Tax efficient investment strategies in retirement and charitable giving with ECU

On Wednesday, May 17th the Estonian Credit Union hosted a seminar focused on tax efficient investment strategies and charitable giving. Joined by Peter Bowen of Fidelity Investments and local Estonian charities, the evening was the perfect combination of financial education and community support.

Tax Efficient Investment Strategies

Peter Bowen, Vice President of Tax & Research Retirement at Fidelity Investments Canada, focused his presentation around using tax efficient strategies while saving for retirement and planning charitable donations. His presentation touched on many different aspects of retirement planning: RRSPs vs. TFSAs, Canada Pension Plan (CPP), Old Age Security, life expectancy, estate planning and more. He provided great basic insights on what to think about when building your retirement plan. For example, if you have to choose between investing in an RRSP or a TFSA, take into consideration your tax bracket; when in a higher bracket, it makes more sense to invest in an RRSP so that it brings down your income when you claim it as a deduction on your tax return. He also provided good information on what to think about when making the decision to start collecting CPP – the earlier you start to collect, the less money you will receive annually. If you're able to hold off on collecting until later on in life, you will get more money each year. Peter went on to speak about how we can incorporate charitable giving into our estate plans, and how important estate planning really is. This includes keeping your loved ones in the know about what your plans are, from your will to your important documents. Make sure you explain to your family what you want and why, and also keep them informed about the whereabouts of your important documents and passwords, should anything happen to you.