Aaron earns $6,667 (after-tax) per month as a professor at a local university. He also earns net income of $10,000 per month in each of March and April from his income-tax return preparation business. His major cash outflows include $3,000 for his monthly living expenses and $500 toward a car payment. Each year, Aaron spends $5,000 per month in July and August traveling. Aaron would like to retire in 15 years at age 60. At that time, he estimates he will be withdrawing $40,000 per year (in today's dollars) from his investments.

Every year, Aaron makes a lump sum contribution of $12,000 to his Registered Retirement Savings Plan (RRSP). His RRSP account has grown to $63,710 and he currently has $84,000 in unused RRSP contribution room. Aaron has never contributed to a Tax-Free Savings Account (TFSA). When he switched banks almost a decade ago, Aaron set up a preauthorized monthly transfer of $250 from his chequing account to his savings account to cover emergencies that may arise. This account has grown to $34,000. Now that he has paid off the mortgage on his $400,000 house, and has been offered tenure at the university, Aaron feels comfortable taking on additional risk to achieve greater growth on his retirement investments.

 What strategies and/or recommendations related to his cashflows, RRSP & TFSA would you suggest, to save for his retirement? Substantiate your recommendations and show all calculations and assumptions (if any).