RRSP vs TFSA vs Mortgage – Where Should You Put your Money?

RRSP vs TFSA vs Mortgage

Today I’m really excited to have Rob Carrick on the show, who is the main Personal Finance Columnist at the Globe and Mail.

Rob is also the author of 5 personal finance books for Canadians, and all in all is easily one of the most respected and well known personal finance experts here in Canada.

Questions Covered:

Today we’ll cover whether you should be putting your savings in an RRSP, a TFSA, or use it to pay down your mortgage quicker (if you have one).

The answer to this can vary depending on what phase of life you are in.

For example, are you:

  1. Fresh out of school and just starting your career? Now that you’ll have some savings, what should you do with them?
  2. In your late 20s and 30s? You’ve been building your career for several years, are making a higher salary, and are now in a higher tax bracket too. You might even have kids at this point. Where should you be putting your savings now?
  3. At the peak of your career? You’re in your highest earning years, are in an even higher tax bracket, and perhaps you want to retire in a few years. Where should you be putting your savings in this case?

For all three phases, we also cover how your strategy can change, depending on whether you are looking to own a home or be a renter.

Last but not least, we cover:

  1. Where you should be investing your money?
  2. Where to keep your money safe if for example, you’re saving for a downpayment on a house?
  3. What should your priorities be when it comes to debt?
  4. What asset allocation should you go with? (ex. stocks vs bonds mix)

Links & Resources Covered:

Rob at the Globe and Mail: http://www.theglobeandmail.com/authors/rob-carrick

Rob’s Site: http://www.robcarrick.com/

Rob’s Books:

Rob Carrick’s Guide to What’s Good, Bad and Downright Awful in Canadian Investments Today

How Not to Move Back in With Your Parents: The Young Person’s Complete Guide to Financial Empowerment

How to Pay Less and Save More For Yourself: The Essential Consumer Guide to Canadian Banking and Investing

In Closing

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