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I Started Side Hustles to Pay Off $40k Debt and Build Wealth | Entrepreneur
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This as-told-to story is based on a conversation with Marissa Cazem Potts, a Bay Area-based Intuit financial advocate* and financial literacy professional. The piece has been edited for length and clarity.
Image Credit: Courtesy of Intuit. Marissa Cazem Potts.
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Growing up, I experienced the pitfalls of my parents not understanding how to manage money.
My father is second-generation American-Filipino, and my mom is half Black and half white and has enslaved person ancestry. Both of them wanted to make money and create a better life for themselves, but they didn’t know how to invest or even save their money. We spent a lot and would find ourselves in jeopardy. There’d be a year where I couldn’t get the new shoes I wanted for school because my parents didn’t manage their money well, but thankfully, we always had a home and all the things we needed.
I wanted to be the generation that stops the cycle of being financially irresponsible.
I knew I had to go to college. My mother finished college; my grandmother had her master’s degree in education. I felt I had to at least get my undergraduate degree, coming from a legacy of women who considered education the way to financial freedom. My parents said they could help with my rent during college, but that was about it. I got a part-time job at Nordstrom and actually made a lot of money doing that.
But when it came to tuition, there was no game plan. My parents dropped me off at the financial office at the University of California, Santa Barbara. The office told me that I could take loans out and wouldn’t have to pay them back until I graduated. I just wanted to make sure I got my education. So I signed the documents. I had a series of different loans, but I didn’t read the fine print. I didn’t understand the concept of interest, and I let the loans sit.
I graduated in 2010 with that debt over my head and didn’t have a plan for paying it back. The first thing on my mind after graduating was getting a good job, making sure it paid well and thinking about what career I wanted to have. I’d always had a passion for writing, communicating and speaking, so I got an internship at E! News. That was unpaid, but it was a great opportunity.
While I worked that unpaid internship, I had to make money on the side. So I started side hustles. I worked as a receptionist at a dance studio. I sold my old clothes. I was building income, but then I was spending it — on gas, food, something nice. At that point, I wasn’t thinking about paying the student loans or saving money.
I was in Los Angeles for a while, then slowly navigated back home to the Bay Area for a career in technology. In the back of my mind, though, I always wanted to do something for myself, too.
“I needed to start saving and investing, building a 401(k).”
Eventually, I landed a job at Intuit and was introduced to financial education. There were tools like TurboTax, and at the time, Mint, Credit Karma. I realized I needed to get my finances in order. I needed to start saving and investing, building a 401(k).
Then I took a job at LinkedIn and had a daughter, and I really didn’t want this $40,000 debt, increasing year over year, on my back. I’d learned a lot in my professional communications career — and realized I could spin that skill set into another side hustle, helping coach and advocate for executive women. So I started that executive coaching business on the side; I took on a few clients in the early morning, after hours or on weekends.
The side hustle kept me busy, and I had to sacrifice time with my young daughter and husband, so I made it a little spicier and reminded myself of my ultimate goal by funneling the money into an account called “Marissa’s Freedom Fund.” Any time I had a check from an executive coaching job or another side gig, it went straight into that account, and anything left over, whether $10 or $100, went into an emergency fund.
I began paying off my six loans in 2022 and finished paying them off in 2023. I got that email from Navient, my loan processor at the time, saying, “Congratulations, your loans are paid off,” and I felt totally free.
“Financial wellness means utilizing the tools that are available to you.”
It’s important to treat financial wellness as self-care. The first step is looking at your debts and your accounts: I didn’t want to look at my student loan debt or credit card debt, but I had to see the big picture and figure out where to start. Financial wellness means utilizing the tools that are available to you, tapping into your network and practicing consistency — that’s the hardest part. You are your own worst enemy. You have to ensure you’re sticking to a routine when you’re working toward a financial goal.
It can be intimidating, especially if you grew up in a home where you didn’t talk about money, but you should start your financial wellness journey as soon as you can. I try to talk openly with my daughter about finances so that she understands the power of a dollar. You can start small: $10 a month can grow into $100 a month, then $500 a month. Create savings and investment accounts. Also, be a conscious consumer — if you regret a purchase, return it.
Don’t feel defeated if you have debt. You have the agency to attack it by setting up different income streams. I still have that entrepreneurial drive today. I channel it both into my role as a financial advocate at Intuit, where I empower Gen Z (like my younger sister) and Gen Alpha with financial education and confidence, and as an intrapreneur, pursuing stretch projects and impact within my day-to-day work.
It’s so important for younger generations to see that you can take the time to build skills, grow a network and test a business idea on the side while working in a traditional corporate role. A recent Intuit survey found that 26% of Gen Z already have a side hustle, and 37% want to start a side hustle.
Related: Gen Z Is Turning to Side Hustles to Purchase ‘the Normal Stuff’ in ‘Suburban Middle-Class America
By using your agency and leveraging free tools like Intuit for Education and other resources, you can prepare to launch a business full-time — if and when that path feels right for you.
*Potts is not an official financial advisor; her tips are for “general informational purposes only and should not be considered financial advice. It is not a substitute for professional guidance.”
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Amanda Breen
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The 10 best countries to retire right now—and America didn’t make the cut | Fortune
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Baby boomers aren’t just flocking down to sunshine states like Florida to kickstart their retirement careers anymore—they’re booking a one-way ticket overseas for a better quality of life.
While the United States lacks a formal retirement visa, many other countries offer dedicated programs for retirees to have more affordable living and a new laid-back lifestyle, which is why it’s no surprise the U.S. didn’t make the cut in the Global Citizen Solutions’ 2025 retirement report.
For expats ready for cobblestone views and sipping coffee on a sunny terrace, the new report ranks 44 passive income and retirement visa programs. It also evaluated 20 key indicators grouped into six main categories: visa procedures, citizenship and mobility, economic factors, tax benefits, quality of life, and safety and social integration. Each country received a score out of 100.
Many of the top-ranked countries were in Europe and South America. Portugal ranked as the best, followed by Mauritius and Spain.
“The countries dominating our rankings understand that successful retirement migration isn’t just about letting people in, it’s about helping them thrive,” Patricia Casaburi, CEO of Global Citizen Solutions, tells Fortune.
Portugal, Mauritius, and Spain top the list, she said, because they truly support new residents with tools to build a life. “They offer language programs, streamlined healthcare registration, and clear pathways from temporary residence to citizenship,” Casaburi explained. “Countries that treat retirees as temporary visitors rather than future citizens consistently underperform.”
The 10 best countries to retire abroad in 2025
- Portugal
- Mauritius
- Spain
- Uruguay
- Austria
- Italy
- Slovenia
- Malta
- Latvia
- Chile
Portugal
Coming in at number one was Portugal, where dual citizenship is allowed. The European country offers citizens a D7 Visa, a type of residency visa designed for people who have a stable passive income—making it a popular option for retirees.
What matters most to new international citizens is feeling secure and being able to build a real life in their new country, and Portugal excels at letting boomers build a new life without losing their roots.
“[Portugal] has institutional frameworks suggesting it will remain stable for the next 20-30 years of your retirement. Before making the move, research the country’s healthcare system rankings, political stability indices, and infrastructure investments. Visit during different seasons and talk to expat communities who’ve been there for 5+ years,” Casaburi added.
A single applicant needs about €870 per month in stable passive income. The processing time takes around 12 months. After the initial residency permit is granted and you’ve lived there for at least 5 years, you can apply to be a permanent citizen. Portugal also taxes its citizens on the income they make inside and outside of the country.
Mauritius
Next at number two was the eastern African country, Mauritius. Retirees can obtain a residence permit by demonstrating a minimum monthly income of $1,500, with processing times typically around three months.
The permit allows the main applicant to include their spouse or legal partner, as well as dependent children, making it a family-friendly option. Retirees benefit from a territorial tax system, meaning foreign-sourced income is not taxed, and there are no wealth or inheritance taxes. After six years of residency, retirees become eligible to apply for citizenship, and dual citizenship is permitted.
Spain
Number three was Spain. The Spanish non-lucrative visa (NLV) is designed for non-EU citizens who wish to live in Spain without engaging in any work. To qualify, applicants should have a stable income of at least €2,400 per month.
Processing for a visa typically takes around three months. Once approved, residents are subject to Spain’s worldwide tax system and potential inheritance tax. The NLV provides a pathway to Spanish citizenship after 10 years of legal residence, or just 2 years for citizens of select Latin American and other historically connected countries. Dual citizenship is allowed, depending on the laws of the applicant’s country of origin.
Uruguay
Coming in at number four was the South American country Uruguay, where residents need an income requirement of $2,000 of stable passive income a month. Processing time takes about one month. The main applicant can include spouse or legal partner, minor children and dependent adult children, there are no imposed taxes on foreign-sourced income, and no wealth and inheritance tax. Dual citizenship is allowed and the path to citizenship takes about 5 years.
Austria
Ending the top five was Austria. The country offers an independent residence permit as a pathway for people who can prove they have an income to support themselves while abroad. Processing time takes about 4 months and the main applicant could include a spouse, legal partner and minor children. For tax benefits, they have a worldwide tax system—meaning the country taxes its citizens on all their income, regardless of where it was earned—and no inheritance tax. The path to citizenship is 10 years, with dual citizenship allowed.
Are you looking to retire abroad? Fortune wants to hear from you. Contact Jessica.Coacci@fortune.com
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Jessica Coacci
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Want to Retire One Day? Avoid 3 Common Retirement Mistakes | Entrepreneur
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Retirement remains a far-off — and in some cases, unattainable — goal for many Americans.
About one in four adults over age 50 said they expect to never retire, according to an AARP survey. That’s perhaps not surprising given that Americans believe they’ll need $1.26 million to retire comfortably, per Northwestern Mutual.
In a new report from Bank of America, 68% of employees said that saving for retirement is their No. 1 financial goal, though working toward it often comes with significant challenges.
The research, which surveyed nearly 1,000 full-time employees who participate in 401(k) plans and 800 employers who offer a 401(k) plan, revealed that the average employee doesn’t start saving for retirement until age 30 and wishes they had more retirement education (33%).
Employees’ top expected sources of retirement income were as follows, per the survey: 401(k) or 403(b) (85%), Social Security (75%), checking or savings account 53%), IRA (38%), taxable brokerage or investment account (24%).
Related: How Much Money Do You Need to Retire Comfortably in Your State? Here’s the Breakdown.
Baby Boomers are retiring at a rapid rate, setting a record number of retirees in 2024 that allowed Gen X to outnumber them in the workforce for the first time, GOBankingRates reported.
On average, Boomers began saving for retirement at age 34; now in their 60s and 70s, one in four of them don’t feel on track to retire, according to the Bank of America survey. Additionally, only two in 10 Boomers said they completely understand their Social Security benefits.
Rising healthcare costs in retirement present another hurdle, as only 34% of employees said they’re saving and investing for future healthcare expenses, despite current research showing that a 65-year-old couple could need as much as $428,000 in savings to cover their retirement healthcare expenses.
Related: How to Start Thinking About Retirement Before You Plan to Retire
Respondents said the main reason they don’t save for health care is that they can’t afford it, but many who have access to an HSA through their employer also don’t understand the tax advantages and rollover process.
When employees across generations were asked to reflect on what they would have done differently to prepare for retirement, they cited three common mistakes: not starting to save at a younger age (49%), not taking full advantage of their employer’s 401(k) match (35%) and not paying off debt sooner (36%).
Image Credit: Courtesy of Bank of America
“The modern employee wants help with their broader financial goals,” Lorna Sabbia, head of workplace benefits at Bank of America, said. “Employers should consider additional resources to support their workforce in ways that bolster their long-term goals while also helping them tackle short-term challenges.”
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Amanda Breen
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Exclusive discounts from CBS Mornings Deals
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On this edition of CBS Mornings Deals, we show you items that might just become essentials in your everyday life. Visit cbsdeals.com to take advantage of these exclusive deals today. CBS earns commissions on purchases made through cbsdeals.com.
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Shop exclusive discounts on home, travel and pet products with our smart solutions savings
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As a participant in multiple affiliate marketing programs, Localish will earn a commission for certain purchases. See full disclaimer below*
Smart Solutions
Work and play smarter, not harder! We’ve got products to make your life easier at home and on the go. Take a look at these smart solutions.
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* By clicking on the featured links, visitors will leave Localish.com and be directed to third-party e-commerce sites that operate under different terms and privacy policies. Although we are sharing our personal opinions of these products with you, Localish is not endorsing these products. It has not performed product safety testing on any of these products, did not manufacture them, and is not selling, or distributing them and is not making any representations about the safety or caliber of these products. Prices and availability are subject to change from the date of publication.
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Exclusive discounts from CBS Mornings Deals
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“I have the dream job”: Brian Scudamore on making meaning with your money – MoneySense
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Dragon’s Den cast: Wes Hall, Michele Romanow, Arlene Dickinson, Brian Scudamore and Manjit Minhas. Who is your money hero?
One of my fellow “dragons,” Wes Hall, who I got to know a little bit this year, during filming. I’m so inspired with how he spends money. He’s very different from me in the sense that he’s got the fancy cars and the big mansion and so on. I drive my Ford pickup truck and I have a modest home. But I’m inspired by how he puts charity first. He takes care of other people before he takes care of himself. He grew up in Jamaica. He didn’t have a lot, but he says, “This is about helping others.” He’s made it, and I think that’s what money is all about.
How do you like to spend your free time?
I love traveling. I love eating. For example, this summer, I went to France with my family. It was just a combination of family, friends, great food, some wine, practicing my French. That ties in everything I love.
My wife and three kids—we were in Paris as a base, we went down to Cap Ferret, which is just south of Bordeaux—a beautiful little peninsula, beach town. We hung out in Lille for a little bit to watch the Olympic basketball. We spent time in Bordeaux and went to some wineries. Paris is such a well-travelled place, so we had dinners with different friends and their families who were in town. I just I love that country.
What’s your first memory about money?
My dad, who’s a liver transplant surgeon, is not an entrepreneur or a business person. But he taught me early on to be purposeful with money. What am I doing with even the cheques I would get from aunts, uncles and grandparents for the holidays? He had me write thank-you notes, which no kid likes to do. I had to tell them how I was using the money they gave me.
My dad really hammered into me to save that money for education. And I did, but it was really ironic, because here I am, a high school dropout, a university dropout. But I valued learning about money from my dad and just being wise with how I spend it and being purposeful.
But one of my early memories was when I saved up my life savings as an eight-year-old and bought a brand-new bike. A couple of days later, I put a big basket on it so I could deliver newspapers more efficiently. I put that prized bike to work. I learned from my dad that money was about investment—a purposeful investment.
There’s also a frugal side of me that thinks, “Do I really need that?” Fancy cars wouldn’t bring me joy. Would I rent a Ferrari for a day on the coast of Italy? Heck, yeah. Would I ever buy one? No. And he got me to think about the value of money and what you can do with it.
If money were no object, what would you be doing right now?
Nothing different. I have the dream job. I am so excited to be a “dragon” and to help inspire others, give some wisdom, shared learnings to the pitchers on Dragon’s Den. I love building and growing my companies. Not to make more money, but to grow opportunities and possibilities for other people, and for the freedom to travel and spend time with family and friends, which I love to do.
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MoneySense Editors
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New to Canada and no pension: How to save for your retirement – MoneySense
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The difficulties facing newcomers to Canada with respect to retirement planning are particularly acute. Given how Canada’s immigration points system works, economic immigrants are usually in their late 20s or early 30s—and they face unique challenges:
- Depleted savings: If you’re a 30-year-old newcomer, chances are you’ve used a large portion—if not all—of your savings to set up your new life in Canada. So, you’re behind in the retirement savings game. If retirement savings were a 100-metre race, lifelong Canadians have a 20- to 30-metre head start over newcomers.
- Lower income: If you’re a newcomer to Canada, you’ve probably had to restart your career a few rungs lower on the corporate ladder because of your lack of Canadian work experience. This means you’re not earning as much as others your age who have similar experience. Consequently, your ability to save for retirement is lower.
- Lack of knowledge: You need to understand Canada’s financial and tax systems to maximize its retirement planning opportunities, and gathering this knowledge takes time.
- Reduced contributions: Joining the Canadian workforce later in life than their Canadian-born peers, immigrants have fewer years to contribute to the Canada Pension Plan (CPP) and build up registered retirement savings plan (RRSP) and tax-free savings account (TFSA) contribution room. For this reason, they rely on less tax-efficient unregistered savings and investment vehicles to sustain their retirements to a greater degree than their neighbours.
But there’s good news. As Toronto-based financial advisor Jason Pereira points out, “Canada’s retirement system does not discriminate against newcomers. The rules are the same for everybody.” So, with the right knowledge and expertise, you can work towards building a strong retirement plan.
How to start retirement planning as an immigrant
To plan for retirement, you need to know:
- How much money will you need each month in retirement? The simplest method to estimate your income requirement in retirement is to consider it to be 70% to 80% of your current income. For example, if you earn $75,000 a year today, 70% of that is $52,500—that’s $4,375 per month—in today’s dollars. Alternatively, you could estimate the amount you’d need in retirement using this tool.
- How much you’ll receive from government pension and aid payments: You need to estimate approximately how much you’ll get from the Canada Pension Plan (CPP) and other government programs: Old Age Security (OAS) and the Guaranteed Income Supplement (GIS). The tool at this link will help you do so. Ayana Forward, an Ottawa-based financial planner, notes that “some home countries for newcomers have social-security agreements with Canada, which can help newcomers reach the eligibility requirements for OAS.”
- How much you’ll receive from your employer-sponsored retirement plan: Workplaces without a defined benefit pension plan sometimes offer a registered investment account (usually a group RRSP), with contributions made by you and your employer or only your employer. If you have a group RRSP from your employer, what will its estimated future value be at the time of your retirement? You could use a compound interest calculator to find out.
- How to make up for a shortfall: The CPP, OAS, GIS and your group RRSP likely won’t be enough to fund your retirement. You’ll need to make up for the shortfall through your personal investments or additional sources of income.
Sample retirement cash flow for a 35-year-old (retirement age 65)
This table illustrates the types of income you could have in retirement. The amounts used in the table are hypothetical estimates. (To estimate your retirement income, try the various tools linked to above.)
Amount (today’s value) Amount (inflation adjusted) A Amount needed $52,500 $127,400 B Government pension and aid payouts
(CPP, OAS, GIS)$22,000 $53,400 C Employer-sponsored pension plan
(group RRSP)$8,000 $19,400 D B + C $30,000 $72,800 E Shortfall (A – D) $22,500 $54,600 F Needed value of investments in the year of retirement (E divided by 4%, based on the 4% rule) $562,500 $1,365,000 G Needed flat/constant monthly investment amount from now to retirement $969 In the example above, the person faces an annual shortfall of $22,500. In other words, this person needs to generate an additional $22,500 per year to meet their retirement income needs, after accounting for the typical government pension or aid payouts and their employer-sponsored retirement plan. To do this, they’d need to invest about $969 per month, assuming an 8% annual rate of return from now to retirement 30 years later. How could they fill this gap and meet their shortfall? Enter self-directed investments, real estate and small-business income.
Build your own retirement portfolio
An obvious and tax-efficient way to cover your retirement income shortfall is to build your own investment portfolio from which to draw income in your retirement years. These investments can be held in registered or non-registered accounts. Registered accounts, such as the TFSA and RRSP, offer useful tax advantages—such as a tax deduction and/or tax-free or tax-sheltered gains, depending on the account—but the amount you can contribute to these accounts is limited. Non-registered accounts have no contribution limits but offer no tax advantages.
Newcomers often have lower TFSA and RRSP contribution room compared to their peers because they’ve lived and worked in Canada for a shorter period. “TFSA contribution room starts accruing the year of becoming a resident of Canada,” Forward explains. “RRSP contribution room is based on earned income in the previous year.”
Your TFSA and RRSP contribution room information is available on your Notice of Assessment from the Canada Revenue Agency, which you’ll receive after you file your tax return. To check your TFSA limit, you can also use a TFSA contribution room calculator.
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Aditya Nain
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Which savings should retirees draw down first? – MoneySense
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Working as a financial planner, I am often asked, “What is the most tax-efficient way to draw down on investments?” From the outset, I question if a decumulation plan based on tax efficiency is the best use of someone’s money. I wonder whether it is even possible to design “the best” long-term, tax-efficient withdrawal strategy.
I have modelled many different combinations of withdrawal strategies, such as RRSP first, non-registered first, blending the two, depleting registered retirement income funds (RRIFs) by age 90, dividends from a holding company, integrating tax-free savings accounts (TFSAs), and so on. In most cases, there is no significant difference to the estate over a 25- or 30-year retirement period, with the odd exception.
You may have read articles suggesting the right withdrawal strategy can have a major impact on your retirement. The challenge when reading these articles is you don’t know the underlying assumptions. For example, if the planner is using a 5% annual return, is it all interest income and fully taxable? What is the mix of interest, dividends, foreign dividends, capital gains and turnover rate that makes up the 5% return? There is no standard all planners use, which leads to confusion and can make things seem more complicated than they need to be.
Think spending, not decumulation
Here is my approach to designing a decumulation plan. First, think about my opening. You have about 20 years of active living left to get the most out of your money. What do you want to do? Twenty years from now, do you want to look back on your life and say, “I sure was tax-efficient,” or would you rather say, “I had a great time, I did this and that and I helped…” I write this because it is not uncommon for me to see people be too restrictive on their spending in the name of tax efficiency, or not wanting or having the confidence to draw down their investments when they could.
Stop thinking decumulation; that puts the focus on the money. Instead, think spending. How do you want to spend your money? I know you can’t predict over 20 years, so focus on this year. How can you make this a fantastic year while living within your means? Do you even know the limit to your means?
Now prepare an expense sheet so you can see where you are spending your money and where you want to spend it. This is where a financial planner with sophisticated software can help. Have your expenses modelled and projected over time. Will your income and assets support your ideal lifestyle or even allow you to enhance your lifestyle?
Now do the math
Once you have a spending plan supported by your income and assets, do the projections showing different withdrawal strategies. You need the spending plan first, because the amount and timing of your spending dictates the withdrawal plan. Plus, detailing your spending gives you a better view behind the curtain to see the impact of spending amounts and frequency on tax and capital changes of different withdrawals. What does spending on things like vehicles, special vacations and renovations mean?
I suspect that as you work through this exercise, ideally with a planner capable of using sophisticated software, you will see that the withdrawal order doesn’t matter too much and can be easily influenced by various assumptions. If that is your result, you are in a good position. It allows you to manage your affairs so you are tax-efficient each year.
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Allan Norman, MSc, CFP, CIM
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More Americans Living Paycheck to Paycheck Despite Increased Budgeting
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More Americans are living paycheck to paycheck despite increased budgeting, according to Debt.com’s 2024 budgeting survey of 1,000 Americans, which showed a mixed financial picture.
While more people are budgeting and finding it beneficial to stay out of debt, the number of individuals living paycheck to paycheck has risen 10% over the past two years.
In 2022 and 2023, 50% reported living paycheck to paycheck; this year that number climbed to 60%. Meanwhile, 90% of respondents say they budget, compared to 70% when the survey was first conducted seven years ago.
“Debt.com’s newest survey indicates that while budgeting is becoming more common and beneficial, it hasn’t completely shielded Americans from financial hardship,” said Howard Dvorkin, CPA and Debt.com chairman.
One bright spot is the percentage of people who say budgeting has helped them get out of or stay out of debt, increased to 89% this year from 73% in 2018. Millennials lead the way, with 92% reporting that budgeting has kept them out of debt, followed by 90% of Gen X, 86% of Baby Boomers, and 83% of Gen Z.
The Debt.com survey also highlights the reasons people began budgeting:
- 38% – Increasing wealth and savings
- 21% – Tackling debt
- 17% – Inflation and cost of living
- 15% – Saving for retirement
- 6% – Job loss
- 2% – Divorce or loss of a spouse
“The rising number of people living paycheck to paycheck indicates that economic factors may be driving the need for individuals to fine-tune their budgeting strategies,” continued Dvorkin.
Of those who say they budget, 39% say their whole household works to stay on budget. The survey also shows that, overall men (94%) are budgeting more than women (87%). The top reason women cited for not budgeting was that they “don’t have much income,” while men primarily said it’s “too time-consuming.”
Debt.com is a consumer website where people can find help with credit card debt, student loan debt, tax debt, credit repair, bankruptcy, and more. Debt.com works with vetted and certified providers that give the best advice and solutions for consumers “when life happens.”
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When and how to transfer an RESP for grandchildren – MoneySense
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RESP contributions grow tax-deferred and are eligible for government grants and bonds. Withdrawals are partially taxable and partially tax-free. The taxable portion can be taxed to the post-secondary student, who may pay little to no tax on the income.
Should you give your children money to contribute to an RESP?
Some grandparents choose to contribute by giving money to their children for their grandchildren’s RESP. This can be preferable—for example, if the grandparent wishes to benefit their grandchildren without being responsible for managing the account. This approach can also help families avoid the risk of overcontributing to the account (there is a $50,000 lifetime limit per beneficiary) or making contributions that do not qualify for government grants (typically $2,500 in contributions for the current year, and up to $2,500 for a previously missed year, are eligible).
In your case, Bill, there can be complexities if the RESP makes up part of your estate. Your grandchildren could still be attending post-secondary school in 15 years, and you would be in your 90s. Hopefully, you will be there to see them graduate. But as you allude to, you never know.
Joint RESP accounts
You mention that you have a joint RESP. I think what you mean is that you have a family RESP that is for both grandchildren. I like this approach as it allows for more flexibility for siblings. The account can be used for either child in different increments. One may have more expensive schooling than the other, or one may not pursue post-secondary education at all.
Some providers allow you to open a joint RESP account, meaning one that has two subscribers. (A subscriber is someone who opens an RESP on behalf of a beneficiary.) This can be convenient for administrative purposes, but also from an estate planning perspective. Typically, only spouses or common-law spouses—including former spouses—can be joint subscribers, though.
Naming a successor subscriber
Depending on the financial institution, you may be able to name a successor subscriber for an RESP account. This person takes over the account if the original subscriber passes away. You should check, Bill, to see if you can name a successor subscriber for your grandchildren’s RESP account. This option is not available to Quebec residents.
If not, the RESP account could become part of your estate, and you may have to pay probate fees as well as income tax on the growth of the contributions. You may also have to repay the government grants and bonds.
Even if you cannot name a successor subscriber at the financial institution where the RESP is held, you may be able to do so in your will. The account could then be transferred by your estate to your child, who would continue to manage the account for your grandchildren.
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Jason Heath, CFP
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How to stay on budget this summer, wherever your vacation plans take you – MoneySense
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Summer is peak travel season for Canadians, with July the most popular time for a getaway, according to a recent Deloitte poll.
But if budget worries are casting a cloud over your vacation fantasies, experts say it’s possible to ease that anxiety. Whether you’re adventuring close to home or taking a once-in-a-lifetime trip, here are some tips to ensure summer fun doesn’t break the bank.
How to save on a staycation
Staycations allow you to eliminate some of the biggest expenses associated with travel, such as airfare and hotel stays. But unless you plan to spend the entire time reading on the deck, you’ll want a budget that allows for fun outings.
Paul Seipp, BMO’s regional president for the prairies central region, encourages exploring local attractions and experiences, keeping a special lookout for ones that don’t cost anything. Festivals, fireworks, outdoor events and parades can be a great way to make a staycation feel special.
When you do hit up a pricier local attraction, be conscious of discount days and special offers. Many museums, for example, offer cheap entry on a certain day of the week or after a certain time of day.
“One of the worst things that can happen is that September hangover when the summer bills come in, so (even for a staycation), stay on track by setting up a separate vacation account or having some savings put aside,” said Seipp.
While picnics or packing your own lunch are always budget-friendly options, Seipp said staycationers who want to dine at restaurants should consider happy hours, “kids eat free” days, and other strategic ways to save money.
How to save on a camping trip
Camping can be significantly cheaper than staying in a hotel if you already own the gear, but if you don’t, sleeping outdoors can be pricey. Experts recommend checking second-hand shops, Facebook Marketplace, and even garage sales for lightly used camping equipment.
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The Canadian Press
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How to save on food and drinks at your next sports game or concert – MoneySense
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With foot-long hotdogs roughly $13 and 515-ml premium draft beers nearing $15, the Sarnia, Ont., duo behind the @coupon.couple account started searching for ways to save.
One of their pals had two words: Dugout Deals.
The aptly-named concession stand by sections 240 and 537 sells ballpark favourites for a fraction of the price. Before tax, “value” hotdogs, popcorn and 16-ounce soft drinks go for $3.49 each, while a 12-oz. Bud Light is $5.79, the Blue Jays website says.
“If you got a hotdog and just a pop, it would be, like, under $7,” said Debarros. “That’s awesome compared to $30 at some of the other stands.”
Researching like Debarros did is just one of the ways she and other sports lovers, festival attendees and concert goers say Canadians can save as the summer event season ramps up and people start to be confronted with eye-popping prices.
AtVenu, a point-of-sale technology company, said the average fan in Canada and the U.S. spent USD$68 on food and beverages at festivals last year, up from USD$65 in 2022. The firm found prices for food items jumped 21% on average, and drinks spiked by between 7% and 20%, depending on their format and alcohol content.
But many eventgoers say there are ways to reduce costs.
Check if you can bring your own food and drink
For starters, some venues, including the Rogers Centre, let you bring in food and drinks, though they often must be non-alcoholic and packaged in something other than glass or metal.
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The Canadian Press
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Exclusive discounts from CBS Mornings Deals – CBS News
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