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www.insideHALTON.com | OAKVILLE BEAVER | Thursday, November 21, 2013 | 12 Government options for increasing retirement savings hy are the provinces asking the federal government to increase retirement bene ts? Are they hoping we will have more money to make us comfortable in old age or do they fear they might be at risk of taking care of us if we are not nancially self-suf cient? Current rules require employers and employees to contribute to the Canadian Pen- W sion Plan known as the CPP . The Ontario government and most other provinces want the Canadian government to increase annual payments to the plan in order to bolster CPP payments to retirees. In principle, federal Finance Minister Jim Flaherty agrees. However, he does not think the time is right. 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From there, the Variety Voyager will cruise to the idyllic San Blas Islands before passengers disembark in historic Cartagena, Columbia for a two-night stay at the Hilton Hotel, complete with a city tour and a free day to explore the Old Quarter or visit San Felipe Castle. The 68-meter Variety Voyager, launched in 2012, features just 36 staterooms and sleek contemporary design. Passenger sail in comfort, enjoying indoor and al fresco meals (wine and beer is included with lunch and dinner), three bars and lounges, a mini-spa and fitness suite, GLOBUS PANAMA CANAL library, an internet suite - WiFi is available. All elegantly-furnished staterooms feature a minibar, flatscreen TV, and DVD player. The experienced Tour Director, along with thirty English-speaking European crew, will ensure that the experience is truly memorable. There are only three departures for this special itinerary: 16JAN14, 13FEB14 and 11MAR14. The tour/cruise land-only fare, Category C cabin, is CAD3,639 per person double plus CAD404 per person port fees and taxes. Cabin upgrades are available. Call us for reservations. www.globusjourneys.ca Direct flights to Marseilles, France from Toronto are the latest addition to Air Transat's expanding 2014 European program. Air Transat will operate the flights from Toronto on Mondays from 05MAY14 to 20OCT14. A second flight has been added Toronto to Venice, now Air Transat is operating Wednesdays and Fridays from 02MAY14 to 17OCT14. For 2014, Air Transat is flying to 20 European cities from Toronto including Barcelona, Dublin, Glasgow, Istanbul, Lisbon, Rome and Prague. Reservations are open now ­ call us. www.transat.ca AIR TRANSAT TO MRS Suite 300, South Oakville Centre · 1515 Rebecca Street, Oakville 905.827.1100 travel@mctavish.com www.mctavishtravel.com Ont Reg No 1437985 isn't enough economic strength to add a payroll tax now. Both workers and their employers contribute to the CPP . Ottawa wants employers to have cash to recover from the past years of nancial hardship and to expand their businesses so they will create economic stability and prosperity. Also, an increase in contributions taken from workers' paycheques will reduce consumer spending, the largest part of the Canadian economy. Any scal success requires consumers to continue to spend. Two levels of government agree, increasing retirement savings is needed. Ontario Finance Minister Charles Sousa is committed enough to say Ontario will create a provincial equivalent of the CPP if the federal government doesn't increase contributions to improve retirement bene ts. The maximum annual CPP retirement bene t Canadians can collect is $12,000 per year. The average is $7,000 annually. The reason for the difference is the contributions made depend on your years of employment and income. In this regard, it is different from Old Age Security bene ts, which are solely based on your age. Ontario's solution is to add a provincial plan that would be similar to the CPP to augment bene ts paid from the CPP . In addition to this initiative, Sousa wants to introduce a Pooled Retirement Pension Plan similar to a Registered Retirement Savings Plan. This would be a de ned contribution plan where employees and employers will voluntarily determine what amount each will contribute. Ontario's CPP style plan would require mandatory savings while the Pooled RRSP style plan would be voluntary. The Federal Minister of Finance will meet with his provincial counterparts next month to continue discussions about options and decide if and when enhanced savings plans will be implemented. This type of government discussion is normal. The new order in Canada includes a longer life requiring additional costs. The cost of increased life expectancy will have to be paid. What needs to be determined is will those costs be paid by the government or the people and what is the best strategy on how to save for retirement? -- Submitted by Peter Watson, MBA, CFP , R.F .P ., CIM, FCSI., Certi ed Financial Planner A South American Adventure Awaits You! ENTIRE STORE S 3 DAY ! ONLY 20% OFF Customer Appreciation Sale s Enjoy gourmet delights and apple cider with great savings FRIDAY 10 AM ­ 6 PM SATURDAY 10 AM ­ 5 PM SUNDAY 11 AM- 5 PM November 22, 23, 24 ift Ba 30 - 50% OFF G sket Please join us for a fun and informative evening with Transat Discoveries. Thursday, November 28, 2013 at 7 p.m. Quality Suites Oakville, 754 Bronte Road, Oakville Light Refreshments will be served by Tuesday, November 2013 RSVP byRSVP Tuesday, November 26, 2013 26, to 905-845-9680 g CAA Store - Burlington 3480 Fairview Street 905-632-6772 CAA Store - Oakville 360 Dundas Street East 905-845-9680 Ont. Reg. #50014517. 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