Friday, November 30, 2012

Short Takes: Tax Glitch when RRSP passes to Spouse, the Compromise Effect, and more

The Blunt Bean Counter discusses the unintended consequences when an RRSP/RRIF passes to a spouse but the spouse doesn’t put the proceeds into an RRSP/RRIF. The result could take inheritance money away from others named in the will.

Gail Vaz-Oxlade explains how retailers use the “compromise effect” to get you to buy the item they want you to buy at the price they want you to pay.

Retire Happy Blog makes a lot of sense in a controlled rant about the harsh realities of investing. There is no magic way to invest money safely to get a high return. One minor point I would disagree with the idea that investors got safe high returns back in 1981. People should focus on after-inflation returns. GICs may have been better in 1981 than they are now, but not by as much as it appears after you account for inflation.

Larry Swedroe has a great quote from Jan Hatzius, the chief economist of Goldman Sachs, about the value of economic forecasts that begins with “Nobody has a clue.”

Big Cajun Man has some house-hunting tips.

My Own Advisor was surprised at how expensive it is now to go to a movie. My best suggestion is to cut your costs in half by eating before you go to the movie.


  1. Thanks for including me this week, although I am disappointed there is no mention of Mrs. C8j's new rack either. Have a great start to Advent!

  2. Michael, thx for mention. Great post on TFSA and RRSP, although I still get caught up on easy access issue with TFSA

  3. Or, just not visit the movies at all :)

    Thanks for the mention.