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On Growing Older

in Financial Dreams, Registered Education Savings Plan, RRSP

This past year saw me get a year older, and it struck me how much closer I am to the end of my working days. How much closer, I am not sure, but I am much closer to the end of my working days than I am to the start of my working days.

Let me elaborate with a few points:

  • I have been working for more than 45 years, given I have had jobs since I was about 12 years old. That always staggers me that I have been working for that long.
  • I am allegedly 8 years from retirement age (I think that is a synthetic value, I hope to stop HAVING to work before that, but don’t think it is likely).
  • I have been working full-time for 33 years.

All of this suggests that I should be well on my way to paying off debts or being out of debt and be planning my retirement, however, take these points into consideration:

  • I have four children 1 about to start University and within 5 years I may have 3 children in University so this point in my life may be the high point for spending money (I hope), so my goal should be to not be¬†creating new debt(if not paying off old debt).
  • I am being taxed at the maximum rate that I will ever be taxed at due to my exorbitant salary (just ask the CRA) and the amount of sales taxes I pay on things that I buy (given I am spending so darn much).

What does this mean?

  1. I should be saving for my retirement in my RRSP, which I am doing, but maybe not at the level Financial experts say I should.
  2. I shouldn’t be accumulating junk debt (i.e. credit card debt), which I think my family is doing better than it has done in the past.
  3. I should have saved for my children’s education with an RESP, which I have done, but maybe not enough for an entire University degree.

All in all, I think I am doing fine, but as usual, I could be doing much better, so I can strive for more. No point in getting complacent.

{ 1 comment }

  • Canadian Capitalist January 14, 2008, 5:46 PM

    Happy Birthday. We should meet again soon.


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