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Hi everyone,

First post here on the forum. Here is my situation and question:

I am 23 years old and leaving my current company for a better opportunity. I have accumulated 20k in my profit sharing plan over the year and I am trying to figure out the best action plan to:

A) Avoid unnecessary taxes
B) Allow for aggressive, volatile growth in this pandemic
C) Allow

I have an existing TFSA Questrade account and an RRSP account set up with my bank.

Where would you ultimately transfer your money into and into what stocks?

Thanks,
 

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10 years - Questrade TFSA VGRO or similar all in one ETF

Any less - EQ bank or similar TFSA savings account
 

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Good luck making the right investments with your money. If you are thinking about stocks, Apple Stock seems to be doing pretty good. If you look at the all-time statistics of Apple Stock, it just keeps going up and up. Good luck.

 

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Hi everyone,

First post here on the forum. Here is my situation and question:

I am 23 years old and leaving my current company for a better opportunity. I have accumulated 20k in my profit sharing plan over the year and I am trying to figure out the best action plan to:

A) Avoid unnecessary taxes
B) Allow for aggressive, volatile growth in this pandemic
C) Allow

I have an existing TFSA Questrade account and an RRSP account set up with my bank.

Where would you ultimately transfer your money into and into what stocks?

Thanks,
A) There is a tax issue. The Deferred Profit Sharing Plan (DPSP) lump sum payment is fully taxable. You can transfer it though to the RRSP and delay taxes. You may want to do this as you will likely be in a lower tax bracket when you retire. If not,then the TFSA.



Here is a good article for couch potato ETFs (VGRO etc) . You could go 100% equity w VEQT too.

 

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A) There is a tax issue. The Deferred Profit Sharing Plan (DPSP) lump sum payment is fully taxable. You can transfer it though to the RRSP and delay taxes. You may want to do this as you will likely be in a lower tax bracket when you retire. If not,then the TFSA.



Good find...didn't know you can add your DPSP into a new company DPSP.
 

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^
... Good find...didn't know you can add your DPSP into a new company DPSP.
... haven't looked at the link but the last sentence in quote ^.

Not sure how easily you can transfer your existing (old) DPSP -in-kind (ie other than cash) into a new company DPSP. For one, will the new company allow it?
 

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^ His main goal is (A) as listed in his OP ... paying off the mortgage (or debts) is a good idea but still the DPSP is taxable.
 

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Having as little debts as possible is of course a good idea. Good luck creating the correct investments with your money. If you are thinking about stocks, here's another interesting stock: Uber. There could be opportunity here.

Uber's Stock Fell 14.4% in June 2020.

Uber stock price (NYSE:UBER) gained 20% in May 2020.

 
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