Monday, December 16, 2013

 

Veterans News

A Living Pension

Vets want a retirement plan they can subsist on

Submitted by John LaBelle, Veterans Advocate, Nova Scotia

 

t is a known fact that the latest tax-free contributions increase to the plan will only benefit the well to do families. The present option of doubling the CPP contributions with a doubling of benefits at a later age will be too expensive for small business owners and/or young employees to participate in. Todayís families require two (2) incomes to survive and far too many companies do not provide them with a pension plans.
 

The following retirement proposed plan has a lot of merit and it should seriously be considered because it would provide a better quality of life for today low and mid income Canadians families in their retirement years. Consider the benefits of a tax-free deposit system for our young teenage Canadians. Many of them are working in the hospitality, food and beverage industries with little income and no pension plans protection at a very young age.

 

 The propose tax-free plan would require simple rules:

  • The contributions would be compulsory and levied at 3% of basic pay for both employers and employees when other company pension plan are not available;

  • Employees would be able to move from one employment to another and would only contribute when not participating in a company pension plan;

  • Funds would be invested with Trust companies and/or Banks in their tax-free account;

  • Contributions and investment would be sacred to the employees;

  • Financial advise is available from our financial institutions; and

  • Employees would not be able to withdraw any funds till age 65.

We believe that this plan would provide young Canadians with an opportunity to prepare at a very early age for their financial retirement years. This tax-free plan in conjunction with the Old age security, the present Canada pension plan (CPP) and other pension plans would provide the mid and low income families with a much improved financial income security at age 65. It would provide them with an improved quality of life during their Golden years. It would be possible for young Canadians to be investing in a tax-free account for more than 50 years.

 

For Provincial Premiers: The most important factor in investment is time invested. This would a great opportunity for you to approve a plan that would benefit the mid and low income citizens of your Province.

 

Mr, Flaherty, MP letís get it done! Improve the financial dignity of our low and mid income Canadians. The CPP increase will only benefit the rich and allow future Government to deplete some of its surpluses.

 

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