Favorite Financial Books written by some of the Best Experts

In this bookstore you won't find any "get rich titles" only financial books written by some of the industry's top experts. Some of these authors have been guests with me over the last 16 years when I have been fortunate to be on radio station CJAD in Montreal with Peter Anthony Holder.

The books in this bookstore from time to time will be accompanied by an exsclusive interview I will do with the author, so you can get a feel of the book and how it can help you in planning your finances.

Whether it be goal setting, tax planning looking to your retirement I hope you enjoy some of my favorite books.

Setting Goals

This is not your typical financial book but I believe cuts to what setting goals is all about. It never ceases to amaze me how many different ways people to see their lives no person has the exact same goal.

On some levels it just about retiring and doing the things you like to do, on another level it is a book like What Should I Do with My Life? is a question that is always in the back of our minds.

Author Po Bronson asked himself that very question and wrote a book on how people transform their lives and offers up a template for how we can answer this question ourselves.

Bronson traveled the U.S. in search of individuals who had struggled to find their calling, their true nature. These were people who made mistakes before getting it right. He encounters people of all ages and all professions - a total of fifty-five. All of them tried to answer the question:

Is a career supposed to feel like a destiny?

How do I tell the difference between curiosity and a passion?

Should I make money first, to fund my dream?

If I have a child , will my frustration over my work go away?

Should I accept my lot, make peace with my ambition, and stop stressing out?

Why do I feel guilty for thinking about this?

When I read this book it was like listening in on an intimate conversation among people you care about and admire. And even if you know what you should do with your life, you will find wisdom and guidance in the stories of people who dared to be honest with themselves. So what do you want to do with your life?

Exploding the Retirement Myths

When I interviewed David Bond author of Future Perfect - retirement strategies for productive people, I found what he had to say very thought provoking.

Think about it! What will you do with the 2000+ hours a year you used to give to your employer, your business or your clients?

David Bond retired as the Hongkong Bank of Canada's Chief Economist and Vice-President, Public Affairs in 1998. He is a public speaker, writer and media commentator and continues to provide consulting services to HSBC Bank of Canada.

Diane Bond founded her own company, Images of Canada Marketing after working in banking and arts administration.

This book deals with what the individual who is now forty-to fifty-something is likely to encounter over the next decade.

The Bonds debunk widespread myths and challenge accepted ideas which disqualify older people from living productive lives and show that, for the majority of Boomers, continued productivity after fifty-five will benefit the economy, society at large-and themselves.

Interspersed throughout the book are case studies of well-known individuals who have successfully reinvented themselves upon retirement from their previous careers.

Also profiled are others who, after more "ordinary" careers-policeman, teacher, lab technician-in their fifties struck out on a new path. Their stories reveal the risks and rewards of launching an endeavour in later life.

"Things have changed a lot since your parents retired-in fact, we believe traditional retirement is fast going out of style." Say the Bonds.

Before looking at the "new" retirement, let's haul out these myths"

Myth #1

Your life retirement will be short; planning to play golf every day is all the plan you need.

In fact, your retirement will likely be 15, 25 or even 35 years; you'll have more time than you need whittle away at your handicap.

Myth #2

You are washed up at 65, or even 55; you have nothing left to contribute and your "best before" date is defitnely history.

The fact of the matter is that older workers have advantages in some areas.

Myth # 3

You have to step aside to create opportunities for the younger generation

In fact, the younger generation needs you to keep working and paying taxes!

Myth # 4

You can never learn new skills after age 50 or 55, so you won't be able to keep up in the knowledge-based economy.

In fact, you can continue to learn throughout your life-as long as you develop and maintain your learning skills.

Myth # 5

Your government/corporate pension, combined with QPP/CPP will take you through to 100

We suggest that, unless your pension is ample, defined benefit and inflation proof, it's a good idea to plan to earn some income after 60 to 65.

Myth # 6

After age 65 you will probably be physicaly or mentally disabled, so you'll be unable to work, volunteer or participate actively in society.

The fact is, most boomers won't be "old" at 65, and many will be fit and healthy well past 75.

Myth # 7

Filling up the time when you retire is a snap.

This may be true if all you want is to fill time. Most people want much more.

Reduce the amount of taxes you pay

When you talk about tax planning and paying less taxes one of the country's best is Tim Cestnick. He has been a guest on the radio with me for years, he is funny, witty and knows his stuff.

He is one of the experts I call on when I have a client tax planning issue, his books are also some of the best reference and easy to understand books on the subject of taxes. Written so that you keep more of your dollars in your pocket and not the government.

The myths of tax preparation and planning by Tim Cestnick

Aggressive tax preperation is one way to save tax. But proper tax planning is a better idea. Let me dispel a few myths about tax preparation and planning.

Myth No. 1: Tax preparers are usually tax planners.

Many Canadians believe that simply taking their tax returns to a tax preparer is going to somehow result in proper tax planning. Not likely.

You see, tax preparation is simply the process of properly filling in your tax forms in accordance with the tax law; it's simply reflecting on your tax return what has already taken place financially for the year.

Tax planning, on the other hand, is the process of identifying specific changes to your life to made in order to provide greater tax savings, and then implementing those changes.

Now, don't get me wrong. Tax preparers play an important role many Canadians. But don't confuse your tax preparer for a tax planner if that's not what he or she is. A tax planner generally has some professional designation, such as a CA, CGA, CMA or CFP, among others. Most tax preparers are not tax planners at all.

Myth No. 2: An experienced tax preparer matters most.

Hogwash. I've met experienced tax preparers who have been preparing tax returns incorrectly for years. When the tax preparer is dealing primarily with simple (read "low risk") tax returns, he or she may never have a client face an audit -- and so the same mistakes are made year after year.

When tax returns increase in complexity, it's absolutely critical to prepare the tax return properly. Experience alone in tax preparation doesn't equate to a correct tax return.

Rather, tax education and continuing training matter most, followed by experience. Don't be afraid to ask your tax preparer what formal tax training they've had. And if he or she is experienced to boot, even better.

Myth No. 3: Bigger refunds must mean a good preparer.

If you ever believed the television ads ran by H & R Block, you must be kicking yourself for ever having had a chartered accountant prepare your tax return. Now, understand that I'm a CA, so you can imagine what I thought of the ad.

The ads implied that CAs aren't adequately trained in tax, and you may be due for a bigger refund if you visit H&R Block.

The message of the ad would be laughable if it didn't provide such a disservice. You see, the apparent message is this: Reducing your tax burden has everything to do with how you prepare your tax return, and a bigger refund is what really matters.

This is precisely the mindset of Canadians who don't fully understand tax planning.

I wish I had a loonie for every client that I've met who claimed "my tax preparer last year got me a bigger refund than you."

In virtually all of these situations, my response was "I know, but this year we've prepared your tax return. Now, let's sit down and do some proper tax planning to reduce your tax bill for next year.

Myth No: 4 Tax planning should be done in April.

One of the most common complaints among Canadians is that they feel the tax professionals they work with are not being proactive in saving them tax.

The truth is, if you visit your tax professional once each year in April, then of course the proactive tax planning you're looking for. Most good tax planners are also tax preparers and they're busy in April preparing returns.

It's the wrong time to expect the professional to stop to smell the roses -- or your tax situation. Make an appointment with your tax planner in May or June to establish some tax planning for the future.

Tim Cestnick, CA, CFP, TEP is the Tax Freedom Zone and Winning the Tax Game, among other titles.