It was my pleasure to interview the Past Nominee for Canadian Entrepreneur of the Year, published author and renowned trainer Wendy McClelland. Her answers are nice and short and to the point:
1.What is the best decision you’ve ever made with your personal finances?
To create a budget and stick to it.
2.What is the worst decision you’ve made with your personal finances and what did you learn from it?
I wasn’t tracking expenses and found myself spending much more than I realized.
3.What advice would you give regarding personal finances?
Understand your money and have a plan. Don’t fear it like most do.
You can learn more about Wendy by visiting her website www.wendymcclelland.com
TFSA has been around only since 2009 and no wonder why many people don’t know how it works. RRSP has been around since the late 50s and people still don’t know how it works!
They are both tax sheltered registered accounts that you dont pay tax on the return of the investment you hold in them. Major difference is RRSP contribution is tax deductible and TFSA contribution is not. However when you take money out of the RRSP you pay tax on it and when you take it out of the TFSA you don’t.
So which one is better option for you? Hate to give you this cliche answer but it depends and in different stages of your life this answer may change.
But to give you a very general answer for people who are in the lowest tax bracket, RRSP has no point.
I had a pleasure of being interviewed by one of my favorite people. Christine Till is an expert in marketing and using LinkedIn for business. Christine kindly contributed to my book with her wise and precious experience in her own finances. Here is the podcast:
Financial Sensei interviewed by Marketing Mentress