Build wealth. Keep more of it. Smile.
Check out my conversation with Tom Drake on his MapleMoney podcast.
Build wealth. Keep more of it. Smile.
Check out my conversation with Tom Drake on his MapleMoney podcast.
Tig20xxX
October 30, 2019 5:05 pmGreat podcast Larry. Keep up the good work!
Larry Bates
November 13, 2019 5:31 pmThanks……..will do!
Ken Polson
December 1, 2019 8:47 pmHi Larry. I recently purchased your book and listened to the podcast… what a breath of fresh air for me. I must admit I am (soon to be ‘was’) a victim of the banks and their high cost mutual funds… plus a financial planner with fees on top of the MER’s.
I’m retired and have spent the last couple months researching options. After just finishing your Book, I now have the confidence to invest on my own. I recently set up a Direct Investing Account and will be selling the mutual funds and ‘divorcing’ the financial planner to buy Balanced ETF’s myself.
Question for you… I have some investments in mutual funds… and they’ve done well since I’ve had them the last 3 years. Altogether, they’ve have a nice gain. My question is… should I sell them all in Jan 2020 and realize the full capital gain that year? Or sell them over 2 years to spread the capital gain? I’m leaning towards option 1 to sell the mutual funds asap.
Would you mind giving me your brief advice?
Thanks
KP
Larry Bates
December 3, 2019 5:56 pmHi Ken. That is a good question. I do not know your personal situation so can’t give you a yes or no. Spreading gains over a couple of years may make sense if selling them all at once moves your marginal tax rate up a notch. You could sell some now and sell the balance in January. Good luck!
Larry
KP
December 12, 2019 9:44 amThanks for your advice Larry.
I really like the simplicity of VBAL, as you mention on page 177 in your book.
One question… if VBAL is used in a TFSA, is there withholding taxes, since a portion of this ETF is in the US Market? Or is this withholding amount so small it’s insignificant?
Thanks again for all your incite!
Larry Bates
December 15, 2019 10:01 pmThere will be a small amount of US withholding tax applied to VBAL holdings in a TFSA but I think it is a small price to pay for the simplicity/convenience.