Welcome Canuck!

Visiting Canada: Parent and Grandparent Super Visa

2011-12-15T11:41:00.003-08:00

Starting December 1, 2011, there's a new class of visa available for parents and grandparents of Canadian citizens and Permanent Residents. It's called the Super Visa.

The Parent and Grandparent Super Visa let's you enjoy visiting your family in Canada for up to two years without the need to renew your status.

Here is the criteria for application.

To apply for the Parent and Grandparent Super Visa, you must:

be the parent or grandparent of a Canadian citizen or a permanent resident of Canada;
be found admissible to Canada; and
meet certain other conditions.

For more information about the Super Visa, visit the Citizenship and Immigration Canada website.

Tom Brokaw Explains Canada To Americans

2011-09-12T11:07:00.000-07:00

This was shown during the Vancouver Winter Olympics. But I forgot to post this until today. It's a great way to describe Canada.

DiverseCity - A Community Resource for New Canadian Immigrants

2011-04-12T23:02:00.002-07:00

DiverseCity is a community resource society that helps newly landed Canadian immigrants settle into their new country.

It offers counselling ,employment, outreach and other services through six main departments, namely:

Family Services
Community Development
Language Programs
Career Services
Interpretation and Translation Services
Fee-for-Service Programs

One of the program provides assessment and evaluation of your current skills to help you find a employment or a guide to upgrade your skills to meet Canadian requirements.

Check out the DiverseCity website for more information.

Retirement Benefits

2011-03-02T12:04:00.001-08:00

Retirement

This year, 2011, marks the year the first of the baby boomers turn 65. Baby boomers are those who were born between 1946 to 1964. So in this edition of the newsletter, I thought it would be good to talk about retirement since we’ve just finished the RRSP season.

When you retire, you qualify for some government pension or benefits like CPP, OAS and GIS. So what are they and how do they work? Here’s a summary.

CPP – Canada Pension Plan

A CPP retirement pension is a monthly benefit paid to people who have contributed to the Canada Pension Plan. The pension is designed to replace about 25% of a person's earnings from employment, up to a maximum amount. For 2010, the maximum amount iwas $934.17. Not very much is it?

But there’s good news! CPP has increased their maximum benefit. For 2011, the maximum CPP benefit you can get is $960.00. Woohoo!

And if you qualify, you can get Old Age Security (OAS) benefit as well, up to $524.23 and Guaranteed Income Supplement (GIS) of $661.69 for a total of $2,145.92.

If you have no mortgage and no debts, you can probably live comfortably on $2,145.92 per month today.

But wait! Before you think that your retirement is taken care of, consider this; if you are living in the Greater Vancouver Area. You are living in the city that has highest cost of living across all provinces.

If you also think you qualify for the maximum for CPP, OAS and GIS. Consider this as well. To be eligible to receive the maximum CPP, there are 2 criterias: Time and Contribution.

Time
The first criterion is that you must contribute at least 40 years between 18 to 65 years old. If you migrated here after you are 18 or started working only after you finished college, then you won’t get the maximum.

Contribution
Every year you work and contribute to CPP between ages 18 to 65, you add to your benefit. To qualify for the maximum, you must not only contribute to CPP for 40 years but you must contribute enough based on what CPP calls the Yearly Maximum Pensionable Earnings (YMPE). For 2010, the YMPE is $47,200.

If you make less than $47,200, you don’t qualify for the maximum because you haven’t contributed the maximum CPP.

You only qualify for the maximum if you retire at age 65. If you decide to retire earlier and get your CPP, your benefits are reduced by 0.5% for each month before age 65 to a maximum of 30%.

So if you decide to retire at age 60, you get 30% less CPP or if you retire at age 63, you get 12% less (0.5% x 24 months).

On the other hand, if you retire after age 65, you get 0.5% more for each month after age 65 to a maximum of 30% or age 70.

Here is a link on how your CPP is calculated.

http://www.servicecanada.gc.ca/eng/isp/cpp/soc/50-70/yourcpp.shtml

If you took some time off work due to pregnancy, you can apply for the child rearing drop out to increase your benefit.

http://www.servicecanada.gc.ca/eng/isp/pub/factsheets/chidropout.shtml

If you were not working or you just happen to migrate to Canadaafter 18 years old, CPP takes off the low earning years in their calculation to help increase your qualified CPP benefit.

The CPP protects your pension by making certain adjustments before calculating 25% of the earnings you contributed over your working life. For example, some low-earning periods during your career may be "dropped out," so they do not reduce the amount of your pension.

OAS – Old Age Security

The Old Age Security program provides you with a modest pension at age 65 if you have lived in Canada for at least 10 years.

The Old Age Security program is financed from Government of Canada general tax revenues.

You may be able to collect OAS indefinitely outside Canada if your OAS has been approved and you’ve lived in Canada for at least 20 years after age 18. Otherwise, payment may be made only for the month of a pensioner's departure from Canada and for six additional months, after which payment is suspended. The benefit may be reinstated if the pensioner returns to live in Canada and meets all conditions of eligibility.

http://www.servicecanada.gc.ca/eng/isp/oas/oasoverview.shtml

GIS – Guaranteed Income Supplement
The Guaranteed Income Supplement provides additional money, on top of the Old Age Security pension, to low-income seniors living in Canada. To be eligible for the GIS benefit, you must be receiving the Old Age Security pension and meet the income requirements.

http://www.servicecanada.gc.ca/eng/isp/pub/oas/gismain.shtml

Payment Rates

Here are something interesting facts to know.

The average CPP benefit in 2010 is $504.50. The average OAS is $490.47 and the average GIS is $452.04 for a total of$1,447.01.

That’s a far cry from $2,145.92. I’m not even sure if you can live off $1,447.01 a month even without a mortgage.

But…

The CPP benefit is indexed to the Consumer Price Index (CPI) and is adjusted once a year.

http://www.servicecanada.gc.ca/eng/isp/pub/factsheets/cpicpp.shtml

OAS is indexed to the Consumer Price Index (CPI) and is adjusted four times a year.

http://www.servicecanada.gc.ca/eng/isp/oas/tabrates/cpioas.shtml

Here are the current rates for CPP and OAS

http://www.servicecanada.gc.ca/eng/isp/pub/factsheets/rates.shtml

http://www.servicecanada.gc.ca/eng/isp/oas/oasrates.shtml

Qualifications

GIS is intended for low-income seniors living in Canada. (The link is based on 2006 rates)

http://www.servicecanada.gc.ca/eng/isp/pub/oas/lis/qualify.shtml

For 2011, if you make over $15,888 a year, you don’t qualify for GIS.

http://www.servicecanada.gc.ca/eng/isp/oas/oasrates.shtml

If your income is over $67,668, your OAS is going to be reduced or “clawed back”. You will have to pay back 15% of the excess of this amount. Here’s a sample calculation.

http://www.servicecanada.gc.ca/eng/isp/pub/factsheets/oasrepay.shtml

Taxes

Like most retirement income, your CPP benefit is considered a taxable income.

http://www.servicecanada.gc.ca/eng/isp/pub/factsheets/retire.shtml#taxation_cpp_benefits

OAS is also taxable

http://www.servicecanada.gc.ca/eng/isp/pub/oas/oas.shtml#five

GIS is not taxable, but must be reported in your tax return.

http://www.servicecanada.gc.ca/eng/isp/pub/oas/gismain.shtml#f

It’s funny that when you get CPP and OAS which is already low, it is also subject to tax. And when you have more income, your OAS is “clawed back” and you don’t get GIS.

RRSP withdrawal is considered an income and is taxed. Any income you receive from your RRSP affects your OAS and GIS if you go over a certain income level.

Why is it that the government penalizes (taxes) you on your savings and then cuts your benefit (OAS and GIS) if you have a lot of savings? That makes it less attractive to actually save right? Yes and no.

Does it make you wonder if it’s even wise to contribute to your RRSP?

The answer is…it depends.

It depends on how much you’ve saved and your individual situation. You may want to contribute to an RRSP to reduce the taxes you pay today. Sometimes, it may not even be advantageous to contribute to an RRSP if you have low income.

Because of this, a new savings plan came out called the Tax Free Savings Account or TFSA.

The TFSA is a flexible, registered general-purpose savings vehicle that allows Canadians to earn tax-free investment income to more easily meet lifetime savings needs.

There are several investment options in a TFSA such as mutual funds, GICs, stocks and bonds. But remember, when you invest in stocks in a TFSA, like you cannot use capital losses inside a TFSA to offset future capital gains.

Income and withdrawals from a TFSA is tax free and does not reduce any of your government benefits like OAS, GIS and the Canada Child Tax Benefit.

So the final question is, will CPP be there when you retire? Here’s a link to the CPP Investment Board explaining the status of CPP.

http://www.cppib.ca/News_Room/News_Releases/nr_01200401.html

If you like to know more, talk to your financial advisor.

Employment Insurance Special Benefits for Self-Employed People

2010-12-03T15:28:00.000-08:00

Beginning in January 2011, self-employed Canadians will be able to access Employment Insurance (EI) special benefits.

For more details, please go to the Service Canada website.

Canada's Money Going Plastic

2010-03-05T12:24:00.001-08:00

This was announced yesterday, March 4, 2010. Canada's paper-cotton bank notes will be replaced next year with longer lasting synthetic ones.

More details at the Globe and Mail.

Vancouver 2010, part 2 of 2

2010-03-01T11:29:00.001-08:00

Here's some new photos of the Vancouver 2010 Winter Olympics from Boston.com.

View all the photos at Boston.com's The Big Picture.

2010 Vancouver Olympic Medals

2010-02-24T13:53:00.005-08:00

I went to some of the venues of the 2010 Winter Olympic games in Vancouver on the weekend and I went to Royal Canadian Mint's venue.

For the first time in the history of the Olympics, the actual Olympic and Paralympic medals were shown to the public. You are allowed to view, touch (with gloves) and take a photo with the medals.

There was such a demand to see the medals that in the morning, around 10am when I went there, the line up stretched around the block and it was 7 hours long! My friends and I decided to go somewhere else and go to the other venues.

By 5:30pm, we decided to go home but I suggested we try and go see how the line up is at the Royal Canadian Mint. Surprisingly, when we got there, the wait was only 2 and a half hours. With this, we decided to just wait it out. We finally got in 2 hours later and I finally got the chance to take photos of the medals.

The photos are not that great since as a group, we were only allowed a maximum of 10 minutes to view the medals. These are my hurried shots of the medals.

A little background on the medals.

Thirty-four Mint engineers, engravers, die technicians, machinists and production experts have combined forces to create an unforgettable series of athlete medals.

The radically undulating face of the medals, evoking the iconic sea and mountains of the Vancouver-Whistler landscape, is the boldest evidence of ground-breaking creative and technical achievement writing a new chapter in the history of the Olympic and Paralympic Games medals. As powerful tributes to the performances of the Olympic and Paralympic Games athletes who will receive them, the athlete medals establish several milestones:

at 500 to 576 grams each, they are among the heaviest in Games history;
with totally unique designs, no two medals are alike;
laser etching was used to flawlessly reproduce the unique, West Coast First Nations designs on the undulating surface of the medals;

More details of the medals at mint.ca.

These are the gold, silver and bronze Vancouver 2010 Winter Olympic Games medals.

These are the gold, silver and bronze Vancouver 2010 Paralympic Winter Games medals.

RRSP Deadline

2010-02-15T11:26:00.002-08:00

The RRSP deadline for 2010 is March 1st. So better make sure you get your RRSP contribution done at least 2 days before that date.

If you live in Vancouver, you better make sure you do it a week before as it is nearly impossible to go around Vancouver these days due to the Olympics and there are some delays in the mail getting to where it needs to go because of that.

You Gotta Be Here in 2010 - Super, Natural British Columbia

2010-01-29T19:26:00.001-08:00

Here's a beautiful ad of British Columbia featuring British Columbians Michael J. Fox, Ryan Reynolds, Erick McCormack, Kim Cattrall, Steve Nash, and Sarah McLachlan.

Mountain Views

2010-01-08T14:54:00.001-08:00

Here are more views of the mountains you can see as you drive along the Sea to Sky Highway going towards Squamish and Whistler.

Click on the photos for a larger view.

Whistler Trip Christmas 2009

2010-01-08T14:53:00.002-08:00

Here are some photos of my recent trip to Whistler on Christmas 2009.

This is Oak Street in Vancouver heading north towards Vancouver. You have to go through Downtown Vancouver to get to West Vancouver to go to Whistler.

A condo in Downtown Vancouver along West Georgia Street. I don't know the name of the condo but I really like the colour of the building.

This is the Vancouver Rowing Club which you can see as you enter Stanley Park.

This is the famous Lion's Gate bridge. Kind of like Vancouver's version of the Golden Gate Bridge.

2010 Vancouver Olympics

2010-01-08T14:47:00.002-08:00

The 2010 Vancouver Olympics starts on Feb 12 to 28. There will be some road closures and rerouting so plan your routes and your activities.

For more details, visit http://www.vancouver2010.com/

Government of Canada announces special immigration measures for typhoon victims in the Philippines

2009-10-05T10:49:00.002-07:00

If you are living in Canada and is sponsoring someone in the Philippines. You may want to read this.

====================
Ottawa, October 1, 2009 — Residents in the Philippines who are significantly affected by Typhoon Ketsana are being offered special measures to facilitate immigration to Canada, announced Citizenship, Immigration and Multiculturalism Minister Jason Kenney.

“I would like to express my deepest sympathy and support for the people of the Philippines affected by this terrible disaster,” said Minister Kenney. “This government is moving quickly to reunite Canadians and permanent residents with their families by extending a welcome to those who wish to come to Canada.”

Effective immediately, Citizenship and Immigration Canada’s (CIC) visa office in the Philippines is responding on a priority basis for those directly affected by the disaster.

This will be applied to new and existing applications from Canadian citizens, permanent residents and protected persons who have close family members in the Philippines. They must, however, identify themselves as being directly and significantly affected by the current situation and notify CIC.

New sponsorship applications should have “Philippines” prominently written on the mailing envelope. Sponsors and applicants presently in Canada who have applications in process should notify the CIC Call Centre at 1-888-242-2100 (in Canada only) to identify their existing applications, if they or the family they have sponsored have been adversely affected.

Temporary residence applicants will be given priority processing by the visa office in Manila once they demonstrate that they have been significantly affected by the typhoon.

These special measures are in addition to the up to $5 million for humanitarian assistance and early recovery to respond to the needs of the populations affected by Typhoon Ketsana announced by International Cooperation Minister Beverley J. Oda earlier this week.

For further information, please visit Citizenship and Immigration Canada’s website.

For further information (media only), please contact:

Alykhan Velshi
Minister’s Office
Citizenship and Immigration Canada
Alykhan.Velshi@cic.gc.ca

Media Relations
Communications Branch
Citizenship and Immigration Canada
613-952-1650
CIC-Media-Relations@cic.gc.ca

====================

Here is the link http://www.cic.gc.ca/english/department/media/releases/2009/2009-10-01.asp

Canada Day Parade

2009-07-13T00:13:00.002-07:00

Canada Day Parade, originally uploaded by exphiles8.

Canada Day Parade in Richmond, BC on July 1st. Moncton Road is closed for the parade.

Happy Canada Day!

2009-07-01T21:51:00.001-07:00

Canada is 142 years old today.

Happy Canada Day!

London Drugs

2009-06-29T12:54:00.002-07:00

London Drugs, originally uploaded by exphiles8.

London Drugs was founded in 1945 as a small drugstore in Vancouver, BC by Sam Bass. In 1976, the business was acquired by the H.Y. Louie Group under the direction of President Tong Louie.

As of Sept 2005, it is the fourth largest pharmacy chain in Canada and carries a range of mechandise including personal care products, foodstuffs, electronics and computers.

Gulf of Georgia Cannery

2009-06-19T16:37:00.002-07:00

Gulf of Georgia Cannery, originally uploaded by selihpxe8.

The cannery was opened in 1894 and was the largest cannery in BC until 1902 packing more than 2.5 million cans of salmon in 1897.

The Federal Government purchased the site in 1984 and was purchased by Parks Canada.

It opened its doors to the public in 1994 in celebration of the centennial of the building. It is now designated as a National Historic Site.

Les Miserables

2009-06-14T19:33:00.002-07:00

Les Miserables, originally uploaded by exphiles8.

Les Miserables showing at the Stanley Industrial Alliance Stage Theatre June 16, 2009 - Sunday, July 19, 2009

Stanley Industrial Alliance Stage Theatre
2750 Granville St.
Vancouver, BC V6H 3J3

Stanley Park

2009-06-02T22:48:00.009-07:00

We spent Sunday at Stanley Park with some friends. It borders downtown Vancouver and it was opened in 1888.

It's 10% larger than Central Park in New York. Here you'll find several attractions like the Vancouver Aquarium, Totem Poles, horse drawn carriage tour, playground, water park, swimming pools and beaches.

It's great to take the kids there to have a picnic or just enjoy the view.

We went to Prospect Point.

From here, you can see the Lion's Gate Bridge and North Vancouver.

The best way to enjoy the park is to drive around first to see what you like, then park your car and take in the sites or go around it. You can walk, roller blade or bike around the park. Most attractions like the playground and water park are free but you have to pay for parking. The Vancouver Aquarium does have an entrance fee and you can check out their info on this here.

Steveston Landing

2009-05-12T13:28:00.003-07:00

Fisherman's Wharf is one of the most famous places to go to in Richmond, BC. On a sunny day, this place is packed with people who comes here to buy seafood freshly caught from the fishing boat.

The restaurants here serve "fish and chips" and are also famous for their seafood chowder.

This photo was taken just after it's been raining the whole day so this is one of the few times this spring time where there's almost no people here.

Richmond Olympic Oval

2009-03-17T16:56:00.019-07:00

Here is a picture of the new Richmond Olympic Oval

The view of the facade at night.

One of the columns holding up the canopy.

Speed skating rink. Open to the public.

Snowshoeing

2009-03-17T16:45:00.012-07:00

We went snowshoeing on March 7, 2009 at Mt. Seymour in North Vancouver, British Columbia. I've been in Canada for over 10 years now and I'm still amazed at the beauty of its surroundings.

Here are some photos I took of our snowshoe adventure.

Richmond Olympic Oval

2009-02-26T13:13:00.003-08:00

The Richmond Olympic Oval is open. This is where some of the games of the 2010 Winter Olympics will be held.

There you can find ice skating, fitness centre, basketball, valleyball and multi-purpose rooms.

I went there the other day and the ice skating is the speed skating oval. It's huge and fast. In the middle of the ice skating ovals is where you can play basketball, valleyball and even indoor soccer.

There are parking spaces available and it should be open to the public on March 2009. They had free ice skating entrance until Feb 25, 2009.

Check out the website for more details.

http://richmondoval.ca/

TFSA

2009-01-02T13:43:00.002-08:00

Happy New Year to all!

Something new in the New Year.

The new Tax Free Savings Account (TFSA) is in effect. You are allowed to put in up to $5,000 a year into this account and any growth or withdrawals will be tax free.

Check with your financial advisor or banks for more details.

Canadian Slang

2008-08-20T15:57:00.001-07:00

As a new immigrant, you probably hear some words that's doesn't seem to make sense. That is, until you find out that what they're saying are uniquely Canadian. Here are a couple of words that'll make it easier for you to understand them Canadians.

ABM - Automated Bank Machine. In some countries, they're referred to as ATMs.

Canuck - A slang for Canadian.

Double-double - A cup of coffee from Tim Horton's with two creams and two sugars.

Eh - Usually added at the end of a sentence or a phrase (That's an interesting sight, eh?)

Homo milk - Whole milk or homogenized milk. Usually 3.25% fat content.

Hoodie - A hooded sweatshirt

Hydro - Electric service. A lot of Canadian provinces uses hydroelectricity. Hence the term.

Loonie - Canadian One Dollar (CAD$1) or the Canadian Dollar coin. It came from having the loon on the back of the coin.

Mickey D's - McDonald's Restaurants.

Pop - Soft drink or soda pop.

Timbits - Name of a donut holes made by Tim Horton's.

Timmy's - Tim Horton's Restaurants. A chain of coffee and donut shop more popular than Starbucks, at least in Canada.

Toonie - Canadian Two Dollar coin (CAD$2) or two Canadian dollar. No, there is no such thing as a treenie. :)

Washroom - Toilet, lavatory, comfort rooms, restrooms.

Zed - the letter Z.

E.C. Manning Park

2008-08-18T12:55:00.003-07:00

E.C. Manning Park
Originally uploaded by selihpxe8

We went camping on the weekend to E.C. Manning Park. It's off highway 3 called Crow's Nest Highway.

I love nature but this is my first time to go camping and it was beautiful. The hiking trail was awesome! The lake was clear and pristine. Everything was perfect.

One of the things that surprised me was the amenities available on the campsite. There was public washroom and shower with hot water.

B.C. Parks has been encouraging people to go use the parks and even has a website with an ad.

Here are the links and you can switch over to my Flickr page for more pictures.

http://www.env.gov.bc.ca/bcparks/

RRSP Deadline 2008

2008-01-25T11:28:00.000-08:00

Just a reminder, RRSP deadline for this year is Feb. 29, 2008.

What happened to my salary? (Taxes)

2007-05-03T12:41:00.000-07:00

I have been neglecting this post for months now. I know, I know, how can you keep a blog and not update it. It's been really hectic for me lately. RRSP season (January 1 to March 1), tax season March 1 to April 30. And I just have been busy taking care of my clients, work and family and it's hard to balance sometimes and sit down and think of something to write.

Anyway, tax season is over and I'm sure a lot of people are not very happy about it. Wondering why they have to pay so much taxes and stuff. Well, in this section, my aim is to explain as simple as possible how taxes work in Canada.

They said that there are only two guarantees in life. Death and taxes. And if you plan to live in Canada, you better be prepared to pay a lot of tax.

Tax rates differ from Province to Province. but there are generally two types of taxes you have to pay, Federal and Provincial. The Canadian tax system is based on a progressive tax system. The higher your income, the higher the tax you pay.

Now you may be wondering why you have to pay two different taxes. The Federal tax is paid to the Federal government and the Provincial is for the Provincial government. You don't pay them separately, you file them together with your tax return.

The 2007 Federal and Provincial tax rates can be found on the CRA website.

Basically, everybody pays the same rate for their Federal tax. But each province sets a different tax rate. From the tax table of the CRA, Alberta has the lowest tax rate at 10% for any income level. Other provinces has a different tax rate depending on how much you make.

To simplify the understanding of how much taxes you will be assessed at. Let's use the marginal tax rate. Marginal tax means the combined rate of both the Federal and the Provincal rate. This makes it easier to understand than computing how much you have to pay in the Federal rate and how much on the Provincial rate. The marginal tax rate combines them and you only use one single rate. Note that you pay your taxes on Federal and Provincial, the marginal tax rate is only a guide to simplify things.

Now, since I'm from British Columbia, let's look at the marginal tax rate for someone named John Doe living in B.C. who made $75,000 in 2007. Looking at the table, you can see that John's tax rate falls in the 37.7% bracket for salary.

Does that mean John will pay tax on 37.7% of $75,000 or $27,750? No. Here is how taxes work. On the first $8,928 of John's income, he doesn't have to pay tax. That's called the basic personal amount. Any income up to that amount is not taxed. This changes every year and I believe it goes up to $9,000 in 2008.

Now, on the income from $8,929 to $34, 397. John pays 21.6% or $5,501.09.
From $34, 398 to $37, 178, he pays 24.7% or $686.66.
From $37,179 to $68, 794 he pays 31.1% or $9,832.27.
From $68,795 to $74,984 he pays 33.7% or $2,085.70.
From $74,358 to $75,000, he pays 37.7% or $642.

In total, the taxes John has to pay is $18,747.72. A lot less than $27,750 is it not? It's still a lot of money, but it's better than paying $27,750. The employer will usually take 10 to 12% in salaries as withholding tax. You can see this in your pay stub under Federal and Provincial.

There are also other deductions like Employment Insurance (EI) and Canada Pension Plan (CPP) which reduces your take home pay. Your employer may also provide group benefits which is deducted from your salary as well. If the company you're working for has a union, then there are unions dues to pay as well.

These are just some of the taxes you pay in Canada and taxes on income are treated differently compared to capital gains and dividends. I'll discuss them in more details in my next entry.

Happy New Year!

2007-01-08T15:45:00.000-08:00

Happy New Year to all of you! I know it's been a while since I updated this blog, it has been a very very busy 2006 for me and the last update regarding the Canada Pension Plan was the end of the series regarding working in Canada.

Since it's the new year and tax season is April 30, 2007. The next few blogs I will be discussing is about taxation. I am by no means a tax expert nor am I an accountant. I will be discussing what I know about taxes from resources I have compiled and from what I have learned over the years.

Just a reminder, January 1, 2007 is the start of RRSP season which ends March 1, 2007 to those to want to contribute to their RRSP for the tax year 2006. RRSPs are an important part of tax planning and I will discuss them as I go along.

In the meation, while I iron out the details of taxation. Please visit my other blog Pala-isip.

Air Quality and the Environment

2006-12-01T13:51:00.000-08:00

One of the things that makes Canada a wonderful place to live is the care the government and its people take in making sure the environment is protected and preserved. They set aside forest reserves and designated green parks in residential areas to make sure the air quality is protected.

The more proactive approach they do in taking care of the environment is making sure the air quality is high and to reduce air pollution.

In big cities like Vancouver where there are a lot of cars, air quality can really get bad if it goes unchecked. British Columbia has a strict vehicle emissions standard where every vehicle is required to go through an emissions test before it can be insured.

In British Columbia, to enforce this standard, the vehicle's insurance is attached to its registration and license plate and you get them together through ICBC, a government owned and controlled corporation or as they call it, a crown corporation. ICBC is an insurance company that deals with anything automobile related in B.C.

The emissions testing program in B.C. is called AirCare. The AirCare program was developed in 1992 to address the deteriorating air quality of the Lower Fraser Valley. It is the first emissions testing program in Canada. Ontario's emissions testing program called Drive Clean began in 1999. It is adminstered by the Greater Vancouver Transportation Authority or TransLink.

Depending on what model year your vehicle is made, you are required to go through an emissions test every certain number of years. Effective January 1, 2007, the schedule is

Vehicles 1991 and older, every year and the fee is $23.
Vehicles 1992 and newer, every two years and the fee is $45.
Vehicles 2000 and newer, every seven years.

If you fail the AirCare emissions test, you cannot renew your auto insurance and registration. Since it is illegal to drive a vehicle in Canada without a valid insurance, you will either get ticketed or your car will be towed and impounded if you get caught by the police.

Since the AirCare computers are connected with ICBC, if you fail your AirCare test and go to an insurance broker to insure your car, the computer sytem will block it and the agent will not be able to continue process. This ensures that you get your vehicle checked and repaired before you renew or get your insurance.

By law, AirCare must cover its operating cost through test fees. The fees are designed to recover the full annual operating cost of the AirCare program. The fees does not return any contribution, profit or dividend to TransLink. The program is operated on a user-pay basis with no deficit financing.

What this means is, if AirCare is losing money, the government will not give it funds so they have to increase their fees. If AirCareis making money, they are required to lower the fees to reflect the increase revenue. So in effect, AirCaredoes not use any of the taxpayer's money.

So, does AirCare work? Has it been effective in improving the air quality in the Lower Fraser Valley? According to AirCare, in its first fourteen years, it was able to reduce vehicle emissions by 29%. An additional 42% reduction in emissions is due to new vehicle engine and emissions control technology for a total of 71%. This has prevented over 800,000 tonnes of Carbon Monoxide (CO), hydrocarbons (HC) and Nitrogen Oxide (NO) from being released into the atmosphere.

Aside from having AirCare, the various cities and municipalities is actively making improvements around their cities to reduce vehicle emissions. One way they do this is by using cleaner fuel like natural gas, gas-electric hybrid and electric buses. The government is also adding hybrid vehicles like the Toyota Prius to its fleet as well as natural gas and propane powered vehicles.

Bike lanes are also implemented and the city has also put up several bike racks so bikers have a place to lock up and park their bikes. This also promotes the public to be more active and have a healthier lifestyle.

Each city also has an active recycling and waste management program to reduce waste and minimize the use of landfills.

These are just some of the ways Canada protects its environment and preserve its natural resources. Which makes Canada one of the most livable place in the world.

Credit Card and Identity Fraud

2006-11-24T16:06:00.000-08:00

Every month I get a phone call from our clients saying that their credit card has been subjected to fraud. I never used to get these calls but it seems that the number of cases have really gone up in the last six months. It is a big pain in the neck to clear up your account and go through the motions of cancelling your credit card, getting a new one and making sure you don't pay for the items that was purchased on your credit card. The bigger problem is identity theft when someone actually seems to have taken over your life.

Here are eight things you can do to protect yourself from credit card and identity theft.

1. Keep your information private. Memorize your SIN number and don't keep it in your wallet. If your wallet is stolen, so is your SIN number. Keep it in a secure place like a safe at home or a locked drawer. Don't keep it lying around where a thief might break in and steal it.Don't give out your SIN number to anyone. The banks, insurance companies and other financial institutions will usually require it for tax purposes. There's nothing wrong in asking them how they will use it. But never give out the information over the phone or online.

2. Cover your PIN number whenever you use an ATM machine or punching in your number when you use your debit card. I've seen so many people in the grocery punching their PIN number without covering it and getting everyone to see.

3. Protect your credit cards. Don't give out your credit card number over the phone if someone calls your for that information. If you call them and you know it is the company's number you are calling, then it should be fine. Otherwise, if they call you and ask you for it. Don't give it.

4. Check if your credit card was swiped twice when you make a purchase. It should always be visible when they swipe your card to prevent double swiping. If there was a transaction error, keep a copy of the receipt where it shows there was an error.

5. Be careful when you make an online purchase. If you do it often and find that you only spend a certain amount per month. You can contact your credit card company to put a limit on online purchase with that credit card so it will block any purchases over that limit unless you call them to authorize it.Some of our clients have this feature on their credit card putting a limit of say $200. Anything over that limit requires the client to call the card company to authorize purchases over that amount.

6. Encrypt your wi-fi. Most people do not set up their wi-fi connection properly allowing anyone to use their wi-fi system. It is a simple set up and most companies have instructions on how to do it online or you can ask your computer retailer how to set it up.You're allowing hackers to steal your personal information if you do not secure your system. They will be able to access your computer or network where you may have some information stored like credit card numbers and passwords.

7. Do not enter your password or PIN number on public computers. No matter what they say, it will never be secure enough. Use the telephone banking if you need to access your bank account.

8. Beware of phishing scams. Phishing is a when someone sends you via e-mail saying that a certain company or bank is updating their system and that your information may have to be updated. They will send you a link where you are required to enter your credit card or account number and password. It will end up saying that your account has been updated but in reality, they have logged your information and will use it to steal money or use your credit card.

When you click the link the link would look something like this.

The link on the e-mail will look legitimate, it looks something like

thishttp://signin.ebay.com/ws/eBayISAPI.dll?SignIn&ssPageName=h_:h:sin:eBayVerification (Warning: DO NOT CLICK OR GO TO SITE)

but when you click it, the URL on your web browswer will look like this

http://mail.teamworks.com.hk/icons/.secure- red/signin.ebay.com/ws/eBayISAPI.dll%253fSignIn&co_partnerId=2&pUserId=&siteid=0&pageType=&amp;
pa1=&i1=&bshowgif=&UsingSSL=&amp;ru=&pp=&pa2=&errmsg=& runame=&ruparams=&amp;ruproduct=&sid/

(Warning: DO NOT CLICK OR GO TO SITE)

If you look at the domain name it says

http://mail.teamworks.com.hk (Warning: DO NOT CLICK OR GO TO SITE)

Now that is not an eBay address. Why would eBay do that when they have their own domain?Be smart about it, your card company or bank will not and will never lose your information and require you to re-enter it. They have back-ups in place for that eventuality. In the event they do lose all their data. They will send you information via regular mail to inform you what you should do.

Sometimes common sense works. How can your bank or credit card company know your e-mail if you never gave it to them in the first place?

Here are some sites that has more information about phishing scams and identity theft:

http://www.millersmiles.co.uk/search/eBay - samples of eBay phishing scams.

Anti-Phishing.org - actual samples of phishing scams. The samples will give you an idea on what a phishing scam looks like.

http://www.privacyrights.org/index.htm - information about phishing scams and identity theft. The site is oriented towards the U.S. but has great information.

Personal Information Protection and Electronic Documents Act - a PDF document that sets the ground rules on how organizations may collect, use or disclose information about you in the course of their commercial activities. It also outlines what your rights are if you believe your information is being abused or incorrect and how to file a complaint.

Bank of Montreal Guide on How to Protect Your Account - a guide on how to protect yourself from e-mail or phishing scams as well as how to protect your debit account.

Federal Government Services

2006-11-17T12:57:00.000-08:00

The windstorm we had recently that affected Vancouver and most of the lower mainland disrupted power and contaminated our water supply. It got me thinking, how would Canadians cope in case there is a real emergency like an earthquake or tsunami?

You'll be happy to learn that the Federal government has several departments and services to handle such a situation. Here is a list of some of the services.

Public Safety and Emergency Preparedness Canada or http://www.getprepared.ca - gives advice on how to prepare for an emergency.

SafeCanada.ca - link to information and services on public safety in Canada (e.g. Food and product recalls, school safety, bullying, financial safety, etc.)

Health Canada or http://www.hc-sc.gc.ca/ - helps Canadians maintain and improve their health. (e.g. question about food safety, drug & health products, diseases, etc.)

Public Health Agency of Canada or http://www.phac-aspc.gc.ca/new_e.html - To promote and protect the health of Canadians through leadership, partnership, innovation and action in public health.

Provincial Emergency Program for B.C. - Emergency Planning and Preparedness for the Province of B.C.

These are just some of the sites I found, each province have their own programs and departments. The list of local emergency numbers can be found in the phone book as well as calling 911.

Pictures of Richmond, B.C.

2006-11-03T12:44:00.000-08:00

Here are a couple of pictures around Richmond, British Columbia.

Richmond Public Library

Minoru Aquatic Centre - Adult and children size heated pool

Olympic Size Oval Track

Canada Pension Plan (CPP)

2006-10-26T16:49:00.000-07:00

The Canada Pension Plan or CPP is a contributory, earnings related social insurance program. The main purpose of of CPP is to ensure that the contributor and his or her family is protected against the loss of income from retirement, disability or death.

The three kinds of CPP benefits are:

Disability benefits (which includes benefits for disabled contributors and benefits for their dependent children);
Retirement pension;
Survivor benefits

CPP is available throughout Canada, but Quebec has its own similar program called Quebec Pension Plan or QPP. CPP and QPP work together to ensure all contributors are protected.

Every person in Canada over the age of 18 who earns a salary must pay into CPP. You and your employer each pay half of the contributions. If you are self-employed you all the whole amount.

The amount you pay into CPP is based on your salary. If you are self-employed, it's based on your net business income. Investment income does not count in calculating your contribution.

Your contributions is based on your annual earnings between the minimum and the maximum level called your "pensionable" earnings. The minimum level is frozen at $3,500 and the maximum level is adjusted every January, based on the increases in average wage.

The "contributory period" is the total span of time during your life when you may contribute to CPP. It is used in calculating the amount of CPP benefit to which you will be entitled. It begins when you reach 18 and until you begin to receive your retirement pension, age 70 or die whichever is first.

The calculation of your CPP benefit is based on how much and how long you contribute. The age at which you choose to retire also affects the amount you receive. Also, during periods of low income, you will contribute less so your benefit could be less. Some parts of your contributory period can be dropped out of the calculation. Examples would be when you stopped working or had lower earnings when you were raising your children under the age of seven, any month you were eligible for CPP Disability, etc.

When you die, some of your CPP benefits are paid to your spouse. A spouse for CPP purposes is someone to whom you are legally married. "Common-law partners" is defined as two people, regardless of sex, who have lived together, in a conjugal relationship for at least one year.

CPP benefits are adjusted every January if there is an increase in the cost of living as measured by the Consumer Price Index. The average monthly retirement pension in 2004 was $457.99.

CPP payments are taxable income and each year you will receive a T4A(P) slip showing the CPP payments you received during the previous year.

Provided you meet all the CPP eligibility conditions, payments can be made anywhere in the world in the local currency or in Canadian dollars.

Your retirement pension normally starts the month after you turn age 65. But you can start receiving your pension as early as age 60 or anytime up to age 70. CPP adjusts the amount you receive by 0.5 percent for each month before or after your 65th birthday from the time you receive your pension. The adjustment is permanent, so if you choose to start your pension early, the payment does not increase when you reach 65.

For example, if you start getting your benefit at age 60, you will received 30 percent less and if you wait until age 65. If you start your pension at age 70, your benefit will be 30 percent higher than if you start at age 65. By starting at age 60 though, you're more likely to receive your beneift for a longer time. There is no financial benefit in delaying receiving your pension after the age of 70.

For more information visit the Human Resources and Social Development Canada website.

Employment Insurance (EI)

2006-10-11T17:19:00.000-07:00

Canada offers employees Employment Insurance or E.I. benefits. This provides temporary financial assistance to employees who are either laid off, sick, pregnant or caring for a newborn child or adopted child as well as those who must care for a family member who is seriously ill with a significant risk of death.

The majority of EI claims are for those who are laid off, maternity leave or who those who have suffered a serious injury or sickness. Receiving EI benefit is not a reason to stay unemployed.

The payment is determined by the nature of the unemployment. For example, if you lose your job due to no fault of your own such as shortage of work or seasonal or mass lay-offs and you are able to work but unable to find a job, you may be able to qualify for EI. You don't get paid EI if you quit your job without just cause or being fired for misconduct.

The benefit period can be paid from 14 to a maximum of 45 weeks and there is a qualifying period. The regular benefit amount is 55% of your average insured earnings up to a maximum of $413 per week. EI income is a taxable income, so federal and provincial taxes will be deducted if it applies.

Employees are also entitled to maternity, parental or sickness benefits and there are other kinds of benefits available depending on the situation.

Employees pay the EI premium and the premium is deducted from their salary automatically. The premium for EI can be found in the following website.

There are certain responsibilities that is required if you are receiving EI. For example, you must be willing and able to work at all times, you must be actively looking for work and keep a record of employers you contact and when you contacted them, etc.

For more information regarding Employement Insurance (EI), visit the Human Resources and Social Development Canada website.

Workers' Compensation Board (WCB)

2006-09-21T15:12:00.000-07:00

Part of work benefit one gets is enrolment in the Workers' Compensation Board or WCB. Each province manages their own WCB and you can easily find them via Google or your phone directory.

The main task of the WCB is to monitor employers of compliance with the Occupational Health and Safety Regulation as well as to educate workers about work safety. In the event of the work related injury or disease, WCB will provide return-to-work rehabilitation, compensation, health care benefits, and a range of other services.

Employers are legally required to enroll their employees in WCB. But normally, only those whose work are more physically oriented are enrolled in WCB such as those who work in construction, forestry, nurses, etc. Office workers usually are not enrolled in WCB and the employer may have alternative coverages for their employees.

WCB is an important part of a benefits package as employers who register their employees under the WCB can minimize lawsuits against them if their employees suffer from a work related injury.

WCB also benefits the employees as it helps protect them from economic hardship caused by work-related injuries or diseases. Since lawsuits cost money and may take a lot of time, WCB will provide for a faster decision on claims.

I once knew a person who worked in a hotel who got injured and was off work for about six months. He got paid a disability claim by WCB and was also covered for his medical therapy until he was able to get back to work. Because of his WCB coverage, the employer did not have to compensate him and WCB handled everything.

WCB is not meant to replace your income 100%, you will only get a percentage of what you were earning prior to an injury. How much you can claim will be determined by various factors and it is best to consult your province's WCB website to find out what their guidelines are.

WCB is by no means the be-all and end-all of protecting employees and employers from the economic hardship from a work-related injury. Other forms of coverage like "Disability Insurance" may be a better option for some. The deciding factor is usually the nature of the work, the cost, the benefit and the extent of the coverage.

Each province has different regulations as who is required to be enrolled in WCB. Check out each province's WCB website for more information.

Here is the Google search result for WCB to get more information regarding WCB in your particular province.

Meebo

2006-08-03T11:13:00.000-07:00

I just added a cool new feature on my blog. It's called a Meebo Me Widget. What is does is you can send me an IM message as long as I'm online while you're viewing my blog.

Try it on the lower right column. Make sure to change your nick so I know who you are.

Working in Canada - SIN Number

2006-08-01T12:59:00.000-07:00

Before you start working in Canada, there are a few requirements you need. First, you need to get your Social Insurance Number or SIN number as we call it. This is the basis of identifying you for tax purposes and for your salary. Without a SIN number, you cannot work in Canada.

To get your SIN Number, you go to the nearest Human Resources and Social Development office or go to their website to get an application.

You will require to show identification before you can apply. Generally you will need to show originals of one of the following documents

Permanent Resident Card, or
Confirmation of Permanent Residence AND Visa counterfoil in foreign passport, or
Confirmation of Permanent Residence AND Visa counterfoil on Single Journey Document for Resettlement in Canada, or
Confirmation of Permanent Residence AND Visa counterfoil on United Nations High Commissioner for Refugees Travel Document, or
Confirmation of Permanent Residence AND Visa counterfoil on Red Cross Travel Document

You will also need to show the original or your

Record of Landing

It usually takes a few weeks to get your SIN Card which looks like this. But they will give you a phone number to call so you can get your SIN Number over the phone earlier while you're waiting for your SIN Card so you can start work earlier.

Auto Loans

2006-06-20T16:16:00.000-07:00

Sooner or later, you may need to buy a car. Depending on where you live, this is either a convenience or a necessity. Buying a car in Canada is a little different than buying it in other countries. There's basically 3 ways to get a car in Canada.

1. Buy it outright.
2. Finance it with a loan.
3. Lease it.

Number one is simple, pay cash, you're done.

The second option is basically buying a car by putting a downpayment and financing the balance by borrowing from the bank or a financing company. You will want to shop around on this one to get the best rates. You don't usually have to go to your bank if you are going to get a loan to buy a car since car dealers often offer in house financing.

The difference is the interest rates you're going to get in getting the loan. Wait for a good deal as car companies often offer promotions to get people to buy their cars. The best rates are usually near the end of the year to move out last years inventory.

You can either go with the dealers finance company or look for a financing company that offers a good rate and ask them if they can get the car you want for you. Some will do that even if they don't usually sell a particular brand.

The third option where you lease a vehicle is one of the most popular options, the way it works is basically you only pay for half of the vehicle's value over a period of time say over 48 months or 4 years.

Let's say a car is worth $30,000 and you want to lease the vehicle. They will usually offer you a lease term of where you'll be paying a monthly payment over 48 months and your lease payments will be based only on $15,000 instead of the full $30,000. So your payments are half of what you will be paying monthly compared to buying the car. At the end of the lease term, you can buy the car outright by paying out the balance or financing the balance.

If you decide not to keep the car, you can lease another vehicle or just return the car. Normally, you can only lease vehicles less than 3 years old. Anything older, you usually have to buy it.

The rule of thumb whether to lease or buy a vehicle is this. If you are in business for yourself and are writing off expenses for business. Then lease is a good option. Also, if you like to change cars often, then leasing is a good idea as well.

If you're not self-employed or can't write anything off for taxes. Then buy or finance your car instead of leasing.

Just remember, leasing does not make for sound financial planning as leasing is basically like renting the car for a few years. No matter what the dealer tells you, you don't own the car when you're leasing it. Just look at who's named on your car registration and insurance when you lease a vehicle and it will tell you who owns it.

Mortgages

2006-05-25T14:31:00.000-07:00

Having a mortgage also builds your credit history. This is probably the biggest way you'll build your credit history. Once you have this, you'll be getting credit card and personal lines of credit offers from everyone.

Normally, you'll need 35% downpayment when you apply for a mortgage especially if you're a new immigrant. If you have a good credit history, you can go as low as 5% down. But any amount lower than 20% will require that you get private mortgage insurance in the event you are not able to pay your mortgage. This means additional cost to you but is a good idea if you're not able to put in 20%.

There are basically two types of mortgages, open mortgage and closed mortgage. An open mortgage is usually more expensive because you can pay off the balance anytime you want without penalty. Lenders usually do not like open mortgages because they make less money on these if you pay it off early.

Closed mortgages usually offer a lower interest rate because this is what lenders like best as this earns them more money. The reverse of an open mortgage, you cannot pay off the balance of the mortgage without paying a penalty.

There are several kinds of interest rate options: variable rate, fixed rate or mixed.

A variable rate mortgage means the interest rate you are charged can change anytime since it is a floating rate and it depends on the current prevailing prime rate set by the Bank of Canada. You do pay a lower interest rate because you are taking this risk. Variable rate mortgages are great when there is a downward trend in the interest rates.

You pay a higher interest rate for a fixed rate mortgage but your rates are locked-in for a certain number of years. They can be 1, 3, 5 or more years depending on the lender. The longer the time period the higher the rate. This type of mortgage is best in a rising interest rate market.

A mixed mortgage is part variable and part fixed. The mix is determined by the lender and it is best to get information from your lender about this type of mortgage to see if this is a good option for you.

You can get several terms on your mortgage. It's usually 5, 10, 15, 20 or 25 years. There are other mortgage terms but these varies from lender to lender. The shorter the period the lower the rate.

One of the things to remember when you're buying a house is not to buy more than you can afford just because the monthly payments seem to be affordable. Most real estate agents will gear you to buy a more expensive home but using a longer mortgage term or fancy calculations to show you that you can easily afford it. Remember, the higher the selling price the more the real estate agents gets paid.

Find a house where you'll be comfortable with the payments. Remember, if your monthly payments are based on a low interest rate. When you renew your mortgage in a few year when interest rates go up, your monthly payments could increase by at least $200 a month and that would really eat up your budget.

I'll discuss more about mortgage and how to pay them off earlier in my future columns.

My apologies

2006-05-19T14:15:00.000-07:00

I have to apologize for not updating this blog. I have been out of town for two weeks and I just got back. I'll be updating this blog starting next week.

Meanwhile, if you would like to see some pictures of my trip to China, check out my other blog Secular Change.

The largest mall in the world

2006-04-30T16:40:00.000-07:00

West Edmonton Mall
Originally uploaded by selihpxe8.

The West Edmonton Mall located in Edmonton, Alberta is the largest mall in the world. The mall features two hotels, two theme parks, an ice rink, movie theatres, mini golf and hundreds of stores!

Click on the photo for more pictures.

Credit Card

2006-04-29T22:41:00.000-07:00

Next step is to establish your credit. The easiest way to do this is to apply for a credit card. When you apply for one, they will usually investigate your credit history. You may be wondering, "How can I get a credit history when I just got here?" or "How do I establish a credit history if you won't even give me a credit card?" Those were the same questions we asked ourselves. Fortunately, I have found ways on how you can establish your credit.

The easiest way to get a credit card is to put up a security deposit with the bank, say $1,000 to $2,000. The money is usually placed in a 1 year term deposit and will be used somewhat like a collateral. You earn interest on the deposit of course and in turn the bank will issue you a credit card with a credit limit equal to your security deposit. After 1 year, you would have built up a credit history and you can withdraw your security deposit if you want.

Banks are very selective on how they give credit to new immigrants, but they have since been more relaxed on their guidelines than when we first landed in Canada.

Normally, banks require a security deposit if you don't have a lot of money deposited with them. But some people I know who deposited more then $10,000 were not required to put up a security deposit and were able to get a credit card with a $2,500 credit limit. It pays to have money.

It is important that you get a credit card since you won't be able to pay cash all the time. Example is if you were buying appliances, you probably won't be carrying over $1,000 in cash around. And some establishments don't accept $100 bills for security reasons.

The important thing to remember with having a credit card to is make sure you guard your credit history. Pay the balance in full and on time, the better your credit history, the better interest rates you can get. Your credit history also determines the interest rate on your mortgage and whether you qualify for one or not.

The interest rates on credit cards issued by the banks are somewhere around 16% to 19% per annum. Some credit cards charge fees, some don't. I suggest you get a credit card without fees in the beginning. Credit card with fees offer a lower interest rates and some offer points or air miles. But if you pay your balance in full all the time, the interest rates won't matter.

Other kinds of credit cards that are available are those issued by department stores and other specialty stores like Sears, Home Depot and Canadian Tire. These store offer discounts and other priviledges with their store credit cards but generally charge over 20%. Some even as high as 29%. Again, if you pay off your balance in full, they are great to have. But if you are keeping a balance, they can be a pain to pay off. Most of the time, I suggest you stay away from these store cards.

Once you get a credit card, you'll be getting offers left and right to apply for new credit cards. I suggest you be prudent and have no more than 3 different credit cards. One for daily expenses and the others for emergency.

If you are married, you should each get a credit card. A credit history is based on an individual and not a family.

Banking

2006-04-22T23:21:00.000-07:00

One of the first thing you should do during the first week of landing in Canada is to set up a bank account. You'll need a bank account to receive your salary since most employers will deposit your salary directly to your bank account. You will also need to set up chequing accounts and other banking services.

There are six major Canadian banks and various other foreign banks that operate in Canada. Most people will typical deal with the domestic banks. These are

TD Canada Trust
RBC Royal Bank
BMO Bank of Montreal
Scotiabank
Laurentian Bank
CIBC

There are also various other online or Internet only banks. But it is usually easier to set up an account with a bank with a local branch first.

Here are the different banking services you'll typically need:

Chequing Account

This is the most basic account you'll need. You need a chequing account to pay bills and for your daily expenses. Most banks typically charge for this service. They range from $4 to $12 a month depending on how many cheques you will be writing or how often you will be using your account.

Every bank has different service fees and how much activity they allow. It is best to do a comparison and figure out how much service you need so you don't end up overpaying for services. Some banks waive the service fee if you maintain a minimum balance. The minimum balance is usually $1,000, but if your balance goes below $1,000 at any time during the month, you will be charged a service fee.

Chequing accounts usually don't pay any interest so it is not advisable to put all your money in this account. This is also usually your ATM account so don't put all your money here in case your card is stolen.

Savings Account

You will need this account to put money that you won't be needing immediately as this account pays interest compared to a chequing account. It does help to compare each banks offering since you would want to get the highest possible interest you can get. Don't settle for just a 1% interest for this account since some banks offer higher rates. The Internet only banks usually pay the highest interest for savings account and they do not charge any service fees. This is because they don't have a branch but you do all your banking either by phone or through the Internet. They in turn pass on these cost savings to their clients through higher interest rate, no service fees and no minimum maintaining balance requirements.

The more popular Internet banks are:

ING Direct
President's Choice Financial
Manulife Bank
ICICI Bank

Go to their website to find out more about their services.

Establishing Your Identity

2006-04-12T15:25:00.000-07:00

Now it's time to establish your identity in Canada. While you do have your passport and PR card. You don't want to be carrying them around all the time. Opening a bank account, getting a library card and various other services require proof of identity.

The best ID you can carry is a driver's license. This is of course something you will always have to have if you drive a car. A driver's license is considered a primary ID. To get a driver's license, you have to pass a written exam and the road test.

You can search the Internet for the nearest driver services centre in your Province or just ask around. Search "Driver Licensing" then your province on Google (e.g "Driver Licensing BC").

If you don't drive, you'll have to get other forms of identification if you don't want to carry your PR card around all the time. For example, in British Columbia, they have the B.C. ID which is an alternative to a driver's license if you don't drive.

Your SIN is also considered an ID as well as your Provincial Health Card. But it is best not to show these around all the time due to the incidence of identity theft. More about these and how to protect your privacy later.

Apply for other ID that you can find, general carrying two IDs are good enough, anything more is overkill. You also would only be needing these during your first few years in Canada while you're establishing your identity and your credit.

You will want to apply for a library card immediately so you can start using their services. You usually need your library card to borrow books or access the library computers.

Minoru Park Sign

2006-04-12T00:20:00.000-07:00

Minoru Park Sign
Originally uploaded by selihpxe8.

Here are all the services that can be found at Minoru Park Plaza in Richmond, British Columbia.

All these in one location. And most of them doesn't cost a single penny.

Minoru Park

2006-04-12T00:17:00.000-07:00

Minoru Park
Originally uploaded by selihpxe8.

Canadians are very health conscious. Here is an olympic size track field. Well maintained and anyone can use it.

All for free.

Minoru Aquatic Centre

2006-04-12T00:14:00.000-07:00

Minoru Aquatic Centre
Originally uploaded by selihpxe8.

Olympic size swimming pool and a separate kiddie pool. Also offers aqua aerobic classes and swimming lessons for children. All for a nominal fee.

And yes, the water is heated.

Richmond Public Library

2006-04-12T00:12:00.000-07:00

Richmond Public Library
Originally uploaded by selihpxe8.

Take advantage of all the free services provided by the library.

You can borrow tons of books, audio books, CDs, DVDs, newspapers and magazines on a wide variety of subject matters. Two storeys of materials and you can use their free Internet access to look for a job too.

All you have to do is sign up and get a library card.

Starbucks

2006-04-12T00:05:00.000-07:00

Starbucks
Originally uploaded by selihpxe8.

Wherever you are in the world, there's always a line-up at Starbucks.

Medical Insurance

2006-04-07T13:35:00.000-07:00

The next step is to apply for your provincial health insurance. You can apply for this immediately or after you apply for your SIN. Either way, you will be required to show proof that you are a landed immigrant

Health care in Canada is provided by the government and each province manages their own health plans. Basically, under the provincial health plan, each person registers for health insurance and you are given a card with your Personal Health Number (PHN) on it.

Whenever you require medical services like check-up, emergency services, etc. You show your card and that's it. No need to pay anything. You do have to pay something for prescription drugs and eye care. But it is subsidized by the government. Here is the link to the various Provincial Health Ministries.

To give you an example on how this works, when my sister gave birth, she was in the hospital for 4 days, her total bill was...$8.50. This is how much it cost her for using the phone in the hospital room. All the other cost like room, doctor, pediatrician, nurses were paid by her medical insurance.

Before you think all of this is free, it is not. Depending on the province and your income, you may have to pay a certain amount every year for your medical insurance. If your income is under a certain level, you pay nothing for medical insurance. After that, you pay a certain level depending on how much you make every year. The higher your income, the higher your premiums. Check out the regulations from your Provincial Health Ministry website to see if you are eligible for premium assistance.

It is important that you register for your Provincial Health Plan as soon as possible. It takes around three (3) months to get your medical insurance in force. Until that time, you have no coverage unless they verify that you were assigned a Personal Health Number (PHN). If you ever require medical services before you receive your PHN. You will have to pay for any medical services you require.

As of this writing, it will cost you more than CAD$2,000 a day for a hospital stay. That does not include doctor's fees, medicine and anything else that you may require. A check-up with a doctor will cost anywhere from $70 to $250.

I suggest you get travel insurance for medical emergencies to cover you until you receive your health insurance. The rates depend on your age, coverage amount and how many there are in your family. There are family rates avaible, make sure you ask for it since this is more economical than individual rates if there are 3 or more in your family.

Each traval insurance plan is different, some you have to pay a deductible and some you don't. Some have a 48 hour waiting period, which means your coverage only starts after 48 hours of applying for the insurance even though you have to apply and pay for it now. You can apply for travel insurance in any local insurance office. Alternatively, you can ask a friend to refer you to an insurance agent.

Plan for this in adavance, nobody told us about this when we first landed. On our third day in Canada, my father's foot got caught in a loose brick on the ground and suffered a sprained ankle. They had to take an x-ray and put a cast on him, they charged us $250 for it. That was back in 1997, medical cost has gone up since.

Social Insurance Number (SIN)

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Now that you have arranged for a place to live, I'm assuming the next thing you would look for is a job. Before you start sending out those resumes, there's something you have to do first before anyone will hire you.

You have to apply for a Social Insurance Number or SIN. This is a nine-digit number used in the administration of various Canadian government programs. You will require a SIN to work in Canada or to receive government benefits.

Here's the link to the Human Resources and Skills Development Canada (HRSDC) on how to apply for your SIN. You will also find a link showing the addresses of the local office where you go to apply. It's best to go in person as they will need to verify your identity.

You will need to provide at least two documents to prove your identity and status in Canada. For landed immigrants, a primary document is your original Permanent Resident Card The supporting document can be one of these other documents.

It is very important that you apply for you SIN. You will NOT be entitled to any government benefits nor will you be able to work without a SIN. It takes around three to four weeks to get a SIN depending on the volume they are processing. The card is usually sent to you by mail. If you cannot wait for your card to arrive, you can request to get a prinout of your SIN at the processing office. You will have to ask them when the earliest time you can request for it.

Also apply for a SIN for your children if they are minors. You will need a SIN for your children if you decide to apply for the Canada Education Savings Grant or CESG for your children.

Outdoor dining

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Outdoor dining
Originally uploaded by selihpxe8.

Canadians love the sun. On a sunny day, you'll see everyone outside eating, playing, biking or just taking a stroll. The malls are practically empty when it's sunny.

Fisherman's Wharf

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Fisherman's Wharf
Originally uploaded by selihpxe8.

Here's the entrace to Fisherman's Wharf

Steveston Landing

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Steveston Landing
Originally uploaded by selihpxe8.

Here's a famous tourist spot in Richmond, British Columbia. People come here to eat fish and chips, buy freshly caught fish and to just enjoy the sun.

Office Building in Downtown Vancouver

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Office Building in Downtown Vancouver
Originally uploaded by selihpxe8.

High rise office building in downtown Vancouver.

Condo

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Condo
Originally uploaded by selihpxe8.

Here's a low-rise condo in downtown Vancouver

Apartment in Vancouver

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Apartment in Vancouver
Originally uploaded by selihpxe8.

Here's another apartment in Vancouver

Apartment in Vancouver

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Apartment in Vancouver 2
Originally uploaded by selihpxe8.

Here's a typical apartment in Vancouver.

Things you need to do when you land in Canada

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Housing

The first thing you have to do when you land in Canada is of course to find a place to stay. If you have a friend who will let you stay with them for a while, great. Otherwise, you may have to stay in a hotel or a motel for a while. Make sure you are able to make some form of housing arrangement before you land otherwise you might be paying too much for housing which would deplete your savings.

To find a more permanent housing, grab one of the free community newspapers and check the classifieds. You don't have to buy a newspaper since these community newspapers are supported by advertising and are given out for free.

You can find all types of housing to suit your needs, from rentals to homes for sale. If you're renting, keep it simple, you don't need to rent an elaborate house. Just make sure you get one with a kitchen and laundry facilities. It's better if they're included in the house or apartment you're renting, that way you don't have to pay everytime you need to wash your clothes. Some even have a dishwasher available.

If you're renting, find a house that is close to public transportation because unless you can immediately get a car, you'll have a long walk to get to the nearest bus stop. You wouldn't want to walk 10 minutes to get to a bus stop then wait another 10 to 20 minutes for the bus in the middle of winter.

If you're considering buying a house, take your time. Find one that is suitable for your needs and fits your budget. More about this later.

Intro

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So you decided to migrate to Canada. You finished the final interview and you were given the date when you have to land in Canada. While you're preparing to leave your country, here are a few things you need to prepare before you board your plane.

To begin with
You need to get all your identifications prepared (passports, driver's license, etc.). Make a photocopy or a list of them for your records. You will need some form of identification to apply for anything in Canada, bank accounts, driver's license, etc.

Work
If you are working, prepare some resume. A resume in Canada is different in format and the information required compared to other countries. I'll talk more about resumes in the job section of this book.

If you're a new graduate, you will want to bring your transcripts. Some degrees are not recognized in Canada (e.g. doctors, nurses, architects, engineers, etc.) so your transcripts will help you if you need to take some courses to update your skills to Canadian standards.

School
If you have children and they're still in school, you may want to bring their transcripts. They will have to take ESL (English as a Second Language) classes if English is not their primary language.

Money
Save some money. You will need anywhere from CAD$5,000 to $20,000 in your first year depending on where you live, how many there are in your family and how fast you can find a job. You may need more if you plan to buy a house as soon as possible.

Clothes
Make sure you bring clothing suited for winter as well as for summer. Depending on which Province you stay, summers can be really hot (over 30 degrees Celsius) and winters can be really cold (-20 degrees Celsius or less).

Make sure you buy some winter jackets. They should be make of materials that will resist water and wind on the outside and warm and light-weight on the inside. Jackets made for skiing are good bets.

Geography
Look at the map of Canada to get an idea where you will be going and how the weather would be like where you will be staying. You can check out Google Maps for reference.

Learn how to read a map as well. You need to know how to get around to get a job. A street map is the best way to know how to get where you want to go.

Welcome Canuck!

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What is a Canuck? The dictionary defines it as "US slang for Canadians in general and French Canadians in particular ". The word Canuck is sometimes considered as an offensive slang depending on how it is used. There is an Professional Hockey Team called Vancouver Canucks, so I guess if it's offensive, they wouldn't have used it as a name of the team. In general, if you're a Canadian, you're called a Canuck.

But I digress...

I decided to set up this site as a way to help newly landed immigrants get to know more about Canada and life in Canada. I have been working as an Insurance and Mutual Fund representative since 1998 and I am amazed at how little immigrants know about Canada specially in the area of taxes and personal finance. Either they didn't bother to ask or they were given the wrong information.

My goal for this site is to clear the air and clean out all the fluff about life in Canada. The information I have here is based on my research and to the best of my knowledge. If there are some errors, feel free to comment and correct them.

I set up a blog as this is the easiest way to write than creating a website from scratch. I hope someday that these information will be published in a book. So if there are any publishers out there and want to publish my work. Send me an e-mail. ;-)

I hope this site proves to be of valuable resource to all newly landed immigrants to make life easier in their newly adopted home.

Welcome Canucks!