Welcome in my stock investment portfolio Chorus Aviation Inc. (CHR.B)!

I didn’t perform day trading on Horizons BetaPro COMEX Silver Bear Plus ETF (HZD) today. It’s not anytime soon that I will be winning the day trading game. At this point, the hot stock market is all upside down. Performing some trades in the hope to sell on the exact same day is a real bad idea. It barely made any sense at all. However, I did proceed with 2 investment moves today in my personal investment portfolio: Chorus Aviation Inc. (CHR.B) and First Majestic Silver Corp (FR).

A reader had introduced me to Chorus Aviation Inc. (CHR.B) a little while back. It caught my attention again today while gaining close to 5%, closing the session at 3.35$. Chorus Aviation Inc. (CHR.B) had reported a good financial situation for 2011. It’s partly why I decided to invest in CHR.B. Also, Chorus Aviation Inc. (CHR.B) is based in Halifax it’s a Maritime stock. I invested about 500$ on this one, not more. I wouldn’t feel comfortable investing more. The title is a bit volatile, but at 3.35$, I didn’t have anything to lose. CHR.B pays a quarterly dividend. Its dividend yield is of 18.692%, 0.60$ annually per share. This makes me kind of remember Yellow Media Inc. (YLO), low stock price, super value dividend stocks. However, CHR.B is in much better shape than YLO. I wouldn’t recommend to anyone to invest thousands of dollars in CHR.B, but just a 500$, it’s cool, you can certainly go ahead with a cutty 500$ investment, but not more. I plan to keep CHR.B in my personal investment portfolio.

Also today... ok, I must admit I did try to perform day trading tactics today, but not on HZD, on one of my favorite of all time: First Majestic Silver Corp (FR). I invested in a few shares at 18.40$, I was hoping for FR to hit the 19$ today... but as the hours passed by, I was getting tired, so I just entered an automatic sell order at 19$, and that was it. Following what, I will be done with day trading. But this time, it’s for real. I did say before that I wouldn’t be performing day trading again... and today well, I went back to it. It’s a real good thing that I didn’t invest in HZD today because I think FR is a better short-term investment company choice than HZD. Anyway, this was the real last day trading move like ever.

If the bankers can have good words for the global market conditions tomorrow, the TSX could gain points and I may be able to sell my FR at 19$ and, why not, 20$ per stock... Why not. I want this done and completed.

Eric Sprott among Canada’s top 25 billionaires

Forbes publishes its annual richest of the richest list and Eric Sprott of Sprott Inc. (SII) ex-CEO, the silver promoter guy, the one and only, is on the 17th position within Canada, and classified 1 075 worldwide.

Not too bad! Now, wait and see what will happen when Sprott of the Sprott Asset Management will finally launch his banking project.

Meet Reiko Mackenzie of The Real Housewives of Vancouver

Reiko Mackenzie is a Japanese-Canadian lady who had been selected to be part of the Real Housewives of Vancouver. The other jet-setting women are Christina Kiesel, Jody Claman, Mary Zilba, and Ronnie Seterdahl Negus.

The Real Housewives of Vancouver is the Canadian edition of the US hit TV reality show The Real Housewives. The popular TV show had followed the luxury housewives of several cities. Other than The Real Housewives of Vancouver, we find the Real Housewives of: Orange County, New York City, Atlanta, New Jersey, Beverly Hills and Miami.

She graduated from the University of British Columbia. She wanted to become a lawyer, but decided to focus on her family after she welcomed her first daughter.

She’s married to Sun Mackenzie, who has a criminal gangland murder trial and court history. In 2000, Sun Mackenzie, from his real name Sun News Lal filled legal papers to change his name for Sun Mackenzie. Reiko Mackenzie’s husband was considered a suspect in the 1994 murders of Jim and Ron Dosanjh, victims of a turf war between rival factions of a drug gang. Sun Mackenzie was acquitted of murder. In July 1998, Sun Mackenzie’s half-brother, Vinuse News MacKenzie, 27, was killed with a gunshot to the head. Two decades following the sad events, Reiko Mackenzie and Sun Mackenzie focus on their family. Reiko Mackenzie is the mother of two daughters.

Together, the couple owns a mansion valued at $3.5 million. Sun Mackenzie is a professional day trader.

With her husband, she owns nine luxury cars, including a Ferraris 599 GTO and 458 Italia valued together at $1 million.

.

Reiko Mackenzie likes to spend spare time studying mixed martial arts.

On how to make a few bucks by day trading Horizons BetaPro COMEX Silver Bear Plus ETF (HZD)

I had experimented day trading back in the summer of 2011 and I had lost about 1k with that experience because I freak out. For the first of my life, the market controlled me. I had lost control. I am certainly not proud about that but I wrote about this adventure anyway. I had catched up with a couple of other great move nicely and of course, I wrote about those too. Like I am not all that bad at all. If I would be very bad at investing, I would have stopped way back. But no matter what, it always went well. Fact that the value of my portfolio is down right now doesn’t affect me that much.

The timing is like perfect to perform day trading on Horizons BetaPro COMEX Silver Bear Plus ETF (HZD)!

YEAH!

The stock market is down right now and it come remain to the same level if not go even DEEPER. It’s in time like those that it’s time to perform day trading on silver. Horizons BetaPro COMEX Silver Bear Plus ETF (HZD) + a down market is the PERFECT combination.

How to perform day trading on Horizons BetaPro COMEX Silver Bear Plus ETF (HZD)?

First, before the TSX opens, go check on Bloomberg.com what happen during the night for the Asian markets. It will give you a pulse of what’s going on. If those Asian indexes are down, chances are that our fantastic TSX will be down too. If it’s the case (Asian indexes are down), make sure you are in front of your computer for the market opening.

Secondly, watch the opening. Watch the TSX: is it up or down? If it’s down, go straight and check on HZD immediately. The market is very down and HZD is already exploding? Well, if it’s the case PLACE a small BUY order (just a few shares for the heck of it and get what I like to name as being a market buzz), but be careful, double check the buy order before submitting for real ok?

Following the BUY order, check out on HZD, see how the title goes, try to figure out the profit you want to make. Quickly set-up an automatic SELL order. You may have to adjust the amount of profit depending on how HZD goes during the day. You want to cancel the automatic sell order and enter a new amount? You can, but be careful. CANCEL, and after what, go in your account activity to check if the order go through, just to make sure. No order went through? Perfect! Just go back in, set-up a new automatic sell order for the amount wanted.

During the whole process, you need to be quick, efficient and extremely careful, specifically while entering the order. Also, I wouldn’t recommend to trade more than 1k at a time. Day trading isn’t made to make a living out of it... it’s just to get a MARKET BUZZ.

March 6, 2012 to be remembered as a Black Tuesday

I don’t know why the medias stress so much about the facts that in the US today, 10 States had voted for their Republican candidate. Who care about Republicans anyway? How can Americans vote for the Republican following the events of 2008? Republican is a party of shame. Back off Republicans! The best thing Americans can do to save their souls and the rest of the world at the same time is to vote massively for Barack Obama. There’s like no twenty options available.

My non-registered portfolio closed at a bit more than 119k. Tooo bad. I taught a solution had been found for Greece problems, but it seem like it’s not exactly the case. It’s so complicated!! However, I have faith things will get better. There’s way too much involved. There’re too many banker pigs involved. Lol. Pigs and bankers are definitively two things that just match like magic. Angela the German is like wearing all the weight of the Euro debt on her back basically... She’s so fascinating.

The market is really extra sensible to the Euro situation. Not too long ago, we had good jobs data coming from the US, things had improved a lot over there... but as soon as a bad news is being announced for Europe... watch out...

Those volatile times can be good for something I had experimented during the summer of 2011: day trading. Most of the time, when the stock market take a big hit like today, silver goes down. PHS.U, and other mining silver stocks react, most of the time, really negatively. Silver is sensible to what’s going on with the stock market.

Stuff like PHS.U and FR loss in value today, but as always, Horizons BetaPro COMEX Silver Bear Plus ETF (HZD) reacts exactly the opposite way. And to tell you the true, the temptation is like way to high at this time for me to perform day trading on HZD. Greece won’t resolve all the problems overnight. We could be on a down market for a little while. The occasion is like way too much perfect to take advantage of the super high volatility of the market. Problem being, super high volatility = super high risk too. But the risk is calculated. Even without having Greece in the portrait, the stock market there’s always a lot of volatility we have to deal with. So my investment in HZD could always go up on a later date. And we’re not talking here about several thousands of dollars that I will be playing with, just a 1 000$, very big max. If I cannot sell at profit on the same day, I will be just holding, place an automatic sell order for X value per share... Fact is, I have all figured it out already!

Day traders, be ready for Horizons BetaPro COMEX Silver Bear Plus ETF (HZD). On a day like today, on which the TSX lost more than 200 points, HZD gain like 6%... And knowing that all this is due to Greece... And Greece won’t resolve its debt problem by tomorrow... TEMPTATION, TEMPTATION OF DAY TRADING AGAIN IS LIKE RIGHT HERE! ohhhhhh noooooooooooo!

LOL :)

Yeah yeah! So we’ll see how it goes, but I have a fatal attraction for HZD at this time... It’s going to be fun, I promise.

Tips and tricks on how to manage a TFSA contribution while dealing with a margin account

The TSX losses close to 80 points yesterday. Despite all, my non-registered portfolio closed Friday session at a quite good 122 328$, exceeding the 120k by a 2 thousands, so I am happy.

I incorporated a margin into my non-registered account in somewhere in December 2011. At first, the plan was to use the margin money generated by the daily value of my holding to pay off some credit lines. I did so, but while having access to more than 50k of cold cash, I couldn’t resist the temptation. The money was there available for me and I could whatever I wanted with it. I don’t have an expensive taste for almost anything, but when it comes to investment, I do have an expensive taste and since I enjoy investing, having access to a 50k was just a too rough temptation. So I did what I shouldn’t do, I invest on money that isn’t mine.

February 29 was the last day to contribute to a RRSP. I usually make a RRSP contribution every single year but this year, I didn’t have anything ready and when I learned that taxes needed to be paid at the time of the withdraw, even as being a senior citizen, I mean, I certainly found it was a complete government ripped off. It’s not the government who’s going to make me lose my paints.

I have more than 16k in contribution room available for my TFSA. While having a margin account, it’s very hard to fully take advantage of the TFSA. It’s all depends of course of the money you dispose to invest. Currently, I am only working at one job, and my salary is not very good. While dealing with a mix of factor, it can be quite tricky to make a TFSA contribution. However, I found my way out. I am going to teach you how you can take advantage of the TFSA even while having a margin account situation.

Having a margin account can be challenging. Investing real cold cash is already challenging enough, so imagine doing it with a margin account, with money that is borrow, money that is not really yours! I did what. I assume my position; I can say however I enjoyed the flexibility my margin provides. It allows me to pay off some debt. It also allows me to make new stocks acquisition. From December 2011 to today, I haven’t deal with any problems related to my margin account. However, I am totally aware of the risks. Problems can occur.

The margin account value varies on a daily trading basis. If your portfolio gains in value, the margin account will gain in value too. But if your stock loss value, your margin account will simply follow the flow. If your investment value loses so much, you could be on a margin call and could be requested to apply some cold cash in the margin account to equilibrate the whole thing. Brokers are not making you any favor by giving you access to a margin account. It’s all business, they are there to make money and fully take advantage of retail investors like you and I. But it’s possible to make things happen. What you need to know to start with is that a margin account can be another source of stress, on top of the natural volatility of the market. While having a margin account, you need to have a big deal of high quality stocks to be able to survive the market volatility and go without a margin call. I am not exactly writing for or against a margin account situation, it’s a choice you have to make for yourself knowing the present factors. But what I am here for is to explain that even that while dealing with a margin account, you can still invest in a TFSA without too much trouble. It’s just a matter of how you are dealing with your money and of course, I am here to explain it all, one more time.

I guess you really want to know what’s the magic TFSA trick is all about right? Well, the hot stuff is coming.

The following is really easy to understand. While investing, let say 2k in Sprott Inc., that investment doesn’t worth 2k of direct margin money. The broker is giving a loan value to each and single investment you hold. Some stocks won’t have any loan value, and some will. The loan value can value from 0% to 70%. Generally speaking, the more of a stock loan value is higher, the more likely you’re dealing with a quality stock. TD Waterhouse clearly says it’s not the case, but the logic is telling me something else. The value loan of a stock could be a characteristic you may want take into account while picking a stock. But you shouldn’t ONLY rely on loan value to pick your stock.

Let’s say that, in the present time, you don’t have a significant amount of money to invest but you still want to take advantage of the TFSA, even while having a margin account situation in your non-registered portfolio. 

Well, good news: YOU CAN. And I am going to explain how it worked.

First of all, study the loan value of all the dividend stocks you hold in your margin account.

Target the lowest value ONLY.

In my case, my dividend stocks with the lowest loan value are:

Sprott Strategic Fixed Income Fund (SFI.UN)

Loan value: 117$

Firm Capital Mortgage Investment Corp (FC):

Loan value: 134$

Rogers Sugar Inc. (RSI)

Loan value: 269$

Colabor Group Inc.

Loan value: 277$

Secondly, target the higher dividend payer among the stocks who have the lowest loan value.

Sprott Strategic Fixed Income Fund (SFI.UN)

Loan value: 117$

Dividend yield: 6.43%

Firm Capital Mortgage Investment Corp (FC):

Loan value: 134$

Dividend yield: 6.97%

Rogers Sugar Inc. (RSI)

Loan value: 269$

Dividend yield: 5.91%

Colabor Group Inc.

Loan value: 277$

Dividend yield: 9.63%

Thirdly, target the investment with who you are experimenting a capital loss or very little in capital gain. Why? Because while proceeding with a contribution in kind from a margin non-registered account to a TFSA, you’ll have capital gain to pay on the amount you transferred in if you are currently experiencing capital gain with the specific investment.

Sprott Strategic Fixed Income Fund (SFI.UN)

Current value: 467$

Book value: 486.99$

Difference: -19.99$

Loan value: 117$

Dividend yield: 6.43%

Colabor Group Inc.

Current value: 1109$

Book value: 1161.60$

Difference: -52.60$

Loan value: 277$

Dividend yield: 9.63%

Rogers Sugar Inc. (RSI)

Current value: 539$

Book value: 523.72$

Difference: +15.28$

Loan value: 269$

Dividend yield: 5.91%

Firm Capital Mortgage Investment Corp (FC):

Current value: 536$

Book value: 510.79$

Difference: + 25.21$

Loan value: 134$

Dividend yield: 6.97%

You would like to transferred all of the investment selected though those steps into your TFSA?

We’ll see if it’s possible. Please calculate the loan value of all of the investments selected.   

Sprott Strategic Fixed Income Fund (SFI.UN)

Loan value: 117$

+

Colabor Group Inc.

Loan value: 277$

+

Rogers Sugar Inc. (RSI)

Loan value: 269$

+

Firm Capital Mortgage Investment Corp (FC):

Loan value: 134$

= 797$

In my case, the total of my loan value is 797$. The question you need to ask yourself is: do you have this X amount of money (in my case 797$) to inject in cold cash in your margin account? In my case, since this week is going to be pay night on Wednesday, my answer is YES. But what’s yours? If your answer is NO, you’ll have to select just a few investments. Again, calculated the loan value and asked yourself if you have that X amount in cold cash to inject in your margin account.

In my case, the investments selected are not stocks that grow. That’s why their loan value is so low. Low loan value = low amount of cold cash that need to be injected in the TFSA.

You MUST inject the amount of money in the margin account BEFORE proceeding to the contribution in kind into your TFSA. This is really important in order to keep the same amount of cash available in your margin account. Remember, a margin account situation is fragile, don’t ever think you can make your way easily with a margin account. Like never. A margin account is not financially healthy and it’s not easy to deal with.

At the end of this, I will contribute somewhere to close to 3k in my TFSA and all the dividends earn from Sprott Strategic Fixed Income Fund (SFI.UN), Colabor Group Inc., Rogers Sugar Inc. (RSI) and Firm Capital Mortgage Investment Corp (FC) are going to be free of tax, for an annual amount total of 432.32$.

Now, you know how to deal with a TFSA while having a margin account.

Will Sprott Inc. (SII) pay a special dividend for 2012?

Things had been going well for my investment portfolio. My non-registered portfolio is exceeding the 122k mark. Sprott Inc. (SII) announced recently the acquisition of two small Calgary firms and that kind of bad because it could ruin the 2012 special dividend distribution. When it comes to Sprott Inc. (SII), I know what I am talking about. I had been holding Sprott Inc. (SII) stocks since its early beginning in 2008. Time is passing by sooooo fast, it’s fascinating. Can you imagine? The Dividend Girl and Sprott Inc. (SII) are celebrating 5 years of PURE MONEY LOVE. I really like that one, pure money love. The Dividend Girl, because life is all about pure money love and a bunch of other things. Alright now.

Every year or so, Sprott Inc. (SII) pays a special dividend and it can certainly worth it to own some Sprott Inc. (SII) stocks just for that annual special dividend. I currently own too much of Sprott Inc. (SII) stocks. As soon the stock hit the old 10$ per stock or so, I will be selling some stocks. I love Sprott, but my love comes with a balance. Or should I say, I try to keep it balance. And during that time, things had gone great in my money making.

Other than that, some of my stocks are just totally showing off how great of an investor I can be sometimes...

So far, I made a good capital gain of 114.96$ on Canadian Utilities Limited (CU) and I wasn’t expecting that. So far, CU was going a bit up, a bit down, but recently, it’s start to grow and BOUM, there you go a nice tinny and cute profit of 114.96$. Who look kind of smart now? PLEASE TELL ME. lol..

I also made a capital gain of 225.46$ on Agrium Inc. (AGU).

All this to say that investing in blue chips really worth it. At first, I wasn’t really happy about the idea of investing in blue chips because they pay so little in dividend. I mean, you invest thousands and thousands of dollars and in return, you get some peanuts. Well, I was wrong. At the beginning, you may received just some peanuts ok, but hold and wait because here’s the entire banana split coming... lol...

Meaning you received dividend, the dividend income grow overtime AND your investment value grow over time. So all those factors combine together, it brings a major A+ in your personal finance, that’s for sure.

The only reason why I invested in blue chips during the past few months was to bring extra value on my margin account. My efforts had paid off. I currently have 17k left on my margin account. I have paid off a 5k credit line and I put 4k on another one, bringing my margin value to 26k over a 122k portfolio worth. I mean it’s reasonable and good enough to cover if I get caught again in a stock market tragedy. Hit whenever you want stock market, I am already... or almost. Those things are soooo scary. I cannot say I am really ready to experiment another stock crash because it totally drain me to death. But as you can see, I am not dead; here am I, happily blogging. And guess what, the party only started...

I found an interesting stock from the Sprott family that may worth to write about: SIL, SCP and SPZ. Fact is, I wasn’t even aware of those stocks before me, the know it all about Sprott. You may want to look at them, but there charts are not really good, its showing sign of volatility, some of those never recover from the 2008 stocks. Anytime you see a chart going down down down after the 2008, that’s not good, just skip the stock.

Finally, all this to say that investing in blue chips like CU or AGU, among other, bring a lot more than some Dollorama stocks you may invest in just to get a stock market buzz. Now, I am aware of that and each time I feel the temptation of investing in stuff like SIL, SCP and SPZ, I think twice, I breath, I remember that I have a margin account, and I think of my silver stock picks like FR, PHS.U, PSLV...

I already played enough my money around. Time to get serious and stop wasting time and money.

You see what I mean?

And guys, you know where you can find me... I slowly began to sound as desperate as this guy and it's really funny. ;)

Welcome in the house Crescent Point Energy Corp (CPG)!

I invested in some stocks of Agrium Inc. (AGU) today. I bought AGU stocks at 84.98$. I am under the deep impression that this stock can hit the mark of 90$ per stock very easily. I was quite excited!

Also last week, I invested in Crescent Point Energy Corp (CPG) stocks. Not a big investment, but still. My non-registered portfolio is now at 123 263.53$. I had been quiet these days, busy at work, dealing with work problem and RRSP problem. My RRSP problem had been resolved, as I think RRSP is not a good option for my personal financial situation. Right now, I am pretty much deep into LOVE with, not a man (I am still single gentlemen), but with my portfolio. I LOVE the rocks I have in my portfolio.

As for work, I am being pushing down like crazy. But I am not very surprise. See, my boss is a very fresh man who had built himself what seem to be a very expensive home and he said that if it wouldn’t be for his girlfriend, he wouldn’t be able to manage his monthly budget and pay everything that need to be pay. I also hear him complaint about his financial situation over the phone, on how much his mortgage was expensive, all the interest own on the money, etc just like a miserable man. I mean, come on now. The loser should have thought twice before building an expensive house in a poor community. 

If you cannot manage your own personal finance, how are you supposed to manage a business well? Fact is, the guy is so a f off that he’s following MBA courses. An MBA won’t be of any help. The guy simple doesn’t have the common sense it takes. He complained to me and to someone else over the phone once. What a complete jerk. It actually really amused me and I am very happy about his situation.Homes don’t sell very easily around here. And when they sell, they don’t get sell at their asking price. Better think twice before building an expensive home on a mortgage.

Now you know, the D-Girl is a D-Bitch. When I hate, I hate for real.

Some people can be very artificial and fresh, with a taste for expensive car, expensive clothes, expensive home... It’s not giving back anything good in return. Fact is, the more your frugal, the better it is. A lady of the name of Annie Jean is actually pretty good at the frugality game.

The only excessive thing I have in my life are my debts and my investments. With a net worth of more than 80k now, I am happy, but the problem being once you get in the money game, it’s really hard to get out, its really addictive and fun. So yeah, I am pretty much into the money deal, but for me, it had a refreshing effect and I don’t think I would be at 80k+ net worth if it wouldn’t of the “effect”.

I could continue on writing on all the awful things my boss told me, but I will just stop here for now because you simply couldn't believe. We’ll chat again later. I am peacefully waiting for my laid off so I can sue the rat and get the hell out of here.

Gordon Pape involved in the RRSP Businesses deal screw up to steal money from Canadians

There’s a bunch of people out there, including Gordon Pape, who want retail investors to think that investing in a RRSP account is valuable. You need to read the post I wrote yesterday to better understand why RRSP contribution is of no help when it comes to create financial health. It’s just too bad I wasn’t able to realize that a lot sooner. I am stuck with a 40k value stuck inside a RRSP that isn’t doing nothing for me, expect pushing later the tax payments.

Let’s start with Gordon Pape. Gordon Pape recently came with a RRSP portfolio investment idea. We find in it the very fabulous Firm Capital Mortgage Investment Corporation (FC), a stock that I hold in my non-registered portfolio for a little while now following Gordon Pape recommendation. FC is a superbe wonderful stock, very reliable and the chart is a rocking rocket.

Great. But Gordon Pape has a darker side. Fact is, Gordon Pape is actively promoting RRSP account to screw up retail investors and to make good money by promoting a banking product (RRSP) simply made to make banks and government richer, but not individuals.

RRSP is a real industry. Banks had come with special loans design for the RRSP. Banks actively promoted those products in major marketing campaigns. And for what reason? To make money on the back of the middle class, on the 99%. On a salary of 40k+, if I make a RRSP contribution of 4k, I save about 1k in tax. I save 1k on a 4k investment, which means that it’s costing me a 4k out of my pockets to get back a 1k. The 4k will be put away, untouchable until I hit my seventies. Does it really worth it? Not really.

Fact is, once I hit my golden years, I will have to pay taxes on RRSP withdraws. At that time, with a bit of luck, the 4k invested today will worth much much more in 4 decades from now. And oh surprise, I will have to pay taxes on the 4k AND on all capital gain realized during those 4 decades... On top of that, the money hold in the RRSP will affect what the government will give me on my senior years.

So basically, for someone like me of the middle class, earning close to 45k yearly, it doesn’t worth it to invest in a RRSP for that specific reason. There’s no benefit to invest in a RRSP account.

And by the way, it’s not because you don’t invest in a RRSP account that you are not properly prepared for retirement, especially now that we have the TFSA.

On the other hand, a TFSA is a very powerful tool. I haven’t used all of my TFSA contribution room because I have a margin account on my non-registered account. For very practical reasons, I prefer to invest all cash available in my non-registered account. Why?

1) To increase the value of my margin account so I can use the margin money to pay off more debt of mine at a higher interest.

2) To secure my margin account situation (the more you have, the better).

3) To do numerous of operations without having to deal with the one withdraw TFSA rule that really suck at TD Waterhouse.

I guess those are the main reasons.

Also, while investing in a RRSP, the fact that I cannot access the money freely, whenever I want or feel like, and that suck too.

To celebrate the mediocrity of the RRSP account, I decided to invest a 1 000$ tomorrow in Crescent Point Energy Corp. (CPG) in my non-registered account (gotta bring that margin stronger) and not to contribute ever again to a RRSP. Gordon Pape? An author with sometime good stock picks, a pusher of the RRSP so banks and government can make a huge amount of money on my back. Oh yeah, Gordon Pape.

Gordon Pape.

No more RRSP contribution, NEVER EVER again

I taught I had until the end of March to contribute to my RRSP but I have until February 29th.... the more I think about a RRSP contribution for the 2011 fiscal year, the more I dislike the idea. 

One of my reader is a tax specialist so I bring in my numbers with what I had found as deposit amount in my banking account for the 12 months of 2011 and I found out that my 2011 net income exceed the 40k. I was surprised because it didn't give me the impression that I earn that much in 2011. I wasn't even working 30 hours per week at my main job. but even there, it's true I was also working full-time during the weekend. Anyhow, all that to say that yeah, once again, I pop up the 40k income, with multiple money maker streams. Nice, but ho headache, what about the income tax? I wasn't paying income tax on my part-time job, only the unemployment insurance and a few other mandatory things. Because of that, I could have a couple of hundreds $$$ to pay in taxes.

My mom is getting closer to 65 and at her age, she has to cash out her RRSP for a reason or another. I am really not into RRSP but I know that at a certain age, you need to transfer what you hold in an RRSP account into another type of account. but even there, while doing so, you have to pay taxes on each single withdraw. 

For 2011, I taught of giving 4k on my RRSP contribution.

Now, I am going to tell you why I won't be doing so.

No matter what if I contribute or not to my RRSP, I won't have 4k to pay back on taxes. So can someone could explain to me why should I bother doing a 4k RRSP contribution? 

While being in a RRSP account, I won't be able to take a full advantage to my 4k RRSP contribution.

Yes, I can use my RRSP money on the purchase of a house, or go back to studies (I think) but WAIT, its not as great at it seem, all withdraw made from a RRSP, all amount need to go back in the RRSP withing a certain time frame because I have to pay it back. I mean come on, those type of shitty solutions are really not made for me. I don't want to earn a house (unless I win 649 lotto) and I certainly don't want to enroll in a Canadian university program. You need to be a fool, a complete idiot to pay those extremely expensive tuition fee. If you know me by now, you know that the Dividend Girl is the kind of girl who is extremely smart. Canadian universities? WHAT THE F. They are made for dummies.

Now, another think, a 4k RRSP contribution will remain untouchable and not enjoyable until I retired. But even there, I will have to pay taxes on the withdraw and oh wait, since the money will remain in a RRSP account for like several decades, the initial amount deposit will grow grow grow... and when come time to withdraw, HELLO TAX PROBLEMS. Again.

So I mean, come on now RRSP account is all about bullshit. Its a government fantasy made as set up. There's no real benefit to a RRSP. Better just enjoy the money while being young, but it on the margin, trade, go with a TFSA with Questrade whatever. But a RRSP? NO THANK YOU. NEVER EVER AGAIN.

A RRSP account is for fools.