Guy Melhuish always played guitar, but he focused on it more after retiring. ‘My music flourished, and I started to play in clubs and pubs,’ he says.Andrej Ivanov/The Globe and Mail
“I retired in 2017 at 65 after a long career in the music industry that included owning a record label and distribution company,” says Guy Melhuish, 73, in this Tales from the Golden Age article. “First in the U.K. and then in Montreal, where I moved in the late 1980s, got married and became a Canadian citizen.”
The record business has changed dramatically since Melhuish started in his early 20s, and by the time he was in his mid-60s, he says, what he did no longer existed. The record retail stores were closing, and it was clear that downloading and online streaming were the way forward.
“At first, I did what many people do when they’re scared to retire: take on some part-time work in my industry as a consultant. After a few months, I decided to stop working altogether. I also got divorced in 2018, which meant more life changes. I wanted to focus on things I enjoyed, which included playing music.”
Melhuish played guitar a bit while working and then a lot once he was retired and divorced. “My music flourished, and I started to play in clubs and pubs. I also started a choir, a music festival and a podcast. Making music has opened me up to a new community and new friends. I also met someone before the pandemic and we married a couple of years ago.”
“Retirement has been like a rebirth for me. I’m happier and healthier, but also financially poorer after my divorce. I worry about money in retirement, especially as the cost of living increases (and maybe more so with the tariff war), but I try to put it into perspective. My hobbies – which, apart from music, include reading and playing chess – aren’t very expensive.
“My advice to others is to find joy every day. Also, take care of your mind and body, especially your heart.”
Read the full article here.
Are you a Canadian retiree interested in discussing what life is like now that you’ve stopped working? The Globe is looking for people to participate in its Tales from the Golden Age feature, which examines the personal and financial realities of retirement. If you’re interested in being interviewed for this feature and agree to use your full name and have a photo taken, please e-mail us at: [email protected]. Please include a few details about how you saved and invested for retirement and what your life is like now. For more articles in this series, click here.
Ezra and Leanne, both 63, fear they don’t have enough to retire. Should they take a hard look at their spending?
Ezra and Leanne are both 63 years old and working full time. “We hope to retire at 65 but are afraid of the future and do not know if we can,” Leanne writes in an e-mail.
He makes $95,000 a year in hospitality while she earns $84,000 a year as an administrative assistant.
They have substantial savings and two rental properties “that unfortunately are not making money,” she writes. They bought them to fund their daughter’s dream of going to medical school. She is working on a master’s degree.
“Our situation – not knowing if we have enough, the tax consequences of selling the rentals – keeps me up at night,” Leanne adds.
“Will our money last for us to be able to live comfortably till the end?” Their retirement spending goal is $72,000 a year after tax.
“When should we consider disposing of our rental properties in the most tax-efficient way to be able to fund our daughter’s education?” They also ask when to start taking government benefits.
In this Financial Facelift, Matthew Ardrey, senior financial planner and portfolio manager at TriDelta Private Wealth in Toronto, looks at Ezra and Leanne’s situation.
Want a free financial facelift? E-mail [email protected]. Some details may be changed to protect the privacy of the persons profiled.
Financial tasks you can do now to make things easier on your kids after you die
When a parent dies, settling their affairs can be time-consuming, confusing and frustrating. That’s on top of grieving and processing the loss, writes Anita Bruinsma.
As parents, we can take steps to make this process easier on our kids. Yes, some of these tasks are unpleasant, and no one enjoys thinking about them. But your kids will be so grateful that you did.
The top priority is writing a will. A will makes the process of settling an estate astronomically easier for the kids. It allows the executor of the estate to access your bank accounts and make decisions about your investments and property much more quickly than if someone has to apply to the courts to be the administer of your estate.
While you are at it, prepare your power-of-attorney (POA) documents. Naming someone you trust to act on your behalf will make it easier for your kids if you become incapacitated and don’t have a spouse or partner to rely on. A POA for personal care will allow your child or other trusted person to make decisions about your health, living arrangement and other aspects of your personal life.
You will also want to put together a death binder. A death binder can include information such as a list of your bank and investment accounts, names of important people such as your financial adviser and lawyer, and information about insurance policies and any other information that your kids will need to look after your financial affairs. And, of course, make sure they know where to find it.
Simplify your investments and keep everything in just one or two financial institutions. When a parent dies, especially if there is no surviving partner, the executor of the estate – which is often a child – has the task of gathering all of the money into an estate account, paying your final expenses like funeral costs and taxes, filing a final tax return and distributing the money to the beneficiaries. It’s a lot.
Read the full article here.
Anita Bruinsma is a Toronto-based financial coach and a parent of two teenage boys. You can find her at Clarity Personal Finance.
In case you missed it
Where are your tax slips? Why so much information is missing from CRA accounts this year
With less than a month to go before the tax-filing deadline, scores of Canadians say their online accounts with the Canada Revenue Agency still aren’t showing a variety of tax slips, including, for many, the crucial T4s that record employment income, writes Erica Alini.
The issue is linked to a CRA systems update that has resulted in some tax-slip providers, such as employers and financial institutions, running into challenges when uploading taxpayers’ data to the government’s secure portal. The agency has been aware of the problem for some time and initially waived late-filing penalties until March 7 for all slips that would normally be due at the end of February. Yet, nearly a month and a half into the tax-filing season, many slips are still missing from Canadians’ online CRA accounts.
Read the full article here.
Are you in the midst of phasing into retirement and trying different options that will keep you busy when you retire? A volunteer gig? A part-time job in another field? If you’re interested in talking about your experience as you edge into retirement please email: bbouw @ globeandmail.com
Want to reach age 70 without chronic diseases? Start now, with these foods
With life expectancy rising among older adults, promoting healthy aging has become a global priority to help people live long, healthy and productive lives, writes dietitian Leslie Beck.
There’s convincing evidence from randomized controlled trials and observational studies that eating a high-quality diet guards against heart disease, stroke, type 2 diabetes and premature death.
In fact, diet is considered the leading behavioural risk factor for chronic disease risk and mortality worldwide.
Now, new research adds weight to the strong connection between diet and healthy aging. According to the findings, following a healthy diet during midlife – in your 40s, 50s and 60s – greatly increases the odds of becoming a healthy ager.
Here’s what we know about the study, plus the best dietary patterns to help you stay healthy and vital to the age of 70 and beyond.
Leslie Beck, a Toronto-based private practice dietitian, is the clinical director of food and nutrition at Medcan.
Retirement Q & A
When my ex and I divorced 14 years ago, he set aside a portion in his retirement account for me. He retired Dec. 31, 2024, and now can transfer this portfolio to me. It is a defined benefit pension plan with a top tier insurance and investment firm for $285,000. I have my pension plan managed by a major Canadian bank, with an account fee of 0.83 per cent. It does not sound like a lot, but it certainly adds up. I have only a limited knowledge of investments, but am wondering if there is a better option for me, rather than just giving this money over to the bank?
We asked Janet Gray, CFP®, and an advice-only financial planner, Money Coaches Canada, to answer this one.
A: Great question – and the answer is multilayered. Some logistics first: you could likely hold both Defined Contribution (DC) pensions at one institution, but you would need to confirm if you can combine them into one larger DC pension. There may be legislation rules governing the pensions that your current pension holders can advise about.
One of the first things is to consider how you want your investments managed before deciding where.
- Do you want to manage them yourself usually within a self-directed online account?
- Do you want to have them managed online by a robo or digital platform?
- Would you prefer to work with an advisor that only looks after investments? Or a full-service advisor that can help with investments, insurance and other financial matters?
Pros: The more work/caretaking you do in regards to your investments, the lower the fees tend to be.
Cons: Unless you are willing to dedicate your time and research to managing your own portfolio, the end results of self-investing are not always favourable.
If you choose to go self-directed, fees will vary from brokerage to brokerage. Some charge a flat commission per trade, some offer commission-free trading. There may also be fees based on minimum account balances, account inactivity or the types of investments you are transacting. There are some low-cost brokerages that may be suitable for an entry point. To minimize fees, try to use a commission free platform and avoid inactivity fees by maintaining a minimum account balance.
Robo or digital advisor fees typically include two parts – the management fee of the advisor platform and the fee of the investment product itself. Most would still be less than your current bank fee. This platform is suitable if you want lower-cost, passive portfolio management without needing your active participation/involvement or investing skills.
By switching to a lower cost option, you could save hundreds or thousands of dollars over your investing period. A caveat: Do not give up the value of advice just to save money. Most people need the skill of a trusted financial advisor to help them make important and well-informed decisions.
Interested in more stories about retirement? Sixty Five aims to inspire Canadians to live their best lives, confidently and securely.The Globe and Mail
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