Canada Debt

Every Taxpaying Canadian Has a $243,000 Bill, Courtesy of Our Government

Charles Lammam | Posted 04.03.2014 | Canada Politics
Charles Lammam

Put simply, the aging of Canada's population has resulted in large and growing unfunded liabilities. The funding shortfall is estimated at $792.3 billion for the CPP, $494.4 billion for OAS, and $894.7 billion for medicare. Together the unfunded liabilities in Canada's public pensions and health care programs total $2.2 trillion or $134,841 for each income taxpayer. These unfunded program obligations make up more than half of total government liabilities. And their sheer size calls into question the structure of taxing current workers to provide benefits for retirees. Ultimately, to maintain current levels of spending in the future, taxes will have to increase or benefits for other programs will have to be cut -- or both.

Can You Account For the Cost of Friendship?

Tim Paziuk | Posted 03.26.2014 | Canada Business
Tim Paziuk

When dealing with advisors, an important consideration is competency. If the person you're working with isn't competent, how much is it costing you? I might find that my client's banker is overcharging them or their accountant is less than adequate, only to hear them say that they can't move their business because the person they deal with is nice or maybe even a friend.

What the Marshmallow Test Tells Us About Money Management

Doug O. Jones | Posted 03.25.2014 | Canada Business
Doug O. Jones

Back in the 1960s, Stanford University researcher Walter Mischel conducted a famous study about self-control. After following the study group for 40 years, the researcher's findings about self-control continue to provide insight today into our collective psychology. That insight may be worth reflecting upon as we confront our current debt loads.

Time to Get Up Close and Personal...With Your Finances

Cait Flanders | Posted 03.18.2014 | Canada Business
Cait Flanders

As I try to change my own views on money, I thought I'd share some of the insights that have helped me create a more positive relationship with it. In my experience so far, it can be as simple as switching your thought patterns, so you see the glass half-full rather than half-empty. Here are a few examples.

Is the Financial Sky About to Fall?

Tim Paziuk | Posted 03.06.2014 | Canada Business
Tim Paziuk

Today most people don't want to believe that the US could default on its obligations, but the simple truth is that nothing, I mean nothing, can continue to expand and not explode. It's a simple law of physics. So is the sky falling? You tell me. And if it is, how can you best prepare for it?

Forget the Garage, Spring Clean Your Finances!

Jeffrey Schwartz | Posted 03.06.2014 | Canada Business
Jeffrey Schwartz

For most of us, spring on the horizon means it's time for our annual spring cleaning. But, if you are like most Canadians, it may be more important to focus on spring cleaning your finances rather than washing the windows or cleaning out the garage.

Date a Personal Finance Blogger

Cait Flanders | Posted 03.03.2014 | Canada Business
Cait Flanders

Date a female personal finance blogger. Date a girl who understands the value of a dollar as well as the emotional power money has over us all. Date a girl who lists personal finance experts and bloggers as her heroes and who wants to become that same hero in her own family.

Canadians Still On Target For Record Year Of Personal Debt

CP | LuAnn LaSalle, The Canadian Press | Posted 02.26.2014 | Canada Business

MONTREAL - Canadians are still on target for a record year of personal debt despite ending 2013 by making a small dent in the money they owe, says cre...

When it Comes to Finances, Canadians Believe One Thing and Do Another

Doug O. Jones | Posted 04.13.2014 | Canada Business
Doug O. Jones

With the Canadian debt-to-income ratio at an historic high, one can only hope that our collective access to information is enabling Canadians to do a better job at aligning their actual behaviours with their stated goal of debt reduction in 2014.

Forget the Flowers: Use Valentine's Day to Talk About Debt

Douglas Hoyes | Posted 04.12.2014 | Canada Living
Douglas Hoyes

More than 1 in 3 people said they did not discuss their debt with their spouse prior to getting married. If you are starting a new life together would it not be a good idea to at least start a conversation about the debt burden that will impact you and your spouse's ability to buy a home and borrow for other purchases?

We Owe $1.4 TRILLION

CP | Linda Nguyen, The Canadian Press | Posted 04.11.2014 | Canada Business

TORONTO - The love affair Canadians have with debt is still going strong, according to a new report by credit monitoring agency Equifax Canada.Equifax...

Flaherty: Budget Has Money For 'Major' Infrastructure Projects

CP | Steve Rennie, The Canadian Press | Posted 04.11.2014 | Canada Business

OTTAWA - Finance Minister Jim Flaherty says his upcoming federal budget will contain money for "major" infrastructure projects.Flaherty told CTV's Que...

Why a Higher Minimum Wage Won't Reduce Bankruptcy Rates

Douglas Hoyes | Posted 04.05.2014 | Canada Business
Douglas Hoyes

The government of Ontario has announced that the minimum wage will increase to $11 per hour on June 1, 2014. Putting more money in the pockets of the working man or woman should reduce the bankruptcy rate, right? I doubt it.

How's Your "Debt Psyche"?

Doug O. Jones | Posted 03.26.2014 | Canada Business
Doug O. Jones

In the financial media, January is the month often coined the 'debt hangover' with many people feeling the winter blues while trying to reconcile how they will service their holiday bills and increasing debt loads. The 'debt psyche' that results for many during this period is often one of a heightened aversion to assuming more debt.

Why One in Six Canadians Will Eventually Go Bankrupt

Douglas Hoyes | Posted 03.15.2014 | Canada
Douglas Hoyes

With low interest rates our average debt service ratio is at record lows. In 1990 Canadians used over 11 per cent of their disposable income to pay interest on their debt; today we only need 7 per cent of our income to pay interest. All is good. Or is it?

How To Handle Post-Holiday Debt

CBC | Posted 02.27.2014 | Canada Business

With post-holiday bills piling up even faster than food on Christmas dinner plates, experts say now is the time to hide those credit cards. The aver...

If We Can't Say 'Merry Christmas' in Canada, Multiculturalism Failed

Christopher Stuart Taylor | Posted 02.22.2014 | Canada Living
Christopher Stuart Taylor

I wonder: since when did "Merry Christmas" become a political statement especially in multicultural Canada? Multiculturalism is a complete and utter failure in Canada when it is politically incorrect to say "Merry Christmas" without pausing and wondering if they may or may not be offended?

Is Debt the New Addiction?

Tim Paziuk | Posted 02.18.2014 | Canada Business
Tim Paziuk

Have we become a society addicted to debt? Based on some recent surveys, I would have to conclude that the answer is yes. Debt has become an acceptable fact of life in our society. Can you live without borrowed money? If not, you may be living on borrowed time.

10 Money Management Tips From Experts

Douglas Hoyes | Posted 01.23.2014 | Canada Business
Douglas Hoyes

This is Credit Education Week, and the theme this year is "Every Dollar Counts." Small expenses can add up to big dollars. So this week I did a survey of my colleagues and I asked them for their top money management tips, and here is their top 10 list.

Are Millennials Being Desensitized to Debt?

Doug O. Jones | Posted 01.23.2014 | Canada Business
Doug O. Jones

Are our young Millennials are being conditioned to carry large debt loads and may have become desensitized to debt as a result. If such desensitization has occurred, what does that hold for our economic and social future as a society?

Have a Credit-Friendly Turkey Day

Jeffrey Schwartz | Posted 01.23.2014 | Canada Business
Jeffrey Schwartz

Does Thanksgiving dinner leave you feeling like a turkey? Hosting dinner for friends and family can leave you feeling thankful, but let's face it, putting on a Thanksgiving spread isn't exactly cheap! But what if there were a way to cook for a crowd without spending a bundle this year? With these tips you can have a fun, festive and frugal holiday dinner without sacrificing taste or quality.

Does U.S. Debt Ceiling Debate Compromise Citizens' Money Morals?

Doug O. Jones | Posted 12.06.2013 | Canada Business
Doug O. Jones

The U.S. debt was $1-trillion in 1982, and at $12.1-trillion just four years ago. It's now at $16.7-trillion and needing to be raised on Oct. 17th, or the country will be unable to pay its bills and will default on debt payments. This sends a clear message to a debt-ridden populace: that their own government doesn't even take debt that seriously.

What Triggers Personal Financial Collapse?

Douglas Hoyes | Posted 01.23.2014 | Canada
Douglas Hoyes

Over the years I have met with thousands of people who "unexpectedly" lost their job. My advice: assume you might lose your job at some point in the next year, and make a plan now to deal with that job loss.

Canada Needs To Be More Like The U.S. Like It Needs A Hole In The Head

Michael Bolen | Posted 01.23.2014 | Canada Politics
Michael Bolen

Canada's number one claim to fame is that we're a less insane version of America. We don't need to import any of the political brinkmanship that has made the U.S. government about as effectual as a two-year-old having a tantrum.

Should Our Debt Be Treated Like Our Productivity Gap?

Doug O. Jones | Posted 11.24.2013 | Canada Business
Doug O. Jones

The financial press in Canada has been identifying our deficient economic productivity for several years now. In 2012, the Financial Post ran a column entitled "Canada's productivity gap is looking worse than ever. There may be opportunities to influence our growing debt problems in the country through programs comparable to those used to stimulate our economy's productivity. If tax credits and other incentive programs can be formulated to help stimulate our productivity gap, are there similar policies that could find ways to help those looking to start their own business, create jobs and directly impact the economy and productivity?