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Balwinder and Kofi Mensa have been married for eight years. They have a son, named Aditya and a daughter named Ulyssa. The family has lived
Balwinder and Kofi Mensa have been married for eight years. They have a son, named Aditya and a daughter named Ulyssa. The family has lived in a house at Northampton Street in Brampton, Ontario LS Y for two years.
The familys birthdates are:
Balwinder: June
Kofi: December Aditya: March Ulyssa: September
Balwinder and Kofi each have $ in TFSA contribution room available. Balwinder has carryforward RRSP contribution room of $ while Kofi has none.
Balwinder and Kofi have three goals.
First, each of them would like to retire on their th birthdays. They want to maintain their current lifestyle.
Second, the couple would like to fully fund both of their childrens postsecondary education at an expected cost of $ in todays dollars. They expect to need these cash flows at the start of each year for four years, starting when Aditya and Ulyssa are respectively.
Finally, Balwinder and Kofi would like to save enough money to take their kids to Disney World in three years. They expect that they will need $ for the trip. They havent started saving for this trip yet. Balwinder earns a gross annual salary of $ as an audiologist and speech pathologist, and generally gets cost of living adjustments each year to keep up with inflation. She gets paid biweekly. Kofi is an actuary for an insurance company and earns $ gross per year, also indexed to inflation.
The couple keep approximately $ in their chequing account for monthly expenses and emergencies. This account earns no interest. The couple have two cars, both fully paid for. Balwinders fiveyearold vehicle is worth $ and Kofis brandnew car is worth $ They like to purchase new cars every ten years at a cost of $ The couple have an RESP for each of their children. They contribute $ to each RESP each January to maximize the grant they can receive from the government. Currently, Adityas RESP has a market value of $ while Ulyssas RESP has $ invested in it Each account is invested in Canadian large cap equities, US equities, international equities and global bonds.
Balwinder has an RRSP to which she maximizes her contributions each year. She only recently started contributing to the plan as she and Kofi used a large chunk of their savings to purchase their current house. Balwinder has $ invested in her RRSP Her RRSP is invested in large cap Canadian equities, US equities, and global bonds. Kofi has a group RRSP through his work that has a current market value of $ He maximizes his contribution every year @ to receive his
employers maximum matching contribution. Therefore, he has no carryforward RRSP contribution room available. Kofis RRSP is invested in large cap Canadian equities, US
equities, international equities and global bonds.
The couples only debt is their mortgage. They bought their house for $ in January of with a mortgage of $ Their current mortgage rate of is fixed for the next three years. They currently owe $ on their mortgage, which has years remaining in its amortization. Their monthly payment is $
The couple have the following expenses each year:
Property taxes of $Annual
Travel expenses of $Annual
The couple have the following expenses each month:
Housing costs, including utilities of $
Food and housing supplies of $
Transportation expenses of $
Cable TV Internet, and Cell Phones of $ Childcare expenses of $
Personal expenses of $ Entertainment of $
Balwinder and Kofi both have group life insurance policies through their respective employers that will provide three times their annual salary in life insurance proceeds upon either of their respective deaths. Balwinders shortterm disability policy will pay of her income for weeks, after a week waiting period, while her longterm disability policy will pay of her income after a twoyear waiting period. Kofis shortterm disability policy will pay of his income for five years after a one month waiting period. He has no longterm disability policy.
The couples answers to their investment questionnaire are available in the Week Resources folder on Blackboard. They expect to pay a nontax deductible annual fee for money management. I NEED RECOMENDATION FOR THIS CLIENT
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