Sep
30

Strategic Planning: Credit

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Your credit can affect many important aspects of your finances. When setting up your Strategic Plan, you must be able to determine where you stand in terms of your credit. What is Credit? Credit provides the ability to obtain good or services before payment based on trust that payment will be made in the future. As mentioned, your credit standing can affect many aspects of your finances. For example, you can get the capital you need if you have good credit and you can also get better rates with good credit. Generally, lenders look at you two things: - Debt Service...
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Sep
25

Strategic Planning: Debt

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Many people struggle with debt. Recent reports show that many are racking up too much debt but are unable to keep up with the payments. We need to take responsibility and step up to our debt. And as part of the Strategic Planning process, we need to be able to get an accurate picture of where you stand in terms of the debt you have. When taking a look at your debt situation, you first need to understand the difference between a bad debt and a good debt. Bad debts are consumer-type debts, non-deductible, high interest and are debts that have...
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Sep
18

Strategic Planning: Your Closed Circle Budget and Cash Flow

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As mentioned in our previous blog, good planning is essential to success. And one of the major components of Strategic Planning is having a Closed Circle Budget in place. Every home must be built on a solid foundation and your Closed Circle is your FINANCIAL FOUNDATION! What is a Closed Circle Budget? A Closed Circle Budget is a fixed budget as opposed to an Open Circle Budget which is ever expanding, meaning the more income you make, the more you spend. The Closed Circle Budget consists of the following: - Obligations such as your mortgage, debt servicing and insurance - Necessities...
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Sep
16

Shared Parenting and the Canada Child Benefit

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Since 2011, Canada Revenue Agency has recognized the special circumstances of parents who share parenting time of a child by allowing parents to share benefits. The CRA determines who qualifies, based on an interpretation of shared parenting as meaning a child generally lives with a parent between 40% and 60% of the time. However, recent Federal Court of Appeal decisions go against the CRA’s practice. Based on the Court’s more narrow interpretation of shared parenting – which it interprets as a child residing with the parent between 45% and 55% of the time – some parents who share parenting time may...
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