by Ajay Oberoi | Bankruptcy, Consumer Proposal, Credit Counseling, Credit Repair, Debt Management
We all need to save money for a rainy day and if we do not we could be in trouble when an unforeseen disaster strikes. The lifestyle in Canada could be quite fast with everything that you would do taking a few dollars from your pocket. If you continue in that trend you would be with an empty pocket at the end of the day or when you step into old age. Financial stability is needed and that could be achieved only if you are in the habit of saving wherever it is possible. It may not necessarily be that you save physically those additional few dollars but by cutting a few corners where a few dollars would remain in your pocket.
Hence it is imperative that you save a few dollars every month and stash it away safely so that you have access to it when you really are in need of money in an emergency. We know that it is little grains of sand that make a mighty land and little drops of water that make a mighty ocean. Keeping this in mind and trying to save a few dollars wherever possible would ensure that you could lay back and be contended that you have a financial backup when you need it.
It is not only by putting away money that you could save but you could do so by ensuring you control your day to day expenses where a few dollars would be drained out without your knowledge. It is these few dollars that we are interested in which if calculated would run into a few hundreds or even thousands of dollars over a period of one year. We have compiled a list of just TEN easy ways that would be easy to follow and also ensure you save a few dollars on a regular basis for which of course you would need to commit yourself very intelligently.
#1. Join or create a carpool with friends or neighbors
Research done by Statistics Canada has enlightened that an average Canadian worker commutes about 25 kilometers to work and back every day. Covering such a distance annually would cost you around $1,800 on gas alone every year. This is not taking into consideration other factors like wear and tear which the car would undergo during that time.
If you carpool and travel only one day per week with friends or neighbors you could be dropping this figure down substantially which could be about half that. If you save that amount of $900 it would be a small amount but would add up in your kitty.
#2. Pay bills on time
Pay your bills on time. If you do so you would not be paying surcharges, interest, or any other unnecessary additional costs. Over a period of time depending on your financial status, you could be saving quite a substantial amount. Paying such unnecessary charges should be avoided. These are savings that would accrue to your saving kitty over a period of time.
#3. Shop with prudence
Many vegetables, fruits, canned items, fish, and other stuff we like to eat are seasonal and if you know what is available in abundance and in which time of the year you could be buying fresh foodstuffs whilst also paying less. You don’t need to be an expert on the matter but when you live a year or so in any particular area you could jot these down on the calendar and then make some prudent changes to ensure that you eat the freshest and at a lesser price too.
#4. Manage the heating and cooling systems
Ensure that you adjust your thermostat according to your needs and don’t just keep the air-conditioning or heating system running when you are away from home. Research by Energy experts has found that you could be saving up to $400 annually if you use your cooling and heating system prudently.
#5. Negotiate your insurance premiums
Negotiate all your insurance premiums, your home, car, and all other insurance would cost a tidy sum annually, but if you could negotiate with your insurance agent you may end up paying much less than they would quote. If you are not satisfied try another agent and they would offer you a better premium than the former. The savings that you would make would be quite a sum when calculated annually.
#6. Check your vehicle every winter
Get ready for the winter and ensure that you do a tune-up to your vehicle every winter before it begins and this way you would not be spending unnecessarily with avoidable breakdowns. Your regular mechanic or the vehicle center would help you out which could save you a good tidy sum annually.
#7. Look for bargains regularly
Bargains are galore in supermarkets and departmental stores and to pick up what you would need, make a list of everything beforehand. When you are out shopping inside any shop look at the bargains you may just find what you wanted and buying at bargain prices would save you a lot especially when spread out over a year.
#8. Check vehicle air pressure regularly
Driving with low tire pressure wastes gas and doing it on a regular basis would burn gas unnecessarily. Ensure that you check your tire pressure on a regular basis and reduce the consumption of gas. This could be a tidy sum saved on gas annually.
#9. Avoid traffic fines
Canadians pay millions of dollars on traffic fines and these are unnecessary payments that could be easily avoided. Ensure that you drive carefully and don’t speed as it is not worth the trouble and could be life-threatening too. If you do not pay traffic fines you would not be contributing to the Canadian police unnecessarily.
#10. Avoid shopping with credit cards
Credit cards generally buy things that we don’t need. Hence avoid flashing your credit card when you buy because by doing so you would not be buying what you don’t need. It would save you loads over a year. Any help for financial problems contact gtacredit.com or call 416 650 1100
by Ajay Oberoi | Bankruptcy, Consumer Proposal, Credit Counseling
All of us love to take a break from our busy schedules and go on a vacation. To get the best vacation experience, you will need to save money. However, it is not something difficult as you think. That’s because a variety of methods are available for you to save money for your vacation and take your experiences to the next level.
Below mentioned are some of the most effective methods, which you will be able to follow in order to save money for your next vacation.
- Open a bank account and save
Apart from the bank account that you have, it is possible for you to go ahead and start another dedicated bank account. Then you will be able to save your money in that bank account for the vacation. It is possible for you to set up automatic money transfers to that account as well. Then you don’t need to worry too much about saving money for the vacation. That’s because you will be saving money automatically to spend an unforgettable vacation in the future. It is better if you can open up an interest-bearing account. Then the money you save for your vacation would grow along with time.
- Do a side job
If you don’t get enough money from your job to save for the vacations, you can go ahead and select a side job. The extra hassle that you put in order to engage with a side job is totally worth it when compared to the fun and excitement that you will be able to get during the vacation. Both online, as well as offline side jobs, are available for you to do when you are trying to save money for your vacation. It is up to you to take a look at those side jobs and select a one that you can easily do.
- Use your car to make some money
If you have a car, you can easily use it in order to make some money. For example, you will be able to become a Lyft or an Uber driver and give rides for the people in need. Or else, it is even possible for you to rent out your car. By renting out your car for one month, you will be able to save enough money to enjoy a complete vacation. Hence, you can think about giving it a try.
- Reduce the money that you spend on your food
You must be spending a lot of money on your monthly budget on food. If you want to save enough money for traveling, you are strongly encouraged to reduce the money that you are spending on food. You will be able to save a lot of money by purchasing food in bulk. Or else, you can think about shopping for food you want from the farmer’s markets. If you have enough space, you can start your own garden as well. All these methods can help you to save a considerable amount of money that is being spent on food.
- Start a travel blog
By starting a travel blog, you will get paid for taking your vacations. However, you need to keep in mind that this is not a direct method of saving money for a vacation. Instead, you will be spending your money to go on vacation. But you can get that back with the assistance of a travel blog. You can easily start a blog for free, without any technical expertise. Then you will be able to put up advertisements on the travel blog. You will be paid for the visitors who come and go through the posts that you have shared on the travel blog.
- Look for the deals on outdoor equipment
From recent studies, it has been identified that the families are spending a considerable amount of money to purchase outdoor equipment. There is a possibility for you to save a lot of money on it as well. All you have to do is to start looking for the amazing deals that are available on outdoor equipment. For example, you can take a look at garage sales. Or else, you can even purchase used rental equipment as they can offer the same experience to you at the end of the day. You can think about buying and re-selling outdoor gear as well.
- Reduce the money that you spend on workouts
You can also go ahead and reduce the money that is being spent on the workouts. You don’t always need to go to the gym in order to workout. For example, if you are a person who only engages with cardio workouts in the gym, you can simply do that at the comfort of your home. Or else, you can think about hitting one of the local jogging tracks. You can also learn alternative workouts, which you can do at the comfort of your home, without spending any money out of your pocket. Yoga can be considered as a perfect example to prove the above-mentioned fact.
- Save money on the credit card
If you are having a credit card, there is a high possibility for you to save a considerable amount of money on it as well. For example, you can look for the amazing deals that are available for your credit card from the merchants. If you have a credit card that accumulates airline miles, you must go for it as well. Then you will be able to fly for free in the upcoming vacations.
- Sell your stuff
If you have stuff that you are not using, you can simply sell them. This method can also help you to save a considerable amount of money for the vacation. You can take a look at your home and see what items you don’t really use. Then you can advertise them online and sell them. Any help for financial problems contact gtacredit.com or call 416 650 1100
by Ajay Oberoi | Uncategorized
Buying a new car is always exciting and when you think about driving your new car you just are in a different world altogether. It is indeed not an easy decision as it needs you to consider some basic things to help buy the right car in your budget. Of course you need to look for the right model and make that suits your needs and along with it comes a lot of other things that you need to consider.
The article will share some important tips that would help you in the process.
Make and model of the car
Of course you want it right. You will be driving your car and you need a car that caters to your needs as well as you enjoy driving your new car.
Ask these questions that will help you pick the right make and model while looking out for a new car.
- Do you want a car with huge storage space to keep sports equipment or family items?
- Is the car fuel efficient and compact enough to suit your style?
- Do you your car to give you the royal feeling of being a king/queen on the road?
- Or you are hunting for something that lets air come in to play with your hair?
The answers to these questions will help you create a list of different vehicles you love or someone had recommended you. When you are on the road, just be alert and look for different makes and models of car that you may not have noted down in your list. You can then compare those makes and models to pick out the best that you may want to go for a test drive.
Expenses
You may be ready to spend a little more or even a lot depending on what type of car you want to buy. Before you could prepare your list and pick the makes and models you want to try for a test drive, just determine your budget and ensure you have a spending limit based on your earnings to pay the down payment and further EMIs. You can ask these questions and find out the answers yourself to sort out things
- How much can you spend?
- Are you going to pay down payment?
- What amount can you afford against monthly payments?
- Any amenities on your list that you consider as most important ones?
- Will it affect the rates of your car insurance?
Try to find out the current market value of your existing vehicle and then determine whether you want to sell it off privately. It could influence your car or down payments whether you choose to trade-in or sell privately.
Buyer experience
Get into some research to find out the car dealerships near you. Make sure you gain knowledge that would help you sail through the process of purchasing a new car like
- Does dealership offered lowest price through advertisements? Or they can negotiate?
- Will the dealer offer vehicle maintenance on purchase of a used or new car?
- Are financing or auto loans offered by dealers and if yes what terms are offered currently?
- Are you looking for leasing versus purchasing a car?
If you wish to buy your new car privately via a private party then you can make use of online sites to check the rating of the seller and find out whether the reviews comprise of any complaints against the sellers to whom he/she has dealt with. Do not forget to check the maintenance history of the vehicle and ask for a test drive in different weather conditions, traffic conditions and different roads.
Research well
Nowadays you can find almost all information you need on the internet. Consumers can access various resources online to pull out the information about any product or services. You can do a quick online research to gain knowledge about different models and related buying tips for first time buyers of vehicles so that you are confident while buying your new car.
You can find a lot of websites on the internet that are designed to the buying process of cars and they are quite informational.
Best time for car purchase
Well, there is no hard and fast rule that you need to follow to pick the best time when you should buy a new car. It is solely your decision as when you want to buy it. Still, the time span that is recommended to buy a new car is end of summer season, period when inventory is evaluated etc.
In case you feel your existing car can meet all your needs with some upgrades, you can think about it as you will be able to save a lot of money. You can add certain equipments or parts to make it enhance it performance, storage etc.
Of course you need to negotiate the price with the car dealer while purchasing a new car. Just do not agree on said price. You can just search the price online before you could visit the dealer to get a fair idea about the current price. Try to negotiate and get the best deal. It is better to negotiate the quoted price than negotiating your monthly payment. Make sure you get the price you want. Before you could buy a new car make sure you determine your budget and how you are going to pay the monthly instalments.
If you are seeking car loan and check for the lenders that offer lower rates of interest. Once your loan is approved you will get to know the amount you can spend. You can also compare the interest rates with car dealers as you may get better rates. Make sure you arrange for your documents to get loan approval before you start looking for a loan.
The tips given above will help make a smart move and smart decisions and enjoy riding your new car.
by Ajay Oberoi | Bankruptcy, Consumer Proposal, Credit Counseling
As an earner in Canada, you are legally bound to making the tax payments to the Canada Revenue Agency. In fact, you need to focus on making your tax payments on time. Failing to make these tax payments on time can lead you towards a variety of negative consequences in the long run. That’s because you will be charged for penalties and interest.
Interest
In case if you have any owing balance for 2017, you need to be concerned about the penalties that you will have to face. All people who have owing balances will need to make a daily compound interest payment. This has started on the 1st of May. This would be applicable for all the unpaid amounts of debt, which is owned for 2017.
The outstanding amount includes all the balance payments, assuming that the Canada Revenue Agency assesses your returns again. Moreover, the Canada Revenue Agency will charge interest from the people on their penalties as well. This would start from the immediate date, following the due date of filing. The specific rate of interest that you have to pay will change in every three months as well. You can do your own research on the internet to get a clear understanding of the prescribed interest rates.
If you are having money that you owe from years before 2017, the Canada Revenue Agency would continue charging the daily interest on those amounts as well. Hence, the payments that you make will be applied against the amounts of debt that you have from the previous years. If there is no previous debt, the amount you pay will be applied against debt that you have in 2017.
Late filing penalties
Most of the people in Canada end up spending a considerable amount of money on the late filing penalties. Lack of knowledge can be considered as the main reason behind the above-mentioned fact. If you are yet to make a tax payment for 2017 and if you go ahead and file for the tax return for the year 2017 after the due date, Canada Revenue Agency will charge a late filing penalty for you. As per 2017, this late filing penalty is 5% of the outstanding balance that you owe. In addition, 1% of the balance amount that you owe for every single month of the late tax return will also have to be paid. This would be counted for a duration of 12 months.
As mentioned earlier, the Canada Revenue Agency would charge for your late filing fees for the tax returns on years before 2017 as well. If the Canada Revenue Agency charges for years 2014, 2015, or 2016, the late filing penalty that you have to pay in 2017 will become 10%. In addition, you will need to make a 2% additional payment for every complete month, where your tax return is late. This is applicable for a period of 20 months.
Failing repeatedly to report the income
If you fail to report your income to the Canada Revenue Agency repeatedly, you will be asked to make a penalty payment as well. This is applicable for the individuals who failed to report in 2014, 2015, 2016, and 2017. In such a situation, you will be asked to make a territorial, provincial, or federal income penalty. However, you will be accused of this penalty only if you fail to report when the amount of income is over $500 for a given tax year.
The territorial or provincial and federal penalties that you will have to make are equivalent to the reduced amount of:
- 10% of the total amount that you failed to report on the tax return for the year 2017.
- 50% of the different amount that exists in between your understated taxes, which are related to the specific amount that you couldn’t report and the specific amount that is being withheld with related to the specific amount that you failed to go ahead and report.
But still, you are provided with the ability to go ahead and inform about a specific amount that you failed to report. You can do this voluntarily. If you do that, the Canada Revenue Agency has got the ability to waive off the penalty amounts that you have to pay.
Penalty for providing false statements
When you submit false statements, you will be asked to make a penalty by the Canada Revenue Agency. Therefore, you should always stick to true and credible statements when you are filing for your taxes. The penalty that you will have to pay for the submission of false documents will either be $100 or 50% of the total understated tax amount that is related to the omission or the false statement. You will need to make a payment equivalent to whatever the higher value calculated by the above two parameters.
Waive or cancel penalties
If the taxpayers in Canada are not in a position to meet the tax obligations, the Canada Revenue Agency would waive or cancel the penalties. This happens when the taxpayers fail to make their payments due to conditions that are beyond their control. However, it is important to keep in mind that grant reliefs offered by the Canada Revenue Agency is limited to a specific period of time. It usually ends within a period of 10 years, where you have made the request.
Now you are aware of how much money Canada Revenue Agency will charge from you in the form of penalties and interest. If you want to stay away from these penalties and interests, you are strongly encouraged to pay special attention to your tax payments. Then you will be able to keep peace of mind and continue making the tax payments. Any help for financial problems contact gtacredit.com or call 416 650 1100
by Ajay Oberoi | Bankruptcy, Consumer Proposal, Credit Counseling, Credit Repair
When you are looking for a home to live, you have two major options available to consider. Either you can rent a home, or else, you can spend your money and buy a new home. Most of the people tend to get stuck when making a choice out of these two options. That’s where you need to analyze the pros and cons associated with renting a home and buying a one. With that, you will be able to make an appropriate decision.
Pros of buying a home
When you purchase a home, you will be provided with the opportunity to build up equity along with time. The renters will not be able to experience it. You can buy a home with a home loan. Every month, you will need to make a payment against it. A portion of this payment would go as interest. However, the remaining amount will be used to settle the capital. As a result, it can be considered as a long-term investment.
People who purchase homes will be able to experience a large number of tax benefits as well. For example, you will be eligible for federal tax deductions. On the other hand, you will be able to make yourself eligible to receive homestead exemption as well.
After purchasing a home, you will be able to get a sense of belonging. That’s because you know that you have a place to call on your own. This can cultivate creative freedom as well. You will be able to go ahead and decorate the home according to the specific preferences that you have in mind. A large number of DIY project ideas are also available for you to consider. Hence, you will love that unique experience offered to you.
Cons of buying a home
You will have to spend a considerable amount of money out of your pocket to buy a home. This can be considered as the biggest drawback associated with it. It is true that homeownership has got the ability to help you build equity along with time. But equity is not related to automatic profit. If the prices of homes in your area reduce along with time, you will end up making a bad investment.
When you purchase a home, you will be provided with the responsibility of maintaining it. Maintaining a home cannot be considered as an easy thing to do. You will have to spend a lot of money on the repairs as well. For example, if your house is worth around $100,000, you will need to spend at least $10,000 for the repairs of your house throughout a period of 10 years.
Most of the houses are not sold furnished. Hence, you will need to spend additional amounts of money out of your pocket to furnish the house that you purchase as well. In addition, you will have to spend a lot of energy and time on it as well.
Pros of renting a home
Now let’s take a look at the reasons available for you to go ahead and rent a home.
When you rent a home, you will not be provided with the responsibility of maintaining it. You don’t even have to worry about the repairs. If a pipe bursts or if the toilet backs up, you don’t need to spend money out of your pocket to get that fixed. All you have to do is to get in touch with the landlord. The landlord would take appropriate steps to help you overcome the frustration that you are going through.
If you are a person who doesn’t prefer to stick to one location, renting a home would be the best option available for you to consider. For example, you might have to travel a lot because of your work commitments. In such a situation, purchasing a home would be a waste of money. Instead, you can simply rent out a home. Whenever you need to move to another location, all you have to do is to find a new home for rent in the new destination. The process is simple as that and you will be able to minimize the frustration.
After renting the home, you don’t need to worry about the changes that are taking place in the real state market. The home value fluctuates along with time. It can even go down under certain instances. But you don’t need to worry about it because you are just renting the house.
Cons of renting a house
The biggest disadvantage associated with renting a house is that there will be no equity building up. Hence, you will be just spending your money in the long run and you will not be able to gain anything in return from it. But there is a possibility for you to go ahead and sign up a rent to own agreement with the property owner. But you cannot confirm whether the property owner would agree to come into this kind of agreement.
People who rent out property will not be able to experience any federal tax benefits as well. The homeowners are being provided with the opportunity to go ahead and reduce the mortgage interest and property taxes from the federal income tax returns. But if you have just rented out the property, you will not be eligible for it.
When you rent out a home, you will not be able to do any customizations to it and call it a place of your own. That’s because you have agreed to a contract along with the property owner. This can make you feel like you are living in a place that is not owned by you.
Conclusion
As you can see, there are pros and cons associated with both options. Hence, you need to take a look at your personal preferences and then go ahead with the best option that is available to consider. Any help for financial problems contact gtacredit.com or call 416 650 1100
