Protecting Your Assets
Hi there, Welcome back to “Your Canadian Senior Moment”!
Last week, we talked about navigating your finances, from debt relief options to bank bonuses. This week, we’re taking on an equally important topic: protecting your assets and making sure you’re getting the best deal on some of your biggest expenses. We’ll look at options for dealing with tax debt, getting the best car insurance rates, and finding a trustworthy financial advisor.
Dealing with Tax Debt
Past-due tax debt can be incredibly stressful and overwhelming. But instead of letting it weigh on you, it’s important to know that the Canada Revenue Agency (CRA) has programs designed to help you.
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The Taxpayer Relief Program: This program can provide relief from penalties and interest if you are unable to meet your tax obligations due to circumstances beyond your control, such as a serious illness, a family tragedy, or a financial hardship. The CRA can also cancel or waive interest and penalties on a case-by-case basis. If you find yourself in this situation, it is important to contact the CRA as soon as possible to discuss your options.
Lowering Your Car Insurance Costs
Too many of us pay too much for car insurance without realizing it. Many insurance companies offer discounts for drivers over 50, but you have to be proactive to get the best rate.
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Compare, Compare, Compare: The single best way to save on car insurance is to shop around. There are several reputable Canadian websites that can get you multiple quotes from different companies in a matter of minutes.
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Look for Senior Discounts: Many companies offer discounts for drivers over 50, and some even offer a discount for retired individuals. Be sure to ask your insurance provider about all the discounts you are eligible for, including discounts for a good driving record, for bundling home and car insurance, or for having a home security system.
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Driver Training: Some companies will offer a discount if you take a defensive driving course or a refresher course designed for older drivers.
Finding a Trustworthy Financial Advisor
When it comes to your nest egg, fees matter. High fees can cut into your returns and affect your overall retirement savings. It’s important to find a financial advisor you can trust.
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The Three Types of Advisors:
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Commission-based: These advisors get a commission from the products they sell you. This can create a conflict of interest, as they may be incentivized to sell you products that pay them the highest commission.
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Fee-based: These advisors charge an annual fee based on a percentage of the assets they manage for you. They also may get commissions for selling you certain products.
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Fee-only: These advisors charge a flat fee for their services, which can be an hourly rate or a flat rate for a comprehensive plan. They do not earn commissions from selling products. This type of advisor is considered to have the fewest conflicts of interest.
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Fiduciary Duty: A financial advisor with a “fiduciary duty” is legally required to act in your best interest. When looking for an advisor, always ask if they have a fiduciary duty to you.
Your Turn to Claim!
Take a moment to check your car insurance policy. Is there a way for you to lower your monthly payments? And if you have a financial advisor, ask them how they are compensated and whether they have a fiduciary duty to you. You deserve to have peace of mind about your money.
This is just the third installment of our new series. Next week, we’ll talk about how to get the most out of your health and well-being, including how to find affordable hearing aids and other medical supplies.
(Please remember: We are not financial or medical professionals, and the information above is for educational purposes only. It does not constitute specific financial advice. For personalized guidance on your finances, please consult a qualified professional.)
Warmly,
Bill and Marilyn
Founders of Canadian Senior Moment
**Bill Gould** spent 43 years as a long-haul truck driver before trading the steering wheel for a keyboard to help fellow Canadians navigate the road of retirement. A freelance writer, published author, and editor of over 50 books, Bill co-founded *Canadian Senior Moment* with his wife, Marilyn, to provide a trusted space for seniors to find clarity, safety, and connection in the digital age. When he isn’t troubleshooting “tech gremlins” or sharing childhood memories of the Prairies, he can be found in his woodshop or working on his latest novel.