Ooooh - which podcast?

Also - excited to get my hands on this book soon! (I have a backlog to work through)

www.linkedin.com/pulse/busine...

If this is you - use this as your sign. Book that meeting that you know you have been putting off.

If you have a successful business and you don't know where to turn for that next step?

Reach out - I'm here to help.

As a profitable business owner - first step might be: "Book a meeting with my advisor/accountant/lawyer".

It allows you to focus on running your business.

It allows the other professionals to map out the action plan for you based on what you want and need.

If this is resonating with you - the problem is NOT you.

You are already busy doing all the things you are supposed to.

Running a business
Growing the profits,
Asking what you need to do to protect your future.

Instead turn to your professional team.

In addition to the uncertainty - the steps might still be difficult.

Knowing as a business owner that you should incorporate and set up a hold co is great.

But: that has many steps inside it:

- Get a Lawyer & Accountant for paperwork
- Flow funds to hold co to invest
etc

That uncertainty is where people often fall down. It get's overwhelming and leads to "You know what - the business is my priority and if I just keep working on growing that - it'll be fine...I think".

The action plan never get's created and the goal potentially doesn't get met.

Here's an example:

A business owner with a successful business might have a financial goal of exiting the business in 10 years with $_______ to retire on. It's a SMART Goal.

But what's the action plan?

Incorporate? Set up a Hold Co?

Save in the Hold co or RRSP or other?

...you also need an action plan.

A goal is great. A goal without action means you are standing in the same spot hoping for change.

This is the part where many people fall down. Because the actions that are required are either too hard, too complicated, or unknown.

Personal Finance (Numbers) and SMART Goals work well together.

Specific - Keep it focused
Measurable - Can you track it regularly?
Achievable - Is it realistic for YOU?
Relevant - Does it line up to what your ideal end state is?
Time Bound - Completed within a time frame

but...

For the CCB - it's just a percentage increase - like a marginal tax. So you need to plan around it accordingly - just like marginal tax today vs retirement.

I love all of this.
I would caveat the RRSP over TFSA in 3 situations though:

1) Taxes today vs future when you pull it out. If taxes are higher today - you would benefit from the RRSP.
2) Buying a house or going back to school - you get the HBP or the LLP
3) Kids - the CCB is tied to income

None of these are magical solutions.

If you harness all of these to work in your favour...you will be amazed at how incredible the compounding effect is.

If you need help getting those first 4 points in order - I'm here to help.

Reach out anytime.

5) Not investing in themselves

Congrats on hitting those 4 main points.

Now is NOT where you over optimize on personal finance.

Instead use that peace of mind to reassess the rest of your life.

There's a huge ROI on upskilling, networking, learning, etc.

Plan accordingly.

4) Get your planning straight.

I often see things like RESP's underfunded or RRSP's under utilized.

They often get handwaved away as "it's not that much money"

These little things add up over time.

Ex. $2500 in an RESP yearly for 14 years at 6% turns into $66,000.

3) Pay off debt

Mortgages (and other higher interest debt) have higher rates than before.

In Canada - the interest rate is is not deductible (investment related debt excluded).

Once a TFSA is filled up - the hurdle rate for most personal debt is tough to beat.

Pay it off!

2) Not taking enough risk

Risk tolerance IS important. Part of that is also education about markets.

However - I have seen many people defaulted into conservative funds due to improperly filled out surveys or lack of advisor communication.

Revisit the risk of your portfolio.

1) Keeping too much in cash or GIC's

People are often tempted by promotional interest rates and leave more cash in their bank account or a GIC because of the "safety".

Set your ideal emergency fund - and use the rest of the cash in better places.