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Bob Kenward, 70, of Vancouver, retired in 2015 at the age of 61 after a 30-plus-year career in human resources. “I retired three years earlier than planned, prompted by my divorce,” he tells reporter Brenda Bouw in this Tales from the Golden Age article. It was emotionally draining and he wasn’t enjoying work as much. “I was exhausted. It was time to start a new chapter.”

Kenward’s first few days of retirement included signing the divorce papers, moving into a fixer-upper condo and leaving for a three-week trip to Europe – “my first time there. I needed to recharge.”

When he returned, he spent several months renovating his condo and started looking for part-time work. One of his three sons was opening a business, so Kenward helped him with installation work. “I’ve also done some casual, part-time HR consulting work for a few organizations over the past several years.”

The part-time work satisfied his social needs and provided some additional funds. “I saved and invested about a third of the money, used a third for yearly travel and the rest went into RESPs for my grandkids,” he says. “I started taking both my Canada Pension Plan and Old Age Security benefits at 65, which brought in additional income.”

The divorce was a big setback for Kenward’s retirement income. “I lost about 40 per cent of my assets. I used the funds from the sale of the family home to buy my condo, so at least I was mortgage-free.” He also had a modest pension, RRSP and TFSA, but he had to find ways to replenish his savings to fund what he hopes will be a long retirement.

“My financial adviser helped me find ways to make my money go further. Saving was a priority. I also started researching investing and doing some of it on my own, buying mostly dividend-paying stocks.” The markets have been good to Kenward; his portfolio has regained most of what he lost in the divorce a decade ago. He also sold his condo in 2023 for a nice profit. He now lives with his partner and pays rent, which works well for both of them.

“I keep busy in retirement. One of the first things I did upon retiring was get into shape to participate in the 10-kilometre Vancouver Sun Run.” Kenward ended up losing 40 pounds. “Fitness continues to be a big part of my life. I go to the gym two or three times a week and walk our dog, Oakley, a French Bulldog/Boston Terrier mix, several times a day.”

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: goldenageglobe@gmail.com. Please include a few details about how you saved and invested for retirement and what your life is like now.

Mark and Rebecca are at a “turning point of sorts, where the past is no longer indicative of the years ahead,” Mark writes in an e-mail. He is 62 years old; Rebecca is 59.

They have recently finished paying off the mortgage on their Montreal-area house. And their 24-year-old son, who still lives at home, has finished his graduate studies and is working full time, so they no longer have education-related expenses.

Mark and Rebecca have a jointly held consulting company from which they each draw a salary, leaving any surplus over their basic living expenses in the corporation. They are drawing a combined $130,000 a year after income tax and Quebec Pension Plan contributions. They hope to retire in about five years with a spending goal of $80,000 a year after tax.

Perhaps the biggest challenge Mark and Rebecca face is related to an imminent $1-million inheritance. They want to leave the money to their son but also may need to use some of it themselves. In the meantime, they’re agonizing over how to safely invest it given the “current market conditions,” Mark adds.

In this Financial Facelift, Matthew Ardrey, a certified financial planner and portfolio manager at TriDelta Private Wealth in Toronto, looks at Mark and Rebecca’s situation. Mr. Ardrey also holds the advanced registered financial planner designation.

In a previous chart, Frederick Vettese, former chief actuary of Morneau Shepell and author of the PERC retirement calculator, concluded that minimum withdrawal rates for RRIFs are a little too high. This week’s Charting Retirement reinforces the narrative, this time focusing on income amounts rather than remaining RRIF assets.

The fast-approaching deadline for 2024 RRSP contributions is March 3, 2025.

In this Tax Matters article, Tim Cestnick shares seven useful things you can do with your RRSP. Cestnick covers the straightforward – saving for retirement – as well more creative strategies, such as splitting your income with your spouse in retirement or maxing out by over-contributing (within limits) without penalty. Most, he notes, are things people often forget about.

When talking to clients about financial planning projections, the most common assumption they question is the plan’s timeline: “Why are you projecting it to age 90, 95 or 100?”

This question, says Jason Pereira in this Opinion article, can become a protest when their financial plans show an inability to maintain their desired retirement lifestyle for the plan’s duration. When that happens, many push back with the basic mathematical solution of shortening the plan duration so they can increase spending throughout retirement. More often than not, the big pushback comes in the form of a question: “Why would you project to that advanced age when life expectancy is only 80?”

This question demonstrates a misunderstanding of life expectancy – and its implications for clients and their financial plans.

Research shows that people with pensions in Canada live approximately six years longer than the general population. Therefore, the general population’s life expectancy significantly underestimates that of a healthy, affluent, non-smoking female with a pension. At the same time, the unhealthy, chain-smoking, financially struggling male with poor health may be grossly overestimated.

Read the full article here, where Pereira digs deeper into how we define life expectancy, mortality and other factors related to health and lifestyle.

Jason Pereira is a senior partner and financial planner at Woodgate Financial Inc. in Toronto.

Q: How do I speak to my family about a Power of Attorney? How do I select one?

We asked Sally Lee, Estate and Trust Consultant, Scotiatrust, to answer this one.

A: Many Canadians are not completely prepared when it comes to their later years. A recent survey done by Scotiatrust on Wills and Estate Planning found that of those surveyed, 41 per cent do not have a continuing/enduring power of attorney for property (POAP) document that names someone to manage their finances or other assets if they become incapacitated. Forty-seven per cent lack a Power of Attorney for Personal care (POAPC) regarding their personal and medical care.

Your attorney for property and for personal care is the agent responsible for managing your financial affairs and/or making health care decisions. It may be a family member, friend or even a lawyer or trust company. In considering who should be your attorney in the event of incapacity, you should consider whether the potential attorney is trustworthy and competent in the areas of financial management and your personal wishes as it relates to health decision making. An attorney is not just a person paying bills or picking out a long-term care home. You are completely entrusting the attorney to look after your best interests in these areas because you are unable to do so. You also want to ensure they have the time to undertake this important responsibility. It should be a person who can be your best advocate and confidently speak to your wishes when you might not be able to.

Talking about your potential incapacity is not always pleasant but is necessary. There are moments when it can be easier and less awkward such as after a doctor’s appointment, a meeting with your financial advisor or referencing things heard on the news about elder care. Some of these ordinary life events can segue into important discussions surrounding incapacity planning.

Interested in more stories about retirement? Sixty Five aims to inspire Canadians to live their best lives, confidently and securely. Read more here and sign up for our weekly Retirement newsletter.