Tax-Free Savings Accounts - Are They Right For You? by Jennifer & Andrea Kirby

By Jennifer and Andrea Kirby
Kirby Financial Group

This year will be remembered not only for market turmoil, but also for the introduction of the TFSA, the most revolutionary tool for Canadians to save since the inception of RRSPs.

Why the Tax-Free Savings Account is relevant for corporate women?
With a Tax-Free Savings Account (TFSA), you can invest money in an account that will grow on a tax sheltered basis (you do not have to pay tax on the growth), and you are not taxed when the money is withdrawn from this account.

These accounts are ideal for people who wish to save outside their RRSP for a short, medium or long-term goal. A great benefit to women is the ability to save for a maternity leave. Money inside the account will not only grow tax free but future withdrawals will not be taxed and can be made anytime

Features of the TFSA
* If you are over 18 years old, you can deposit $5000 per year into your account. The over-contribution penalty is 1% per month.
* The $5000 annual contribution limit will be indexed with inflation in $500 increments starting in 2010.
* Un-used contribution room can be carried forward indefinitely; withdrawals can be re-contributed in future years.
* Investments that qualify to part of your RRSP can also be held within your TFSA (eg: stocks, bonds, mutual funds, GICs)
* At retirement, withdrawing from your TFSA won’t impact your eligibility for other government programs (eg: OAS).
* Upon death, the balance of your TFSA can be transferred directly to your beneficiary without impacting their contribution room.

TFSA or RRSP?
The suitability of using a TFSA rather than your RRSP depends on a number of factors:
* Your current and expected tax rate
* Expected withdrawal date
* Your overall financial plan

About Kirby Financial Group
Jennifer Kirby is a Certified Financial Planner, Chartered Life Underwriter and Registered Health Underwriter with a passion for making sense out of complex financial products. She is also a Certified Divorce Financial Analyst. Jennifer has been working in the financial planning industry since 1995 and has a proven track record for helping clients clarify their personal and financial objectives.

Andrea Kirby has an MBA from Simon Fraser University and joined Kirby Financial Group in 2007. Andrea is dedicated to providing clients with candid, up-front advice and excellent customer service. She has been a member of the Social Investment Organization since 2008.

Please contact us anytime if we can help you with creating a financial plan.

.

Epoch Times: More Flexibility Needed in the Workplace, Say Career Moms

From the Epoch Times

For many parents, especially working moms, juggling extracurricular activities with doctor’s appointments, parent-teacher meetings, and household chores—all while trying to maintain their career—is a daily reality.

Balancing time spent at the office and at home can be tough, and just about every working mother has experienced the “mommy guilt syndrome” when unable to spend enough quality time with the kids.

In the quest for a better work/life balance, moms are looking for more flexibility in the workplace. In fact, according to studies in both Canada and the U.S., working mothers say they would take a pay cut in return for a more flexible work schedule.

Being a working parent herself, Sarah Fowles of Connect Moms, an organization that links professional working mothers with progressive “family-friendly” employers, was already well aware of the importance of flexibility.

But a recent survey by Connect Moms, along with momcafe, and Briefcase Moms, showed overwhelmingly that flexibility is high on the minds of professional working mothers.

“When we actually did the survey and we got all this fantastic feedback from all these moms, that was the big thing that came out. What we’re really advocating for is that moms don’t necessarily want part time work—a lot of them need to work full time or want to work full time but they need that flexibility,” says Fowles, who also works as an online strategist.

Ninety two percent of survey respondents said they would like a “flexible work environment” including the ability to leave early or arrive late to the office, work from home or in transit, negotiate a shorter or condensed workweek, and bank time to take extra days off as needed.

Fifty four percent indicated they would be willing to take a reduction in salary in exchange for flexibility and other support programs.

Connect Moms, momcafé, and Briefcase Moms work together to help educate and connect progressive employers with professional moms seeking more balance between work and home.

The three organizations represent more than 10,000 corporate, entrepreneurial (self-employed), and stay-at-home moms across the country.

Fowles says that while many companies are more receptive to the idea of flexibility today than they were even a few years ago and are offering “interesting alternatives,” working mothers still have to advocate for change themselves.

“I have seen a big shift in that area, but I think that the big thing that a lot of moms have to realize is that you have to ask—you need to be just as proactive as a progressive employer is. You need to advocate for what you need to make it work as well.”

Fifty seven percent of the 261 respondents to the online survey have a combined annual household income greater than $100,000. Forty six percent have an undergraduate degree and 25 percent have a masters degree. Fifty percent have two children.

Jill Earthy, co-founder of momcafe, says some companies are recognizing that “there is this talent out there” that is not being fully utilized and that they need to make some changes in order to attract those women and retain them.

She says the main purpose of the survey is to educate employers while at the same time letting women know that there are more options available.

A parent of two children aged two and four, Earthy is executive director of a non-profit organization that supports women entrepreneurs. She also runs momcafe as a private venture with a business partner.

“I wear two hats … but I have a lot of flexibility which is definitely the key,” she says, adding that the group identified in the survey probably all work in some capacity between 40 and 60 hours a week.

Earthy says that after their maternity leave expires, many career moms choose entrepreneurship because “they truly feel” there’s not an option for them to return to the corporate world.

In her job as marketing manager for a professional sports organization, Lisa Nevar-Landsmann was spending 17 consecutive days away in November, a week in February, a week in June, and numerous weekends and late nights at the office the rest of the year.

With a two-year-old-son she was finding it a bit much, she says, and in that male-dominated industry there wasn’t any structure in place to allow flexibility for working mothers. So Nevar-Landsmann quit her job and began a business teaching yoga to moms and tots.

“I need to know that I can be home to pick up my son from programs or that I’m not going to be working very late hours so that I get home after he’s already gone to bed. I can choose my schedule now,” she says.

Although her income dropped significantly, Nevar-Landsmann says she doesn’t regret the move because she’s doing something she’s passionate about. In the meantime, extravagances or large-scale projects or plans have become long-term goals.

“I wanted a strong relationship with my son at the time in his life when his parents are the most important people in his world,” she says.

In a study in the U.S. by CareerBuilder.com, 38 percent of working moms said they would take a pay cut if it meant they could spend more time with their kids. One in three said they are dissatisfied with their work/life balance.

However, with companies facing a shrinking pool of qualified labor, CareerBuilder.com says many are offering everything from mother’s rooms and flexible work schedules to job sharing and onsite daycare.

Big multinational companies have the infrastructure to do this, says Fowles, and there are many more of them in the U.S. than in Canada. On the other hand, American career moms do not have the extended maternity leave that’s available in Canada.

Taking advantage of more flexible work arrangements does not negatively impact womens’ progress in their careers, says Earthy. She points out that fathers and even those who don’t have children can also benefit from more flexibility.

“There is so much going on in the world now, you want to have that flexibility … I couldn’t do what I do without my husband having flexibility in his job as well.”

Lisa Martin - Work/Life Coach

We are pleased to announce we will be bringing the Connect Moms community featured articles from Lisa Martin. Lisa is the CEO of Martin Group International, a work-life coaching company that delivers customized programs to organizations looking to retain and advance their female talent. Lisa Martin inspires women to achieve success that’s balanced. Having delivered hundreds of workshops and coaching programs to more than 10,000 women around the globe, Lisa is a sought-after speaker and expert on work-life balance and career success.

You can learn more about Lisa Martin at www.coachlisamartin.com.

Featured Articles

Be the Boss of Your Career

Be the Boss of Your Career by Lisa Martin, PCC

Ambition often gets a bad rap. It’s associated with a great goal that is achieved after much sacrifice and many trade-offs. For working moms in particular, ambition can be a loaded concept.

We can all think of examples of so-called ambitious people who reached the top of their field but gave up something to get there. Perhaps they had no children; maybe they experienced a divorce or lost their good health on the way to their goal.

But ambition doesn’t have to be a negative. In fact, if managed consciously, ambition can be a working mother’s greatest asset. When you are proactive in your professional and personal development, you become the boss of your own career (and life) – and that’s a position with a lot of perks.

Here are five strategies to help you advance your career in a way that is satisfying and meaningful without losing your mind, your family or your health.

1. Define ambition
Write your own definition of ambition. What does it mean specifically to you? Explore your fears around reaching for what you “really” want. Are you afraid you’ll lose your family to your work? Alternatively, if you want to work less to be with your family more, do you worry that you’ll miss out on a great promotion? Can your ambition ebb and flow with the changing tides of your family life? Finish this statement: Ambition for me means …

2. Align your goals
Establish goals and strategies that will allow you to live the life you want. Get clear on what is important to you and align your professional goals with your strengths, your interests, and the age/stage(s) of your children. For instance, to advance your career, you may need to further your education. Consider what will be the best time to incorporate studies into family life, keeping in mind that online learning offers great flexibility. By being strategic about your goals and dreams, you can help to make them your reality.

3. Consider personal priorities when making important decisions
Each of us has our own beliefs on what really matters in life. And what matters most can shift with passing time. Whether it is you, your family or your career advancement, there isn’t a right or a wrong answer. There is just what makes the most sense in that moment. If you want your career and life going in the right direction, always take your personal priorities into consideration when you have a decision to make. Ask yourself, “Will this enhance what is important in my life right now?”

4. Leverage your skills and become an expert
Know your unique talents and skills (what you naturally excel at and what people tell you you are good at), then create a plan that leverages your talents. Discover and focus on your strengths rather than your weaknesses, so your skills become specialized and valued in the marketplace. If you’re a great organizer, go organize. Whether you’re a strategic thinker, a creative wiz or a patient teacher, do what comes easily and naturally. Position yourself accordingly and you will become the go-to person in your field.

5. Be confident
Marrying your ambition with your family life can mean you choose to turn your career volume up and down. Believing in you through this process is crucial. If you don’t, no one else will. Self-confidence is key to getting what you want. Pay attention to any doubts or doubters and stay away from thoughts or people who weaken your confidence. Choose to surround yourself with ideas and people that support and encourage you to reach your dream.

Who said “ambition” had to be a dirty word? How you feel about ambition will change over time. So it’s important to keep checking in and making adjustments, as your family situation changes. And remember, you are the boss of you. Enjoy being in charge of your life and career.

© Copyright 2009. Lisa Martin. All rights reserved.

A leading expert on working women, Lisa Martin partners with organizations to help them retain and advance their valued female leaders and managers. Clients call Lisa “a great return on investment” as she gets at the heart of work-life conflict and re-engages women at critical points in their careers - so they stay and grow with their company. Founder of the revolutionary Briefcase Moms Program, Lisa has inspired more than 10,000 professional women to achieve success that’s balanced. www.coachlisamartin.com

Mummy Time by Leanne Hume

Ever notice how some people always have more than enough time.. and some people run through life complaining that they don’t have enough time to do anything. What’s the difference. My experience teaches me that usually it is the people who are active, busy, engaged and engaging who always seem to be able to “make” time…and the harried, frenzied commiserators who are never able to “take” the time. My question is how do you change camps? How do I become a mother who has enough time? Without taking time away from other things that are equally important to me and my family.
Does an answer to this question even exist?

I am a mother, I work, I have a variety of ambitious artistic pursuits, a number of hobbies, and a marriage that requires regular maintenance and upkeep. I also have a wide social circle of good friends I cherish, and I would like to volunteer and give back more than I do at the moment…oh yes, and at the moment, I have limited financial resources. (Does this sound familiar?)

How can I MAKE more time?
I asked around and came up with a couple of ideas that may help you make more “mummy time” this year.

1) Think: Figure out exactly what you want to make time for. For your family as a group? More time to really sit down and play with your children? For you to get fit? Quiet time to sit, reflect and nurture your spiritual side? Time when you are able to cook a home cooked meal every night? Time to take that class that would fill your creative well and propel you to a state of artistic bliss? What exactly do you want time for?…Be Specific. Here’s the thing about step one, you have to be unflinchingly honest. There are no wrong answers, only ones that have been incorrectly edited by your ego. Say what you want…not what you think you are supposed to want. Choose your top three time desires…write them down in order of importance.

2) Strategize: Come up with a plan. If you want more family time speak to your family. Make a concrete plan that gets written down in your work and home calendars. Agree to a period of time where you absolutely spend the time together every week no matter what. Maybe weekends don’t work for your family because of Figure skating lessons or Daddy’s wacky work schedule, think outside the box. If you have a flexible schedule maybe both parents can work a little bit on Thursday night in order to make Friday afternoon all about family outings. If you need a walk by yourself everyday maybe it means starting ten minutes early, taking a longer lunch hour and bringing your running shoes to work. Come up with a clear step by step plan for each of your time desires. This won’t just happen…you have to use your brain. You may have to compromise in other areas. The beautiful thing is that this is about choice…you have the power to choose how you solve your time crunch. That’s empowering.

3) Talk: Talk to you partner, your three or thirteen year old. Explain what you are hoping to gain, and also what they in turn will gain. “If mommy can exercise uninterrupted for twenty minutes a day, she probably won’t flip out (quite so fast)” Ask for what you need from them and listen to what they are honestly able to offer. Perhaps your exercise will end up being with your three year old watching from the couch…so be it…it’s better than no exercise and it may evolve into something better than you could have ever imagined. Talk about what areas you can help them with too, a lot of your time isn’t just your own once you have a family to consider. Remember don’t just talk…listen.

4) Look Elsewhere: If your family is unable to help you with some of your time desires…keep looking. Look to other mothers. (Can you please take my 3 year old from 4-6 :30on Mondays so I can cook a couple of meals for the week. In return, I will take your one year old to ballet on Saturdays so you can take that photography course you were talking about). This strategy speaks to the old adage if at first you don’t succeed…try and try again. Perhaps going to yoga class every week is worth the cost of an on call nanny. Perhaps the sanity you gain, and the calm your family gains is worth the cash. Alternatively, perhaps there is a yoga course that offers childcare (Yaletown yoga in Vancouver does that) perhaps it is worth the 15 minute extra drive in order to be able to utilize that service. Look outside of monetary solutions - Is there a service that you could trade… Maybe you could take some money off of the cost of the renters suite downstairs if they would be willing to shovel the walk, rake the leaves, or clean your house once a week…thereby making time for you to do other things. Maybe you do hemming for a friend and she bakes your son’s birthday cake. Spend some time really thinking about where else you can look to find the support you need.

5) Ask: When people ask you what you want for your Birthday/Christmas/Anniversary etc,…remember that you are actively in the process of making time. Ask for a housekeeping gift certificate, ask two girlfriends to go in on a whole day of babysitting as a team for you, ask for an On Call Nanny booking paid for, or for hands on help planning your friend’s shower. Ask for things that will help you create time and space. When people ask what can they bring to a dinner party…TELL THEM. Open yourself up to the idea that asking for what you need…is a good thing.

6) Let go: Let go of the idea that life will be perfect. That nothing in the world will change and schedules are sacred things. Embrace the idea that there really is time for everything. Maybe you don’t clean your whole house in one go. (and then bolt the doors so you can sit down and admire it for thirty seconds before the toddlers arrive back home) Maybe you clean the toilet tonight while you sing with your daughter who is in the bathtub…and tomorrow you tackle the bathtub while your daughter reads books with her daddy. Embrace a mantra taught in “Mamma Renew” courses, “Good, is good enough” or similarly my favorite agreement from the book The Four Agreements, “Do your best, and your best will vary.”

7) Say No: You hear this all the time. Mothers, women, parents, we say yes with out actually thinking about it…WAY too often. Before you say yes…make yourself and your family the promise that you will check your calendar. PERIOD….every time. Then when you check your calendar literally…also check your own personal priority calendar. Is this worth the time it takes? What will have to give up in order to do this? Who else does this affect? Is this a good choice for all involved (I am part of that “all”…I count) Again…be honest. Sometimes you will have to say no.

Check In: If you have made your time desires concrete, “I will walk for at least an hour three times this week” you can check in once a week and see how your doing. Maybe walking isn’t having the added benefit you thought…maybe something else is. You need to spend some time reflecting on where personal benefits are coming from and acknowledge and encourage those patterns. It is okay to change your goals…if they do need to be changed. Life is CHANGE.

9) Acknowledge: If something helps…say so. People are more inclined to repeat behaviors if they have been praised/acknowledged for them. If you tell your child…wow thank you so much sitting and watching quietly while I did that yoga routine…chances are she will try to do that again. Say thank you, to others and to yourself.

10) Breathe: If you find that even after all previous nine steps you are still rushing around like a madwoman multitasking your way into oblivion. STOP. Place your feet firmly on the ground, stand tall, breathe in and out slowly and fully three times. Create a moment in time where you tell yourself… honestly, “This too shall pass.” This moment, will pass. That’s what moments do. That’s how they are designed. You can not hang on to time or alter it’s composition…that’s beyond your control. This frenzy, this panic does not serve you or your family. It serves no one. Say to yourself, “I choose to deal with what is …not what I am afraid might happen.” Breathe in …time and space, breathe out… fear. Then move on.

I work at an on call agency both as a nanny recruiter and as an on call nanny. I have seen a huge number of families deal with the time crunch that comes from having a busy home life and thriving careers in a variety of ways. Some of the most interesting solutions I have seen come when people really allow ALL options to be possible.

There is a family who has an on call nanny come to their house every Saturday night after 8:30 pm…they have a date night every week (they go for supper and talk about big picture things in an organic uninterrupted fashion…imagine) Their son gets a full day with both parents and a slightly later evening…and then the next morning they all get to sleep in (note to self this only works if your child does sleep in). Great solution for them.

One client I know fought an incredible battle with cervical cancer (Successfully) this summer. After all the treatments were finished and life settled back into it’s regular routine she realized her own health needed to be treated as a much bigger priority. She spoke with her husband and they agreed health is more important than cash. She found a nanny who loves to housework (they do exist) and was looking for two days work a week. She hired the nanny to do some housework, some childcare, and arranged one of the days to actually be an evening so her and her husband could go and do something active together. This arrangement allows her and her family time to heal.

Another friend of mine loves to cook, I am a big fan of “bath & book” time. We have dinner with them almost every Monday night. I bring wine, she makes the dinner while I wrangle the kids…I do bath & book time while the husbands do the dishes, and we all watch a movie once the kids are in bed. Everybody wins, we get in some adult socializing that costs nothing…I don’t have to cook, meal plan or do dishes, and she can focus entirely on creating a meal without having to break up battles over whose turn it is with what toy. YAY!! This was a happy accident we all embraced. It may only be a viable solution for a short while…but it is viable at the moment, and I am grateful.

If you are really stuck and feel like you have read all of this before… and you just can’t seem to put any of these ideas into actual practice into your own life….they have classes to teach this stuff. YES!! You can take the course. Simply signing up, is a step in the right direction. When you hand over that deposit cheque you are declaring to the universe that learning how to do this IS important! You are taking the first step towards balance and making more time for you. Sarah Juliusson of Mama Renew teaches Mother’s Unfolding and Mother’s Renewal groups throughout Vancouver and the Lower Mainland. These are classes of mothers who work through a series of exercises, observations and discussions that all relate to finding balance, solutions, and support. The women work together and individually as they meander their way through the trials and tribulations that make up the messy map of modern day motherhood, (there’s a mouthful) It is lead by a trained facilitator who has a wealth of information, impressions and ideas that will help you find your own way, through the time bomb laden maze of motherhood. (www.mammarenew.ca)

Before I sign off and leave you with the (very misguided) impression that I have mastered any of these techniques…let me point out that my daughter’s third birthday party is this weekend. I have basically chained myself to my computer to keep from popping up every five minutes to “just clean this up” the fact that my kitchen floor has dust balls on it big enough for her to ride on is driving me bonkers. The truth is. I will clean it up…or I won’t. No one will be harmed either way. Right now, I am on the clock and writing this is more important. Even more important than the ticking clock and my addiction to paychecks…At 4:00pm when I my little blonde marshmellow up and she “pokey little puppies” her way home and then begs to play Playdoh with me before dinner…I will say YES!! I will not rush her. I will not sigh loudly and longingly look at the swiffer… Because, “This Too Shall Pass.”
The real truth is, in ten years my daughter won’t want to play Playdoh, and the dust balls…will still be waiting.

Leanne Hume has been a live in, live out and on call nanny. She has taught children in
Saudi Arabia, Thailand, Canada, and Fiji. She is first and foremost a Mum and she now works
as the Nanny Recruiter for Nannies on Call The West Coast’s Premiere Nanny Agency.
www.nanniesoncall.com