John Budd, FCPA, FCA, a Client Portfolio Manager with Cumberland Private Wealth Management, also in Toronto, is co-author of The Canadian Guide to Will and Estate Planning.
says the ultimate goal is to not run out of money before you run out of lifespan.
"These days, with baby boomers especially, the old standards about life expectancy and how much money we'll need just don't apply," he
"No life is smooth road," says Budd
Once you have a savings plan in place, both Budd
and Thakur stress the importance of reducing the taxes you pay.
"For retirement, factor in Canada Pension Plan and Old Age Security payments to know how much you'll have to live on," says Budd
With many investments yielding such modest returns these days, Budd
is amazed that many retirees want to withdraw more than their portfolios are earning.
"You shouldn't take more than three or four percent per year from your investment portfolio," he