RetirementWill You Be Ready?

Three REASONS you need a plan…

1 - Life Expectancy is Increasing2 - Cost of Healthcare is Increasing3 - Income Tax is Increasing

“… and to think, forty years ago I gave up smoking and drinking for this.”

12

14

16

18

20

22

24

26

1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004

Males Females

The number of years you can expect to live in retirement has increased significantly since your parents retired.

Source: Statistics Canada

30% for women

50% for men

For every $1,000 of monthly income you want, you will need to save considerably more than your parents did.

Assumptions: RRSP earns 4.5% annual return, income increased by 3% each year for inflation

100,000

125,000

150,000

175,000

200,000

225,000

250,000

1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004

Women Men

$45,000 for women

$61,000 for men

A well crafted financial plan can help to ensure you do not

out live your income.

Years of healthy eating and exercise have unfortunately added five more years to Melvin’s Life.

46% Cancer Diagnosis

20% Having a Stroke

16% Heart Disease

Source: Canada’s Aging Population, Health Canada Report

In Canada each year there are 145,000 cancer diagnoses, 75,000 heart attacks and 40,000 to 50,000 strokes.

0

10

20

30

40

50

60

70

80

90

25 30 35 40 45 50 55 60 65

Heart Disease Stroke Cancer

Chance of suffering a major illness in next 20 years.

Assumptions: $81,967 pre-tax withdrawal at various ages, 7% return pre-retirement, 5% return in retirement

Lost income resulting from an RRSP withdrawal to cover $50,000 of unexpected medical expenses.

$673,009

$479,846

$342,124

$243,929

$173,918

-

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

Age 40 Age 45 Age 50 Age 55 Age 60

Lost income, age 65 to life expectancy

Cost of critical illness

A financial plan can help you prepare for unexpected

medical expenses.

“Now are you convinced that the tax simplification plan will work, chief?”.

For 2009, if you are under 65 you have 5 tax brackets to manage, the highest being 39%.

Combined Federal and Alberta tax rates

0.00%

15.00%

25.00%

32.00%

36.00%

39.00%

0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

Dollar One: $1

Federal Personal Tax Credit: $10,320

AB Personal Tax Credit: $16,775

Federal Tax Bracket: $40,726

Federal Tax Bracket: $81,452

Federal Tax Bracket: $126,264

0.00%

15.00%

25.00%

27.25%

28.75%

35.75%

34.25%

49.25%

47.00%

51.00%

36.00%

39.00%

0% 10% 20% 30% 40% 50% 60%

Dollar One: $1

Federal Personal & Age Tax Credit: $16,728

AB Personal & Age Tax Credit: $21,450

Federal Age Credit Clawback Starts: $32,312

AB Age Credit Clawback Starts: $34,799

Federal Tax Bracket: $40,726

AB Age Credit Clawback Ends: $65,966

Federal OAS Clawback Starts: $66,335

Federal Age Credit Clawback Ends: $75,032

Federal Tax Bracket: $81,452

Federal OAS Clawback Ends: $107,692

Federal Tax Bracket: $126,264

For 2009, if you are over 65 you have 11 tax brackets to manage, the highest being 51%*.

*Combined Federal and Alberta tax rates includingOAS and the Age Credit Clawbacks

A financial plan can help you maximize your after-tax income in retirement.

We Can HelpWith Our Exclusive Planning Service

1. Investment Planning2. Retirement Planning3. Estate Planning

Talk to Your Advisor

TODAY

Our AdvisorsAt Mackie Research Capital, our Investment Advisors work on your behalf to provide you with needed advice and solutions tailored to your personal situation.

Wealth ManagementMackie Research Capital provides full wealth management services which enable you to identify and meet your financial and life goals.

Managed Portfolio AccountsFor investors who want the freedom to focus on what is important to them and the confidence that their wealth is being managed according to the high standards they demand.