Fintech
WealthyPlanet Provides Practical Financial Planning Tips for Ontario Residents to Weather the Coronavirus
Burlington, Ontario–(Newsfile Corp. – April 2, 2020) – WealthyPlanet, a FinTech company that will offer free and holistic, online financial planning to millions of Canadians, has provided some practical financial planning tips for working Ontarians and their families faced with financial uncertainty due to the Coronavirus.
Most financial planning experts recommend having an emergency fund of three to six months of living expenses saved and easily accessible as part of a prudent financial plan. According to the Canadian Center for Policy Alternatives, almost 50% of renter households live paycheque-to-paycheque and can only survive for one month or less without income.
WealthyPlanet offers numerous immediate financial planning tips to help minimize expenses and bridge lost income through new government programs. The goal is short-term budgeting and creation of an emergency fund for living expenses, that will last over the next weeks or months while the pandemic impacts daily work and life. Any money left over can later be used to top up your TFSA or RRSP savings.
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Eliminate or defer unnecessary recurring expenses and put discretionary expenses like entertainment and vacations towards your emergency fund.
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Pay your mortgage if you can. If not, try to defer no more than one or two months of payments.
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Try to renegotiate your mortgage to take advantage of lower interest rates due to a recent reduction in the prime rate.
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If you are having trouble paying your rent, the Ontario government has stopped evictions. Speak to your landlord regarding their medical emergency policy or if they will consider leniency during this difficult time.
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The CRA has extended the deadline to file 2019 personal income tax returns from April to June 1st and any amounts owing are deferred till August with no accrued interest.
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If you own property, check with your municipality regarding extensions of their deadline for property tax payments.
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If you’ve lost your job, are in self-isolation, or caring for someone who is sick, then greater access to federal Employment Insurance (EI) is available.
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If you are a contractor or freelancer and don’t qualify for EI, the federal government has introduced the Canada Emergency Response Benefit (CERB) of $2000 per month for a four-month period.
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For parents in frontline professions like health or law enforcement, the Ontario government will help with childcare expenses of $200 per child. The federal Canada Child Benefit for eligible parents will be increased by $300 per child.
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A special one-time GST tax credit payment will be available shortly for low to medium income families of $400 for individuals and $600 for couples.
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Students can pause repayment and interest of a Canada Student Loan or OSAP loan for six months, till the end of September.
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Retirees will have reduced required minimum withdrawals of Registered Retirement Income Funds by 25% and low-income seniors can expect additional benefits from existing provincial programs.
For more information on these and other tips, read WealthyPlanet’s Blog.
About WealthyPlanet:
WealthyPlanet gives everyday Canadians confidence about their financial future through a powerful and free online financial planning tool, cost-effective products and advice. We are a Burlington, Ontario-based FinTech company filling a need for most people that have no long-term financial plan or understanding of their one monthly contribution required to reach financial and life goals. Sign up to be a beta user at www.wealthyplanet.com
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For more information:
Linda Montgomery
VP Marketing
WealthyPlanet
linda@wealthyplanet.com
