In this episode, the guys discuss the good and bad from their dividends portfolios in 2019. The highlight their best and worst-performing dividend stock of the year. If you found this podcast you’re probably familiar with the FI/RE movement that has grown in popularity recently. Here at the FI Garage, we’re all on the path to FI, however, we consider the RE part optional.

Useful Tool – Wealthica [1:55]

Our 2019 Dividend Losers [5:30]

SRV.UN SIR Royalty Income Fund (6:06)CLIQ Alcanna (7:55)SOT.UN Slate Office REIT (9:10)CHE.UN Chemtrade Logistics (10:55)ITP Intertape Polymer (12:50)NTR Nutrien (14:30)

Our 2019 Dividend Winners [15:45]

RNW Transalta Renewables (15:50)BEP.UN Brookfield Renewable Partners (18:00)FTS Fortis (22:05)ENB Enbridge (23:20)FN First National Financial (26:30)NA National Bank (28:00)

In this episode, the guys discuss socially responsible investing. What options do we have in Canada, and what we might want in our portfolio. We’ll sample a few new beers as usual too. If you found this podcast you’re probably familiar with the FI/RE movement that has grown in popularity recently. Here at the FI Garage, we’re all on the path to FI, however, we consider the RE part optional.

Beer #1 – Cyclops Single Hopped IPA [0:55]

Useful Tool – Last Pass [3:15]

Sustainable Investing [7:30]

‘Greenwashing’ in ETFs: Why some socially responsible funds may be misleading investors via The Globe and Mail [12:30]Tim Nash is The Sustainable Economist [14:50]Fidelity Sustainable World ETF [23:05]Wealthsimple’s Socially Responsible Portfolio [28:40]Responsible Investment Association’s web site [32:00]Six new ESG-focused ETFs launched by RBC iShares via Advisor.ca [38:50]Blackrock’s ESG Funds [41:45]Ontario Solar Bonds [48:15]World Tree [48:25]Be a Green Investor with Socially Responsible Investing via Financial Mechanic [54:50]

Beer #2 – Tag! You’re it from Big Spruce Brewing [35:00]

Reading List

What is responsible investing, anyway? via Investment ExecutiveSocially Responsible ETFs via Modern Advisor

In this episode, the guys tackle the emergency fund debate. We’ll sample a new beer as usual too. If you found this podcast you’re probably familiar with the FI/RE movement that has grown in popularity recently. Here at the FI Garage, we’re all on the path to FI, however, we consider the RE part optional.

Beer #1 – Three Ranges Brewing’s UpSwift Creek Pilsner [0:38] – Listener-Sponsored, Thank you very much!

Useful Tool [2:45] – YouTube, Home RenoVision DIY [4:45]

PayTm changes – now charging “convenience fees” – Paytm Canada Review via Maple Money [3:55]

Emergency Funds [8:59]

Have an Emergency Plan!

The Economist has an “Emergency Fund” and wrote about it here [9:50 and 32:20]Dave Ramsey’s Baby Steps [10:10]eqbank [14:42]Springy Debt Instead of a Cash Cushion via MMM [18:40]

In this episode, the guys ask if the Canadian government makes it harder for us on our way to FIRE than for Americans? We’ll sample a few new beers as usual too. If you found this podcast you’re probably familiar with the FI/RE movement that has grown in popularity recently. Here at the FI Garage, we’re all on the path to FI, however, we consider the RE part optional.

Beer #1 – Guinness Draught [1:00]

Useful Tool – Our Listeners [5:00]

Thank you for helping us get to 2,000 listeners in one month and for all your feedback

The FI Garage Dictionary [7:30]

Has the Canadian Government made it easier or harder to fire?

Retirement and Other Accounts [9:30]

Traditional Individual Retirement Account (IRA) is like an RRSP BUT we are not charged penalties for early withdrawal [9:50]Spousal IRA is like a Spousal RRSP [12:45]Roth IRA is like a TFSA [13:05]401k is like a Group RRSP or a Defined Contribution Pension Plan [16:05]529 is like an RESP [19:19]ABLE Account is like an RDSP [22:30] Health Spending Account (HSA) – we don’t need these because we have private health care [25:15]Flexible Spending Account (FSA) – pretax dollars that can fund expenses like vision, dental, etc. – we’d love a similar account in Canada! [26:20] Simplified Employee Pension (SEP) IRA is like a Traditional IRA with higher limits [29:00]Savings Incentive Match for Employees (SIMPLE) IRA is basically an RRSP match program [30:05]Certificate of Deposit (CD) is essentially a GIC [31:08]

Maneuvers [32:05]

Backdoor Roth – we do not need this as everyone qualifies for TFSAs [32:05]Roth IRA Conversion Ladder – we never incur penalties to withdraw from TFSAs or RRSPs [32:25]

Government Programs [32:55]

Social Security vs CPP, OAS, GIS, Pharmacare

Canadian Accounts [34:45]

LIRA – a holding place for pension plan money you have cashed out [35:29]RRIF – what you convert an RRSP to if you want regular withdrawals or you are too old to hold RRSPs [36:25] LIF – what you convert a LIRA to so you can withdraw money [37:40]

Reading List

The US/Canadian FI Glossary via Chrissy at eatsleepbreathefi.com (8:45)What’s the Difference Between Retirement in Canada and America via Investopedia

Today on the FI Garage The Mechanic and The Accountant have a coffee (cut us some slack it was really early in the morning) and get to speak with The Expat, who lives overseas and uses geo arbitrage on his way to FI.

The Expat discusses his favorite beers from back home, Fat Tug , Blue Buck and Electric Unicorn (1:35)We discuss the move from South Africa to the UK and subsequently meeting his wife in a bar in Vancouver and moving to Canada (2:35)We discuss the move to Saudi Arabia and the advantages of going overseas (3:15)Using your career to travel overseas (5:15)Cutting ties to become a non resident of Canada so you no longer pay taxes to Canada (6:20)Lots of little wins add up to very high savings rates (10:00)Steeping up your salary for working overseas (12:30)How do you invest as an expat (13:30)What investment products are tailored towards expats, and which to avoid (19:00)What are the Expats post FI plans (23:00)Taking advantage of your travel allowance to see the world (25:25)What its like living overseas with kids (29:20)How do you finds jobs overseas (30:30)How long till the novelty of being overseas wears off (35:20)Is being an expat a good trial run for post FI travels (38:00)What are the most important things to consider for something thinking of going overseas (39:45)

A must read for anyone thinking of becoming an expat is Andrew Hallam’s the Millionaire Expat.

In this episode, the guys discuss asset allocation and location. Are we on target? Are you? The beers we sample are from Cali this week! If you found this podcast you’re probably familiar with the FI/RE movement that has grown in popularity recently. Here at the FI Garage, we’re all on the path to FI, however, we consider the RE part optional.

*These show notes are for entertainment purposes only.

Beer #1 – Pacific IPA – Brewed and Bottled by Santa Cruz Mountain Brewing in California [1:05]

Canadian Beer vs American Beer [3:00]

Useful Tool – Money Ready App [4:30] – Financial Planning Time Machine

The FI Garage is going to FinCon 2020! [11:40]

Asset Allocation and Location [12:30]

The Mechanic’s Portfolio [13:30]Too spread out, too many legacy equitiesFixed Income allocation is around 10 percent but moving to a larger percentage as he moves towards FIREPreferred Shares [20:05]The Accountant and the Economist hold zero fixed income [15:20]Don’t confuse Risk and Volatility [16:10]Is it worth holding bonds to be able to reallocate? [16:30]The Economist asked this question and came to the conclusion that it is not worth holding bonds just in order to reallocate*Bias to Canadian Holdings [22:00]What to do now that you’ve created a Home Bias? [23:10]You can direct your brokerage to move equities between different types of accounts [23:45, 26:00]We talk asset location [24:30, 36:35]The garage’s CAN/USA/International allocation goals [27:35]Mark Seed says you should worry about asset location not allocation, correct assets in RRSP, TFSA, non-reg [36:35]REITs [37:25]InterRent [43:40]Dividend-paying ETF is also an option in you would like a dividend strategy without the work [46:40]

Beer #2 – Foggy Forest Double IPA – Brewed and Bottled by Discretion Brewing in California [41:15]

Reading List

Spoiled for (ETF) Choice via FIGarage.ca (The Economist)

My Asset Location, Location, Location via my Own Advisor [36:35]

Is this Canada’s Best REIT? via MoneyMaaster [40:20]

The Accountant and the Money Mechanic we lucky enough to ‘win’ the lottery and get a couple tickets to Camp Mustache Toronto 2019. This episode is a short wrap up of their trip to Ontario and their experience at camp. #CMTO2019

In this episode, the guys wade into muddy mortgage waters. HELOCs, rates, insurance, terms, renewals there’s too much to cover for one episode. We’ll sample a few new beers as usual too. If you found this podcast you’re probably familiar with the FI/RE movement that has grown in popularity recently. Here at the FI Garage, we’re all on the path to FI, however, we consider the RE part optional.

Beer #1 – Heineken [0:35]

Advice from the Money Mechanic: Don’t buy Heineken bottles [1:25]

Useful Tool – Don’t Jump into a Cash Rewards Program [2:30]

See Reading List

Mortgages [7:30]

How much down? [8:30] CMHC Insurance is required on any mortgage with less than 20 percent downLearn about mortgages and how much you will pay [10:30] Ratehub.caMortgage Broker or Bank? [12:15]Consider the Terms of the Mortgage, Not Only the Rate [16:00]Cost of Breaking Mortgage Before the Term is Up [16:50] Variable or Fixed Rate [17:10] Prepayment [18:30]Re-advanceable [20:50, 33:30] What is a Home Equity Line of Credit (HELOC) [21:00]Accountant’s HELOC Analogy [24:00, 34:10, 34:50] Might have to change lenders and/or re-qualify [33:00]CIBC is Looking for Mortgage Business [25:00]Hiker and his Bernese Mountain Dog Rescued After Night on Buntzen Lake Trail [36:00]Why do the members of the garage have HELOCs? [38:00]To Free Up Capital for Further InvestingSmith Maneuver [39:00]Mortgage protection insurance vs life & disability insurance [40:00] Payment Frequency [45:30]

Beer #2 –Hoyne Pilsner [29:00]

Stupid Money Move [48:30]

Not shopping around for the best mortgage rate on renewal a form of Paying Extra for Convienance

Reading List

Best Cash Back Apps: How to Get Rebates and Rewards from Your Purchases via onlinemoneypage

The 20 Best Cash Back Apps to Save Money When Shopping via Savvy New Canadians

In this episode, we discuss the rise of side hustling. And in a new twist, we sample a bottled cocktail. If you found this podcast you’re probably familiar with the FI/RE movement that has grown in popularity recently. Here at the FI Garage, we’re all on the path to FI, however, we consider the RE part optional.

Beer #1 – Toasted Old Fashioned – Bar Chef (00:50)

Useful Hack – Flashfood* (4:50)

Topic

What is a side hustle (10:45)Is it really just having two jobs? (12:00)Should A side Hustle be something you enjoy? (13:15)Are people side hustling for the sake of it without actually looking to see if the money they are making from the time they are putting in worth it? (14:50)The Mechanic discusses when he tried to side hustle as a transcriber. (16:05)The Mechanic tries to pitch that he will do custom narrations for anyone willing to pay him. (Thus far he has had zero requests and we predict it is more likely for someone to pay him to stop talking) (19:20)We discuss if the best side hustles are businesses that are scale-able where you aren’t just trading time for money (21:10)Is the rise of side hustling taking focus away from peoples career where they could be making more money? (23:15)You can get paid to check what’s in your fridge (24:30)The Side Hustle Book (26:55)Millennial Money Side Hustle Ideas (28:50)Can you use your side hustle to accomplish other things while making money (31:25)Online surveys are a waste of time (34:20)When does your hobby become a side hustle (37:15)If you can monetize a side hustle there are many other benefits thanks to the tax write off (37:45)

Beer #2 – Stiegl – Brewed & Bottled in Salzburg, Austria (25:25)

Stupid Money Move

Reading List

15 Best Side Hustles You Can Start Earning With Now via The College Investor

10 Ways to Add Extra Income to Your Bank Account in Canada via The Penny Hoarder

$1 Million Side Hustle Ideas for 2019 via Millennial Money

Side Hustle – From Idea to Income in 27 Days by Chris Guillebeau

Today on the FI Garage The Mechanic and The Accountant have a beer and get to speak with Kevin & Jeannine, who use their RRSP’s to do second mortgage lending and consistently achieve +10% returns on their cash!

Introduction

Beer #1 – Sneaky Weasel by Balderdash Brewing (0:55)

Mortgage Lending

The RRSP Secret (2:10)Kevin & Jeannine Background (2:30)What is an arms-length mortgage (4:40)How the loan is secured (6:00)What accounts are eligible (8:10)Rate of return on the loans (9:10)Security on the loan (10:10)What you need to evaluate on each deal (12:15)Why lending instead of investing directly in real estate yourself (14:30)Minimum loan amounts (15:30)Term (16:00)Who are you loaning to? (16:30)How has this changed your path to Financial Independence (19:30)Doing loans outside of registered accounts (23:00)Example of how mortgages can be funded from multiple places (23:50)What Canadian banks will allow you to do this (25:15)Canadian Western TrustOlympia TrustFees related to loans (25:50)How long does it take to find a deal (33:35)How often does your broker send you deals? (35:30)Have you had to deal with and loan defaults? (36:55)Beer #2 – Big Surf Beer Co (45:00)We fire The Economist (46:30)What are the provincial differences with regard to foreclosure? (47:30)What are the steps in the lending process? (50:00)Would you sell index funds to start mortgage lending? (1:02:00)REIN – Real Estate Investment network