Personal Finance | Crawford • Ashwood Financial

Debt is a passionate topic to me. Why? Because a poor understanding and use of debt can determine the financial success or failure of an individual and a family. Debt can be insidious. It can creep up on you gradually until you find that you owe an unmanageable amount of it. Low interest rates have not helped. Nor has rapidly rising house prices which have allowed lines of credit to grow along with the house values. In my opinion, lenders also have a lot to answer for. They have a way of making you feel happy when they solve your…

You suddenly receive tens or even hundreds of thousands of dollars. It is a scenario that many people secretly wish for, and for an increasing number of people (especially baby boomers) it is becoming a reality as their parents—now in their eighties and nineties—are inevitably dying, leaving their heirs sizable inheritances. Unlike boomers (many of whom love to spend their money), their parents were much more likely to be savers than spenders. This ‘saving’ mentality is what is providing many boomers with inheritances of significant value. Handled correctly, these gifts from parents to adult children can be life changing. Handled…

The Registered Education Savings Plan (RESP) is a tax-sheltered plan that can help you save for a child’s post-secondary education. We all know that education costs are raising every year, and many parents, grandparents and other family members recognize the need to save long before the money is required. The major benefit to the RESP is the government grants that assist you to grow the account more quickly. Free money from the government, you say? Why wouldn’t you take advantage of that? Canadian Education Savings Grant (CESG) For an eligible beneficiary under the age of 18, the government matches 20%…

Let’s start with the Tax Free Savings Account (or TFSA). A lot of clients we talk to seem to have the misconception that you get a TFSA at a bank, and make a percent or two in a high interest savings account (if you’re lucky). The fact of the matter is that a TFSA is just another vessel to invest your money, just like an RRSP. Think of it as another hat to put mutual funds, stocks, bonds, and high interest savings accounts into. A TFSA seems to be advertised as a short term or emergency savings vessel, but that…

So you’ve just accepted an offer for a new job, or received a nice promotion. Congratulations! With extra money coming in, it’s important to know how to take care of it properly. What are your goals? Does this extra income put you in a good spot to check something off your list? Maybe it’s finally moving out of your parents’ house, and getting your own place. Maybe it’s buying a new car, or maybe it’s saving for something special, or maybe, just maybe, you actually want to start putting more into your long term savings plan. The first course of…

We are all so busy living day to day, we often don’t take the time, or see the value in looking at the big picture. Or we are afraid of what that picture will look like so we actively avoid thinking about it. The beginning of any plan, financial or otherwise, involves having a vision for your life, both now and in the future. What would you like to do when you stop working at your full time job? Are you someone who is content to be at home surrounded by familiar things, with family and friends? Are you someone…

Category Archives: Personal Finance

Understanding Debt

How to Plan for an Inheritance

Education Savings

TFSA vs. RRSP

A New Job

Financial Planning = Lifestyle Planning