Reviews and Comments

this book is an example of what is wrong with publishing: the trend to write books by committee. there's some sort of checklist of identities, ethnicities, and social justice issues where the author keeps adding superfluous details until they've accrued enough checkmarks. at it's heart, this is a story of 4 siblings who are told the date of their deaths and how they react to this news. as one life comes to an end, the story moves - baton like - to the next sibling. and once you add all those required identities/ethnicities/issues, it makes for a wide but shallow story. many details of their past are brought up when it is convenient to explain a sibling's present behavior. And I think a better constructed novel would place those incidents in the correct chronology. The mother, watching death after death of her adult children, doesn't even merit a chapter? mind-boggling!

the characters all have the same voice (and entirely too modern for the time period) and because we don't spend any deep time with them, the reader doesn't connect with them. for a book explicitly about their deaths, it doesn't pack the emotional punch I'm sure the author wanted. lastly, I'm incredibly frustrated that (spoiler) Klara commits suicide and NONE of the family members really reflect on that or the fact that she left behind a one-year-old baby. Or how about Daniel (spoiler) becoming a murderer? Varya and her mother never address it except in the lightest, dismissive, sense.

quick read. lots of good tips and concrete numbers. here's quick rundown of some of the things i learned:
tit for tat approach to savings: if you want to buy a 'want', then put an equal amount of money in your savings. that will force you to really consider the purchase rather than impulse buy
50% of net income for needs; 25% on wants
don't tithe if you owe money (i loved her explanation for that one - the principle of tithing is to give of what you have (you know, to feel it) so if you must tithe - take it from no longer buying a coffee every day for example)
even chickens can play the stock market - buy a bond that matures at a specific level and use the difference between that value, and the money you put in, as your risk money. your principal stays guaranteed
don't play/use equities unless your horizon is 10 years plus
people's money set points are static - so use multiple accounts to overcome the feeling you are already rich
you can use RRSP as collateral if it's at the bank where the loan will come from, and if you can repay it before the end of the year
no CDIC coverage for mutual funds, bonds, etc (even if in your RRSP) or deposit terms (like GICs) over 5 years
adult kids living at home? charge 35% of their net income so they get used to how much money is needed to provide shelter (you can always give a portion back when they buy a home?)
plan to graduate with loans no more than one year's net income in the field you are entering
never travel without private medical insurance but be sure you know what it covers (don't assume)
since credit card companies charge the vendor between 2-4%, you can and should ask for a 1% cash discount
assume (and budget) 3% of your home's value as upkeep / maintenance and put it aside for new carpets/windows/roof etc
updated kitchens or new windows/roof are only an investment if you sell your house in the next 2-3 years. live in your home another 5+ years, and you've consumed that value. SO: don't convince yourself (or your partner) that some upcoming cost is actually an investment, when in actuality - it's likely a 'want'
even children can contribute to an RRSP! if they earned an income (a paper route counts), they can start an RRSP - just don't bother claiming the deduction until they are paying taxes
be wary of lifestyle inflation: when an occasional treat becomes a regular thing, or you try to keep up with the Jones
when mutual funds merge, the funds history disappears - this might be to hide a poor performance
pay attention to 'contributed' and 'non-contributed' RESP money.
your contributions are always tax free, but the non-contributions are taxable. so take the taxable stuff out early when junior is earning a pittance
only $5,000 of the non-contributions can be withdrawn from an RESP in the first 13 weeks.
even if junior doesn't go to uni or college - wait. they may change their mind. and once you liquidate the RESP, you won't be able to get back any of non-contribution portion
the life on an RESP is 36 years
to avoid a penalty - you could transfer the non-contribution amounts to an RRSP
before buying anything, calculate the per use cost to determine it's value
the average CDN family spends $802 a month on food
if you write a cheque, and that cheque goes to a third party (think cash stores), the third party has a right to collect the money - even if you put a 'stop' on the cheque... a crossed cheque, with 'non-negotiable', on it will make that impossible
new investors can avoid being overwhelmed by choice by buying the index

things i must do now:
go back to reviewing my credit card statements carefully - did you know they can suddenly lower your credit limit (and not tell you) and then charge you a penalty if you go over said new limit!
make sure all our investments: RRSP, RESP, insurance, TFSA... have a named beneficiary. most probate fees increase dramatically with the size of the estate
write a will
officially name a guardian for the children
name a 'contingent subscriber' on the RESP - if you die before the kids reach college, the fund will terminate and you'll lose all the government grants
consider using crossed cheques for activities / purchases that require a series of post dated cheques
find out when my life insurance term ends and compare it to permanent (but probably dropped the ball on that one)
consider increasing our insurance deductibles (since a claim causes insurance to go up 10% for the next 3 years at least, people will pay out of their own pocket for smallish claims)
find out if my RESPs are covered by CDIC
* get another credit card (with a small credit limit) for on-line purchases