I have teamed up with Joan Morrow, an Insurance Advisor and Jay Llave, an Insurance and Financial Advisor both part of the group called, Creative Planning, Financial Group in Toronto, Canada. I attended one of their talks aimed at reaching women. Following their discussion we launched into a whole discussion about women and finances. We all agreed that many women out there fear finances to the point of doing nothing. The women who attended this speaking event were what I call, educated and moderately sophisticated investors, Tier II vs. the woman who is unaware and does not know where to star, Tier I.

Thank goodness there are advisors out there who really do want enlighten and bring awareness so that women can begin to take back their own power. Statistics say that women represent close to 50% of the market and that there are millions if not trillions of dollars sitting in bank accounts or investments that are not earning their potential. With some knowledge, awareness and good questions you can begin to have your money work for you. The first thing is to reduce the fear around money and to have the women realize that they perform so many of the desired skills to do with money – budgetting, investing, tracking, and so forth – on a daily basis.

I have used this analogy many times – your clothes closest is like your financial closet – know what’s in there, what is serving you and working for you and what is not. It may be time to discard the “dead weight”.

Question: Can saving get any easier? Yes*
*only if you are reading this after Jan. 2, 2009

Sandra asked me “How does someone start saving and in what type of savings vehicle?

To answer your question Sandra, let’s start at the very beginning.

Financial Planning 101
Section 1: Part 1: Sub-Section 1
There are two types of people in this world, those that save and those that borrow.
Every day someone is earning money and it is always the saver. Every day someone is losing money and it is always the borrower. This cycle continues every day, 365 days a year, for an entire lifetime.

Which side are you on today?

On which side do you think wealth begins? Saving or borrowing?

Saving money just got easier therefore wealth just got easier.

Solution: A Tax-Free Savings Account (TFSA) account is a great option for tax-sheltering your savings. A TFSA gives Canadian residents aged 18 years and older another place to save and keep all the growth for themselves. You can withdraw funds at any time and for any purpose. For those in the US or outside of North America you can see if your bank offers similar products to this one – with similar or same advantages.

It has never been so easy and the timing is perfect.

Read below for notes on TFSAs.

If we can answer any of your questions, please email us at joanm@cpfg.com or jayl@cpfg.com.


Jay Llave and Joan Morrow
Creative Planning Financial Group

To know more about TFSA’s please see below:

• Investments can be in any RRSP-qualified savings account
– E.g. savings accounts, GICs, mutual funds, segregated funds, stocks and bonds
• TFSA assets can be transferred to a spouse or common-law partner on death
• Can be assigned as collateral for a loan
• Income and withdrawals do not affect eligibility for federal income-tested benefits and credits
– E.g. OAS, GIS, Child Tax Benefit, EI benefits, GST Credits, etc.
• Plans offered through insurance companies are creditor protected
• Beneficiary designations are allowed on plans offered through insurance companies
• Amounts withdrawn can be re-deposited after a one year waiting period without reducing contribution room
• Spousal contributions are not allowed
• TFSAs must be held individually, not jointly
• Investment income will not be taxed and contributions are not deductible
• You can hold as many TFSAs as you like within the contribution limit

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