Brought to you by CFEE Canadian Foundation for Economic Education

Money Matters

Buying a home: Buying a new home

When you buy a newly built home, certain things are guaranteed. For example, the builder is responsible for certain repairs or changes that might be needed. Inspect your new home carefully.You may want to visit the site while it is being built to examine the quality of construction. Guarantees are good for a set time only so find out how long the work will be guaranteed. For more information, go to the Canadian Home Builders’ Association web site at http://www.chba.ca.You can also get more helpful information from the Canada Mortgage and Housing Corporation’s website at http://www.cmhc-schl.gc.ca

Investing: Registered Retirement Savings Plan

The amount of tax-deductible money you can put in an RRSP each year depends on your income, how much you have contributed in previous years, and how much you have contributed to a private pension plan.The Canada Revenue Agency will be able to tell you how much tax-deductible money you can contribute to an RRSP in the coming year. Learn more

Frauds and scams

Be very cautious about e-mails you receive that offer you deals, products, and prizes or appealing for help. Most are trying to take advantage of you. Never e-mail personal banking or credit card information to anyone unless you are sure that you can trust them. Never fill in forms or provide personal information on a website unless it is a site you know and trust.The Government of Canada has a Canadian Anti-Fraud Centre to help protect Canadians from frauds and scams.You can find this help at http://www.antifraudcentre-centreantifraude.ca/english/home.html.

Leasing/renting accommodation

Many people in Canada rent their home rather than buy it.They may rent a house, townhouse, condominium, apartment, and so forth.To rent or lease, you will usually need to sign a lease with a landlord. Leases are often signed for a period of one year. If you need to “break the lease”—that is, move before the year is over—there may be a cost.The landlord is the owner or manager of the property.

Credit Education Week is around the second week in November each year. Efforts and activities are undertaken in this week to help Canadians handle credit and debt wisely. For more information, visit the website of Credit Canada: Debt Solutions at www.creditcanada.com.

Job application scam

Be aware that job advertisements may occasionally be false. It may be a scam by one or more people trying to get you to submit a job application which provides them with your personal information first.Try to make sure the job ad is a real one by calling the company and checking first.

Leasing/renting accommodation

If you sign a lease to rent a property as your home, the lease will indicate such things as how much rent you will pay per month as well as what will be included, such as utilities like hydro, gas, and cable TV. Check a lease carefully before signing it. Keep a copy of your lease in case you need to refer to it.You may want to consider renters’ insurance to protect yourself should there be fire, damage or theft while you are renting.

Investing: Registered Education Savings Plans (RESPs)

You can save money for your children’s future education in a Registered Education Savings Plan (RESP).The federal government will match some of the money you save each year.The lower your level of income, the more the government may contribute. RESP money is not tax-deductible. However, there is no tax on any gains on investments in the RESP. Also, check into the “Canada Learning Bond.” If you earn below a certain level of income, the government may provide more support for paying education costs. Learn more

Starting a business

Many newcomers to Canada start their own small businesses. It isn’t easy to start and run a successful business. Governments in Canada will try to help people who have good ideas and a desire to start a new business.There are programs and services, including grants and loans, available but it can be a challenge to complete the application forms and qualify. Learn more

Leasing/renting accommodation

The person paying rent to live in a property is called the tenant or lessee.The person who owns/manages the property is called the landlord or lessor. Both the tenant and landlord have rights.Visit DayPlanner web site – Link #134 to review the rights of both.

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