What is an Enhanced Annuity?

Are you nearing retirement? Have you been wondering what your options are? You might not know it, but there are many more options to your retirement than your retirement savings. Sure, this investment may have done you well for the past few years, but if you don’t want to constantly make withdrawals each month, you might be more interested in a plan that pays you automatically each month, just like the days when you were receiving a regular paycheck.

The Annuity

A regular annuity is typically set up when an investor has a lump sum of money, but would rather earn a small portion on those dollars with interest, as well as receive a monthly payment on a consistent basis. Normally, there are terms in place for each type of annuity (they can all be slightly different, depending on the institution offering the annuity) that will tell you how much you will receive each month, and how long your annuity payments will last. Depending on the amount you deposit and the amount you would like to receive each month, your monthly payments will change accordingly. Most often though, the common payback period is 20 years (based on my experience with various annuities).

The Enhanced Annuity

So let’s say your annuity is set to last for 20 years. It begins after your retirement date (typically), so you’re probably about 65 years old. What if you have a medical condition and you’re only expected to live for five more years? Then what good is a 20 year annuity? It would be foolish to invest your money this way! Why wouldn’t you instead look for a more short term annuity that would pay back a larger amount of money each month with a lower period for payback, say five years instead of 20?

Believe it or not, there is such a thing. It’s called an enhanced annuity. If you have high blood pressure, high cholesterol, type 2 diabetes, are underweight, overweight, or currently smoke, you may be eligible to reduce the term on your annuity and receive a higher income each month. If your condition is even more severe than these, then you might be eligible for enhanced annuities, which would offer an even higher level of income.

When you start shopping around for an annuity, you’ll most likely have to fill out some forms with medical information. Be sure to answer these questions honestly and accurately. If you do not, then you might only qualify for a longer term annuity, which could just go to waste if your life expectancy is much less.

I understand that you might be embarrassed to state various conditions on those forms, and it might be upsetting to think that you only have a few years to live on this earth, but think about it. If you’re in this situation, wouldn’t you much rather receive a larger sum of money each month and enjoy your life while you’re here on earth? I would!

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How to Reduce Kitchen Waste

Have you ever thrown away food because it was spoiled or past its expiration date? We have all done this at some point in our lives, but it may happen more often than you think. Did you know that Americans throw away 40% of the food they buy? Not only is that terrible for our landfills, but it’s also hard on our wallets!

My best friend and his wife are all about saving money, which is why they became members of Costco, a large wholesale store. Here, they stock up on cereal, chips, breakfast sandwiches, milk, eggs, snacks, basically anything you can think of. They do not have any kids, but yet, they have a pantry that is overflowing and a refrigerator that’s nearly spitting food out it’s so full!

When I go over to their house to visit, they urge me to help myself to any food they’ve got, so I gladly get up and start raiding the cupboards and the fridge. First, I pull out some Wheat Thins and can already imagine the great flavor that I will soon pop into my mouth. “Don’t eat those! They’re stale” I hear from the living room. I set them aside, somewhat disappointed, and reach for something else. “Where did you find those? That’s probably been in there for years! I wouldn’t eat that if I were you.” My friend’s wife is standing next to me now, trying to help me find something that won’t leave me violently ill.

Sure, they may have gotten a great deal on all the food they bought, but when they end up throwing away more than half of it, it’s suddenly not such a great deal.

1)      The best way to avoid food waste is to buy only what you need from week to week. If you plan out your meals ahead of time, you can limit your food purchases and therefore eliminate your waste.

2)      If you don’t like leftovers, don’t make large meals. We all have great intentions of eating those leftovers, but for some reason nuking it in the microwave just takes away that great flavor from the previous day, so there it sits in the refrigerator. Make small meals and eat it all up. You’ll have much less waste.

3)      Keep your refrigerator and pantry organized. In order to keep your food from spoiling, you must know what’s in there! Plot out certain areas for your pastas, your snacks, your cereals, etc. etc. Also, be sure to always keep the oldest food toward the front of the pantry so you eat it first.

4)      Make your leftovers more appealing. I’m sure you know that the microwave basically kills all the flavor in your meal. Why not try to reheat your meals in the oven instead? Sure, it takes a little longer, but when it comes out, that great taste is still in your food.

If you are successful in wasting less, I’m sure you’ll notice that you have more cash at the end of each month as well. If my friends bought only what they needed, I bet their grocery bill will reduce by 40%!

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How to Incorporate in Canada

Governments all over the world are trying to assist people to create a business. With the high level of unemployment in the Western world, Canada is one of the countries where it is made extremely simple to set up a company. There are different tools on the Internet to help people set up a company in Canada. The government has made it easy to file applications, search for business names, trademarks and check documents online, but if this is the first time you are doing the process, it can be hard to understand the legal requirements. Below you will find some general guidelines on submitting your application, registering your company name and reporting your activities to the relevant state departments.

Federal Level Incorporation

The most popular option of forming a corporation in Canada is to do it on the federal level. This method has several added benefits. Companies would receive advanced name protection, permission to doing business in the whole country and professional client service. The government claims that while it costs more to set up a business at the federal level, it has some obvious benefits for those who are serious about their future company. This incorporation option is good for those who are planning to be in business for a long time and are expecting fast and great amount of expansion in the first years. Support is provided in both of Canada’s official languages.

Online Incorporation in Canada

Thanks to the initiatives of the government, it is now easy to incorporate in Canada using safe and reliable online systems. The online filling centre does not only allow customers to send over information through the forms, but also to check the progress of their application, tax status and registration, The total cost of incorporation can be reduced, choosing a greener and more effective method. All acknowledgement letters and status notifications are sent through secure servers. The only cost involved is the filling fee which can also be paid through the site. Currently it only costs $200 dollars to file a request of incorporation. While document templates are provided, you might decide to add further documentation to the application and this would mean that you will hire a business lawyer to do it for you.

Basic Steps

Once you have determined which form of incorporation you prefer to set up you can start the process online with or without a lawyer. A company name can be found using the online search and once selected, you can start the process. Using the Online Filling Centre is simple and there are help files attached to every section, so you cannot get lost. Upon filling out the form, you will receive an acknowledge letter through the email system alongside with the Certificate of Incorporation, Once you have this in your hand, you are required to register with the province separately. Some provinces also have their own website with the facility to fill out the forms and send the information over via the Internet making it even easier to create a business.

 

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Save Money on Your Bathroom Remodel

Are you considering remodelling your bathroom in the near-future? If your toilet and shower are currently teal or pink, then I hope you’re nodding your head right now. The good news is, if you can handle doing the work yourself, then the cost is really quite manageable.

You know when you get that bill from your mechanic (after your car had some work done to it) and you notice that 75% of the expense is due to labour  It’s the same story with remodels. When you pay a contractor to redo a room in your house, the majority of the expense in your bill is from labour. Continue reading

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Save Money with Softened Water

Have you ever experienced hard water? I sure have. Unfortunately, I didn’t know I had hard water until my white clothes came out of the wash with a dingy yellow look to them. As the weeks went on, I also noticed that this hard water was making my shower impossible to clean (it was slowly turning orange) and my dishes were coming out of the dishwasher with spots! It was not a great experience to say the least.

While having hard water can be a nuisance, it can also be hard (pun somewhat intended) on your wallet! Did you know that hard water impacts the efficiency of your water heater? It’s true! Because of the added metallic minerals, the water takes longer to heat. You may think that the difference would be minimal, but actually, the hard water takes almost 30% more energy to heat! If your water heater costs $500 in energy per year, you could be wasting $150 each year because of that hard water. Continue reading

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