am income insurance life

CANOE Money - Financial Fitness by Chris Alexander
Canadian Financial News

• Pay yourself first
  Q. I'm currently living with my parents and I don't pay rent, but do pay for all my other expenses. I have shopped a lot and have not really been focused on saving in the past.
• What are my options for my LIF?
  Q. I have a small Life Income Fund (LIF) worth about $2000 with an insurance company that was transferred in 1995. My question is, does this money grow until my 65th birthday? Or should I cash it out now?
• Reduce your taxable income
  Q. I withdrew some RRSP funds this year, before receiving a much higher than expected raise. The raise put me into a higher tax bracket, and it looks like I will have to pay around $5,000 in taxes for 2008.
• How to pass on your savings
  Q: I have designated my daughters as my beneficiaries on all my investments. I have Registered Retirement Savings Plans (RRSPs) and Locked in Retirement Accounts (LIRAs). When I pass away do these just go to my daughters and they can cash them?
• Are your investments right for you?
  Q. I have been investing for about five years and have a long-term approach to my investments.
• Will I have money to retire?
  Q. I am 61 years old and so far I have managed to save only $60,000 in my RRSP which is not going to be enough to support my retirement.