With six-figure income and growing savings, this couple still worries their future is bleak
Situation: Despite six-figure income and growing savings, couple worries their future is bleak
Solution: Set up RESP for son, develop wife’s RRSP, learn investing and tax rules
In Alberta, a couple we’ll call Mary, 37, and Ralph, 45, are raising their child, Ethan, age 2. Both researchers in communications, they bring home $8,563 per month and add $125 from the Canada Child Benefit for total monthly disposable income of $8,688 per month. They look forward to moving from their present $380,000 condo to a $500,000 house, but they hesitate for fear that their means will not support it. They are novices in finance.
In financial terms, their futures are solid. Ralph will have a generous defined benefit pension plan, Mary an RRSP-like defined contribution plan with matching grants by the employer.