Category: Announcements

Yesterday, I announced the 2nd edition of my book which took me forever to get done. Please pass it on to anyone you know.

As noted in the article, there is an affiliate program so if you can sell the book – money will transfer from my wallet to yours!

On with the links

Jim Yih has a good online guide to working with financial advisors.

The Oblivious Investor comes up with a retirement withdrawal strategy.

Boomer & Echo asks what is your real hourly wage?

Canadian Capitalist notes that institutional investors have a selective access edge.

Michael James says that investing like the rich isn’t usually a good idea.

Million Dollar Journey talks about GICs.

I’ve been working on a new business idea which has kept me very busy lately.  New businesses are always an exciting thing because it’s fun to fantasize about vast riches from the future success of your new baby.

The fact that most new businesses usually end up with fairly pedestrian compensation, doesn’t reduce the excitement of the latest one.

On with the links

Rob Carrick put together and excellent (and short) slideshow of taboo topics in financial literacy month. This “event” has been mostly driven by the financial industry. Hello fox? Meet henhouse…

A book excerpt by Doug Stewart contains some very good time management tips. I think I will be checking this book out.

The Finance Buff did a pretty good article on a financial advisor who lost his home.  He points out that the advisor might have been smarter than we think.

Boomer & Echo creates an investment policy.

Canadian Capitalist analyses if it is worthwhile to switch to Vanguard Canada’s new ETFs.

Michael James says that currency exchange costs are too high. Agreed.

The Oblivious Investor gives some advice on how to become a fee-only financial advisor.

Million Dollar Journey has 5 reasons why it’s better to rent than to buy.

The blogger behind HowToSaveMoney.ca did an investing profile in the Globe & Mail with Larry MacDonald.  He mentioned my blog as an influence which made me feel good.

Financial Uproar offers up yet another, always entertaining link dump.

Last night I attended a financial panel at the ING cafe in downtown Toronto. I mainly went to say hello to Preet and meet Dan Bortolotti for the first time. It was pretty cool and I also met the other panel members Ellen Roseman from the Star as well as Rubina Ahmed-Haq.

All in all a fun time. If you’ve never been to one of ING’s cafe’s – I urge you do so. They are really nice.

Book announcement

Dan Bortolotti just released his book “Guide to the Perfect Portfolio“.  This book is a fantastic deal at only $9.95 and is available just about everywhere.  It reads and looks a lot like a MoneySense magazine in book format.  Nice work Dan.

On with the links

Money Smarts Blog was listed as one of the best financial websites for Canadians.

Martin Dasko released an e-book recently and he wasn’t happy with the results. One of the best posts I’ve read this year.

I followed up on Martin’s article with my own analysis of unsuccessful e-book launch analysis.

On the same topic, the G&M had a business failure advice called take a failure lesson from Lincoln. I like the first point about taking responsibility and not blaming your customers lack of sales.

Boomer & Echo had a great post about tax planning for Canadians. The reality is that other than the RRSP and the TFSA, there aren’t a lot of other options.

Kevin Press came up with a good strategy in Here’s what the Occupy protesters should do next.

My University Money points out that most people think that leverage is ok for houses, but horrible for investments.

Canadian Couch Potato explains that Vanguard has changed the Canadian ETF game.

Preet Banerjee noticed that Corporate America is still making money.

Canadian Capitalist also analysed the new Vanguard ETFs.

Congrats to Young & Thrifty who celebrates her 2nd blogiversary.  She’s having a contest and giving away some good prizes like a $100 VISA gift card and a $50 Amazon.com gift card.  On a completely unrelated note, The RESP Book is also available on Amazon.com.  😉

Michael James points out some misleading insurance advertising.

The Oblivious Investor answer the question: when to use a financial advisor.

Carnivals

Carnival of Frugality

Carnival of Wealth

Carnival of Passive Investing

Tax Carnival

Retirement Carnival

The big news dominating the business world is the problems surrounding the European Union – more specifically is Greece going to be in or out?

It appears that Greece will stay in the union.  Various European leaders have said that if Greece leaves, it will be a disaster.  Without the help of the EU, Greece would likely default on its bonds which will hurt a lot of European banks.

German Chancellor Angela Merkel said a Greek exit would mean “Not a single person would put their money in Europe anymore”.  Meaning that there won’t be any investor confidence in Europe.

Well, I disagree.  Sure, there will be some unheaval and short term uncertainty, but I think the EU would be better off without Greece.  The only reason the Euro banks don’t have to write down Greek bonds now is because their governments are keeping Greece afloat.  How long can that arrangement last?

Consider a large company that sells off or even gives away an underperforming division.  There will be extra costs associated with the divesture, but the remaining company will be stronger.

I think that the European Union will be stronger if they can remove some of their weaker parts, most of whom shouldn’t have been accepted into the EU in the first place.

Media mentions

Brighter Life blog wrote about five financial frights and what to do about them.  They also included a quote from me.

On with the links

Rob Carrick says that fixed rate mortgages are the new variable.  Fixed rate vs variable rate is one of those never-ending debates with no answer.  Now is one of those times that there can be no doubt that fixed rate mortages are the answer.  Read the article to find out why.

Dave from the Canadian Dream blog says that keeping things simple is the key to success.  I agree!

Mark Schatzker from the Globe & Mail wrote a very funny post about the Occupy Toronto crowd.  Note, if you were part of Occupy Toronto – you probably shouldn’t read this.

Dawn Walton from the Globe & Mail found out that the new energy retrofit program would cost her money. Good analysis.

Krystal wrote an inspiring post saying that young people can make good income.

Retire Happy has three basic steps for retirement planning.

The Oblivious Investor says the key to successful investing is – avoid making big investment mistakes. Excellent post.

Canadian Couch Potato reviewed the book new Millionaire Teacher.

Michael James had an interesting topic with taxing insurance settlements.

Canadian Capitalist analyses the new BMO dividend ETF.

Boomer & Echo talks about the penny.

MapleMoney points out that not everyone needs life insurance.

Carnivals

Carnival of Wealth

Totally Money Carnival

Carnival of Financial Camaraderie

Happy Halloween in advance!

Pushups update

I had a question about the pushup challenge recently, so I thought it was time for an update. I’m still doing them faithfully twice a week, however I’m not making much progress in terms of the numbers.

I’m doing sets of 10,13,10,10 and around 30 for the final set. I can’t seem to increase that, although maybe I need to push (no pun intended) a bit harder?

Weight is still fine – I’m up a couple of pounds ( 176.5 lb the other day), but working on it. I think I might try to get down to 170 lb.  This might be difficult as I normally excercise less in the winter.

A couple of new books

There were a number of new books released recently, all written by fellow bloggers. Here are two of them and next week I’ll talk about the third one.  Both these books are for an audience who probably don’t read this blog, so if you know someone who could benefit from either book – please let them know about it.

Martin from Studenomics.com has written a comprehensive guide called Completely Conquer Credit Before You Hit 30.  As you might have guessed from the title, the book is geared towards helping 20 somethings get out of debt and avoid debt.  I met Martin a few weeks ago in Chicago for the first time, which is funny considering we used to live a few blocks apart here in Toronto.  Very nice guy.

And not to be outdone – John from Holy Potato has also written an e-book called Potato’s Short Guide to DIY Investing, which is a good intro to investing for Canadians.

On with the links

Blunt Bean Counter had a very good post for anyone thinking about starting a business.

Krystal had an amusing story about the waitress who added in her own tip.  Read the comments.

Oblivious Investor had an excellent article on Investing based on market valuation and why he doesn’t do it.

Retire Happy had some good advice about working better with your advisor.

Rob Carrick says that someone has to stand up for the financial ombudsman. I agree.

Canadian Capitalist asks the question Where are the financial plans?

Echo is complaining that IKEA is killing his finances.  I suggest shopping at the dollar store.

MapleMoney asks what your tipping policy is.

Michael James warns of the Chinese real estate boom. If their real estate crashes – so does our stock market.

My Own Advisor reviews the book The Elements of Investing.

Last weekend, my son started his first hockey school.  It’s basically a learn-to-skate with a bit of hockey thrown in.  He seemed to like it and more importantly, I loved it!  It was quite exciting to see him skating around in hockey equipment and I knew a couple of the other hockey dads which made for a good time.  

There were a ton of kids and lots of instructors and while it seemed like a bit of a zoo, it was extremely well organized.  There was even a dog in the (very) crowded dressing room to add to the fun.

On with the links

Million Dollar Journey did an excellent review of the ING Streetwise index funds.

Phil from PT Money is planning to buy a new houses and use their current home as a rental.

My University Money was born in the USA and lived there for a total of two days.  Now he’s on the run from the IRS.  Unbelievable.

Rob Carrick had a very useful post on how to interview a financial advisor.

The Wealthy Canadian has some really good advice for anyone thinking of buying and investment or retirement property.

Thicken My Wallet has some do’s and don’ts when doing job interviews.

A long, but interesting look at the history of economics.

Canadian Capitalist covers the state of the Canadian ETF industry.

Boomer & Echo say that a power of attorney is very important.

Boomer & Echo is also giving away a copy of my RESP Book. Go enter now!

The Oblivious Investor compares ETFs vs. Index Funds.

My Own Advisor figured out the Best Canadian bank stock.

Michael James is interested in the BMO ETF screener and comparison tool.

MapleMoney has Five fall car care tips.

Carnivals

Carnival of Financial Planning

Totally Money

Carnival of Wealth

It was recently announced that anyone receiving Social Security or SSI payments will get a 3.6% raise in 2012.  The big question everyone wants to know is exactly how much extra money they will be receiving next year?  This article will show you how to calculate your Social Security raise as well as calculate the new total payment including the raise.

How do I calculate my 3.6% raise on my social security benefits in 2012?

To figure out your exact Social Security increase you need to what 3.6% of your current amount is.

To do this – use a calculator and multiply your current payment by 0.036 – this will give you the amount of your raise.

For example, let’s say your current monthly payment is $825.12.

• Get a calculator – either a real one or online calculator.
• Type in “825.12” (or whatever your amount is). Don’t type in the quotes.
• Press the “x” key – this is the multiplication key.
• Type in “0.036” (without the quotes).
• Press the equal key “=”.

The answer showing on the calculator is your raise.

Keep in mind that some people will see some of this raise reduced by increased Medicare Part B premiums.

How do I calculate my new total social security payment for 2012?

To figure out how much your total Social Security payment will be after receiving the 2012 COLA increase, you have to add 3.6% of your current amount to your current payment.

To do this – use a calculator and multiply your current payment by 1.036 – this will give you the amount of your raise.

For example, let’s say your current monthly payment is $825.12.

• Get a calculator – either a real one or online calculator.
• Type in “825.12” (or whatever your amount is). Don’t type in the quotes.
• Press the “x” key – this is the multiplication key.
• Type in “1.036” (without the quotes).
• Press the equal key “=”.

The answer showing on the calculator is your raise.

Keep in mind that some people will see some of this raise reduced by increased Medicare Part B premiums.

 

Great news for anyone receiving Social Security (SS) checks or Supplemental Security Income (SSI). You will be getting a 3.6% cost of living adjustment starting in January of 2012. Considering the average Social Security check is $1,082 per month, the average raise will be about $39 per month.

Admittedly, this increase will not likely change anyone’s lifestyle, but that is not the point. Each year inflation erodes your spending power and getting an increase equal to the amount of inflation is necessary in order to ensure that your standard of living does not decrease.

There was no Social Security COLA in 2010 or 2011, so this is the first time SS and SSI recipients have received a COLA raise since 2009, when the increase was a seemingly large 5.8%.

How do I calculate my 3.6% raise on Social Security payment in 2012?

To determine your increase, please check out the article: How do I calculate 3.6% Social Security raise for 2012?

What to do with the extra Social Security money?

This one is easy – nothing. If the official inflation figures match your personal spending, you should be needing the extra money for your regular consumption. If you do have extra money left over, then of course saving it is never a bad idea.

The Social Security COLA is determined by an index called the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). The Bureau of Labor Statistics analyze changes in this index between the third quarter of the current year and the previous year to calculate the COLA increase for the following year.

For example, to figure out the 3.6% increase in 2012, officials look at the third quarter numbers for 2010 and 2011 and figure out the increase.