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  • 50+ Companies That Hire Former Teachers

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    When you decided to become a teacher, no doubt it felt like exactly the right move. Somewhere along the way, though, things changed. After all, teachers experience burnout at an incredibly high rate—nearly 40% say they’re very often or always burned out, and 77% report high levels of stress. In fact, according to a 2025 report from Educators for Excellence, only 19% of teachers would recommend a teaching career to others. It’s no surprise many teachers are ready to move on. So how do you go about finding companies that hire former teachers?

    Teachers looking to leave the classroom can find work in almost any industry, given their own subject matter expertise, skills, and passions. That said, there are several industries where teachers especially have a real leg up. We’ve rounded up the best professions for former teachers, and the companies that hire them. Remember that not all of these companies will have jobs available at any given time. Bookmark their employment pages and check back often!

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    We Are Teachers

    Top 5 Companies That Hire Former Teachers

    These companies get great reviews from current employees, and they offer good pay for your skills and experience. If you’re looking for jobs for former teachers, these may be a good place to start!

    Get more details on these companies below, along with dozens more that offer great professions for former teachers.

    Online and In-Person Tutoring, Coaching, and Mentoring Companies

    Teachers are uniquely qualified to tutor or mentor struggling students or provide educational coaching to students, schools, or organizations. They can start a new career in positions like these:

    • Tutor: These gigs can vary from full- to part-time, online or in person. Tutors get the chance to apply their own personal knowledge and expertise, helping students one-on-one or in small groups. See our guide to online tutoring jobs here. Average salary: $50,546.
    • Career Coach: These development professionals help people adjust and improve their career paths through one-on-one guidance and advising. Average salary: $67,752.
    • ESL Teacher: ESL (English as a second language) teachers instruct students in fundamental skills such as reading, writing, and speaking English. In addition, they may help newcomers to our country with customs and everyday-life questions. Average salary: $56,863.

    These types of jobs are best for former teachers who:

    • Enjoy working one-on-one or in small groups
    • Are willing to accommodate the schedules of their clients
    • Have experience differentiating their lessons for different learning styles
    • Feel comfortable offering their knowledge and skills to guide others

    The following companies hire tutors, mentors, and coaches.

    Booknook logo on a white background

    BookNook

    This company pairs synchronous literacy learning by teachers and school staff with high-impact tutoring. Tutors work online with students to reinforce learning.

    Explore jobs: BookNook

    Elevate K-12 Logo

    Elevate K-12

    This innovative company is helping solve teacher shortage issues by offering live courses taught online by certified teachers. If you’d like to leave the traditional classroom but still teach, check them out!

    Explore jobs: Elevate K-12

    Paper logo in white on a blue background

    Paper

    Paper helps schools connect students with tutors who can offer homework assistance, study support, or review and editing of written assignments and projects.

    Explore jobs: Paper

    Parallel Learning logo

    Parallel Learning

    This unique company offers support services for students with thinking and learning differences. They hire virtual school counselors, speech and language pathologists, special ed teachers, and more.

    Explore jobs: Parallel Learning

    Participate Learning logo

    Participate Learning

    If you’re fluent in a world language, you may be able to teach in the immersion programs offered by Participate Learning in local schools.

    Explore jobs: Participate Learning

    Pear Deck Tutor logo of a pear on a dark background

    Pear Deck Tutor

    Formerly TutorMe, Pear Deck Tutor teachers work in their online lesson space, covering 300+ subjects. You’re paid both for actual tutoring and the time you spend writing up feedback.

    Explore jobs: Pear Deck Tutor

    PrepNow logo on a white background

    PrepNow

    This company focuses on preparing high school students to succeed on the ACT and SAT, though they also offer tutoring in math subjects like calculus and trigonometry. Their test prep curriculum is pre-designed, and they’ll train you in how to use it.

    Explore jobs: PrepNow

    Qkids logo on a light blue background

    Qkids

    Your teaching license helps qualify you for work at this company. Qkids’ online ESL tutoring program uses a set game-based curriculum. Classes last 30 minutes, with one to four elementary-age students in each. Qkids handles all the parent communication, grading, and other administrative duties.

    Explore jobs: Qkids

    Sylvan Learning logo in white on a dark blue background

    Sylvan Learning

    These tutoring centers work with kids both online and in person, helping kids improve their grades and school performance. Former teachers can work locally or apply for careers with corporate headquarters.

    Explore jobs: Sylvan Learning

    Tutor.com logo on a white background

    Tutor.com

    As you might guess from a site owned by the Princeton Review, Tutor.com focuses on test prep but also offers online tutoring jobs in a large selection of subjects.

    Explore jobs: Tutor.com

    Varsity Tutors logo on a white background

    Varsity Tutors

    Though Varsity Tutors is a popular choice for ACT/SAT and AP test prep, they offer tutoring in pretty much any subject.

    Explore jobs: Varsity Tutors

    VIP Kid logo in white on an orange background

    VIPKid Global

    Though changes to Chinese law affected the ESL tutoring programs at VIPKid, they’ve pivoted to offer their curriculum worldwide. Tutors use a pre-designed curriculum, so there’s no lesson planning or grading. Here’s our review of VIPKid with some tips for applying.

    Explore jobs: VIPKid Global

    Curriculum Development and Publishing Companies

    There’s a huge market out there for curriculum and learning materials, and these companies often hire former teachers to help build quality products. Here are some of the roles former teachers might find at these types of companies:

    • Curriculum Writer/Creator: Informing curriculum is a great way to directly impact what goes on in the classroom without actually being in it. It’s a great opportunity to share your knowledge with other teachers. Average salary: $81,037.
    • Editor: An editor typically works with writers to develop content that fits within the editorial guidelines of an online or print publication. If you worked within a particular subject, you may find your knowledge is even more in demand for editorial work. Average salary: $72,362.
    • Curriculum Sales and Service Rep: Curriculum publishing companies often employ former teachers to sell and train educators on using the company’s products. Average salary: $76,321.

    Working in curriculum development or publishing allows you to leverage teacher skills and knowledge like these:

    • Subject matter expertise
    • Written communication skills
    • Lesson plan development
    • Differentiated learning experiences
    • Learning standards and goals

    The following publishing and curriculum design companies hire former teachers.

    Logo for the company Amplify, showing the word Amplify. on an orange background

    Amplify

    This curriculum-development company offers a variety of programs and content for grades K-12. Their offerings include Desmos Math, Boost Reading, and more.

    Explore jobs: Amplify

    Curriculum Associates logo, showing the company name on a medium blue background

    Curriculum Associates

    This company offers products like i-Ready Assessment, Magnetic Reading, and Brigance Head Start, along with state-specific programs to meet local standards.

    Explore jobs: Curriculum Associates

    Great Minds logo showing company name in black on a white background, surrounding by a black square

    Great Minds

    Teams of teacher-writers develop high-quality curricula in mathematics, English language arts, science, and more. Their offerings include Eureka Math, PhD Science, and more.

    Explore jobs: Great Minds

    HMH logo showing the initials in black with three oblong shapes in pink and orange.

    HMH

    Houghton Mifflin Harcourt’s learning platform encompasses curriculum solutions for K-12 subjects of every kind, with core instruction, supplemental practice, assessment, and professional learning.

    Explore jobs: HMH

    Imagine Learning logo in dark blue on a white background

    Imagine Learning

    This online curricula company offers courseware, supplemental and intervention materials, core curriculum, and virtual school services for K-12 students.

    Explore jobs: Imagine Learning

    IXL logo in blue and yellow letters, on a white and green background

    IXL Learning

    Covering a huge array of products like Rosetta Stone, ABCYa, Wyzant, and more, this company often has open positions for curriculum designers.

    Explore jobs: IXL Learning

    Larson Texts logo

    Larson Texts

    Curriculum experts at Larson create mathematics products from elementary school through college, both print and digital.

    Explore jobs: Larson Texts

    McGraw Hill logo in white letters on red background

    McGraw Hill

    This powerhouse in educational materials offers programs, texts, and ed tech for pre-K to grade 12, covering every subject and curriculum.

    Explore jobs: McGraw Hill

    Pearson logo of a stylized P with a dot underneath in white on a blue circle

    Pearson

    With a wide array of texts and ed-tech products, Pearson’s materials are geared toward higher learning. Their materials span a huge array of topics and curricula.

    Explore jobs: Pearson

    Savvas logo in white against a medium blue background

    Savvas

    This curriculum company offers texts and online learning solutions in primary and secondary school subjects. Programs include enVision Mathematics and elevateScience.

    Explore jobs: Savvas

    Scholastic logo showing a stylized open blank book on a red background

    Scholastic

    Scholastic’s books and classroom magazines are a mainstay for the K-8 crowd. Their book fairs are a beloved tradition in many schools too.

    Explore jobs: Scholastic

    Wiley logo

    Wiley

    This global publishing company handles academic, scientific, and technical journals, among other products. They’re often looking for editors and other employees.

    Explore jobs: Wiley

    Educational Websites and Ed Tech Companies

    Teachers, students, and families rely on digital learning resources more than ever before, and the field is growing day by day. Lots of these companies look to former classroom teachers to help design, build, improve, and sell their projects. Here are some of the roles former teachers are especially qualified to fill at these organizations:

    • User Experience (UX) Designer: A UX designer’s role is to make a product or service usable, enjoyable, and accessible—skills that teachers use every day. This role is particularly suited for teachers with strong tech skills. Average salary: $94,472.
    • Educational Technology Consultant: A consultant may work for a company or directly for a district, helping them choose and implement software and other digital learning experiences. Average salary: $93,827.
    • Curriculum Writer/Creator: Many websites provide online curricula or learning experiences. Former teachers can create those digital lessons and activities. Average salary: $81,037.

    When you take a job in ed tech, you’ll be able to use teacher knowledge and skills like:

    • Subject matter expertise
    • Lesson plan and learning activity design
    • Self-paced learning opportunities
    • Differentiated learning experiences
    • Learning management system skills

    The following top ed-tech companies and websites hire former teachers.

    Actively Learn logo in teal on a white background

    Actively Learn

    This site compiles texts and videos for ELA, science, and social studies with scaffolds and higher-order questions, plus tools for teachers to interact with students.

    Explore jobs: Actively Learn

    Age of Learning logo in white on a medium blue background

    Age of Learning

    This is the parent company of sites like ABCmouse, Adventure Academy, My Math Academy, My Reading Academy, and others. Former teachers can develop content, review materials, and help design and build new programs.

    Explore jobs: Age of Learning

    Avela logo in purple and white

    Avela

    This company’s suite of programs helps schools with admissions and enrollment decisions. They hire former teachers to work with schools—educational experience is required for some roles.

    Explore jobs: Avela

    BrainPOP logo in teal on white

    BrainPOP

    A well-known website, BrainPOP offers a variety of online teaching resources for grades K-12, across the curriculum.

    Explore jobs: BrainPOP

    Cambium Learning Group logo in white on gold

    Cambium Learning Group

    With companies that hire former teachers like Lexia, Learning A-Z, and Cambium Assessment, this website is a one-stop shop for lots of job opportunities.

    Explore jobs: Cambium Learning Group

    CDDW logo in red on a white background

    CDW

    The two divisions at this company are devoted to education—one focuses on K-12 and the other higher ed. They supply hardware, software, and other tech solutions to help their clients meet their goals, and they hire former teachers as education strategists, consultants, and sales reps.

    Explore jobs: CDW

    ClassLink logo in teal and white

    ClassLink

    This company simplifies access, analytics, and identity management, making education technology easier for teachers and students alike.

    Explore jobs: ClassLink

    Discover Education logo including a globe on a white background

    Discovery Education

    This site provides timely, relevant content, plus useful tools and resources to engage students and track progress as they learn about a variety of topics.

    Explore jobs: Discovery Education

    Dreambox Learning logo

    DreamBox Learning

    The adaptive programs from DreamBox differentiate instruction with personalized math and reading programs to accelerate learning.

    Explore jobs: DreamBox Learning

    Duolingo logo

    Duolingo

    Help develop the language-learning powerhouse’s new programs in languages, math, music, chess, and whatever they come up with next!

    Explore jobs: Duolingo

    Edmentum logo on a white background

    Edmentum

    Programs like Study Island and Exact Path help students prepare to succeed at standardized tests and bridge learning gaps in K-12 education.

    Explore jobs: Edmentum

    Edpuzzle logo on a white background

    Edpuzzle

    This company’s cool technology allows teachers to use videos interactively in their classrooms, with embedded questions that increase engagement.

    Explore jobs: Edpuzzle

    Epic logo on a light blue background

    Epic

    This is the leading digital reading platform for kids 12 and under, with a collection of 40,000+ popular, high-quality books from 250+ of the world’s best publishers.

    Explore jobs: Epic

    Encyclopedia Britannica logo on a blue background

    Encyclopedia Britannica

    This venerable institution differentiates itself from Wikipedia by fact-checking every article. They also offer teaching materials like quizzes, videos, and more, which former teachers can help develop.

    Explore jobs: Encyclopedia Britannica

    Flocabulary by Nearpod logo

    Flocabulary by Nearpod

    Their hip-hop videos and instructional activities promote literacy and spark creativity, teaching kids Tier 2 and 3 vocab words.

    Explore jobs: Flocabulary by Nearpod

    Goalbook logo against a white background

    Goalbook

    Schools and districts look to Goalbook to help teachers design strong lessons that meet instructional standards for all students and classrooms.

    Explore jobs: Goalbook

    GoGuardian logo on a light blue background

    GoGuardian

    This company helps schools with cybersecurity, protecting students while they use tech as well as keeping school data private. Former teachers aid in the design process in a variety of positions.

    Explore jobs: GoGuardian

    Khan Academy logo in green on a white background

    Khan Academy

    Teachers everywhere use Khan Academy’s free online courses, exercises, and activities to help students learn a massive variety of subjects. Former educators may find work creating educational content for new and existing courses.

    Explore jobs: Khan Academy

    Newsela logo in medium blue on a white background

    Newsela

    This smart site takes current news articles and presents them at a variety of reading levels, with accompanying review questions and activities, for use in the classroom.

    Explore jobs: Newsela

    Renaissance logo in white on a black background

    Renaissance

    This ed-tech company’s products include Accelerated Reader and the adaptive Star assessments in reading and math.

    Explore jobs: Renaissance

    Zearn logo on a dark blue background

    Zearn

    Former math teachers, take note! Zearn offers free math videos, interactive online learning activities, and other visual strategies for teaching and learning math.

    Explore jobs: Zearn

    Other Companies That Hire Former Teachers

    Though many former teachers find jobs at education-related companies, they aren’t the only ones who hire those with education backgrounds. In fact, many corporations need instructional coaches, trainers, educational directors, and other jobs that require a background in teaching and learning. Some jobs former teachers might take on at many companies include:

    • Educational Policy Expert: Be the change by becoming a policy expert, a person who has hands-on administrative experience with a desire to review and adjust policies within educational institutions. Average salary: $90,089.
    • Community Director: Who better than a former teacher to organize and facilitate educational and athletic programs and events for kids? Average salary: $68,714.
    • Corporate Trainer: Promote employee growth and development by training workers to develop their skills or create entire training programs used to teach and train employees. Average salary: $67,431.
    • Education Manager: Work within a company or organization to facilitate teaching and learning activities, organize educational programs, obtain funding, and more. Average salary: $59,462.
    • Disability Services Coordinator: Many companies and organizations support individuals with disabilities, helping them to live independently in the community. This can be a great job for those with SPED experience. Average salary: $52,311.

    For jobs like these, look to organizations and companies such as:

    KinderCare logo

    KinderCare Learning Centers

    Whether you work directly with kids or help manage one of their facilities, this company offers a lot of opportunities for former teachers.

    Explore jobs: KinderCare

    Girl Scouts logo in green on a white background

    Girl Scouts

    Local Girl Scouts councils hire former teachers to plan, direct, and implement programming for scouts. Jobs might include education manager or community director positions.

    Explore jobs: Girl Scouts

    Guild logo in black on an orange background

    Guild

    This company assists corporations in helping their employees build skills, advancing their careers and benefiting the company they work for at the same time. They hire education consultants, career coaches, and more.

    Explore jobs: Guild

    Learning Resources logo on a blue background

    Learning Resources

    This family of companies creates and sells educational toys and activities for kids and families. They hire for roles like user-experience designers, content creators, and education sales consultants.

    Explore jobs: Learning Resources

    TNTP logo on a white background

    TNTP

    The New Teacher Project (TNTP) is a partner for change in public education. They train new and existing teachers in the latest instructional strategies, among other education initiatives.

    Explore jobs: TNTP

    Companies That Hire Former Teachers FAQs

    Can teachers find work outside the classroom?

    Absolutely! There are a lot of terrific careers for those leaving the classroom behind. Your teaching degree and experience make you an excellent fit for all kinds of other work. You may want to stay in the field of education, in which case you could pursue curriculum design and development, textbook writing and editing, or educational website development. Or you could leverage your leadership skills to work in occupational or corporate training.

    Teachers looking to leave the classroom can find work in almost any career field, given their own subject matter expertise, skills, and passions. That said, there are several industries where teachers especially have a real leg up, including tutoring, coaching, and mentoring; curriculum development and textbook publishing; and educational websites and ed tech. Find a big list of jobs for former teachers here.

    Do I need additional training or certification to get a job outside teaching?

    It depends on the position and your personal experience, but teachers can often get non-education jobs without needing any additional training or certification. Consider leveraging your subject matter specialty to find jobs that take advantage of your expertise!

    What skills make teachers good candidates in other industries?

    Teachers excel at communication, project management, problem-solving, and relationship-building skills, all of which are welcome in many other career fields. This makes them ideal candidates for jobs in sales, technology, training, customer relations, project coordination, and data analysis, among many others.

    How can I tailor my resume for non-teaching roles?

    Focus on the transferable skills employers look for rather than classroom-specific duties. Replace education jargon with business-friendly language—“differentiated instruction” becomes “personalized training,” and “classroom management” becomes “team leadership” or “project coordination.” Check out How To Make Your Resume Stand Out in the Corporate World for more.

    Ready to move on from teaching? Don’t forget to grab our free resignation letter templates!

    Teacher resignation letter on tablet.
    We Are Teachers

    Writing your resignation letter might just be the easiest part of moving on! Make it even simpler with our free customizable templates.

    Plus, Flexible Side Hustles and Second Jobs for Teachers Who Need Extra Money.

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    Jill Staake, B.S., Secondary ELA Education

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  • Child, 6, hurt in Lake County deadly crash ‘may never walk again,’ family says

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    A 6-year-old boy is recovering in the hospital and may never walk again after the car he was riding in was hit in Lake County in a crash that killed two teenagers.The boy, identified by his family as Nickai Mixon, was a passenger in an SUV that was involved in the crash.State troopers say the crash happened around 6 p.m. on November 15 along State Road 33 near Groveland Farms Road. According to the Florida Highway Patrol, a 16-year-old girl driving a 2008 Toyota Scion attempted to pass another vehicle in a no-passing zone while heading southbound. A 17-year-old Clermont boy was riding as her passenger.Troopers say the teen entered the northbound lane and saw an oncoming 2021 Lincoln Aviator driven by a 75-year-old Lakeland man. She swerved back into her lane, but lost control of the Scion, causing it to rotate and slide back into the northbound lane, directly into the path of the SUV, FHP says.The SUV then hit the passenger side of the Scion, causing it to overturn. The 16-year-old driver and her passenger were pronounced dead at the scene. The victims were later identified as South Lake High School students Jade, 16, and her boyfriend, 17-year-old José Ivan. Lake County Schools confirmed their deaths and said grief counselors would remain available on campus throughout the week.The 75-year-old SUV driver in the Aviator suffered minor injuries, along with two of his passengers, including a 66-year-old woman and a 5-year-old boy. 6-year-old Nickai Mixon was the fourth passenger in the SUV and was rushed to the hospital with life-threatening injuries.According to a GoFundMe created by the boy’s family, the crash left 6-year-old Nickai with a partially shattered spine and internal bleeding that required emergency surgery. Doctors at Arnold Palmer Hospital told relatives he has only a 50% chance of walking again.His parents, who live in Lakeland, are now driving back and forth daily to Orlando while juggling medical uncertainty, travel costs, and lost income.“Any contribution, no matter the amount, will help with travel costs, medical-related expenses, lost income, and the long recovery journey ahead,” the family wrote on the fundraiser page. They added:Anyone who wants to donate to their GoFundMe can click here.FHP says the crash remains under investigation.

    A 6-year-old boy is recovering in the hospital and may never walk again after the car he was riding in was hit in Lake County in a crash that killed two teenagers.

    The boy, identified by his family as Nickai Mixon, was a passenger in an SUV that was involved in the crash.

    State troopers say the crash happened around 6 p.m. on November 15 along State Road 33 near Groveland Farms Road. According to the Florida Highway Patrol, a 16-year-old girl driving a 2008 Toyota Scion attempted to pass another vehicle in a no-passing zone while heading southbound.

    A 17-year-old Clermont boy was riding as her passenger.

    Troopers say the teen entered the northbound lane and saw an oncoming 2021 Lincoln Aviator driven by a 75-year-old Lakeland man. She swerved back into her lane, but lost control of the Scion, causing it to rotate and slide back into the northbound lane, directly into the path of the SUV, FHP says.

    The SUV then hit the passenger side of the Scion, causing it to overturn. The 16-year-old driver and her passenger were pronounced dead at the scene. The victims were later identified as South Lake High School students Jade, 16, and her boyfriend, 17-year-old José Ivan.

    Lake County Schools confirmed their deaths and said grief counselors would remain available on campus throughout the week.

    The 75-year-old SUV driver in the Aviator suffered minor injuries, along with two of his passengers, including a 66-year-old woman and a 5-year-old boy.

    6-year-old Nickai Mixon was the fourth passenger in the SUV and was rushed to the hospital with life-threatening injuries.

    According to a GoFundMe created by the boy’s family, the crash left 6-year-old Nickai with a partially shattered spine and internal bleeding that required emergency surgery. Doctors at Arnold Palmer Hospital told relatives he has only a 50% chance of walking again.

    His parents, who live in Lakeland, are now driving back and forth daily to Orlando while juggling medical uncertainty, travel costs, and lost income.

    “Any contribution, no matter the amount, will help with travel costs, medical-related expenses, lost income, and the long recovery journey ahead,” the family wrote on the fundraiser page. They added:

    “Our family deeply appreciates every donation, share, and prayer.”

    Anyone who wants to donate to their GoFundMe can click here.

    FHP says the crash remains under investigation.

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  • See how much health insurance costs would go up if expanded ACA subsidies are allowed to expire

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    See how much health insurance costs would go up if expanded ACA subsidies are allowed to expire

    The expiration of expanded ACA subsidies could lead to higher health insurance premiums for millions of Americans.

    Updated: 5:36 PM PST Nov 11, 2025

    Editorial Standards

    The expanded Affordable Care Act (ACA) subsidies, initially passed by Democrats in 2021 as part of pandemic relief legislation, are set to expire at the end of this year, potentially increasing health insurance costs for many Americans.FactCheck.org has looked into competing claims of who benefits from the subsidies. Democrats first passed the expanded ACA subsidies in 2021 as part of pandemic relief legislation, with the enhanced subsidies initially set to last for two years. They were later extended through the end of this year via additional legislation passed by Democrats. Under the ACA, subsidies are available for people who buy their own insurance on the marketplace and if they earn up to 400% above the federal poverty level. Those eligible for coverage also can’t be enrolled in Medicare or have employer-sponsored health care. For an individual, this threshold is $62,000 annually, $84,000 for a couple, and $128,000 for a family of four, according to FactCheck.org. When the ACA subsidies expanded in 2021, it increased the financial help enrollees could get and eliminated the 400% income cap. If the subsidies expire, there would be no tax credit anymore for people who make more than 400% of the federal poverty level.Health policy research organization KFF looked at the changes families could see with the expiring ACA subsidies. According to FactCheck.org, premiums are based on income, and currently, people are paying up to 8.5% of their income for health insurance. If the subsidies expire, people would pay more for their premiums, from 2% to 10% of their income.For example, an individual who makes $35,000 is currently paying 3% of their income towards their health premium. If the subsidies expire, they would pay 7.5% of their income towards insurance, which would be a $1,500 increase. For a family of four earning $90,000 a year, they currently pay 5.2% of their income towards their health premium. If the subsidies expire, it would jump to 9.4%, resulting in a $3,700 increase. Prices could vary depending on age, income, family size, and location.Enrollment for health insurance through ACA has more than doubled since 2020, according to FactCheck.org. About 7% of the U.S. population, around 24 million people, enrolled this year, and the vast majority received subsidies. The Congressional Budget Office estimated 4.2 million people will not have health insurance in 2034 if the enhancement expires. They also estimate a permanent extension of these subsidies would cost nearly $350 billion over 10 years.See more coverage of top California stories here | Download our app | Subscribe to our morning newsletter | Find us on YouTube here and subscribe to our channel

    The expanded Affordable Care Act (ACA) subsidies, initially passed by Democrats in 2021 as part of pandemic relief legislation, are set to expire at the end of this year, potentially increasing health insurance costs for many Americans.

    FactCheck.org has looked into competing claims of who benefits from the subsidies.

    Democrats first passed the expanded ACA subsidies in 2021 as part of pandemic relief legislation, with the enhanced subsidies initially set to last for two years.

    They were later extended through the end of this year via additional legislation passed by Democrats.

    Under the ACA, subsidies are available for people who buy their own insurance on the marketplace and if they earn up to 400% above the federal poverty level. Those eligible for coverage also can’t be enrolled in Medicare or have employer-sponsored health care.

    For an individual, this threshold is $62,000 annually, $84,000 for a couple, and $128,000 for a family of four, according to FactCheck.org.

    When the ACA subsidies expanded in 2021, it increased the financial help enrollees could get and eliminated the 400% income cap. If the subsidies expire, there would be no tax credit anymore for people who make more than 400% of the federal poverty level.

    Health policy research organization KFF looked at the changes families could see with the expiring ACA subsidies.

    According to FactCheck.org, premiums are based on income, and currently, people are paying up to 8.5% of their income for health insurance. If the subsidies expire, people would pay more for their premiums, from 2% to 10% of their income.

    For example, an individual who makes $35,000 is currently paying 3% of their income towards their health premium. If the subsidies expire, they would pay 7.5% of their income towards insurance, which would be a $1,500 increase. For a family of four earning $90,000 a year, they currently pay 5.2% of their income towards their health premium. If the subsidies expire, it would jump to 9.4%, resulting in a $3,700 increase. Prices could vary depending on age, income, family size, and location.

    Enrollment for health insurance through ACA has more than doubled since 2020, according to FactCheck.org.

    About 7% of the U.S. population, around 24 million people, enrolled this year, and the vast majority received subsidies.

    The Congressional Budget Office estimated 4.2 million people will not have health insurance in 2034 if the enhancement expires.

    They also estimate a permanent extension of these subsidies would cost nearly $350 billion over 10 years.

    See more coverage of top California stories here | Download our app | Subscribe to our morning newsletter | Find us on YouTube here and subscribe to our channel

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  • A wish list for Carney’s fall budget – MoneySense

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    But things changed in the second quarter as Canada’s economy weakened. This has put the spotlight on the weakness of Canadians’ income and savings in the face of change. It also provides an important opportunity for the November 4 federal budget to protect financial well-being in the months ahead.  

    The income gap reaches a new high

    The income gap, which is the difference in the share of disposable income between households in the top 40% and the bottom 40% of income distribution, is a common measure that makes the news. It was at a record high of 49% in the first quarter, with a slight reduction in Q2, and has been increasing every year since the pandemic. 

    Interest rates have had a lot to do with this. Fortunately, for the first time since 2022, household interest payments declined by almost 5% in Q1. Disposable income, therefore, increased for those indebted households. 

    Then the U.S. tariffs entered the economic picture. Lower-earning households tend to suffer the most during periods of uncertainty and this is holding true now. Statistics Canada reported declining average wages, mainly due to reduced hours of work in Q1. Those working in mining and manufacturing, professional and personal services were particularly affected. 

    For the lowest-income households, income grew at a faster-than-average pace (+5.6%) in the second quarter. But on closer inspection, this was actually due to an increase in government transfers including Employment Insurance (EI), social assistance, and retirement benefits.  

    Unfortunately, tax collections—the very source of these payments in the future— will decline too. The Parliamentary Budget Office projects a lower nominal GDP (which measures the size of the tax base), averaging $12.9 billion less annually from 2025 to 2029. This too is due to the impact of tariffs.

    The government plans to increase taxes for some as well as penalties and fines and resulting interest charges to bolster its revenues. However, a more positive, proactive approach is to make income- and wealth-building easier. That starts with getting back to the basics.

    Diversification of investments matters    

    Despite a good start in the first quarter of the year (Q1), Canadians’ financial well-being was affected by the impact of tariffs imposed in the second quarter (Q2). Consider the following investing trends:

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    1. Lower-income households tend to earn interest income. Net investment income dropped the most for low-income households. The decline in investment earnings (-35.3%) more than offset the decline in interest payments (-7.1%). Second-quarter outcomes were similar.
    2. Higher-earning households have more diversified portfolios, holding more equities. These produce more tax-efficient capital gains and dividend income. These households’ net worth grew as the value of their financial assets increased by 7.1% in Q1—close to three times the rate of inflation—and 9.6% in Q2. These families also had limited growth in mortgage debt (+1.9%).
    3. As a result, by the end of the second quarter, the wealthiest 20% of households had accumulated almost two-thirds (64.8%) of Canada’s total net worth, averaging $3.4 million per household. The bottom 40% of households accounted for 3.3% of total net worth, averaging $86,900.  
    4. As a special wealth-builder category, homeowners experienced lower borrowing costs and lower inflation and this resulted in more savings as debt reduction in Q1. Still, personal net worth declined for younger Canadians and those without investment portfolios, because real estate values also declined.

    Income Tax Guide for Canadians

    Deadlines, tax tips and more

    The wealthy will be OK, others need help

    What can we learn from this? The wealthiest households can continue to increase their net worth, even if incomes are interrupted or don’t keep up with inflation and debt servicing costs are threatened by unemployment, incapacity, or retirement. That’s because their investment earnings and capital appreciation make up for the income gap.  

    Where are the opportunities for lower-income households? There are two. In the face of the same issues, it is critical to be able to continue to save consistently. Second, it is important to earn more tax-efficient investment income.

    This is where government policy comes in. It seems to be an easy ask for some to pay more tax, but that can result in brain drain, reduced incentives work or innovate, and the flight of capital. The real opportunity in the next federal budget is to help all Canadians build both income and wealth, against the backdrop of economic uncertainty, and to do so with the help of knowledgeable professionals.

    Building income and capitala six-part plan

    Tax and financial literacy is elusive but critical to the prosperity of Canadians. Having the knowledge, skills, and confidence to make responsible financial decisions enables people to plan ahead and deal with increasingly complex systems that are a barrier to accessing income supplements through tax refunds, credits, and social benefits. 

    To that end, here’s my six-point wish list. Perhaps you’d like to add to it?

    1. Protection for interest earnings. Periods of high interest rates to combat inflation are particularly damaging to average households that earn interest income. If this monetary policy is necessary, protect those fragile savings from both inflation and taxes. Bring back the $1,000 investment income deduction, eliminated in 1987, to do so.  
    2. Deduction for professional help. Canadians need help with their tax and financial literacy. They won’t get that interacting with online help alone, no matter how good it is. Especially at a time the Canada Revenue Agency (CRA) is pushing for increased digitization, helping individuals better understand basic tax planning—what comes first, an RRSP, a TFSA or FHSA, for example—can bolster lifelong wealth-building habits and help to diversify their investments. To remove barriers to professional help, make income tax preparation and financial planning costs tax-deductible.
    3. Waive CRA penalties and interest from auto-filing. Even though the federal government is touting automatic tax filing for 5.5 million of the lowest-income Canadians by 2028, in reality, navigating both tax and digital complexity underlying this initiative may be unattainable for most targeted filers. Imagine the repayment nightmare for years to come (remember CERB?) if these tax returns are incorrect. The CRA should be empowered to permanently waive interest or penalties resulting from honest errors in automatic tax filing processes. 
    4. Help young people start saving. Young workers are most susceptible to job loss but have the most to gain from increased compounding time in their investments. By enabling matching grants for start-up savings for the first five years after post-secondary education, similar to the grants available for registered education savings plan (RESP) and registered disability savings plan (RDSP) savings, sound saving habits could be encouraged with a New Graduate Savings Plan.   
    5. Recognize community service as a tax deduction. Younger Canadians aged 15 to 24 are most likely to volunteer, while those over age 65 volunteer the most hours. Keeping track of volunteer hours is not much more onerous than keeping track of dollars donated to charity. The resulting tax savings could help with community wealth creation. The Liberals had proposed a Health Care Workers Hero Tax Credit in their party platform. This should be extended to those who volunteer to help others with tax preparation and financial planning, by expanding the charitable donation credit. 
    6. Change retirement savings options. Most people know that the Canada Pension Plan (CPP) alone will not fund their retirement, even with the higher premiums workers and their employers are now paying. Rising CPP premiums squeeze out cash flows needed to fund a tax-free savings account (TFSA), which ensures a tax-free retirement. Required matching premiums also make it difficult for employers to give raises or increase staffing. One way to improve cash flow for more private savings is to increase take-home pay. Governments should encourage TFSA savings by making contributions tax deductible for both employees and employers who contribute to their employees’ accounts.

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    Read more about tax planning:



    About Evelyn Jacks, RWM, MFA, MFA-P, FDFS


    About Evelyn Jacks, RWM, MFA, MFA-P, FDFS

    Evelyn Jacks is President of Knowledge Bureau, a world-class financial education institute where readers can take micro-credentials in Financial Literacy, the Fundamentals of Income Tax Preparation, and earn career-enhancing Specialized Credentials, all online.

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    Evelyn Jacks, RWM, MFA, MFA-P, FDFS

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  • New 2026 tax brackets are here: What higher thresholds and a bigger standard deduction mean for paychecks and the top 1% | Fortune

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    The IRS has set the 2026 tax brackets and standard deductions, keeping seven rates in place while shifting the income thresholds upward to account for inflation and to reflect changes enacted in the One Big Beautiful Bill Act, meaning many paychecks will see modest relief in 2026 and the top rate still bites only above very high incomes.

    For most households, the standard deduction rises again, which will reduce taxable income before the brackets even apply, and high earners will continue to face a 37% top rate but at slightly higher income thresholds than in 2025.

    The 2026 brackets

    Standard deduction changes

    What it means for the average household

    What it means for high earners

    Estate and wealth-transfer context

    ‘Sugar high’ risk

    • Fortune previously detailed how OBBBA cements TCJA-era individual rate architecture and boosts the standard deduction in 2025, framing the law’s household-level impact and distributional tilt as favoring higher earners according to independent modeling cited in our reporting.
    • Budget watchdogs have highlighted broader fiscal implications and the bill’s “sugar high” risk, linking tax cuts and spending choices to debt trajectories and future policy trade-offs that shape the 2026 tax bracket environment.

    For this story, Fortune used generative AI to help with an initial draft. An editor verified the accuracy of the information before publishing. 

    Fortune Global Forum returns Oct. 26–27, 2025 in Riyadh. CEOs and global leaders will gather for a dynamic, invitation-only event shaping the future of business. Apply for an invitation.

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    Ashley Lutz

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  • Why Entrepreneurs Earn More Than Salaried Employees

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    When entrepreneurs list their principal reasons for launching a company, small business owners often cite being their own boss, flexibility in setting their working hours, and turning a commercial concept into reality as their main motivations. Now new data identifies another incentive that may convince future entrepreneurs to take the plunge. According to a recent analysis by the Federal Reserve Bank of Minneapolis, the average self-employed person earns significantly more income during their career than people who work for someone else.

    However, the report’s findings also note the widely varying levels of income among small business owners, and the length of time usually required before stronger earnings start flowing in. Those details may lead some less enterprising prospective entrepreneurs to stick with punching a clock after all.

    The analysis by the Minneapolis Fed differs from most research on small business owners, which often relies heavily on survey responses. The shifting makeup of participants in those inquiries often produce widely contrasting results, creating what Minneapolis Fed authors likened to the parable of the blind men and an elephant: Each poll was essentially “touching only one part of the body,” and led to researchers drawing different and incomplete conclusions. 

    To establish a more complete picture of the nation’s entrepreneurs, the Minneapolis Fed used U.S. tax and Social Security Administration data from 2000 to 2015. That allowed it to determine income those small business owners collectively generated for themselves, and identify why they stuck it out with companies that were often slow to reach profitability. And that wasn’t due to setting their own hours.

    “(W)e find that self-employed individuals have significantly higher income and steeper income growth profiles than paid-employed peers with similar characteristics,” the report said, while also refuting frequent survey results that suggest many entrepreneurs stay in business for the perks of not having to answer to a boss. 

    “Contrary to earlier studies based on surveys plagued by underrepresentation in the right tail of the income distribution, we find that non-pecuniary benefits of self-employment are not substantial when considering the source of most business income,” it said.

    What that means, in non-economist-speak, is that many entrepreneurs earn up to 70 percent more than people working for other employers over their careers, with their income increasing considerably faster than paid workers. That winds up vastly outweighing the advantages surveys often identify of founders setting their own work schedules, or getting to ask employees to fetch their coffee.

    The study found that during the 15-year period, a 25-year-old entrepreneur earned on average about $27,000 per year in 2012 dollars, while an employee of the same age made $29,000. About five years later, that income disparity had typically reversed, and then continued growing larger in small business owners’ favor.

    “By age 55, our estimate is an average (entrepreneur) income of $134 thousand in 2012 dollars — much higher than the estimate of $79 thousand for the paid employed,” the study said. It added that gap was probably even larger before government agencies adjusted small business income declarations by 14 percent to 46 percent to account for presumed underreporting. 

    “These differences in profiles for the self- and paid-employed would be even more striking if we were to (re)adjust reported incomes to account for business income underreporting.” 

    Not every small business owner winds up earning as much as people working for salaries, however — or as much as their more successful peers.

    The study said about 80 percent of the total income of entrepreneurs it identified was generated by people earning $100,000 annually or more. That means a lot of small business owners fared less well than than the more affluent minority at the top. As a result, the authors said in wonky terms, a minority of self-employed people made even less than workers working for someone else..

    “IRS data show that many of the primarily self-employed earned less over the sample years than paid-employed peers with similar characteristics, but in the aggregate this subgroup has a much lower share of the total income than those that earned more than their peers,” it noted.

    The Minneapolis Fed noted some other interesting observations in its findings. 

    One was that many entrepreneurs continued working salaried jobs, or had other income coming in as they supported their still unprofitable new ventures. Those supporting funds improved the cohort’s overall positive revenue figures, even during early lean years.

    “In other words, when starting a new business, owners rely on other sources of labor earnings, through either paid-employment or other business enterprises,” it said. “Thus, even though most businesses have losses, few owners have negative individual incomes.”

    Another significant detail was what the authors said were their use of official data to create a more precise collective financial portrait of entrepreneurs — contrasting the results of many surveys that may  simplify the motives and activities of limited samples of small company owners.

    “(T)he literature on entrepreneurship has an array of narratives, describing the typical business owner in many possible ways: as a gig worker seeking flexible arrangements, a misfit avoiding unemployment spells, an inventor seeking venture capital, a tax dodger misreporting income,” it said, before noting its own use of official income statistics collected from millions of entrepreneurs. “These data provide new insights into the central questions of the entrepreneurship literature and will hopefully prove useful for researchers interested in calibrating models of self-employment and business formation.”

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    Bruce Crumley

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  • Don’t be afraid to ask for an advance: Suzanne Bowness on budgeting for freelancers – MoneySense

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    Since 2002, Sue has provided content creation, editing, and consulting services to corporate clients through her business CodeWord Communications. Here, she talks about her formative experiences along the road to becoming a self-employment expert—and the right way to use debt.

    Who are your money/finance/investing heroes?

    As a freelance writer, I had an early gig reviewing business books, several of which were financial. That gave me insight into the fact that people actually wrote books about money that helped demystify elements like the stock market and other terms. I wish money management had been taught in high school; I would have preferred that class over other math that I never use as an adult. Suze Orman was one of my favourites from those early reads for her practical advice and encouragement that anyone could understand and manage their finances.

    How do you like to spend your free time?

    I like walking—both in nature and cities—travelling, and seeing new places. I like reading and listening to podcasts and audio books. I also like writing fiction and poetry, although it’s sometimes exhausting to make time for creative writing after a full day as a professional writer.  

    If money were no object, what would you be doing right now?

    I’ve always wanted to be a writer, but when I became an adult, I realized that I also needed to make a living. So I started working as a journalist and content writer. While I enjoy any kind of writing, I still like writing fiction, so I’d probably flip the time so that I’m writing my creative work during the day instead of after hours.

    What was your earliest memory about money?

    My earliest money memory was being given a dollar allowance from my parents for chores. (I was dusting and cleaning bathrooms; my younger brother was vacuuming. To this day these are our favourite chores. I love the quick fix of a good bathroom polish.) We would walk to our local depanneur in the Montreal suburbs and my brother would buy a big item, like a can of Coke or a chocolate bar, and I would stuff as much penny candy as I could into a little brown bag to last the week.

    I think math became important for that transaction as I made the money stretch as far as possible (was it better to buy five gummy bears at two cents each or a 10-cent lollipop?). I also learned that different people want and value different things, as I never brought my brother over to my way of thinking nor converted to his.

    What’s the first thing you remember buying with your own money?

    Besides penny candy, I think a cassette tape of the soundtrack to the movie Cocktail. Also books from Scholastic.

    What was your first job?

    After babysitting, my first real job was as a cashier at K-mart, where I also worked in the garden centre when I was 15. I still remember the stress when your cash register tape jammed, and I can still tell the difference between impatiens and petunias. 

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    I’m not sure what I did with my first paycheque, although probably saved some for a band camp later that summer, which is when I had to quit because my manager wouldn’t give me the week off. 

    What was the biggest money lesson you learned as an adult? What would you do differently today? 

    Probably saving earlier. I recall a bank having an ad in the subway about the difference in results between the person who started saving at 23 years old and the person who started saving at 30. The problem is that I think I saw that ad at 28 so I felt already behind. Also, I hated that nerd who had the wherewithal to start saving at 23. 

    A related lesson as a freelancer was to save my money for income taxes and HST in a separate place so you have it when it comes to tax time. It’s very easy to spend if it isn’t in a separate account.

    What’s the best money advice you’ve ever received?

    Paying off debt with the highest interest rates first (i.e. credit cards). But also, I learned myself the advantage of having credit available (and saying yes to a lower-interest line of credit) as a way to balance out my freelance business since mostly I’m paid 30 days after I submit an invoice. I’ve also learned to proactively ask for a percentage up front if I’m working on a larger project—say 30% to 50%.

    What’s the worst money advice you’ve ever received?

    I haven’t received this advice directly, but I find all-or-nothing money advice annoying. Especially the one about how much you can save by avoiding fancy coffees. I’m not a fancy coffee regular but if that’s the spend that earns you an hour of work at a table in a coffee shop or picks up your day, then it’s fine. Treats are okay in moderation and money is also for buying a nice life today, not just saving for the future.

    Would you rather receive a large sum of money all at once or a smaller amount of money every week/month for life?

    As a freelancer, I regularly receive large sums of money at the middle and end of projects and then nothing for a few weeks, so I am curious what it would be like to have regular deposit every week. 

    What do you think is the most underrated financial advice, tip, or strategy?

    Focusing individually on whether each purchase is a good idea. Just because something fits in your budget doesn’t mean it’s a reasonable splurge. I don’t think I’ve ever paid over $100 for a handbag, so if I see one priced at $500, that’s just not for me. Also knowing the current cost of items that you buy regularly so you’re not tricked by marketing or “sales” to think you’re getting a great deal. I know when the toilet paper really is a good sale.

    What is the biggest misconception people have about growing money?

    That there’s a magic age past which it’s too late. I started saving more in my 30s and I think it’s never too late. It just means I have a lot more room in my RRSP to continue filling up. 

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    MoneySense Editors

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  • Immigrants have helped Philly region stave off population decline and spurred economic growth, report finds

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    The Philadelphia region’s immigrant population has increased over the last decade, spurring economic growth and social prosperity, a new report says.

    The report from The Welcoming Center says this influx of immigrants has allowed the region to stave off population decline and coincided with increases in household income and educational attainments, and a decrease in poverty. 


    MORE: City Council approves additional hiring protections for jobseekers with criminal records


    The report, which covers Philadelphia and its four collar counties, concluded that immigration contributes positively to the region’s economy and the well-being of the population, but that opportunity gaps still exist for foreign-born people.

    Anuj Gupta, president of The Welcoming Center, a Philly organization that promotes economic opportunities for immigrants, said he hopes the report’s findings can reshape the way people view immigration in the region and inform thoughtful policies. 

    “What we’re seeing is the story of collective prosperity while immigration has accelerated in the region, which kind of defies everything that’s being said about immigration right now,” Gupta said. 

    “In the suburbs, there is an opportunity deficit that’s not being met. There are immigrants that are highly skilled, highly trained, possibly with bachelor’s or graduate-level education that are underemployed.”

    For Gupta, who grew up in the Philadelphia suburbs, one of the most surprising regional trends was the decline of native-born populations against steadily increasing foreign-born populations.

    Philadelphia’s foreign-born population rate grew from 12.69% in 2013 to 15.09% in 2023, the report shows, citing U.S. Census Bureau data. Similarly, the foreign-born population rate in the suburban counties grew from 9.09% to 10.66%. This growth allowed the region’s population to marginally grow over that same span despite native populations declining due to lower birth rates and moving elsewhere, the report says.

    Additionally, as the native population has grown older, immigrants have made up a larger percentage of the region’s working-age population — those ages 25-54. The percentage of foreign-born workers in the region rose slightly from 2013 to 2023 as the percentage of native-born workers fell by 2 percentage points, the report shows. 

    “If not for the relatively recent uptick in immigration to all four of the collar counties, you would be talking about a region in decline, population loss and bigger workforce gaps than we already have,” Gupta said. 

    The report also shows that the region’s poverty rate has fallen as median household incomes and educational attainment levels have risen. 

    The average median incomes of foreign-born households surpassed that of native-born households in 2022. As of 2023, the average median income of foreign-born households was $101,321, slightly above the $99,114 made by native-born households, the report shows.

    In Philadelphia, the poverty rates for foreign-born and native populations each decreased by about 4 percentage points from 2013 to 2023. The poverty rates in the suburbs fell slightly, but immigrants remain more likely to be impoverished — a deficit that Gupta said speaks to a “fundamental lack of understanding” of the economic opportunities that immigrants can provide. 

    “While immigrants are spread across a wide range of industries, they are also often working in jobs that do not fully match their skills and qualifications and highlights the need for policies that better match skills with opportunity,” the report reads. “Addressing these gaps is critical to fully leveraging the skills and supporting community resilience.” 

    The report shows that the region’s foreign-born population has long been more likely to hold at least a bachelor’s degree, though that gap has narrowed in recent years.

    As the federal government cracks down on immigration, Gupta said he hopes the report’s data can be used for productive dialogue at the local level.

    “We put the real information out, so if people want to make policy choices that still run contrary to the contributions that immigrants are making … it will not just damage individuals and families and our social fabric, but our economy,” he said. “I do believe that at the local level we can change the direction of thinking and discussion.”

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    Molly McVety

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  • Here’s what a comfortable income looks like in Canada – MoneySense

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    Of the five income options given, $100,000 was the most popular answer, chosen by 37% of respondents. The next biggest group (25.8%) aimed higher, selecting $150,000. Slightly fewer, 23.8%, opted for the median Canadian salary of $74,200. Smaller cohorts chose $200,000 (8.5%) and $250,000 (4.9%), which is very close to the top federal tax bracket.

    There isn’t a clear consensus around how much money it takes to live comfortably in Canada. Your own answer will likely depend on your age—younger and older respondents tended to choose lower sums, and people in their prime working and child-rearing years chose higher ones—as well as the size of your household, the city you live in, whether you own your home outright, and any number of other variables.

    What we know about Canadian incomes

    The average Canadian household had a disposable income of $100,702 in 2024, according to Statistics Canada. Households in the top (fourth and fifth) income quintiles averaged $115,656 and $212,741, respectively.

    To crack the top 10% of income earners in Canada as an individual, you must earn at least $125,945. For the top 25%, the threshold is $81,184. People who earn between $57,375 and $114,750 are considered middle-class. Note these are individual earnings; household earnings would be higher, on average. 

    Just as there are varying ideas of what constitutes comfort, so are there measures of its opposite: poverty. Living Wage Canada is a non-profit that measures what it considers a sufficient hourly wage to cover essential living expenses in communities across Canada. It pegs a living wage in Calgary at $24.45, and in Vancouver, $27.05. In the Greater Toronto Area, it’s $26. That works out to $48,672 a year based on a 36-hour work week.

    Likewise, Statistics Canada measures the cost of living in different locations to find the point at which the low-income cut-off (LICO) applies for federal tax rates and benefits. The highest costs for raising a family of four are all in the far north, peaking at $125,784 in Iqaluit, Nunavut. South of the 60th parallel, the poverty line for families is highest in Vancouver, at $59,508.

    The economics teams of major banks try to get a little more sophisticated about what constitutes “affordability” in the housing market. They examine the share of average incomes required to cover average home ownership costs in various cities. But even this makes certain assumptions, such as the rule that average shelter costs should not exceed 30% of gross household income. Focused as the banks are on the mortgage market, they don’t take in a range of other contributors to the cost of living.

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    How MoneySense calculates a comfortable income

    In an attempt to get a more scientific measure of what it means to be comfortable in various parts of Canada, we turned to a cost-of-living tool developed by the job site CareerBeacon. Below, you’ll find a list of Canadian cities with populations of 50,000 or more and the monthly cost for the average single person renting their home to live there, including rent, transportation, food, utilities, clothing, leisure, and other expenditures.

    We then considered the additional needs for income taxes (including Employment Insurance and Canada Pension Plan contributions), which typically net out to between 20% and 25% of gross income for middle-income earners, and savings at 10% to 15%. We then rounded up a further 10% to 20% as a “margin of comfort” allowing for unplanned expenditures or additional savings. 

    Using this as a guide, we took a comfortable living in each community to be approximately double the calculated average cost of living. The pie chart below gives a rough diagram of the assumptions that go into this methodology.

    While the cost-of-living numbers from CareerBeacon are based on single earners renting their homes, in most cases they can be extrapolated to similarly comfortable living standards for two-income households and home owners. For example, a home-owning family of four with two parents in the workforce would likely need to clear $200,000 to feel comfortable in Vancouver or Whitby, Ont., but could get by very comfortably on just $115,000 in Trois-Rivières, Que.

    Compare the best TFSA rates in Canada

    Comfortable income levels in Canadian cities

    In the table below, the communities are listed alphabetically to make it easy for you to find the comfortable income for your community, or one close to you. Only municipalities with 50,000 or more residents are included in CareerBeacon’s survey.

    City Avg. monthly cost of living Annual income required to be comfortable (single person)
    Abbotsford, British Columbia $3,522 $84,528
    Airdrie, Alberta $3,811 $91,464
    Ajax, Ontario $3,605 $86,520
    Aurora, Ontario $3,521 $84,504
    Barrie, Ontario $3,807 $91,368
    Belleville, Ontario $3,724 $89,376
    Brampton, Ontario $3,471 $83,304
    Brantford, Ontario $3,336 $80,064
    Brossard, Quebec $3,824 $91,776
    Burlington, Ontario $4,001 $96,024
    Burnaby, British Columbia $4,263 $102,312
    Calgary, Alberta $3,666 $87,984
    Cambridge, Ontario $3,747 $89,928
    Chilliwack, British Columbia $3,402 $81,648
    Coquitlam, British Columbia $4,372 $104,928
    Drummondville, Quebec $3,383 $81,192
    Edmonton, Alberta $3,295 $79,080
    Fredericton, New Brunswick $2,991 $71,784
    Gatineau, Quebec $3,225 $77,400
    Granby, Quebec $3,469 $83,256
    Grande Prairie, Alberta $3,525 $84,600
    Greater Sudbury, Ontario $3,395 $81,480
    Guelph, Ontario $3,818 $91,632
    Halifax, Nova Scotia $3,696 $88,704
    Hamilton, Ontario $3,681 $88,344
    Kamloops, British Columbia $3,802 $91,248
    Kelowna, British Columbia $3,685 $88,440
    Kingston, Ontario $3,437 $82,488
    Kitchener, Ontario $3,787 $90,888
    Laval, Quebec $3,416 $81,984
    Lethbridge, Alberta $3,067 $73,608
    London, Ontario $3,618 $86,832
    Longueuil, Quebec $3,298 $79,152
    Markham, Ontario $4,084 $98,016
    Medicine Hat, Alberta $2,934 $70,416
    Milton, Ontario $4,433 $106,392
    Mississauga, Ontario $4,159 $99,816
    Moncton, New Brunswick $3,058 $73,392
    Montreal, Quebec $3,276 $78,624
    Nanaimo, British Columbia $3,557 $85,368
    New Westminster, British Columbia $3,941 $94,584
    Newmarket, Ontario $3,426 $82,224
    Niagara Falls, Ontario $3,451 $82,824
    North Bay, Ontario $3,621 $86,904
    North Vancouver, British Columbia $4,313 $103,512
    Oakville, Ontario $3,814 $91,536
    Oshawa, Ontario $3,719 $89,256
    Ottawa, Ontario $3,713 $89,112
    Peterborough, Ontario $3,531 $84,744
    Pickering, Ontario $3,624 $86,976
    Port Coquitlam, British Columbia $3,627 $87,048
    Prince George, British Columbia $3,361 $80,664
    Québec City, Quebec $3,034 $72,816
    Red Deer, Alberta $3,266 $78,384
    Regina, Saskatchewan $3,141 $75,384
    Richmond Hill, Ontario $4,439 $106,536
    Richmond, British Columbia $3,835 $92,040
    Saguenay, Quebec $3,461 $83,064
    Saint John, New Brunswick $3,253 $78,072
    Sarnia, Ontario $3,092 $74,208
    Saskatoon, Saskatchewan $3,286 $78,864
    Sault Ste. Marie, Ontario $3,031 $72,744
    Sherbrooke, Quebec $2,705 $64,920
    St. Albert, Alberta $3,697 $88,728
    St. Catharines, Ontario $3,533 $84,792
    St. John’s, Newfoundland and Labrador $3,119 $74,856
    Surrey, British Columbia $3,995 $95,880
    Thunder Bay, Ontario $3,475 $83,400
    Toronto, Ontario $4,120 $98,880
    Trois-Rivières, Quebec $2,414 $57,936
    Vancouver, British Columbia $4,274 $102,576
    Vaughan, Ontario $4,040 $96,960
    Victoria, British Columbia $4,003 $96,072
    Waterloo, Ontario $3,629 $87,096
    Welland, Ontario $3,530 $84,720
    Whitby, Ontario $4,401 $105,624
    Windsor, Ontario $3,626 $87,024
    Winnipeg, Manitoba $3,303 $79,272

    The annual income required for a comfortable lifestyle varies from about $58K to over $106K, which is almost a two-fold gap depending on where you live. In general, though, the most expensive cities are around major job centres, like Toronto and Vancouver, while more affordable cities fall outside or large metro areas and have lower housing demand.

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    Michael McCullough

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  • How to report foreign income in Canada – MoneySense

    How to report foreign income in Canada – MoneySense

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    This form is typically used for foreign bank accounts, foreign investment accounts or foreign rental properties, but it can include other foreign assets. Foreign investments, including U.S. stocks, must be reported even if they are held in Canadian investment accounts. Foreign personal-use properties, like a snowbird’s condo that is not earning rental income, may be exempt.

    Foreign asset disclosure applies to taxable investments, so assets held in tax-sheltered accounts like registered retirement savings plans (RRSPs), tax-free savings accounts (TFSAs), pensions and other non-taxable accounts are generally exempt.

    U.S. persons in Canada

    U.S. citizens or green card holders must generally file U.S. tax returns despite living in Canada. The United States is one of the few countries in the world that has this requirement for non-residents. As a result, you may have to report both Canadian and U.S. income, deductions, credits and foreign tax payable.

    Adding to the complexity is that certain types of income are taxable in one country but not the other, and some deductions or credits may only apply on one tax return.

    Voluntary disclosure for previous years

    If you have not reported foreign income or declared foreign assets in the past and you should have done so, you may be able to file a voluntary disclosure with the CRA. This program may allow relief on a case-by-case basis for taxpayers who contact the CRA to fix errors or omissions for past tax returns.

    There are five conditions to apply:

    1. You must submit your application voluntarily and before the CRA takes any enforcement action against you or a third party related to you.
    2. You must include all relevant information and documentation (including all returns, forms and schedules needed to correct the error or omission).
    3. Your information involves an application or potential application of a penalty.
    4. Your information is at least one year or one reporting period past due.
    5. You must include payment of the estimated tax owing, or request a payment arrangement (subject to CRA approval).

    Before pursuing a voluntary disclosure, you should seek professional advice. The CRA also offers a pre-disclosure discussion service that is informal and non-binding, and it does not require the disclosure of your identity.

    Bottom line

    When you are a Canadian tax resident, whether you are a citizen or not, you have worldwide income and asset disclosure requirements on your tax return. Some Canadian residents, despite living abroad, may still be considered factual residents or deemed residents of Canada with ongoing tax-filing requirements.

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    Jason Heath, CFP

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  • What is Sun Life’s new decumulation product? – MoneySense

    What is Sun Life’s new decumulation product? – MoneySense

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    A Canadian retiree’s main decision with this Sun Life product is the age they want the funds to last until (the maturity age). They can choose from 85, 90, 95 or 100 (or select a few with a combination of ages); but they can also start drawing down as early as age 50. Sun Life recalculates the client payments annually, at the start of each year, based on the account’s balance. That has the firm looking at the total amount invested, payment frequency, number of years remaining before the selected maturity age, estimated annual rate of return (expected return is 5.5% but a conservative 4.5% rate is used in the calculations) and any annual applicable regulatory minimums and maximums.

    Birenbaum says holders of MyRetirementIncome can arrange transfers to their bank accounts anywhere from biweekly to annually. While the payment amount isn’t guaranteed, they can expect what Sun Life calls a “steady income” to maturity age, so the payment isn’t expected to change much from year to year. If the client’s circumstances change, they can alter the maturity date or payment frequency at any time. While not available inside registered retirement savings plans (RRSPs), most other account types are accommodated, including registered retirement income funds (RRIFs), life income funds (LIFs), tax-free savings accounts (TFSAs) and open (taxable) accounts.

    Compare the best RRSP rates in Canada

    Emphasis on simplicity and flexibility

    In a telephone interview, Eric Monteiro, Sun Life’s senior vice president of group retirement services, said, in MyRetirementIncome’s initial implementation, most investments will be in RRIFs. He expects that many will use it as one portion of a retirement portfolio, although some may use it 100%. Initial feedback from Canadian advisors, consultants and plan sponsors has been positive, he says, especially about its flexibility and consistency. 

    As said above, unlike life annuities, the return is not guaranteed, but Monteiro says “that’s the only question mark.” Sun Life looked at the competitive landscape and decided to focus on simplicity and flexibility, “precisely because these others did not take off as expected.” The all-in fee management expense ratio (MER) is 2.09% for up to $300,000 in assets, but then it falls to 1.58% beyond that. Monteiro says the fee is “in line with other actively managed products.”

    Birenbaum lists the pros to be simplicity and accessibility, with limited input needed from clients, who “simply decide the age to which” they want funds to last. The residual balance isn’t lost at death but passes onto a named beneficiary or estate. Every year, the target withdrawal amount is calculated based on current market value and time to life expectancy, so drawdowns can be as sustainable as possible. This is helpful if the investor becomes unable to competently manage investments in old age and doesn’t have a trusted power of attorney to assist them. 

    As for cons, Birenbaum says that it’s currently available only to existing Sun Life Group Retirement Plan members. “A single fund may not be optimal for such a huge range of client needs, risk tolerance and time horizons.” In her experience, “clients tend to underestimate life expectancy” leaving them exposed to longevity risk. To her, Sun Life’s approach seems overly simplistic: you “can’t replace a comprehensive financial plan in terms of estimating sustainable level of annual draws with this product.” 

    In short, there is “a high cost for Sun Life doing a bit of math on behalf of clients… This is a way for Sun Life to retain group RRSP savings when their customers retire … to put small accounts on automatic pilot supported by a call centre, and ultimately, a chatbot. For a retiree with no other investments, it’s a simple way to initiate a retirement income.”

    However, “anyone with a great wealth advisor who provides planning as well as investment management can do better than this product,” Birenbaum says. “For those without advisors, a simple low-cost balanced fund or ETF in a discount brokerage will save the client more than 1% a year in fees in exchange for doing a little annual math.”

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    Jonathan Chevreau

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  • Question 5: Should tipped workers be paid minimum wage?

    Question 5: Should tipped workers be paid minimum wage?

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    BOSTON — A union-backed proposal to pay tipped workers the state’s minimum wage goes before voters in November, but critics say its passage would hurt Main Street bars and restaurants and drive up consumer costs.

    Question 5 asks voters to decide if the state should require bars, restaurants, hotels and other hospitality venues to pay tipped workers the state’s wage floor of $15 per hour, in addition to gratuities.

    The plan calls for phasing out the tipped wage for workers over five years, allowing workers to earn up to $15 per hour and keep their tips. It would also allow restaurants to “pool” tips and distribute them equally among all workers, such as cooks, dishwashers and others who don’t interact with customers.

    Supporters of phasing out the tipped-wage law — which includes labor organizations and worker advocacy groups — say it would improve wages for underpaid workers who are struggling to survive with the state’s high cost of living.

    Saru Jayaraman, president of pro-Question 5 group One Fair Wage, said its passage would ensure that tipped workers “finally receive fair wages, giving them the financial stability they need to support themselves and their families.”

    “Since the pandemic, restaurant workers have left the industry in droves. Many of them are tired of barely scraping by on poverty wages and tips that are unpredictable at best,” Jayaraman said. “It’s time we end the injustice of the subminimum wage and create an industry that truly values and compensates its workers with dignity.”

    But critics, like the Massachusetts Restaurant Association and “No on 5” Committee to Protect Tips, argue the plan would increase costs for bars and restaurants that already operate on narrow margins, and lead to higher prices for consumers.

    “This would put a massive increase on the costs of small businesses at a time when they are still recovering from COVID,” said Chris Keohan, a spokesman for the “No on 5” opposition group. “This would increase the costs of the average restaurant by about $300,000 a year.”

    He said the increased labor costs would push some bars and restaurants out of business or accelerate the shift away from full-service establishments, as employers hire less staff and move to automated operations like McDonald’s and Dunkin’s new self-serve kiosks.

    Municipal leaders representing communities including Newburyport, Methuen, Haverhill and Gardner also oppose the proposal, arguing it would devastate Main Street restaurants that are still recovering from the economic effects of the pandemic.

    Massachusetts law requires workers to be paid at least $15 an hour — under the “grand bargain” package the Legislature brokered to avert a proposal to cut the state’s sales tax and other proposals. But the 2018 law also allows bars and restaurants to pay tipped workers $6.75 per hour.

    The state is home to some 50,000 waiters and waitresses, 20,000 bartenders, and 5,000 manicurists and pedicurists, according to the latest labor data.

    If Question 5 is approved, Massachusetts would be the first state in decades to eliminate its tipped minimum wage, which observers say makes it hard to know how the transition will play out in the post-pandemic economy.

    The closest example is the District of Columbia, which is two years into a five-year phase-out of its tipped wage, the report noted. Some Washington, D.C., restaurants have set-service fees — ranging from 3% to 20% — to offset the higher labor costs. Critics point to data showing some restaurants have closed in the law’s wake.

    A recent report by Tufts University’s Center for State Policy Analysis said restaurants and other tip-dependent businesses will face higher costs from having to cover the full minimum wage, and will likely compensate for that with a mix of price increases, new fees, reduced hiring, and potentially lower profits.

    But phasing out the state’s tipped wage will translate into higher pay for most service employees who currently depend on the extra money, according to the report.

    In June, the state Supreme Judicial Court tossed out a challenge by restaurant groups alleging the proposal violates a requirement in the state Constitution that initiative petitions must contain only ‘related or mutually dependent’ subjects.

    The justices unanimously concluded that Attorney General Andrea Campbell’s office correctly certified the question for the November ballot.

    The Massachusetts Restaurant Association and Committee to Protect Tips filed a complaint with the state Ballot Law Commission alleging that backers of the ballot question submitted “fraudulent” signatures from people who aren’t registered to vote, among other claims.

    But the groups withdrew their objections at the last minute, citing a lack of time to conduct a thorough review and make their arguments before the panel.

    Christian M. Wade covers the Massachusetts Statehouse for North of Boston Media Group’s newspapers and websites. Email him at cwade@cnhinews.com.

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    By Christian M. Wade | Statehouse Reporter

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  • How to consolidate your registered accounts for retirement income in Canada – MoneySense

    How to consolidate your registered accounts for retirement income in Canada – MoneySense

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    There is a spousal attribution rule with spousal RRSPs that applies if you take withdrawals within three years of your spouse contributing. This may result in the withdrawals being taxed back to the contributor.

    When you combine an RRSP and a spousal RRSP, whether you like it or not, the new account must be a spousal RRSP. As a result, you would typically transfer an RRSP into the existing spousal RRSP. 

    There are no tax differences between an RRSP and a spousal RRSP for withdrawals, other than the aforementioned attribution rules. 

    Even if you separate or divorce, your spousal RRSP cannot be converted to a personal RRSP. 

    As a result, Steve, your wife could combine her RRSP and her spousal RRSP by converting them both to a spousal RRIF. I would be inclined to do this. 

    Combining LIRAs with other registered accounts

    Locked-in RRSPs have different withdrawal and consolidation rules than regular and spousal RRSPs. The locking-in provisions of your wife’s locked-in retirement account (LIRA) are meant to prevent large withdrawals. These funds would have come from a pension plan she previously belonged to. Pension money is treated differently from personal retirement savings, such that locked-in accounts have maximum withdrawals as well as minimum withdrawals. 

    In some provinces, an account holder may be able to unlock their locked-in account if the balance is below a certain threshold. This may apply for your wife, Steve, as you mentioned the account is small. Some provinces also allow a one-time unlocking of a portion of the account when you convert a LIRA to a life income fund (LIF), which is essentially a RRIF equivalent for a LIRA. 

    As a result, Steve, your wife may be able to get some or all of her LIRA account transferred to the same RRIF as her RRSP and spousal RRSP. If not, she will have to settle for having a RRIF and a LIF. 

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    Jason Heath, CFP

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  • How much money should I have saved by age 40? – MoneySense

    How much money should I have saved by age 40? – MoneySense

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    All the while, you’ve got a serious case of FOMO every time you check social media—all those friends who are jetting off on lavish vacations, buying new cars and splurging on cottages. How are ordinary Canadians actually doing this? And how can you get ahead and save more?

    What’s the average savings for Canadians in their 30s? How much should they have saved?

    A lot of Canadians are managing to save, despite the above financial challenges and obligations. According to Statistics Canada’s 2019 figures (the most recent available), the average person under age 35 had saved $9,905 towards retirement (RRSPs only) and held $27,425 in non-pension financial assets. For Canadians aged 35 to 44, these numbers are $15,993 and $23,743, respectively.

    The table below shows the average savings for individuals and economic families, which Statistics Canada defines as “a group of two or more persons who live in the same dwelling and are related to each other by blood, marriage, common-law union, adoption or a foster relationship.” In 2019, the average household savings rate was 2.08%.

    Financial assets, non-pension No private pension assets, just RRSPs Private pension assets and RRSPs
    Individual under age 35 $27,425 $9,905 $25,263
    Economic family under age 35 $105,261 $140,662 $60,305
    Individual aged 35–44 $23,743 $15,993 $39,682
    Economic family aged 35–44 $131,017 $138,488 $399,771
    Source: Statistics Canada

    The pandemic had a positive effect on savings; the disposable income of the average Canadian rose by an additional $1,800 in 2020, according to the Bank of Canada. That meant most Canadians were able to save an average of $5,800 that year.

    Despite this pandemic silver lining, most Canadians aren’t saving enough for their age groups. When CIBC polled Canadians in 2019 on how much money they’d need in retirement, on average they guessed they would need $756,000. The actual amount you’ll need depends on many factors—to estimate your own number, check out CIBC’s retirement savings calculator.

    How to prioritize financial goals and obligations in your 30s

    With so much going on in your 30s, it can be very challenging to save when you have so much to pay for. After all, you may be carrying a lot of debt due to student loans, a car loan or a mortgage. In the third quarter of 2023, Canadians aged 26 to 35 owed an average of $17,159, and Canadians aged 36 to 45 owed $26,155, according to a report from Equifax.

    Maybe debt is less of a concern for you, but you’re saving for a big goal—like a down payment on a home—and you’re feeling the strain of a high interest rate and inflation. Perhaps you’d like to start a family, but you’re worried about the costs of raising a child. Or you’ve dabbled a bit in the stock market and want to make a few more investments.

    Whatever your situation, talking to a financial planner about your finances and your priorities can help you map out a customized financial plan that factors in your immediate goals—as well as long-term savings and retirement strategies. This might include focusing on paying off high-interest debt, putting aside money for a home, shopping around for life insurance and ensuring that you save each month.

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    Anna Sharratt

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  • 75 ways for musicians to make money in 2024 – ReverbNation Blog

    75 ways for musicians to make money in 2024 – ReverbNation Blog

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    Want to get paid for your musical talents? 

    As a musician, there are more ways to earn money than ever before. Dozens upon dozens of ways, in fact!

    While you should, of course, prioritize certain revenue streams as an artist who creates original music, there are times — perhaps when you’re first growing your career —when you just gotta pay the bills

    And in that case, putting your music skills to use sure beats a job outside of music, right? Especially if your musical side-hustle helps you stay sharp as an instrumentalist, arranger, producer, educator, or content-creator. 

    To help you get a sense of the wide range of options out there, I’ve put together a list of 75 ways you can make money from your music, grouped by category for easy scanning.

    Streaming & Digital Sales

    1. Streaming Revenue: Earn money from streaming activity when you get your tracks onto platforms like Spotify, Apple Music, Amazon Music, Deezer, or TIDAL.

    2. Digital Downloads: Sell MP3s, WAVs, or FLACs of your tracks on platforms like iTunes, Amazon, ReverbNation, Bandcamp, or your own website.

    3. Social Video Monetization: Get paid when people create social content using your music in videos on platforms like Instagram, TikTok, YouTube, Facebook, and more. 

    4. Monetize Your YouTube Channel: Generate advertising revenue from viewer activity on your own YouTube videos, and use additional creator tools to monetize subscriber engagement.

    Music Recording Work

    5. Music Production: Put your producing skills to work for other artists. Get paid in points, upfront fees, co-writer splits, or whatever other arrangement makes sense for you and your collaborator. 

    6. Engineering: Are you good at recording, mixing, or mastering? Let other artists know! This can be a great source of revenue between your own recording projects or tours

    7. Session Player: Got talents as an instrumentalist or vocalist? Are you quick at learning and arranging tunes? Recording sessions can be a great way to get paid while not tying up too much of your time at once. You can attend sessions in person, or do remote session work from your own home studio.

    8. Studio Operator: Do you own a lot of recording gear that goes unused when you’re not making music? Maybe it’s time to consider renting out your studio to other engineers, producers, and artists. 

    9. Mobile Recording: Whether it’s destination recording (“My band rented an airbnb and we want to turn it into a studio”) or capturing live audio for other bands at their shows, sometimes having a portable studio can make all the difference in getting the job. 

    Music Publishing & Licensing

    10. Mechanical Royalties: Collect this form of publishing royalty when your original songs — including covers by other artists — get streamed, downloaded, or pressed on CD/vinyl.

    11. Performance Royalties: Earn this music publishing money when your original music is performed live in venues or publicly broadcast on radio and TV.

    12. Sync Licensing (Songwriter Side): If you write your own songs and retain the publishing rights, you can get paid an upfront fee — and in some cases, ongoing royalties — when your music is placed in film, TV, games, commercials, etc. 

    13. Sync Licensing (Label Side): Same goes for the “recording” side of the equation. If you own your own tracks, you are the label, and can get paid for sync placements.

    14. Compose for Music Libraries: Prolific composer or producer? You could write music for music collections that are specifically curated for sync licensing opportunities.  

    15. Sell Sheet Music: The original source of “music publishing” revenue! Depending on your genre, this can be a big seller. (New Age Piano, anyone?) But don’t just think of notation; you could also do chord-charts, tablature, lyric sheets, and more.  

    Live Music Performances

    16. Touring and Live Shows: Play live and get paid. This revenue could come in the form of ticket sales, door splits, bar percentages, or a guaranteed fee from the venue owner. 

    17. Residency Gig: Same form of payment options as above, but a residency is a regularly scheduled thing. It could be “7 nights in a row in July” or “Every other Thursday all year.”

    18. House Concerts: Play intimate concerts in private homes. These can be great fan-building experiences and help you sell a lot of merch, while reducing pressure for huge turnout. Plus you can save on travel expenses if the host puts you up for the night.  

    19. DJing: If you’re not touring, you can DJ events, parties, or venues in your hometown. On the road? Do a DJ set at a festival or venue between your tour dates. 

    20. Corporate Gigs: Want to get paid big bucks while entering The Twilight Zone? Play at a corporate function. It’s surreal. And lucrative.

    21. Weddings and Private Events: Perform at weddings, bar mitzvahs, anniversaries, family Christmas parties, birthdays, and other kinds of private events. These can often pay better than a standard venue gig.

    22. City or Municipal Events: The annual Christmas tree-lighting ceremony, the summer beer garden in the park, the Arts Walk. Check with your local chamber of commerce or city council for opportunities. 

    23. Festivals: It’s great to play music festivals, of course, but also research non-music gatherings that have live music as a component. Beer festivals. Balloon festivals. Food festivals. 

    24. Busking: Play in a public space with lots of foot traffic for tips. Subway stations. Town squares. Boardwalks and piers. Just check the local ordinances first. Get a permit, if required.

    25. Be in the House Band: Similar to a residency, where you stay put and different audiences come to you, seek out performance opportunities where you back-up other singers. Could be live-band karaoke, a big band or jazz group, etc.

    26. Play Cruise Ships: If you don’t mind small rooms and many months at sea, cruise ship gigs give you a chance to play a lot (sometimes multiple gigs per day), and provide downtime to focus on practice, recording, reading, etc. 

    27. Nursing Homes: While these aren’t glamorous gigs, they can be very meaningful for the audience and you as the performer. They can pay well, are usually shorter sets, and have the potential to become dependable repeat gigs. 

    28. Virtual Performances: Want to combine the exclusive and intimate feeling of a house concert with the convenience of livestreaming? Play a private, virtual performance on Zoom, Google Hangouts, etc.  

    Music Merch Sales

    29. Artist Merchandize: Sell merch at gigs, on your website, and on platforms like Instagram and Spotify. Items could range from t-shirts to mugs to books. 

    30. Physical Music Formats: Despite what you may have heard, fans still purchase CDs, vinyl records, and even cassettes. Offer them in all the same places you would your merch, as well as in record stores via physical distribution or consignment. 

    31. Limited-Edition Releases: Offer limited-edition or signed physical copies of your music to fans. For instance, you could sell tour-specific recordings that will never again be available to purchase.

    32. Digital merch: Not all products need to be physical. You can offer PDFs of your tour diary or poetry. A digital cookbook. An unlock of a secret video. 

    33. Digital “Box Set”: Same goes for music files. You may have a trove of unreleased recordings. Give fans paid access! Or bundle everything you’ve ever recorded into a digital package with bonus tracks. 

    34. NFTs: “Non-Fungible Tokens.” These are crypto assets on a blockchain that represent ownership or engagement in some piece of music, imagery, community, artwork, or financial arrangement. 

    Music Education

    35. Teach Music: Whether it’s private lessons or a teleconference tutorial, you can help other people get better at an instrument, music production, or songwriting. 

    36. Music Therapy: Put your skills to use in a therapeutic way that helps people improve their well-being.

    37. Online Courses: Create and sell a digital course. It could be about your instrument, or your music-biz and promo skills. Lots of upfront work, but with the potential for it to become more “passive” income once your marketing funnel is up and running. 

    38. Music Workshops: Host IRL or online community gatherings where learning and feedback happens in a group setting. 

    39. Guest Lectures: Speak at schools, colleges, or music seminars. These are often paid opportunities, but even if you’re an unpaid speaker at a music conference, you should have the chance to make a quick sales pitch at the end of your talk or sell books afterwards. 

    40. Music Transcription: Are you good at figuring out complex harmonies, blistering bluegrass breaks, or famous saxophone solos? You could earn money transcribing that music note-for-note. It might be work-for-hire income, or you could publish those transcriptions in a book. Or on YouTube (with the possibility of earning ad revenue). 

    Crowdfunding & Fan Support

    41. Project-Based Crowdfunding: Use platforms like Kickstarter or GoFundMe to raise money from fans to support a specific recording, tour, marketing, or video project. 

    42. Membership Clubs: You can use a subscription-model platform like Patreon, or build your own online fan subscription through your website. In exchange for monthly payment, fans get exclusive or early access to content and other perks. 

    43. Fan Donations: Accept donations directly from fans through platforms like PayPal or Venmo. These links can be listed on your website, livestreams, or even pinned to the top of your Spotify profile. 

    44. Livestream Support: This is revenue fans give you for livestreaming. But unlike the Venmo or PayPal tips mentioned above, it can come in the form of a platform-specific currency or action: Stars, Bits, Subs, etc. 

    45. VIP Experiences: Offer your diehard fans the chance to pay for an exclusive experience. Backstage passes, meet-and-greets, watch the soundchecks, dinner before the show, photos and autographs. 

    Music Composition

    46. Songwriting for Other Artists: If you’re a prolific writer, you may have ideas to spare! Pitch your unreleased songs to other artists, publishers, or labels. Or collaborate with co-writers to make new songs. Repeatable success in this area takes a lot of dedication, but could lead to a publishing deal. 

    47. Write Jingles: Ya know, the catchy (and sometimes annoying) music that plays during commercials? There’s money to be made where art meets advertising. 

    48. Film Scoring: Compose music for films, TV shows, and documentaries. Like many areas of specialization, this field can require a lot of time and dedication. Consider accordingly how often and when you want to accept scoring work.

    49. Video Game Music: In theory, this isn’t that different from film scoring. Except that gaming has its own musical tropes, so the reference points may differ from cinematic orchestration and sound design. Many video games also feature songs that become part of the game’s soundtrack, which refers back to sync licensing. Lastly, there is a whole massive ecosystem of VGM covers on YouTube, where artists do their own creative arrangements of popular video game music. So if you play a unique instrument, this might give you a way to differentiate yourself: Halo on accordion, Final Fantasy on metal guitar, Zelda on harmonica, Mario Bros on banjo.  

    50. Sell Beats and Sample Packs: Are you a prolific producer in a genre that relies heavily on electronic music, such as hip-hop, pop, or EDM? You can help other artists get a huge musical assist by selling your beats, production-starts, and sample packs. 

    51. Write Custom Songs: Let your fans know you’ll compose and record personalized songs for special occasions like weddings or birthdays. Just be sure to charge enough for your actual time and effort!

    52. Sound Design and Audio Branding: Create “audio logos” and “sound identities” for businesses. Or use your production skills to make sound effects and audio environments for media, public spaces, or other commissioned projects.

    Retail & Venue Work

    53. Record Store: Gig at night and work at a record store during the day. You’ll stay on top of the latest music releases, as well brush up on the classics.

    54. Music Retail: Rather be near instruments? Work at a music store and develop your expertise in the latest gear, used instrument valuation, and more. 

    55. Making or Repairing Instruments: Good at fixing guitars? Carving violins? Soldering effects pedals or synths? You could start your own business or work out of an existing shop or store.

    56. Talent Buyer: Already in communication with a large network of talented musicians? Put those social and organization skills to use booking the acts at a local venue. 

    57. Venue Staff: Prefer more of the “on the ground” venue experience? You could be a bartender, bouncer, box office assistant, or venue manager. 

    58. Live Sound Engineer: Every good venue needs good live sound. You could be the key to making that happen. Bonus points if you’re not a grump!

    Other Music Professions

    59. Music Journalism: Write show previews, album reviews, feature interviews, and more. You may find an opportunity to do this as a side-gig for your local newspaper or arts weekly. 

    60. Musicology, Criticism, Editorial, and Curation: Put your deep knowledge and passion for a particular genre to use. Teach others about that history. Or make music recommendations and exciting connections for listeners. 

    61. Member of an Orchestra: Jazz, Classical, Ballet, or the pit-orchestra for Musical Theater. If you have great technical facility on your instrument and dependable sight-reading skills, you could make a living in a large ensemble.

    62. Religious Music: Whether it’s the organist in a cathedral, the guitarist in a praise-and-worship band, the cantor at a temple,… many faiths have music as part of their regular service. 

    63. Voice Talent: If you have a good singing voice, you might be able to translate those dramatic skills to provide voiceovers, audiobook readings, or character voices. 

    Brand Collaborations

    64. Brand Sponsorships: Partner up with some company who shares your values and aesthetic, and get paid when you rep their products, services, or mission. 

    65. Endorsements: Get discounted (or sometimes free) products and services such as instruments, music marketing tools, or music production software. In exchange, you agree to use that gear in public and provide testimonials.

    66. Affiliate Marketing: Promote a certain product on your website, do gear reviews, and link to the manufacturer or retailer, and earn a commission on any sales. 

    67. Be an Influencer: “Influencer Marketing?” Easier said than done, but… if you have a large social following, you may be able to monetize that attention by doing product placements or promo shoutouts. 

    Miscellaneous

    68. Books, eBooks, & Audiobooks: I suppose this could go under the “merch” section, but that’s more about the final product and sales. Becoming an author is an endeavor all its own, of course. But if you already display a knack for lyric-writing, you may have longer-form literary talent too. It could be fiction, non-fiction about musicology, essays about band drama and tour mishaps, or even written instrument instruction with accompanying illustrations.

    69. Music Blogging: I mentioned above that you could write reviews for an existing publication, but you could also host reviews on your own site in the hopes of monetizing your blog through ad placements and affiliate revenue. 

    70. Podcasting: Start a podcast about your music, adventures, or other interests. If you get sufficient engagement, you can monetize through ads, sponsorships, or listener support. 

    71. Competitions: These could be rap battles, songwriting challenges, bluegrass competitions. There may be an entry fee, but that also means there could be a big payout if you win. 

    72. Interactive Music Experiences: If you have mixed media or web-development skills, you could create an immersive real-world or digital experience. Emma McGann’s multi-player “Monsterverse” RPG in Discord is a great example. You can ask your fans to pay to participate, or you can use it as a chance to drive merch sales at the end of the experience.

    73. Consulting Services: Musicians need help, solid advice, and networking connections. Can you mentor someone in management, crowdfunding, digital advertising, or something else? Provide that strategy advice in exchange for a fee.

    74. Open-Source Collaboration: This is when you make some creative work available for others to use, without a clear idea of who will collaborate, or what exactly will result. Making stems downloadable for remixers is an obvious example. You can approve your favorite remixes and officially distribute those tracks, splitting any revenue the remix generates. But artists like Holly Herndon and Grimes took it one step further with AI models of their vocals. 

    75. __________: Yes, a blank space, because if there are 75 items in this list already, there’s bound to be many more ways to make money from your musical skills. And I wanted to leave room for you to imagine your own possibilities. Have fun!


    Conclusion

    Most musicians will never tackle every item in this list, and that’s completely fine. They shouldn’t. We all have our own specialties and interests. Best to focus on what’s rewarding, both in terms of personal growth and profit.

    But hopefully this long list gives you an overview of your options as you make a career of your music, and as you supplement your primary music income sources with additional revenue streams. 

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    Chris Robley

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  • Report: Mass. taxpayer exodus continues

    Report: Mass. taxpayer exodus continues

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    BOSTON — Massachusetts lost more than $3.8 billion in state-adjusted gross income between 2021 and 2022 as residents fled to New Hampshire, Florida and other low-tax states, according to new Internal Revenue Service data.

    The IRS data, based on income tax returns, shows the Bay State lost a net of more than 45,000 residents in the 2021 and 2022 calendar years – taking with them more than $3.9 billion in taxable income. That’s the fifth highest rate of domestic outmigration in the nation following New York, Illinois, New Jersey and California.

    New Hampshire and Florida were the biggest beneficiaries of Massachusetts’ transplants, the IRS data shows. More than 18,189 people moved from New York to Florida, taking $1.4 billion. An additional 23,596 Bay Staters moved to Florida, bringing more than $2.8 billion in income with them, according to the IRS.

    The Pioneer Institute, a Boston-based think tank, says the data shows the largest cohort to flee Massachusetts were 26- to 35 year-olds, with 9,500 more tax filers leaving than coming into Massachusetts in 2022, more than five times the number a decade earlier.

    “This loss of young talent hinders the state’s future innovation and economic growth, which will compound over decades,” said Mary Connaughton, Pioneer’s director of government transparency. “The cost of housing is a leading factor and the recent housing bill is not enough to address this critical challenge.”

    “We need more innovative solutions at the local level to adequately boost the state’s housing supply,” she added.

    The report is the latest in the series that highlights how Massachusetts’ population is shrinking despite a continuing influx of new arrivals, many through immigration.

    Still, the state’s outmigration appears to be slowing, with about 18,000 fewer residents leaving the state in 2023 than in 2022 – a 31% drop, according to the latest census data, released in May.

    Experts say the outmigration has less to do with politics than it does with a lack of housing, prevailing wages and access to employment.

    But federal data shows the population decline has major implications for the states, revenue and tax collections. The state has seen its revenue benchmarks from tax collections fall short over the past year.

    Massachusetts lost an estimated $4.3 billion in state-adjusted gross income in 2020-21 tax year as residents fled to other low-tax states, according to the latest IRS figures.

    On Beacon Hill, state leaders have approved proposals to cut taxes and reduce the state’s high cost of living as part of a broader effort to stop outward migration and make the state more attractive to new families and businesses.

    Gov. Maura Healey, a first-term Democrat, has expressed concerns about the exodus of residents and businesses in the wake of the COVID-19 pandemic.

    Healey has pointed to a lack of housing as a primary reason people are leaving the state, making the case for expanding stock and making homes more affordable. She acknowledged the impact of the housing crunch on outmigration at an event in Lowell, where she and other officials announced $27 million in tax credits for new housing developments in Salem, Lawrence and Haverhill and other “Gateway” cities.

    “I love New Hampshire, but I want people to stay here in Massachusetts,” Healey said in remarks Tuesday. “I don’t want them going north of the border.”

    But critics point to the state’s high tax burden, including the voter-approved “millionaires tax” that set a new 4% surtax for people with incomes above $1 million a year. They say despite a tax reform package signed by Healey last year, the state needs to do more to ease the burden on residents and businesses.

    Others say concerns about outmigration are overblown and point out that people leave the state for new jobs, college and other reasons other than consternation over high taxes, the cost of living or the lack of affordable homes.

    A 2023 report by the left-leaning policy group Massachusetts Budget and Policy Center says IRS data from 2020 to 2021 shows that Massachusetts has a lower rate of outmigration among high-income households earning $200,000 or more a year than that of low- and middle-income households.

    The report’s authors say that data suggests state tax levels have had “little impact” on the decisions of high-income households.

    Christian M. Wade covers the Massachusetts Statehouse for North of Boston Media Group’s newspapers and websites. Email him at cwade@cnhinews.com.

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    By Christian M. Wade | Statehouse Reporter

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  • Can direct cash payments alleviate poverty? Here’s what Denver has learned

    Can direct cash payments alleviate poverty? Here’s what Denver has learned

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    Authorities force a cleanup of an encampment at 4th Avenue and Kalamath Street. April 25, 2024.

    Kevin J. Beaty/Denverite

    Does giving direct cash payments to people experiencing homelessness help alleviate poverty?

    A one-year study following around 800 participants in Denver, one of the largest studies of its kind, says yes.

    The Denver Basic Income Project is reporting “significant improvements in housing outcomes” among its participants, according to results released by researchers from University of Denver on Tuesday.

    The study found that about 45 percent of original participants, all of whom were unhoused at the start, were living in their own house or apartment one year into the program.

    Researchers also found that direct cash payments can lead to cost savings for public dollars, with participants reducing their use of public services and visits to places like emergency rooms and shelters.

    What is basic income?

    Universal basic income — cash payments to people living in poverty, no strings attached — has taken off as an idea among some philanthropists and politicians in recent years.

    Denver’s nearly $10 million pilot project began in 2021, funded with a mix of private donations and $4 million from the city. DU’s study is one of the largest looking into the efficacy of the idea.

    “Our current social safety net is really built on a more paternalistic type of set of rules and expectations for people,” said Mark Donovan, founder and executive director of Denver Basic Income Project. “When we approach people and say to them, ‘We believe in you. We trust you,’ at first they don’t believe us because they’re so used to being let down. But when we actually start delivering the unconditional cash, even in small amounts … we see this wall of distrust lowered quickly, and we create a platform for change.”

    How the Denver Basic Income Project worked

    Program leaders worked with local nonprofits to connect with eligible participants, who must have been unhoused and without severe, unaddressed substance abuse or mental health issues.

    Participants were also chosen to reflect the racial and gender demographics of people experiencing homelessness, where a number of minority groups are overrepresented.

    They were then randomly split into three groups.

    Group A received $1,000 per month. Group B received $6,500 upfront and $500 per monthly moving forward. Group C, the control group, received $50 monthly.

    Researchers reported that participants largely spent money on things like transportation, hygiene, groceries, housing, health care and debt.

    “We know that unhoused people use resources in the same way housed people do – to cover basic needs — and we’ve seen this program bring relief, peace of mind, and stronger paths to stability to the participants we’ve enrolled,” said Cathy Alderman, chief communications and public policy officer with Colorado Coalition for the Homeless, in a statement Tuesday.

    So, what did we learn?

    The study found that the percentage of participants in stable housing approximately doubled within 10 months in all three groups, a statistically significant result according to researchers.

    Data Source: Denver Basic Income Project

    All three groups also saw reductions in accessing public services, another statistically significant result.

    Data Source: Denver Basic Income Project

    Participants also reported an increase in overall financial well-being and an increase in full-time employment.

    Researchers also looked at a number of other factors including sleep quality, food insecurity, anxiety, parenting stress, transportation resources and more, with full qualitative and quantitative results released online.

    Overall, the study found that the probability of experiencing homelessness decreased for all through groups while receiving cash payments for 12 months.

    Chart courtesy: Denver Basic Income Project

    “The most impact it had on me was a promising future, versus before, it wasn’t looking so good,” said one anonymous participant quoted in the report. “It’s a light at the end of the tunnel, and before, I was kinda lost. It just really gave me some hope.”

    What’s next for Denver’s universal basic income experiment?

    The program was extended for a second year, thanks in part to a $2 million infusion from the city.

    Donovan said he hopes to see the program sustain funding in Denver for a third year, while also replicating the study in other cities to test the ability to scale universal basic income.

    While other cities have also experimented with basic income pilots, Denver’s program is one of the biggest studies on the concept so far.

    Sustained funding remains a challenge. The program needs another $2 million to fill out its second year, while also fundraising $8 million with the hope of running for a third year.

    Ultimately, Donovan wants to see universal basic income incorporated into public policy.

    “The first year we see is creating a sense of stability, but we’re already seeing the housing incomes continue to improve month to month, and we believe that the second year, and even beyond, can be even more profoundly transformational,” Donovan said. “We know what happens when benefits are eliminated, and we know about the benefits cliff, but we don’t know what it looks like when you sustain an income floor.”

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  • RRIF withdrawal rates chart 2024 – MoneySense

    RRIF withdrawal rates chart 2024 – MoneySense

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    The minimum age at which you can convert a registered retirement savings plan (RRSP) to a registered retirement income fund (RRIF) varies by province: it’s 50 in some, and 55 in others. But starting the year after conversion, you must begin to make minimum withdrawals from your RRIF. The table below includes the minimum withdrawal rates for all RRIFs set up after 1992. It shows the percentage of the account balance (at the previous year-end) that must be paid out in the current year.

    How to use the table: Slide the columns right or left using your fingers or mouse to see even more data, including returns and strategy. You can download the data to your device in Excel, CSV and PDF formats. 

    wdt_ID Age at end of previous year Withdrawal rate for current year Age at end of previous year Withdrawal rate for current year
    1 55 2.86% 76 5.98%
    2 56 2.94% 77 6.17%
    3 57 3.03% 78 6.36%
    4 58 3.13% 79 6.58%
    5 59 3.23% 80 6.82%
    6 60 3.33% 81 7.08%
    7 61 3.45% 82 7.38%
    8 62 3.57% 83 7.71%
    9 63 3.70% 84 8.08%
    10 64 3.85% 85 8.51%
    11 65 4.00% 86 8.99%
    12 66 4.17% 87 9.55%
    13 67 4.35% 88 10.21%
    14 68 4.55% 89 10.99%
    15 69 4.76% 90 11.92%
    16 70 5.00% 91 13.06%
    17 71 5.28% 92 14.49%
    18 72 5.40% 93 16.34%
    19 73 5.53% 94 18.79%
    20 74 5.67% 95+ 20.00%
    21 75 5.82%
    Age at end of previous year Withdrawal rate for current year Age at end of previous year Withdrawal rate for current year

    table.wpDataTable td.numdata { text-align: right !important; }

    Source: Rates calculated using the CRA’s prescribed factors formulas.

    This was excerpted from RRIF and LIF withdrawal rates: Everything you need to know by Jason Heath, CFP.

    Read more about RRIFs in Canada:

    The post RRIF withdrawal rates chart 2024 appeared first on MoneySense.

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    MoneySense Editors

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  • How long it takes to get your tax refund in Canada—and how to spend your refund – MoneySense

    How long it takes to get your tax refund in Canada—and how to spend your refund – MoneySense

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    10 ways to use your tax refund

    How you choose to spend your tax refund will often boil down to your tax bracket and debt profile, Forward explains, and working with a certified financial planner (CFP) can help you cut through the noise and allocate it wisely. Here are 10 savvy ways to spend your tax refund. 

    1. Pay down credit card debt

    “If you’re carrying credit card balances, you might want to go in that direction to get rid of any of those balances so that you’re not paying interest that you don’t need to pay,” says Forward. Eliminating or significantly reducing credit card debt with your tax refund can save you money in the long run and improve your overall financial health and creditworthiness.

    2. Start an emergency fund

    Building an emergency fund with your tax refund can provide a financial safety net for unexpected expenses and prevent you from going into debt during emergencies. Consider a high-interest savings account (HISA) for your emergency fund to earn interest on your savings and interest on the interest, which is called compound interest. (Check out MoneySense’s compound interest calculator).

    3. Start a first home savings account (FHSA)

    If home ownership is a future goal for you, setting up a first home savings account (FHSA) with your tax refund can kickstart your journey to becoming a homeowner. You’re limited to $8,000 a year and a maximum of $40,000, but it’s a solid first step to owning your first property that only first-timers can take advantage of. 

    4. Open a TFSA

    If you haven’t created any financial goals yet but still want to be intentional with your tax refund, opening a tax-free savings account (TFSA) with your tax refund can help you grow your savings tax-free and provide flexibility for future financial goals.

    5. Make an RRSP contribution

    Contributing to an RRSP with your tax refund can help you save for retirement and reduce your taxable income. Still, Forward explains that this option may be less important if you need the money sooner or already have a pension. “A younger person might not be thinking about RRSPs because they’ve just started their career,” says Forward. “RRSPs make more sense when you’re in your highest tax bracket, and you can get the most bang for your buck.”

    6. Make a prepayment on your mortgage

    If you have a mortgage with a prepayment privilege, you may use your CRA tax refund to make a prepayment on your mortgage. It goes directly toward your principal owing, so you can reduce the overall interest you pay and shorten your mortgage term. Most lenders limit how many times you can pre-pay each year, but maxing out allowable prepayments can save you a lot of interest in the long run.

    7. Pay down your student loan

    If you’ve got any lingering student debt, using your tax refund to pay down student loans can help you reduce your debt burden and save on interest payments over time. For more tips, check out “Student Money: “How to pay for school and have a life—a guide for students and parents.”

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    Alicia Tyler

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