Presidential Life Inc.

04/18/2022

Many people say that people work hard to buy things that they don’t need. Which is true, you may buy a car which you don’t necessarily need since you can take public transit instead. However, what money does buy you is convenience. Instead of taking public transit which will take more time and effort to get from place to place, A car will allow you to go wherever you want. In this case, money is saving your time and efforts.

Money can’t expand your lifetime, but what it can do is allow you to do much more in your lifetime. Money allows you to fulfill not only your needs, but your desires as well. So it is important that your mindset towards money is not a negative one, like “money can’t buy your happiness” or “I don’t care about money”, because just like most things in life, if you don’t care about or prioritize money, it will leave you.

04/14/2022

There is two paths that people follow.

First path: Cut desires to fit income
Second path: Increase income to fit desires

Which path are you on?

04/13/2022

People think that making more money is the ultimate success.

Now this is part of the equation for success, but is not the entire equation.

There are people in this world who are making a million a year, 10 million a year, or even 100 million in a year, but are depressed. Why do you think this is?

This is because many people will reach the target they have set, and not set another goal after this. They think that once they reach this target, they will be the happiest, however this is not the case. Life is all about challenges, so once you are no longer challenging yourself, you lose that excitement and energy. It is extreamly important to consistently set goals for yourself.

For the people that have been working the same job for many many years and are feeling bored or unhappy in your life, set a new goal for yourself! Don’t think that you have to continue the same lifestyle for the rest of your life just because you have reached a comfortable point. It is likely you will have regrets in the future if you are feeling like this, and making no changes in your life.

Set goals, reach targets and challenge yourself. This is the missing part to the equation.

04/11/2022

Are you saving enough of your income?

It easy to end up spending 80-90% income. After we pay for our monthly expenses, like living costs, bills, groceries and transportation costs, we are left with our wants. Like that coffee we buy every morning, shopping, going out to restaurants or the nights out with friends. We don’t pay much attention to the money going out of our account, and instead focus on what’s going in. But what if you are simply breaking even every month?

It’s a good idea to budget yourself every month. You can do this by taking the money you need every month to cover your expenses, plus an acceptable amount that you can spend for the month for your entertainment and wants. The money left over is what you save. The smartest thing you can do is transfer this money into an investment account. If you don’t have an investment account, then it is a good idea to talk to a finance professional to help choose which investments are best for you based on your goals. See the picture below for an example of how you can budget your money.

04/08/2022

Why are most wealthy people frugal?

This is because they understand the value of money, and the opportunity cost of spending money on frivolous things. In often cases, wealthy people will not spend their hard earned money on things like designer clothing, fancy cars etc. Instead, they will use their passive income, or the money that their money earned to spend on their wants. This is how wealthy people remain wealthy.

They do not spend money excessively, and are always budgeting and investing the money that they earn. This is how wealthy people carry on the cycle and become even more wealthy.

There are many cases of people who have won the lottery and go broke after a year. This is because these people do not understand the value of money, and wish to spend money to appear wealthy, instead of saving and investing to remain wealthy.

It is important to develop these habits earlier on in your life, as it will bring you to wealth sooner, as well as remain wealthy.

04/07/2022

What you need to know about RRSP/RRIF📉

👉This is what most people invest in for their retirement, whether it is on your own, a spousal RRSP or through your work. When your work offers an RRSP plan, they will also contribute to your RRSP account each month.

👉There is a limit of 18% of your income which you can invest into your RRSP. So if you are making $80,000 a year, you may contribute a maximum of $14,400 a year into your RRSP.

👉An RRSP is tax-deffered, meaning you will receive a tax return on the money you invest each year, but you will be taxed on the entire amount at time of withdrawal.

👉It is important to note that once you reach 71, you must either withdrawal the entire amount from your RRSP, or convert to a RRIF which has a minimum withdrawal that you must make every year. This minimum amount is a percentage of the entire amount in your RRIF account, which is calculated through your age. The older you get, the higher the percentage of your account you must withdrawal. There is no maximum amount in which you can withdrawal from this.

👉You can convert your RRSP to RRIF before age 71, in fact, there may be some benefits by doing this sooner, like the pension tax credit.

👉What are the tax rates that you have to pay on your RRIF withdrawals?

10% (5% in Quebec) if the payment is not more than $5,000
20% (10% in Quebec) if the payment is more than $5,000 but not more than $15,000
30% (15% in Quebec) if the payment is more than $15,000

If you have any other specific questions, feel free to send me a message!

03/21/2022

Inflation in is at 5.7%, the highest it’s been since 1991. prices are up 6.9% in just the month of February, and prices have gone up 7.4% in the past year. Has your income gone up?

I assume most people haven't received raises because of . So what does this mean for us? Well, firstly we need to try to increase our income to match the increase in our expenses. Secondly, we need to make sure that we are investing our money, and consulting with a Financial Advisor to make sure we are making the best decisions when it comes to our money. It's important to be making the most of our money by investing it, because if you don't, the opportunity cost could be huge.

There have been some major changes in the , so you should be making changes with your finances as well. Send me a message if you would like to consult.

03/01/2022

Most people have many bank accounts. They have multiple chequing accounts, Savings accounts, RRSP accounts etc., and they actually lose track of the liquid money that they have because they end up only using 1 or 2 accounts, and the rest of the accounts collect dust.

The mindset behind doing this is "to not put all your eggs in one basket", which makes sense, however is not really beneficial when it comes to chequing and savings accounts. This is because you are not earning more than 1% interest, and are missing out on the potential growth you could be earning if you invested it. The trade off here is the security of having liquid money on hand, and the growth you could be earning if you invested that money instead.

I completely understand wanting that security, however majority of the time we don't end up using that money and the opportunity cost ends up outweighing that sense of security.

So when it comes to not wanting to put all your eggs in one basket, you should be investing that money, instead of storing it away in another chequing or savings account that will not receive any growth.

If you are unsure how to invest or what to invest in, reach out to me and I can help you. If you are currently investing your money into things like , , , Non-registered investments, and Permanent with accumulation funds, send me a message and we can see if you have the best plan suited for you.

01/25/2022

Our group training session with a few of our top advisors was a ! We discussed strategies regarding retirement planning, various investment products for retirement and strategies on how to talk to your client.

01/11/2022

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Presidential Life Inc. | 42 followers on LinkedIn. Insurance and Investment Brokerage located in Mississauga. | Presidential Life is an insurance and investment brokerage that specializes in all life, living benefit and travel insurances, as well as investment products such as RRSP, RESP, TFSA and n...