I will cover all the things Millenials need to know when they are deciding on the purchase of their first home. We talk about how to buy a house in Canada, especially in such expensive cities like Toronto and Vancouver and well as how to buy to house in Canada while maximizing your money saved! 

Millennials in Canada are facing a very different home buying environment than their parents. Soaring real estate prices, high levels of student debt and precarious employment are making it difficult for young people to get into the housing market. 

See what it will cost

Save for your down payment

Learn about government perks Home Buyers’ Plan (HBP).

First-Time Home Buyer Incentive.

First-Time Home Buyers’ Tax Credit.

Explore your mortgage options

Buying a first home can be an exciting and challenging task, but knowing what to expect can make it easier.

Today, I’m going to answer YOUR QUESTIONS on the Canada Recovery Benefit that I’ve been getting from comments on my previous episode.

Do we need to pay tax?

The answer is YES! 100% of the Canada Recovery Benefit is taxable to you – they will account for this in two ways.

I’m trying to apply from the past 4 days but online says this service is not available at this time. How to process?

The CRA reported issues in their system hours after the application for benefits opened. They’ve adviced that they regret any impact this may have had on would be applicants. These technical issueds have been restored and the application process for the recovery benefits has now been restored.

What about those who are working 25 to 30 hours per month. Can they get money for lost hours?

The answer here is “maybe” … but let me explain. The Canada Recovery Benefit eligibility requirements state that you must have lost atleast 50% of your income due to COVID related reasons compared to the previous year. Assuming you work 25-30 hours compared to a full 40 hours a week (by law), then you will have only lost about 25%-35% of your regular income. 

What is the Eligibility for CERB?

CERB is the Canada Emergency Response Benefit – this program ended in September 2020, however you can still backdate your request for benefits up until December 2020.

The current benefit that is available for Canadians is the CRB – Canada Recovery Benefit. This program is similar to that of the emergency response benefit however, has more restrictions. 

When are the times for the last benefits?

Between now and September 2021, you can apply a total of 13 times for the Canada Recovery Benefit – these do not need to be consecutive periods. For example, lets say in November 2020 you were laid off due to COVID – you can apply for the CRB and received $2000 to support your income. Then you find a job December 2020 – you will have income from work and no longer need the CRB. In February 2021, all hell breaks loose and we’re back to quarantining – you can apply for the CRB at that time again to sustain your income.

How about young kids to not find a job because of online school?

The minimum age for this benefit is 15 years old - so if you’re younger than that, sadly you’re out of luck. If you are over 15, then great! You could qualify assuming you had $5000 of income in 2019.

Now IF you’re going to school – then the reason you’re out of work could be seen as you choosing school over work, and if this is the case, you may not qualify for the CRB.

Please explain the $38,000 limit.

The $38,000 limit to the CRB is based on all income received from all sources. This includes…

- Working income

- Investment Income (Interest, Dividends, Capital Gains)

- Rental Income

- Canada Emergency Response Benefit Income

- Canada Recovery Caregiving Benefit Income

- Canada Recovery Sickness Benefit Income

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www.clementchung.com

Today I’m going to teach you about the 7 kinds of income sources you need to set up for yourself today!

COVID19 has caused 3 million Canadians to lose their jobs and become unemployed. Sure, many had Employment Insurance and the Canadian Emergency Response Benefit to support their regular income – but what happens when all of these benefits run out?

This is why you need to look at creating alternative sources of income for yourself.

I’m going to go over 7 forms of income that you can start for yourself today!

The first step to becoming financially successful requires you to first understand the basics of making an income or in this case, multiple types of income streams. Once you’re able to do this and automate your financial life – you will be able to gauge how hard you need to work in order to create the lifestyle that you’d like to have.

Here is how the progression will work.

Thanks for tuning in, I'd love to connect! 

Lets Chat.

www.clementchung.com

I'm going to cover everything you need to know about the New Canada Recovery Benefit.

The Canada Recovery Benefit (CRB) gives income support to employed and self-employed individuals who are directly affected by COVID-19 and are not entitled to Employment Insurance (EI) benefits. The CRB is administered by the Canada Revenue Agency (CRA).

You can receive $1,000 ($900 after taxes withheld) for a 2-week period. If your situation continues past 2 weeks, you will need to apply again. You may apply up to a total of 13 eligibility periods (26 weeks) between September 27, 2020 and September 25, 2021.

You can apply by

1. Setting up a CRA Account

2. Create your Direct Deposit with CRA

3. Re-Apply for the benefit every two weeks. 

Thanks for tuning in!

Lets connect! 

www.clementchung.com

Being responsible for your financial situation can be a scary endeavor however, as we move through the changes of our current society – it is super important to educate yourself in personal finance and create good habits that allow you to save & invest consistently.

That’s why I’ve compiled this list of things that you (and your kids) can do, to learn to be financially responsible.

1. Budgeting

With money being such a sensitive topic to discuss in today’s society, its more important than ever for people to learn to be aware of their personal budgets. Consider earmarking these amounts , if possible, to your monthly costs.

2. Compare the Cost of things, to a benchmark

When ever I consider purchasing something, I always compare the cost of the item to the cost of something I value a lot (for example – tesla stock).

3. Being Disciplined in Spending (No Upsell) 

Being Disciplines in spending is absolutely key to financial responsibility. This means buying what you need, and not what you want.

4. Invest, Invest, Invest

By investing regularly, you reduce your risk of trying to time the market – when the prices are high, you buy fewer units. When prices are low, you buy more units. This also allows you to maintain a consistent investment strategy – where you will continue to participate in the stock market growth on a long term basis.

5. Create a relationship with debt.

A lot of people hate debt – however, I tell my clients to instead, build a relationship with debt and learn to understand it better. Fire can be used to burn or hurt others – however, when it is used in the right way, it can make plenty of delicious foods.

Remember – save money, compare everything to Tesla stock, invest regularly and create a relationship with debt. Do this and I promise you will see success in your financial life.

Let's Connect! 

www.clementchung.com

No one has made the official call to have Canadians educated in the basic understanding of personal finances. Canadians are NOT ok! Can you imagine how different our lives would be right now if Canadians knew…

That if they saved 3 months worth of pay, that they could’ve made it through this pandemic much more comfortably?

And if they knew that banks are much more willing to lend you money when you don’t actually need it?

And that setting up a personal line of credit as a rainy day fund isn’t a terrible bad (or good idea)

That most employed individuals can save their money by filing their taxes for free online?

Or that buying a second hand car would save you almost 20% on any vehicle? And that if you approach the dealer with a full cash payment that was set up previously with a loan at the bank, that you’d get even deeper discounts?

And what about buying a home? If everyone knew that a 5% down payment was already enough, though not ideal, to initiate your first home purchase – there would actually be a lot more home owners.

And for the Renters out there, what if I told you that your $1,600 monthly rent was the equivalent of paying for someone’s $350,000 mortgage – and that if you went and lived with your parents for a year and saved $1,600 a month, you could buy a home with the same $350,000 mortgage.

The importance of savings: a 20-year-old can save $260 a month and have $1M by retirement

Connect with me at www.clementchung.com