Posted by Canadian Dream on March 26, 2009
So recently with a click of the mouse I finished funding my TFSA for the year (ok, I might be short a few pennies, but I’m not worrying). So I’m doing a little happy dance in my head right now.
Now over all this is a relatively minor goal to achieve, so why am I noting it? Because I personally feel celebrating even a minor goal a little bit helps you focus on your remaining ones. Not to mention this account is really going to save me some tax.
So far I’ve loaded up my TFSA with all my previous distribution producing stocks and added a new position. So in total the account is spinning off about $57/month or $690/year. Therefore my estimated tax savings is about $240/year. Have I mentioned lately how much I like these accounts? I really do like them.
Not to mention doing this has got me comfortable enough with the entire Questrade system that I can help my wife now setup her TFSA and transfer her distribution producing stock. Once that is complete (likely sometime in the next month), the total tax savings will double to about $480/year between both of us.
So for all of you who have opened a TFSA, what do you think of it? Do you like it or really don’t care?
Posted by Canadian Dream on March 25, 2009
Every once in a while I’m seriously impressed with how far I’ve come in the last few years writing this blog. I started out with only a slight interest in personal finance and before you know it I’m writing a blog on it and reading every book I can get my hands on.
After the initial rush of excitement I was concerned I would stop this blog entirely, but then I started to realize that really there is no end to the topic. Money is everywhere and touches everything so in reality there is no limit to the number of ideas I can post on.
Unlike other bloggers I was never in so much debt that I was in trouble. I never have faced a long period without a job and my wife isn’t a stay at home mom. I’ve only hated one of my jobs. I did realize I’m a bit unique in my lifestyle being low cost so I have never needed a lot of stuff to be happy. So what to do with the extra cash? Well I started saving then after my reading I discovered financial independence or early retirement. I was hooked on the concept.
I wanted to be free of my job to pursue other interests of mine including writing. That is until more recently when I realized why should I wait to pursue doing some writing. Why not start right now? So I began getting serious about writing by doing a little bit each day on non-blog projects.
Then when deciding how I should publish some of these projects it occurred to to investigate self publishing. So after researching the options involved I came to realize a few things: to self publish can be a huge amount of work and a large risk on your money or slightly easier if you use a site like lulu.com. Despite the risks or the fears of failing I still find myself interested in self publishing the hard way. I realized I do have a very deep interest in the entire book process from writing, typesetting, cover design and marketing and I understand the risks involved.
So I’m launching a small publishing company to give this entire process a try. My goals in this venture are two fold:
- Break even on the book. A profit on a book is actually fairly hard to do. Most publishing companies make most of their profits from just 20% of their titles. So I’m aiming slightly lower to a break even point.
- Learn the business of publishing. Even if the book is a failure doing this process will teach me the business so I can be a much better writer to deal with if I go the route of a traditional publisher in the future. Any money lost I’m considering tuition in the school of hard knocks.
So fair warning the odd blog post on starting you own business is likely forth coming. Ah the evolution of a personal finance geek continues, who knew it would lead me to print publication business and risking more of my money than I ever have before on any speculative investment.
Posted by Canadian Dream on March 24, 2009
Four Pillars was busy this week and hosted the Carnival of Personal Finance. Check it out for lots of link reading.
Of course the bigger business news was the Suncor/Petro-Canada merger, which has seemed to give a little booster shot to the stock market. I wonder if it will last.
According to Preet people get paid more when you know less. Why does that just seem correct?
Jacob has a new virtue to the list: discomfort.
Larry talks about hedge fund returns.
JD had an interest guest post on passive barriers.
