness level will improve and I should be ready to participate ... (I hope).

Simple Life Spend Less

I have often wondered why it is that cost of living only seems to go up. The harder you work the more you spend. The more you spend the harder you work. You get the idea. Life is a financial treadmill with out an end, that is your life until the day you die.


For some we realize this paradox before then, yet many of can never have enough stuff, spend enough or travel enough. The reality is the more complex our lives are the more costly they are to maintain. And once you have high maintenance life you must continue to produce an income to support it.

Boomers Parents Scammed

The parents of the baby boomers are now well into retirement. They have done their best financially coming out of a great depression followed by longest time of growth in North American history.


Life has taught them to spend carefully and how important it is to save for the future.  Now is a time to enjoy the fruits of their labour.

But now their good financial choices have made them targets of swindlers and con artists. Check out these two videos that illustrate the need for baby boomers to play a bigger role the financial lives of your parents.

Dealing with Debt

Have you ever avoided the phone because of a creditor, I have.  I can remember leaving my house for most of the day just so I didn't have to ignore the phone.

At the time I did not know how to handle the angry collectors and I wanted to do the right thing. But how can you negotiate with some one that really has nothing to lose?

Here area few ideas that worked for me. (Make sure to check the video from CBC Marketplace on Debt Debt Collector Dread the bottom of the post)

5 Ways to Spend Less Now

Spending less is like going on a diet. We rely on will power with out a method or system to reach our goals. And just like most diets we are doomed to failure.

Over time our debt starts to balloon and the only solution is a drastic change of spending habits. Unfortunately, just like crash dieting, the lasting effects of these changes only end in frustration and we eventually give up.

For most of us spending too much is not an illness but is a learned behaviour. The good new is this  behaviour can be changed.

After more than 15 years in the financial industry watching what works and what doesn't, here are 5 proven strategies that work in every day life to spend less and have more control over your financial life.

Financial Problems Start Here

I don't know about you ... but tax time is a time for financial reflection. All I want to know is ... am I making progress or am I falling behind.

Since I run my own financial business, I track everything, the gas for my car, car insurance and the costs to run my office. I also track my personal costs, food budget, hydro costs, and debt costs from the year. Every year I am amazed at how much I spend.

After more than 15 years in the financial industry if I had to pick the most important thing you can do to make your financial life better is to focus on your cash flow. That's right I am referring to dreaded "b word" ... budget

Like weight gain, cash flow problems happen over time. Before we go over some simple ideas on how to improve your cash flow ... let me tell you story and you see if this reminds you someone you know ...

Investing In Canada

The winter olympics proved it. We Canadians are much better than we think we are. We are honest, and polite yet at the same time we are competitive and we can win.

The spin off from this investment by government and athletes to own the podium, has spilled over as Canadian athletes continuing to shine on the world stage.

This also applies to our place as a financial power, and as investors.  Few countries can claim to have a financial future like we have.

Retirement Can Be Funny

The topic of financial management and retirement is a serious financial issue for many. Will you have enough to live with dignity, how do you deal with your investments when the financial markets are down, and what if you live too long? 


The answer for most financial companies is to scare their customers in to making hard decisions.


Nationwide Insurance in the UK has come up with a lighter approach in a series of commercials under the banner "Life comes At You Faster than you think".


Check out these videos -- very funny!

Interest Rates Up

With interest rates at an all time low and pressure on governments to limit the money supply there is a very real likely hood that interest rates will rise this year. How much no one knows ... but what would you do if interest rates climbed a half, one or two percent?


If it has been awhile since you have visited this area of your financial life it might be a good idea to review the impact of rising interest rates on you cash flow, now while you have time to consider your options.


The Globe and Mail in December ran a online quiz to test your interest rate knowledge and it might well be worth your while to try it out.

Financial Review for 2011

2011 is over now and your annual statement is soon to arrive. Is your account up or down? Are you closer to retirement? What a great time to review your financial game plan. 


Even after being in the investment industry for more than 15 years nothing can be more depressing than reviewing your investment returns after a decade and only seeing a average return of only 3 or 4 percent.  


If this is you, you are not alone.


So now the question is should you change what you are doing and give up investing altogether? If this question is weighing on your mind here are some questions you should ask yourself and check out the infographic on investor behaviour below.

How high is too high?

Interest rates are starting to rise ... how will you deal with increase on your cost of living?

For many with substantial size mortgages and balances on credit cards an small increase can mean the difference between dinner out and paying the hydro bill. 


The impact of increasing interest rates is one of the most overlooked risks when borrowing money. 


Why do we overlook or ignore something so obvious? Usually it comes down to two things ....

Life Insurance Saving Tips

I still remember my first meeting with a life insurance salesman when I was in my 20's. I was newly married, we had a daughter and I did not want to buy life insurance. At the time I had never really thought about my responsibility to my family if I died prematurely (and of course I wasn't going to die).

After getting the policy I found out later I had been sold a product that was overly expensive and did not suited my families needs.

New Adventures For a New Point of View

Living in Kelowna is a real treat. We have everything ... 5 ski hills, a huge lake and endless amount of trails to see. (Thanks to Union Cycle Kelowna for the picture).

You name it we have are excellent restaurants, music and events galore. We move here because it has everything we want why go any where else?

And as I have found out for myself, as it is with travel so it is with the Internet