057 | The Real Reason We Delay CPP But Not OAS

On episode 62 of Retirement Unpacked, Adam Bornn and Brett Martinson     discuss what you should do if your RRIF continues to grow after retiring, potential withholding tax issues you'll run into in the first few years of retirement, when it makes sense to take the commuted value of your pension, how to utilize your TFSA in retirement, and much more.Later in the episode, Paul Grenier joins the show to discuss planning considerations when you enjoy what you do and are choosing to work longer. Chapters0:00 Intro0:17 My portfolio keeps going up, what should I do?7:44 Considerations when gifting a rental property13:58 Withholding tax issues in retirement19:30 Should I take the commuted value?26:13 Why shouldn't I drain my TFSA first?30:46 How do I find my adjusted cost base?34:56 Considerations when moving to another province39:55 How do workplace non-registered accounts work?42:11 Can you carry forward RRSP deduction past 71?45:03 Planning considerations when you want to continue working49:31 Can you use a HELOC as your income wedge?

On episode 61 of Retirement Unpacked, Gord Manzer and Steven Arnott     discuss the key factors when deciding between taking the defined benefit pension or its commuted value, how OAS and OAS clawback fit into your overall taxable income, whether it makes sense to unlock your locked-in account before retirement, should you delay OAS to do a larger RRSP meltdown, and much more.Later in the episode, Mathieu Huneault     joins the show to discuss tax-loss harvesting, when it may make sense, and some important cautions to keep in mind. Chapters0:00 Intro0:40 Monthly payments vs. commuted value: What's the best option?7:54 How does OAS clawback affect your taxable income?12:32 Should you unlock your locked-in RRSP before retiring?18:35 Delaying CPP: What happens if one spouse dies early?24:29 Which jurisdictions allow you to base LIF maximum on last year's returns?29:00 How CPP survivor benefit fits into your own CPP calculation32:46 When does it make sense to contribute to an RRSP in retirement?36:44 RRSP vs. TFSA contributions when you're close to retirement40:54 Should you delay OAS to do a larger RRSP meltdown?43:21 Tax-loss harvesting at year end48:05 Should you contribute to RRSP if you have a pension?

On episode 60 of Retirement Unpacked, Brett Martinson and Michael Barichello   discuss how to think about investment returns and safe withdrawal rates in retirement, why your income wedge should be built into each individual account, if it makes sense to delay CPP if you already have many low income years, and much more.Later in the episode, Martin Goudreault   joins the show to discuss a case study involving a couple how will be retiring with strong government pensions, but have been living paycheque to paycheque. Martin goes through how he helped them manage their cashflow, adjust their spending, and prepare them for the transition from employment income to pension income. Chapters0:00 Intro0:34 Investment returns vs. withdrawal rates in retirement6:08 Spousal loans explained8:29 Why should your income wedge be built in individual accounts?13:03 Should you delay OAS/CPP if you're receiving CPP survivor's pension?17:28 Should you delay CPP if you already have many low income years?21:00 Why not start CPP/OAS early when you're healthy?26:38 Should you avoid contributing to an RRSP in bad markets?32:50 Case study: Managing cashflow before retirement43:07 Should you move money from a LIF to your RRSP?

On episode 59 of Retirement Unpacked, Gord Manzer and Paul Grenier   discuss the future of Old Age Security and if you should start planning for potential changes, how you should build in a potential inheritance into your retirement plan, whether you should withdraw from your RRIF or LIF first, tax planning for large RRIF balances in your 80s, and much more.Later in the episode, Jon Kutney joins the show to discuss Prescribed Retirement Income Funds (PRIFs), what they are, how they work, and how they fit into your retirement plan. Chapters0:00 Intro0:42 The future of Old Age Security4:25 Do RRIFs and LIFs have successor holders?7:50 How should you plan for an inheritance?12:14 Should I defer my RRSP deduction until retirement?19:22 Should you withdraw from your RRIF or LIF first?24:28 Should you level out your average tax rate through retirement?28:58 Should you defer OAS if you're in clawback territory?34:08 Tax planning for large RRIF balances in your 80s38:46 Do we have any women on our team who are CFPs?40:30 Should I get a plan before changing brokerages?45:30 What are PRIFs?52:26 Retirement planning when you're 15+ years away

On episode 58 of Retirement Unpacked, Adam Bornn and Kyle Martins discuss whether withdrawal strategy or asset allocation is more important in retirement, when living trusts can make sense, how singles vs. couples are taxed in retirement and why singles are at a disadvantage, when it makes sense to contribute to an RRSP in retirement, and much more.Later in the episode, Aaron Cramer joins the show to discuss a case study of how the timing and duration of your RRSP meltdown can impact your estate and overall flexibility of your retirement plan. Chapters0:00 Intro0:23 Is withdrawal strategy or asset allocation more important?4:21 When do living trusts make sense?8:38 Income planning with GICs in retirement11:57 Taxation of singles vs. couples in retirement17:38 How does the CPP survivor's pension work?20:59 When should you claim your DB pension?24:33 Principal residence exemption when selling below fair market value27:32 When should you contribute to your RRSP in retirement?31:53 RRSP meltdown timing case study

On episode 57 of Retirement Unpacked, Adam Bornn and Matthew Dennis discuss why we often suggest delaying CPP but not OAS, when you should actually use your income wedge, gifting strategies and which accounts you should consider gifting from, and much more.Later in the episode, Kyle Martins joins the show to discuss some of the planning considerations Canadian retirees need to know as we approach the end of 2026.Chapters0:00 Intro0:18 Why delay CPP but not OAS?3:08 When should you use your income wedge?8:34 Should you ever live off your TFSA in retirement?15:11 Gifting money from your TFSA vs. non-registered18:11 CPP timing when you expect to receive an inheritance22:13 Can you protect an inheritance from a divorce?24:35 LIRAs vs. annuities: What is better?28:49 Does Parallel Wealth support blended families?30:33 Considerations when gifting money37:55 Planning considerations for year end41:10 When does CPP sharing make sense?

On episode 56 of Retirement Unpacked, Adam Bornn and Gord Manzer discuss if there is a minimum RRSP amount needed to delay your CPP to 70, when CPP sharing can make sense, whether you need an income wedge for your entire retirement, how to manage large capital gains in retirement, moving money from your RRIF to your TFSA, and much more.Later in the episode, Peter Filippakis joins the show to discuss some of the nuances around the principal residence exemption, and some scenarios where you are not eligible to claim it. Chapters0:00 Intro0:18 Delaying CPP: Is there a minimum RRSP amount needed?3:48 Can you have OAS withheld at source to avoid instalments?7:09 Does CPP sharing make sense?11:09 CPP survivor benefit: What happens if you delay CPP to 70?13:14 Income splitting to avoid OAS clawback17:50 Do you need an income wedge for your entire retirement?20:59 How to manage large capital gains in retirement25:39 How selling propery affects OAS clawback30:32 Does it ever make sense to defer a HOOPP pension?33:26 Moving money from your RRIF to your TFSA36:33 The Nuances of the principal residence exemption41:35 When should you actually use your income wedge?

On episode 55 of Retirement Unpacked, Paul Grenier and Michael Barichello   discuss how RRSP tax deductions work, why it could make sense to set up a HELOC before retiring, why people keep working when they can financially retire, if it makes sense to withdraw more from your RRIF to fund your TFSA, and much more.Later in the episode, Martin Goudreault   joins the show to discuss a unique tax planning opportunity where a client both contributed to his RRSP and withdrew from his RRIF in this same year leading to about $50,000 in tax savings in their plan.Cost of aging calculator: https://coacalculator.ca/ Chapters0:00 Intro0:26 How does the RRSP tax deduction work?3:21 Should you set up a HELOC for retirement?7:18 Why do people keep working when they can retire?9:44 Healthcare planning in retirement14:59 Should you withdraw more from RRIF to fund TFSA?19:03 Can leftover RESP funds be used for your grandkids?23:14 Should you delay OAS if you have clawback?26:22 Should I convert my LIRA now that I'm 55?30:58 A unique RRSP/RRIF planning strategy35:39 Should you utilize unused RRSP room in retirement?40:51 If you're already 70+, do retirement plans have value?

On episode 54 of Retirement Unpacked, Brett Martinson and Jon Kutney discuss how to utilize additional TFSA contribution room in retirement, how to incorporate dividends into your cashflow (income) wedge, DIY retirement planning software, marginal vs. average tax rates in retirement, in-kind charitable donations, and much more.Later in the episode, Mathieu Huneault joins the show to discuss tax planning strategies for those with non-registered accounts with large unrealized capital gains. Brett and Mathieu go over how using available RRSP contribution room can help manage the tax impact of those gains.Wealth transfer article: https://www.wealthprofessional.ca/news/industry-news/wealth-transfer-timing-why-waiting-is-the-costliest-mistake-families-make/393369Our free decumulation 101 course: https://www.parallelwealth.com/offers/VzwEVF5b/checkoutWork with our team: https://www.parallelwealth.com/planning Chapters0:00 Intro0:32 Contributing to your TFSA in retirement4:28 Are dividends a part of your income wedge?10:12 DIY retirement planning software17:10 Marginal vs. average tax rate in retirement22:51 How to calculate value of property27:32 What does self insuring in retirement look like?35:14 Living trusts for an adult disabled child41:09 In-kind charitable donations47:37 CPP splitting after a divorce51:58 Deferring your DB pension57:52 How do alternative investments fit into income wedge?

On episode 53 of Retirement Unpacked, Adam Bornn and Martin Goudreault discuss when you should convert your RRSP to a RRIF if you're retiring in 2027, whether or not you need a cashflow wedge in your TFSA, converting to a RRIF vs. just withdrawing from your RRSP, tax implications when gifting money to your kids, planning considerations when you love your job, and much more.Later in the episode, Peter Filippakis joins the show to discuss the importance of stress testing your retirement plan, while also avoiding analysis paralysis and letting fear ruin your plan. Our free decumulation 101 course: https://www.parallelwealth.com/offers/VzwEVF5b/checkoutWork with our team: https://www.parallelwealth.com/planning Chapters0:00 Intro0:24 Retiring in 2027: When should I convert my RRSP?3:58 Do I need a cash wedge in my TFSA?6:08 Common law planning considerations8:46 Delaying OAS when you don't have 40 years in Canada11:04 Why move money from a RRIF back to an RRSP14:07 Converting to a RRIF vs. just withdrawing from RRSP17:05 Gifting money from your non-registered to your kids22:11 Moving money from your RRIF to your non-registered24:34 Don't overcomplicate your retirement30:28 When do annuities make sense?37:59 Planning considerations when you love your job43:03 Stress testing your retirement plan47:59 How to find a trusted financial planner