When Life Happens, Where Will the Money Come From?

Imagine an unexpected $5,000 repair bill during a week when your investment portfolio has already taken a hit. You have money invested for the future, but the bill needs to be paid now. Suddenly, a market decline that felt manageable has become a decision about what to sell.

That is where an emergency funding plan earns its place. Knowing where the money will come from can reduce the pressure to sell long-term investments at an unfavourable time. It can also make an unsettling market easier to live through.

The right arrangement will look different from one household to the next. Cash in a bank account, a money market fund held separately in your investment account, or a pre-existing line of credit may each have a role. What matters is how those resources would work in your circumstances.

Start with what could happen

A broken appliance versus several months without income create very different demands. One requires a payment. The other requires a way to keep paying for housing, groceries, childcare and existing debt while your usual paycheque is missing.

Before choosing an account or an amount, consider what your household would need to keep functioning. How much of your spending is essential? How dependable is your income? If you have two incomes, could the same event affect both?

A household with predictable earnings and room in its monthly budget will need a different arrangement from someone who is self-employed, earns commissions or supports a family on one income.

Give each source a clear job

Cash in chequing or savings is straightforward: it is money you already own and can generally access quickly. Keeping a portion separate from your everyday spending can help prevent it from gradually becoming part of the monthly budget. A savings account may also pay interest while the money waits.

A money market fund in an investment account can serve a similar behavioural purpose. The reserve is out of sight, while still set aside for a specific need. These funds hold cash and short-term debt securities, but they are investments. Check the specific fund and account, including how long selling units and transferring the proceeds to your bank account would take.

A pre-existing line of credit can provide a short-term bridge when an expense arrives before the money to pay it. For a household with dependable cash flow and a realistic repayment plan, that flexibility can be useful. One of the potential problems with the line of credit is that it also creates debt. Interest rates are generally variable, and making only the minimum payment may leave the balance outstanding. One thing that usually is not known about a line of credit is that a lender can demand repayment of a home equity line of credit at any point in time. If your plan depends on borrowing, understand those terms before you need the money. The practical question is how you would repay it if your income were interrupted. Borrowing to handle a temporary timing gap is a different commitment from borrowing every month to cover ongoing living costs.

A combination may fit your life

You do not have to choose just one approach. You might keep enough in a bank account for immediate expenses, hold an additional reserve in a money market fund, and retain an unused line of credit as another option. Each part should have a purpose, with a clear order for using it.

Walk through the plan before relying on it. If a major bill arrived tomorrow, what would you use first? If your income stopped for several months, what would change? If you borrowed, what money would repay the balance, and when?

“I will repay it when markets recover” leaves too much outside your control. A recovery has no dependable deadline, while interest and household bills continue to arrive.

Make room for the unexpected

Holding a reserve has a tradeoff: money kept readily available may earn less than investments chosen for long-term growth. This “cost of comfort” deserves consideration alongside the flexibility the reserve provides. Its value includes giving you more choice when life becomes expensive at an inconvenient time.

This is why I see emergency funding as part of the financial plan and the investment conversation together. The way you cover short-term needs affects how confidently you can commit money to longer-term goals.

You cannot choose when the next unexpected expense will arrive or what markets will be doing that day. You can decide in advance how you would respond. Does your backup plan fit your life—and would it work when you actually need it?

Jesse Ogloff, B.Comm, PFP, CFP, CIM, CFDS

Associate Wealth Advisor / Associate Portfolio Manager

CIBC Wood Gundy


Healthy Income, Zero Strategy: The Mistake Young Professionals Make

There is a stage of life when the things you worked toward begin arriving together.

Your career is gaining momentum. Your income is growing. A relationship becomes a shared future, and conversations turn toward marriage, buying a home, or starting a family.

After years of education and putting things off, you also want to enjoy yourself. Take the trip. Find a place with more space. Have a little breathing room.

Yet alongside that progress comes a feeling you might not have expected: you are earning more than ever, but you are still unsure whether you are getting ahead.

That is understandable. A growing income creates possibilities. Deciding how those possibilities fit together takes some thought.

For many young professionals, financial complexity arrives well before a large investment portfolio does.

There may be student debt to repay, a down payment to build, and investments to start. At the same time, you and your partner may be considering what parental leave would mean for your household, how much home you would feel comfortable carrying, or whether one of you might eventually work less.

Depending on your career, questions about partnership, self-employment, or incorporation may arise, too.

Each decision deserves attention. And each one affects the room you have for the others.

A larger mortgage changes what you can save. An aggressive debt repayment schedule can leave less cash available for an upcoming life change. A career move may offer greater long-term opportunity while making income less predictable in the meantime.

You can make a series of individually reasonable decisions and still find yourself with a financial life that feels stretched.

Consider a young professional who has recently moved into a higher-paying role. Their partner is also working, and together they feel ready to buy a home. They still have education debt, would like to start a family within a few years, and want to begin investing more seriously.

There is nothing unusual about those goals. The challenge is that the same dollars are being asked to support all of them.

Before choosing a monthly investment contribution or a house budget, it helps to understand the whole picture. What would their finances look like during parental leave? How much flexibility would they want afterward? Which commitments would still feel comfortable if their plans changed?

Those conversations give the numbers meaning. They help a couple decide what they are comfortable committing to and what they would prefer to leave open.

This is where planning earns its place.

A useful financial plan connects where you have been, where you stand today, and what you want your future to look like. It takes account of the commitments you already carry, the habits you have developed, and the people who depend on you.

It also makes room for questions that do not have purely mathematical answers.

How important is owning a home soon? What would make you feel financially secure enough to change jobs? How much do you want to enjoy today, and what are you willing to set aside for later?

The answers will be different for every household. They may even be different for two people living in the same household. Getting those priorities into the open is part of the work.

A good income can make these conversations easier to postpone. There is a natural temptation to assume that the next raise will create the breathing room, or that serious planning can begin once there is more money invested.

But as income grows, commitments can grow with it. A few larger recurring expenses can absorb much of the increase before you have consciously decided what you wanted it to accomplish.

That does not mean every raise needs to be saved or every purchase needs to be justified. Enjoying the life you are building belongs in the plan, too.

The aim is to make those choices deliberately, with an understanding of what they mean together. Sometimes that means saving more. Sometimes it means giving yourself permission to spend. Sometimes it means slowing down one goal to protect another that matters more.

You do not need to know exactly what the next twenty years will look like to begin. You need a clear starting point, sensible priorities, and a process for revisiting decisions as life changes.

Your career will evolve. Your family may grow. What feels important at thirty may look different at forty. Planning gives you a way to respond thoughtfully along the way.

A strong income is a valuable opportunity. Turning it into lasting security, flexibility, and a life you enjoy takes ongoing attention.

If you are earning well and wondering whether it is translating into progress, that is a worthwhile place to start a conversation.

You do not have to wait until you have accumulated substantial wealth to think carefully about the life you want it to support.

Jesse Ogloff, B.Comm, PFP, CFP, CIM, CFDS

Associate Wealth Advisor / Associate Portfolio Manager

CIBC Wood Gundy


Why Markets Can Rise Through Uncertainty

Making investment decisions when the headlines feel unsettled

You open the news and find another reason to be cautious. Borrowing costs are rising. Energy is more expensive. A conflict overseas threatens to reach further into everyday life. Then you look at the market and wonder how share prices can remain so close to their highs.

Perhaps you have money waiting to be invested. Perhaps retirement is approaching, and you are thinking about protecting what you have built. Either way, the thought is understandable: would it be better to wait until things settle down?

The difficulty is deciding what settled would look like. There will always be something unresolved. A financial plan needs to give you a way to make decisions while those questions remain open.

Despite higher oil prices, rising bond yields and tighter monetary policy, currently the S&P 500 is less than 1% below its August 13th record high as of September 22nd. The US economy has continued to be resilient and corporate earnings continue to be healthy and growing.

That resilience deserves attention. Understanding it begins with remembering what you own when you invest in shares of the great companies of today: a claim on a business and its future profits. The news matters because of what it might change about those profits in the future, and about the price investors are willing to pay for them.

A company can face higher costs and still earn more if demand for its products remains strong. A difficult outcome can also be less damaging than investors expected. Prices reflect expectations, so an alarming development does not automatically produce an equally alarming market response.

This helps explain why following the news closely can still leave you surprised by your portfolio. Identifying a problem is only part of the work. You also need to understand its likely effect, how long it may last and how much concern is already reflected in prices.

Higher interest rates offer a useful example. Their impact depends partly on who needs to borrow and when. A business with fixed borrowing costs for several more years faces a different situation from one that must refinance next month. The same increase in rates can reach different balance sheets at very different times.

Energy prices require similar care. A brief increase and a prolonged period of higher costs can have very different consequences for household spending and business profits. Lower energy intensity and the relatively small share of household income spent on gasoline entering the year have acted as buffers against the shock of higher energy prices.

None of this makes higher rates or expensive energy harmless. The effects can build over time. Strong earnings can weaken, and investors can discover that they were too optimistic. A market holding near its highs tells us how investors have responded so far. It cannot promise what happens next.

That is why I would be careful about turning this discussion into a reason to take on more risk in your portfolio. The useful question is what your own finances can support through a range of outcomes.

Consider two families with the same investment balance. One expects to use a substantial portion for a home purchase next year. The other is saving for retirement twenty years away. They can read the same economic news and reasonably make different decisions. Their money has different responsibilities.

Begin with those responsibilities. What will you need to withdraw, and when? How much flexibility do you have if markets decline? Would a difficult year force you to sell investments to meet expenses? The answers help determine how much belongs in cash and other more stable holdings, and how much can remain invested for longer-term growth.

Then review whether your portfolio still fits. A strong market may have increased your exposure to equities beyond the level you intended. Rebalancing can restore that balance without requiring a forecast. A change in your income, spending or retirement date may also justify an adjustment. Those are concrete reasons to revisit a plan.

If you are waiting to invest because the news feels unsettling, be specific about what would change your mind. Lower prices may arrive alongside worse headlines. Better news may arrive after prices have already risen. Without a clear decision process, waiting can become an open-ended position of its own.

You do not need to feel comfortable with every headline to make a considered decision. You do need to understand the risks you are taking and how they fit the life your money is meant to support.

You worked hard to build this wealth. Give it a plan that leaves room for uncertainty, with enough stability for the commitments ahead and enough patience for the goals that will take time.

Jesse Ogloff, B.Comm, PFP, CFP, CIM, CFDS

Associate Wealth Advisor / Associate Portfolio Manager

CIBC Wood Gundy


Strategic Gifting

Giving to adult children with purpose, clarity and a plan.

You watch your adult child do the things you hoped they would. They work, save, care for their family and try to build a life of their own. Still, there is very little room left at the end of the month. Meanwhile, you look at what you have accumulated and wonder whether some of it could be doing more for them today.

Then another thought follows: if you help now, what happens later? Will they become more independent? Will their siblings understand? Will you still have enough? These questions deserve a place in your financial plan. They reveal what the money means to you, and what you hope it will make possible for the people you love.

Think of a gift as helping lay a foundation. Its value depends on what it supports. A contribution toward education, a manageable first home or a difficult period of childcare can help your child build something lasting. The same amount, offered without a clear purpose or expectations, can leave everyone unsure of what comes next.

Before deciding how much to give, ask yourself: what do I hope will be different in my child’s life because of this money? You must be specific. Perhaps you want them to finish a qualification without taking on more debt. Perhaps you want to ease the pressure during parental leave. Perhaps you want to help with a down payment while leaving the ongoing cost of homeownership firmly within their means. That purpose gives you a way to judge whether the help is working.

The time of the gift matters as well. An inheritance received late in life may arrive after the years when housing, young children and career demands placed the greatest strain on a family. An affordable gift earlier on may create choices when they are particularly valuable. You also get to see what your generosity makes possible. There is no obligation to give early, however. Keeping resources available for your own life is a valid decision. Your financial security is part of the foundation your family relies on.

An account balance alone cannot tell you what you can afford to give. Those assets may need to support decades of spending, rising costs, future care and the surviving spouse’s needs. Travel, charitable commitments and the freedom to make your own choices belong in that calculation as well.

This is where planning earns its place. Compare the effect of a gift today with smaller gifts over time or a transfer through your estate. Test those choices against weaker investment returns, higher spending and a longer life. Allow room for outcomes that do not follow the forecast. No projection creates certainty, but it can show which promises your finances are better equipped to support.

If a gift only works when markets perform especially well, reconsider the amount or timing. Increasing investment risk to make a gift affordable introduces another vulnerability into the family’s plan.

Once you understand your capacity, the conversation becomes more useful. If you have a partner, begin together. One of you may see support as an opportunity; the other may worry about dependence. Discuss what each of you hopes to protect before making a commitment to your children.

Then make the expectations explicit. Is this a one-time gift? Will there be further help? Is repayment expected? Does it affect a future inheritance? Ask your child what would actually help, too. Their priorities may differ from the ones you have imagined.

You also need to consider how much influence you expect the money to buy. If you would be upset by a particular use of the funds, discuss that before giving. An unspoken condition can turn gratitude into tension long after the transfer has cleared.

Fairness requires the same care. Equal amounts offer one clear approach, but your children may have very different needs. One may require ongoing support because of a disability. Another may need temporary help following a separation. You can acknowledge those differences while still treating each child with dignity.

Explain the principles behind your decisions without disclosing another child’s private circumstances. If you intend to account for earlier gifts in your estate, have the approach properly documented and review it over time. Future care costs, spending and investment results may change what remains available. A promise to balance everything later needs more than good intentions.

The practical details should serve these decisions. For a typical cash gift between a Canadian parent and adult child, the child generally does not report the gift as taxable income. But raising the cash may create a tax bill for the parent. Ordinary RRSP withdrawals are generally taxable, and transferring investments that have increased in value can trigger a capital gain based on their fair market value.

A gift toward an eligible child’s First Home Savings Account can also be useful, provided they have contribution room. You give them the cash and they contribute to their own FHSA. The eligible tax deduction belongs to your child. It does not become your deduction because you supplied the money.

Be equally clear about whether the support is a gift or a loan. If repayment or protection matters, ask a lawyer to put the appropriate arrangement in place before money changes hands. For substantial transfers, especially toward property, obtain advice on documentation and the applicable provincial family-law rules.

You do not need to solve every question at once. Start by writing down what you want the help to achieve. Review what your own plan can support, agree on the expectations and choose the structure that fits. A smaller, well-considered commitment can be a meaningful place to begin.

You spent years building a foundation for your family. Giving thoughtfully allows you to extend it, with enough strength left to support your own life as it changes. That is a worthwhile purpose for the wealth you have worked so hard to create.

Jesse Ogloff, B.Comm, PFP, CFP, CIM, CFDS

Associate Wealth Advisor / Associate Portfolio Manager

CIBC Wood Gundy


Mid-Year [2026] : Staying Focused When Markets Give Us Plenty to Watch

As we reach the halfway point of 2026, it’s tempting to judge the year by its headlines like geopolitical conflict in the Middle East, questions around inflation, interest rate speculation, and artificial intelligence dominating technology stocks. Record highs in some markets while others quietly outperformed.

If it feels like there’s been no shortage of reasons to worry, you’re right. Yet despite everything that’s happened over the past six months, global markets have continued moving higher. That may seem surprising at first—but history suggests it shouldn’t.

One of the greatest misconceptions in investing is believing markets wait for certainty before moving forward. In reality, they rarely do. Markets continuously absorb new information, adjust expectations, and move on long before the news cycle does. That’s why successful investing has never been about predicting the next headline. It’s about having a plan that doesn’t depend on predicting headlines at all.

The Story Behind the Numbers

The first half of the year has been a reminder of just how unpredictable markets can be. The S&P 500 reached new highs after stumbling earlier this spring as investors reacted to geopolitical tensions. Technology companies rebounded strongly, while emerging markets quietly became one of the year’s strongest performers. Meanwhile, many investors who expected gold to provide protection during global uncertainty actually saw it lose value during the conflict, while equities continued climbing. 

Perhaps the biggest lesson isn’t which investment performed best. It’s that it is nearly impossible to predict these outcomes. Every January, financial institutions publish forecasts identifying the sectors, countries, or asset classes they expect to lead. By June, those predictions are often forgotten because markets had other plans. The first half of 2026 was another reminder that leadership changes quickly. Trying to guess tomorrow’s winners often means missing today’s opportunities.

Why Diversification Still Matters

Over the past five years, international value stocks have quietly outperformed many of the areas investors have spent the most time talking about. That’s important because it reinforces a lesson that doesn’t get enough attention: The best-performing investments are often the ones receiving the least attention. No one consistently knows whether the next five years will belong to U.S. stocks, international markets, emerging economies, large companies, or smaller businesses. Because we don’t know, we don’t try to guess. Instead, we build globally diversified portfolios designed to participate wherever opportunities appear. Diversification isn’t exciting. But investing rarely rewards excitement.

Interest Rates, Inflation and the Questions Everyone Is Asking

Another common question this year has been: “When will interest rates come down?”

The honest answer is that nobody knows. The Federal Reserve (US) and The Bank of Canada have continued holding rates steady while inflation remains stubbornly above target and economic data continues sending mixed signals. Markets have repeatedly adjusted expectations for future rate cuts. This is another reminder that markets price in expectations almost instantly. By the time news becomes obvious, markets have usually moved ahead. Rather than trying to predict central bank decisions, we focus on building portfolios that can weather a wide range of economic environments.

Investing Isn’t About Winning This Year

One of my favorite reminders is that none of us are investing for 2026. We’re investing for retirement, for children’s education, for buying a home, for financial independence, for the ability to spend more time with family.

Markets will always have good years, disappointing years, and years that feel confusing. Your financial plan shouldn’t require you to predict which one comes next. Instead, it should provide confidence that you’re making steady progress toward goals that matter regardless of what the market does this month. That’s why every recommendation we make starts with your life—not with the market.

Time Is the Advantage Most Investors Underestimate

Many people believe successful investors have superior forecasting abilities. In reality, they often have superior patience. Markets reward those who remain invested through uncertainty. Every correction, every geopolitical event, every recession, and every recovery has reminded us of the same lesson: temporary uncertainty is the price investors pay for long-term growth. Trying to avoid every decline usually means missing many of the strongest recoveries.

As Nobel Prize-winning economist Paul Samuelson once said: “Investing should be more like watching paint dry or watching grass grow.”

It’s not supposed to be exciting. It’s supposed to work.

Looking Ahead

No one knows what the second half of 2026 will bring. There will almost certainly be more headlines that make investors uncomfortable because there always are. What gives me confidence isn’t knowing what’s coming next. It’s knowing that successful investing has never depended on knowing what’s coming next. It has depended on having a thoughtful financial plan, maintaining a diversified portfolio, controlling the things we can control, and allowing time to do the heavy lifting. That’s exactly what we’ll continue doing.

Thank you, as always, for trusting me to be part of your financial journey.

Have a wonderful summer,

Jesse Ogloff, B.Comm, PFP, CFP, CIM, CFDS

Associate Wealth Advisor / Associate Portfolio Manager

CIBC Wood Gundy


The Hidden Tax Layer in Your Portfolio

Why Where Your ETF Lives Matters More Than You Think

Most investors spend their time deciding what to invest in. S&P 500 or global? Growth or value? Active or passive? But there’s a quieter question—one that rarely gets asked: Where does your investment actually live? Because when it comes to ETFs, location isn’t just geography… it’s taxation. And depending on how your portfolio is structured, that tax can either be minimized—or quietly compound against you for decades.

What Is an ETF (And Why Most Investors Use Them)?

An ETF (Exchange-Traded Fund) is a basket of investments that trades on a stock exchange—just like a single stock. Instead of buying one company, you’re buying hundreds or even thousands at once. For example, an ETF tracking the S&P 500 gives you exposure to companies like Apple Inc., Microsoft Corporation, and Amazon.com Inc.—all in a single purchase. Some of the benefits of ETFs are broad diversification, low cost, and simple & scalable exposure to global markets. But one issue is that two ETFs can look identical on the surface but can produce different outcomes, simply because of how they are structured or where they are domiciled.

The Structural Difference: U.S. vs Canadian-Domiciled ETFs

A U.S.-domiciled ETF (like VTI or VOO) is listed in the U.S. and holds underlying US securities directly. A Canadian-domiciled ETF (like XUU or VFV) is listed in Canada and provides U.S. exposure inside a Canadian fund structure. They may track the same index and they may hold the same companies but the tax treatment is not the same—especially depending on which type of account you use.

The Tax You Don’t See: U.S. Withholding Tax

When U.S. companies pay dividends to Canadian investors, the U.S. government applies a 15% withholding tax. This is where account type starts to matter.

TFSA: Tax-Free… But Not Fully Efficient

The Tax-Free Savings Account is one of the most powerful tools Canadians have but when it comes to U.S. investments, there’s a limitation. The issue is that, for Canadians, U.S. dividends are subject to 15% withholding tax and this taxation within a TFSA is not recoverable. This means that if your ETF generates $1,000 in dividends, you lose $150 permanently.

RRSP: The Cross-Border Sweet Spot

The Registered Retirement Savings Plan is where cross-border planning starts to work in your favor because of the Canada–U.S. tax treaty, the IRS recognizes RRSPs as retirement accounts. The result is that there are no U.S. withholding tax on dividends from U.S. domiciled ETFs, which results in you receiving the entire dividend. So, if your ETF generates $1,000 in dividends → you keep the full $1,000. It is very important to note that this benefit only applies to U.S.-domiciled ETFs. If you use a Canadian domiciled ETF that provides U.S. exposure, the withholding tax is applied inside the fund—and you don’t see it.

Non-Registered Accounts: Not Perfect, But Recoverable

A non-registered account doesn’t avoid withholding tax upfront—but it does give you a mechanism to recover it. As a Canadian, you still are required to pay the 15% withholding tax but you receive a foreign tax credit when you file your Canadian tax return. This results in your avoiding double taxation but you still have to pay Canadian income tax on the income that you earn.

So… What Should You Actually Do?

This isn’t about chasing perfection. It’s about being understanding your investments and being intentional with placement. Use your non-registered account with awareness of tax reporting and structure. Use your RRSP for U.S.-domiciled ETFs when appropriate. Use your TFSA for Canadian equities or growth-focused investments with lower dividend yield

Final Thought

Most investors don’t fall short because they chose the wrong ETF. They fall short because of unnecessary tax drag, reactive decisions during volatility, or a lack of structure behind their portfolio. This is one of the rare areas where a small adjustment can create a permanent tailwind for your NET returns.

Take 15 minutes this week and ask:

  • Where are my U.S. investments currently held?
  • Am I unintentionally losing withholding tax in my TFSA?
  • Is my RRSP positioned to take advantage of the tax treaty?

You don’t need to overhaul everything overnight but tightening the structure—even slightly—can improve outcomes for decades to come.

Jesse Ogloff, B.Comm, PFP, CFP, CIM, CFDS

Associate Wealth Advisor / Associate Portfolio Manager

CIBC Wood Gundy


Life Planning for Two Countdowns

[Life Expectancy vs. Health Expectancy]

When most people plan for retirement, they focus on one question:

How long will my money need to last?

It’s the right question. But there’s a second one that often matters just as much — and gets far less attention.

How long will I be healthy enough to enjoy it?

These two questions point to two different clocks. And understanding the gap between them is one of the most important things you can do when planning for retirement.

The Number Most Plans Miss

In Canada, average life expectancy sits around 82 years and most financial plans will push the life expectancy out even further until at least 90 years old. But according to global health data, the average Canadian lives in good health only until around age 69 or 70.

That’s a gap of more than a decade and up to two decades.

Those later years aren’t without meaning, many people find them deeply fulfilling. But they tend to look different. Travel becomes harder. Physical hobbies get modified or set aside. Energy shifts. The shape of a good day changes.

None of that is a reason for pessimism. It’s simply useful information when building a plan.

The Climb

Think about what it takes to summit a mountain.

The ascent is demanding but exhilarating. You’re moving, building fitness, gaining elevation. Your legs are strong. Your lungs are full. There’s a rhythm to it that feels good, even when it’s hard. The journey up is part of the reward.

The higher you climb, the more the views open up. And as you near the summit, your body is working at its peak. Your preparation is meeting the moment.

The summit itself represents something worth pausing for. It’s where health, capability, and freedom fully align and this window of time is when you can do the things that require all three at once. High-altitude treks. Extended travel. Physically demanding adventures. The experiences that simply aren’t available lower on the mountain.

A wise climber knows this window is finite. They don’t rush past the summit to begin the descent. They take in the view. They use the moment for what it was designed for.

The descent is different. It still requires care, attention, and in some ways it demands even more discipline than the climb. But it’s less strenuous. The body has done its hardest work. The route becomes more about stability and steady footing than peak exertion.

And here’s the part that matters most for planning:

You need enough supplies for the entire journey — the ascent, the summit, and the full descent home.

Running short halfway down isn’t a minor inconvenience. It changes everything.

What This Looks Like in Retirement

Your working years are the ascent. You’re building financially, professionally, personally. It takes effort and discipline, but there’s momentum and energy in it.

The early years of retirement are the summit phase. Health, freedom, and financial security overlap. This is when most people travel, pursue the experiences they deferred, and actually live the life they spent decades building toward. Spending tends to be highest during these years.

The later years of retirement are the descent. Life becomes more local. Routines simplify. Physical goals shift. Spending on active experiences naturally declines, while spending on care and support may rise and you may even want to start to look at gifting some assets to the next generation.

Research consistently confirms this pattern. People spend the most in the early years of retirement, when they feel the best. The challenge is that emotionally, many people do the opposite. They hold back at the summit, worried about conserving supplies, and the window quietly closes.

The Spending Paradox

Here’s something I see regularly in my practice.

Someone spends 30 or 40 years building wealth with real discipline. They reach retirement financially secure. And then, almost immediately,  they struggle to spend.

The question shifts from “What do I want to experience while I can?” to “What if I run out?”

So the trip gets delayed. The adventure gets postponed. The plan becomes maybe next year.

The irony is hard to miss. The summit years arrive but sometimes without the health or mobility to use them. The supplies are full. The window has passed.

Two Questions a Good Plan Should Answer

When I work through retirement planning with clients, I find it useful to separate two distinct concerns.

The first is longevity risk: How do I make sure my money lasts for the entire journey, through the ascent, summit, and full descent?

The second is timing risk: Am I using my resources intentionally during the years I’m most capable of enjoying them?

A plan that only answers the first question leaves something important unaddressed. A plan that answers both gives you the structure to spend confidently at the summit because you’ve already accounted for the descent.

The Goal Is a Well-Planned Journey

A wise mountaineer doesn’t abandon discipline at the summit. They still ration carefully. They still plan the descent. But they also know that standing at the top and actually experiencing what the climb was for was always part of the plan.

Most people say they want to live a long life. What they really mean is a long and well-lived life.

Planning for both your lifespan and your healthspan is making sure you have enough for the whole journey, while using the summit for what it was meant for and is one of the most meaningful things a retirement plan can do.

Jesse Ogloff, B.Comm, PFP, CFP, CIM, CFDS

Associate Wealth Advisor / Associate Portfolio Manager

CIBC Wood Gundy


B.C. NDP Budget 2026 : Rethinking B.C.’s Property Tax Deferral Program

For years, B.C.’s Property Tax Deferral Program was a quiet planning advantage to increase cash flow for what matters, achieving your goals. The Regular Program allowed anyone over the age of 55 to preserve their liquidity at a very modest interest rate.

The newly released 2026 NDP budget changes the math drastically so the strategy deserves a second look.

What Just Happened?

Beginning in 2026 and all future tax years, newly deferred property taxes will accrue interest at a rate of Prime + 2% and will compound monthly. With a current Prime rate of 4.45%, that means new deferrals would carry an interest rate of 6.45% and will compound monthly.

This is not a minor adjustment. Under the previous structure, deferred taxes accrued at Prime – 2% with simple interest, which did not compound. This amounts to a 4% higher interest rate swing on a compounding balance.

Important: Existing Deferrals Are Treated Differently

If you deferred property taxes prior to 2026, those balances remain at the old rate of Prime – 2% with simple interest. Only new deferrals starting in 2026 will be moved to the higher rate. This means, if you’ve deferred in the past, you have a legacy balance at a relatively attractive cost but any future amounts deferred will accumulate at a much higher floating rate.

The Risk of Automatic Renewals

Many homeowners are enrolled in automatic renewal, which means that their property taxes are deferred automatically without reapplying.

If you no longer want to defer under the new rate structure, you must opt out.

To cancel automatic renewal:

  1. Log in to your eTaxBC account
  2. Access your Property Tax Deferral account
  3. Select the option to cancel or opt out of automatic renewal
  4. Ensure this is completed before your municipality’s tax due date

The other option is to contact the Property Taxation Branch of the Ministry of Finance by calling 1-888-355-2700.

If you do nothing, the deferral continues for new loans at a rate of Prime + 2% and is compounded monthly.

This is the kind of governmental change that has the potential to quietly compound negatively over time.

Should You Continue Deferring?

At Prime – 2%, the deferral made strategic sense as the rate was lower than all available borrowing rates, was below most long-term portfolio return assumptions, and was useful for allowing your investments to continue compounding over time.

At Prime + 2%, the conversation changes. The new loans are effectively borrowing against your home at a floating rate range that is currently in the mid-6% range. Since 1980, the average rate of appreciation for BC real estate has been around 6.2% per year so the value of your home is no longer expected to outpace the rate at which the debt accumulates.

Deferral may still be appropriate if your liquidity is constrained, if you are preserving cash for health or longevity planning, or if you have no lower-cost borrowing alternatives. The better alternative may be to utilize a lower-cost secured line of credit or to structure withdrawal plans from existing investment portfolios.

Planning Requires Adapting Constantly

Property tax deferral was never meant to be a default setting but a tool within your all-encompassing financial plan. Tools should be evaluated consistently based on current conditions when they change.

The same way that every invested dollar compounds over time, every thoughtful decision that you make will have a much larger impact in the decades to come.

This isn’t a crisis. It’s simply a reminder that yesterday’s strategy may not fit tomorrow’s math. Good planning isn’t about reacting impulsively and having a qualified professional on your side is having the confidence that they will be proactive to work with you to update your plan as conditions change.

If you are currently deferring your property tax – or are enrolled in automatic renewals – this is a good time to pause and review the strategy before June. If you’d like to walk through how this change affects your retirement income plan, cash flow strategy, or estate objectives, I’m happy to help you evaluate the numbers in the context of your broader financial architecture.

Jesse Ogloff, B.Comm, PFP, CFP, CIM, CFDS

Associate Wealth Advisor / Associate Portfolio Manager

CIBC Wood Gundy


Appendix : BC NDP Budget 2026 (https://news.gov.bc.ca/releases/2026FIN0003-000158)

Improve Your Life By Spending With Intention

One of the most powerful financial concepts has nothing to do with stock picking, market timing, or complex strategies. It’s simply understanding what today’s spending could become if it were invested and allowed to compound and grow over time.

This isn’t about guilt or deprivation, it’s about awareness and intentionality. You should choose to spend money on things that truly improve your own life, while minimizing spending on things that don’t. Everyone is going to have a different answer to what truly brings them joy. It may be the daily coffee, the game on their phone, or spending quality time with the people that we care about. The point of the exercise is to determine what it is for you.

Small amounts may not feel meaningful in the moment, but over long periods of time, they can grow into surprisingly large numbers. At a 10% annual rate of return, money roughly doubles every 7–8 years. To illustrate this, let’s look at what common everyday expenses might be worth 30 years from now, assuming a 10% annual compound rate of return.

A $10 coffee doesn’t feel significant and for many people, it’s a daily ritual they genuinely enjoy. Invested instead, that same $10 could grow to approximately $175 over 30 years. This isn’t a suggestion to give up coffee. It’s simply a reminder that even small, recurring expenses have an opportunity cost and it’s worth understanding what that cost is. Would you still buy the coffee every day if you thought of it like you were spending $175 when you got to the counter?

A $100 dinner with friends or family can be money very well spent if it creates memories and enjoyment. From a purely financial perspective, that $100 could grow to about $1,745 over 30 years if invested. Sometimes the experience is worth far more than the future value and that’s perfectly okay.

A $1,000 purchase may feel like a one-time, justified expense. Left invested for 30 years at 10%, that same $1,000 could grow to roughly $17,449. Larger discretionary purchases naturally carry larger opportunity costs, which is why being intentional matters most when spending more.

One-time purchases are easy to evaluate. Habits are where the real impact occurs — because repetition plus time is where compounding truly shines. Here are two examples, using the same expenses above for a daily coffee during the work week and a weekly restaurant bill.

For our first example, let’s assume that you purchase a $10 coffee, 5 days per week, every week of the year. Let’s assume that you do this over the course of your 30-year career. This would work out to $2,600 per year that you’ve spent on coffee. If that $2,600 were invested annually instead, over 30 years it could grow to approximately $427,000. That number surprises many people, not because coffee is “bad,” but because consistency matters far more than size. If your daily coffee is something you genuinely enjoy and look forward to, it may be money well spent. If it’s simply a default habit, this is where awareness can make a meaningful difference.

Our second example assumes that you treat yourself to a once per week restaurant dinner, where you spend $100. That equals $5,200 per year spent on restaurant meals. Invested instead, over the course of 30 years, that annual amount could grow to roughly $855,000 over 30 years. Dining out can be about connection, convenience, and enjoyment — all valid reasons to spend money. The key question isn’t “Should I spend this?” It’s “Is this spending aligned with how much value it adds to my life?”

This exercise is not about cutting all enjoyment from your life or optimizing every dollar. It’s about recognizing that small amounts add up over time, understanding the opportunity cost of habits, and making conscious decisions about where your money goes. If something brings real joy, meaning, or convenience then spend confidently.

The goal is to reduce spending on things that don’t actually improve your quality of life, and redirect those dollars toward long-term investing or things in your life that personally bring you joy. We rarely regret spending money on things we truly enjoy. We often regret the money that disappeared without meaning. Understanding what today’s spending could become tomorrow gives you clarity, not restriction. Awareness leads to control, control leads to better choices and better choices compound, just like investments do.

Jesse Ogloff, B.Comm, PFP, CFP, CIM, CFDS

Associate Wealth Advisor / Associate Portfolio Manager

CIBC Wood Gundy


Appendix :

Assumes a 10% annual compound rate of return over 30 years

Amount Spent TodayFuture Value in 30 Years
$10~$175
$100~$1,745
$1,000~$17,449

Habit-Based Examples (Annual Investing):

  • $2,600 per year (daily coffee): ~$427,000
  • $5,200 per year (weekly restaurant): ~$855,000

Returns are illustrative only and not guaranteed.

Let’s Play a Game

You have two choices, I’ll give you $1,000,000 today or I’ll give you a magic penny that doubles in value every day for one month. Which would you choose?

As of March 2021, Warren Buffett was ranked 6th on Forbes’ List of the Richest People In the World, with a net worth of $96 billion dollars, but did you know that he actually earned 99% of that value after his 50th birthday? Buffett started buying stocks in his teenage years and amassed a net worth of $140,000 by the time that he reached the age of 26. It didn’t take him long after that to reach his first million, achieving it at age 30, and then proceeded to turned that into a billion in the midst of his 50’s. If Buffett would have taken an extra decade to earn his first million, or had retired in his 60’s and stopped investing, then his situation would be a lot different and he would probably not be such a household name. Buffett’s secret is the fact that he started investing very early and built his fortune slowly over time through the power of compounding. How suiting is it that his biography is called “The Snowball”…

“Compound interest is the eighth wonder of the world. He who understands it, earns it… he who doesn’t, pays it,” is a quote from Albert Einstein. Simply put, the actions that we take today can have a profound and large benefit (or detriment) to our future selves. You can be-like-Buffett and help your future self by investing today or, alternatively, you can put yourself in a worse situation by not understanding the long-term effects of a high interest rate loan with compounding interest (like credit card debt).

The problem lies at the root of humanity due to the fact that, as humans, we are hardwired to be immediate pleasure seekers. It is very difficult for us to delay gratification into the future and the different parts of our brain are constantly battling to sway your decision in their favour. We have an emotional aspect, which wants the pleasure now, and is the key driver of sudden impulses. Then we have the logical part, which is trying to reason with the emotional side to think about the future and the consequences of our actions. We need to be in the right environment to make the right decisions and we need to keep the emotional side of our brain satisfied, thereby assisting the logical side. For example, if you tend to over-spend when you grocery shop due to buying things impulsively then maybe it is a good idea to order your groceries online and simply pick them up but allow yourself to buy one ‘treat’ to satisfy your emotions. A similar idea can be applied to investing; if you know that you will spend the money in your bank account then you should start a regular investment plan that automatically transfers funds to your investments as soon as a payroll deposit is received. Automation is the key here, as it takes our emotions completely off the table. Just by understanding this concept and trying to think of the tasks in your daily life as a struggle between impulse vs. logic will help with your decision making.

So, back to the game, would you rather have $1,000,000 today or would you rather have a magic penny that doubles every day for one month? As you can probably guess, you are actually much better off by avoiding the impulsive decision to take the million now but I’m sure you still thought about it (right?).

Don’t believe me? I’ll break it down for you.

Another thing that I didn’t specify is the month that the magic penny will be based on but, as you can see, it doesn’t matter. Whether it is a month that has 28 days (like February) or one of the many with 31 days, the correct decision always lies with the magic penny. The penny takes 28 days to surpass the up-front one million dollar prize, which is one of the reasons that makes investing so difficult.

The key take-away is that it doesn’t matter how much you are putting away today as long as you are still putting away and investing; a penny today has the potential to be a dollar in your future.

Want to chat about it? Email me at info@financerx.ca