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VIDEO: In this months video blog Dan looks back on 2015 and forwards to 2016.
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DAN'S BLOG
A year in Review
Well, what a year it has been! Not a great year in Canada for the stock market being down about -10%. The good news for our clients was we recommended a move to cash in July. For all of you that did, this preserved gains for the years and kept accounts in a positive balance.
The important thing is that this move will see the most results once the markets takes off again as we are heading back into stocks and bonds this next month. We will be heavily weighted (positioned) in U.S. dollars as we expect the Canadian dollar to decline against the U.S. dollar. Some reports I have seen say it could go as low as 55 cents. Oil has broken below $40 as we predicted earlier in the year.
Watch next month for our allocation and the reasoning behind it.
 I wish you all a Merry Christmas and every success in 2016.
Dan Loney.
For more information on how Loney Financial can help, contact us at 604.534.6003 or Email: dan@loneyfinancial.com
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Holiday spending:
5 tips for cutting down stress and debt.
 Personal finance columnist Bruce Sellery has some ideas on how to budget for holiday spending.
During the holiday season there is pressure to spend, spend, spend.
 "Christmas is marketed to us early and it is marketed to us often," said personal finance columnist Bruce Sellery, who writes for MoneySense Magazine.
"But the bigger thing I think is that we have become dominated by our tradition, instead of celebrants of our tradition."
Sellery joined Sheryl MacKay on North by Northwest to provide some ideas on how to reset one's expectations and get holiday spending back on track.
1. Ask yourself: Is giving just a habit?
"The traditions that we have, and maybe have been passed down for generations, in some cases are not traditions anymore, they're habits," Sellery said.
"In some families gift giving is a habit, so you just buy gifts for everybody and that's just how it's always done, and no one said, 'Hey, is this really how we want to mark Christmas?"
2. Decide what your priorities are
Sellery said people should ask themselves what matters to them over the holidays.
"For some people it's a religious observance, for some people it's spending time together, for some people it's doing fun things … and for most families it's a combination of a couple, but what you'll find as you answer that question is that there are inconsistencies," he said.
"So you say our holidays are for religious observance and yet we can barely make it to church on Christmas Eve because we're still wrapping 12,000 presents or something like that."
"Ask the question: what are the holidays for?"
"For some people more of what we want is more stress-free days, less spending
3. Consider change
Sellery said people should also ask themselves what they want more of over the holidays, and to speak to friends and family members if they want to suggest a change away from traditions that have simply become habits.
"One of the reasons why people don't stick their neck out and make the suggestion, they think, 'Oh geez, Aunt Sally and Uncle Fred are never going to sign up for this.'"
"Ask the question now while people still have some time … how do we do it this year? What are some things we absolutely want to keep, and what could we do differently so people have more of what they want, or less of what they don't want, like less spending, less travel, less stress, and I think the big thing is to align spending with what they holidays are for."
Sellery suggests that, if something like gift giving is being given up, a new tradition could be added. He also said they don't have to be binding — family members can evaluate in the new year whether or not they liked the change, and can always go back to what they did before.
4. Plan what you are going to spend money on
Sellery said that before pulling out one's wallet, people should make a list of what they are planning to spend money on: all the gifts they need to buy for people, all the food required for all those holiday dinners, as well as travel, gas, flights, hotels and experiences (the ballet, the theatre and so forth.)
"Put all that into your list, tally it up, and then you know what the number is."
5. Plan how you are going to pay for it all
"Second, ask yourself: How am I going to pay for that?" Sellery said.
"Am I going to work more shifts in January, am I going to cut back on my buying lunch in the food court in January?
"Because when the bill arrives in January many people act like it's a surprise. And I can tell you: you were there, because you punched in that four-digit pin on your credit card that allowed those products and services to come home to you
"So just think about that in advance so when January or February comes, and those bills are there, you have an idea of what you're going to do to pay for it."
http://www.cbc.ca/news/canada/british-columbia/holiday-spending-5-tips-for-cutting-down-debt-1.3352594
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Season of giving and spending: how to stay on budget
Black Friday is the unofficial kick off to holiday shopping and that means Canadians are under more serious financial pressure. Christmas is on its way, and no doubt it’s easy to stray from your budget. It seems there’s always gifts to buy, food to make, and parties to attend, which can all add up.
Canadians are expected to spend an average of $1,551 this holiday season, up from $1,517 in 2014, according to a recent BMO survey. The survey also reveals we will spend $563 on gifts, $686 on travel and $228 on holiday entertaining.Christmas holiday season can be a time when people get caught up in the euphoria and end up blowing their budgets.
If you haven’t starting saving, here are some financial recommendations on how you should approach the season of giving — and spending.
Have a budget:
“One of the most important things for people to do is to have an overall holiday budget. And not just for gifts but for everything. If you are going to be entertaining or if you’re going to parties, events,” says Scott Hannah, the president and CEO of the Credit Counselling Society of Canada. The number one problem, he says, is most people are not budgeting and are not setting realistic goals.
Hannah says your overall budget needs to fit with your lifestyle and economic situation. Consumers, he says, need to resist the temptation of living up to their friends and family who may earn more income.
Track your expenditures:
While you’re spending your money, Hannah says, make sure you are tracking your expenditures as you go along.
“If you’ve got a budget, make a list of who you are buying for, every time you buy a gift check it off your list and see how much is left in your overall spending plan.”
“Keeping track of that will keep your budget in line and you’ll have less of a holiday hangover in the New Year,” he adds.
Instead of buying gifts for everyone this year, Hannah encourages consumers to plan a Christmas gift draw with friends and family. Remember gifts are not about how much you spend, but about personalizing it.
“It’s surprising that it just takes that one person to make those suggestions and everyone says ‘that’s a great idea’. It’s less stressful. It’s one gift versus ten. We’re all going to save a lot of money and have a lot of fun at the same time.”
A recent TD Canada Trust survey found over one-third of Canadians who do most of their holiday shopping online are more likely to say they spend more than they would in store. And 86 per cent use credit cards as a quick way to pay for their purchases.
Cut down on credit card use:
Hannah’s third tip is to use cash or debit this holiday season.
“Avoid using your credit card this holiday season. Credit cards can add as much as 50 per cent on top of the price of the gift if you’re paying it over a period of time.”
If you’re tempted by the low interest rates, Hannah says keep debt to a minimal and only take on debt that you could afford to pay off in the first three months of the new year.
“The important thing here is taking on debt means that you have to pay it back.”
Household debt to disposable income rose 164.6% in the second quarter of this year, according to Statistic Canada.
Do your research:
Before making a purchase, Hannah recommends doing price comparison shopping online until you find the best possible deal.
If you decide to shop online to avoid the madness of the mall, make sure you not only compare prices, but take into account shopping and exchange rates in your calculations. It’s best to avoid malls when they are extremely busy because people tend to give into impulse shopping, a bad move when you’re trying to stay on budget.
“By doing your homework ahead of time you can save as much as 10 to 50 per cent on a gift item. That really adds up of course for a number of items,” says Hannah.
In addition to the gift-giving, hosting parties can also be a huge financial strain for consumers. Instead of having a massive party, try organizing a volunteer party.
“We are going to donate a day and volunteer here. We’re going to be together. We’re going to have some fun and at the end of the day we are going to feel good about it.”
Plan for next year’s holiday season this year:
Hannah says many consumers that seek advice from the Credit Counseling Society are still recovering from last year’s Christmas debt. He says it’s never too late to start thinking about next year’s holiday season and putting money aside to prevent going into debt.
“One of the best ways to pay for the holiday season is by setting aside funds each and every single month,” he says.
It’s all about getting a game plan and sticking to it so you can figure out how to resolve the potential financial stress so you can get into the spirit of the season without falling into debt.
http://globalnews.ca/news/2376900/season-of-giving-and-spending-how-to-stay-on-budget/
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Mint.com is a fantastic tool. It is what I use to track my monthly budget for fixed and variable expenses. It will even track your discretionary spending if you want but most of the time my discretionary expenses (coffees, movies, eating out) are paid with cash. Check out this free service and if you use it you will be very impressed.
https://www.mint.com/
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Smarter Spending Calculator
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As part of your overall personal finances, it is wise to get a good understanding of your spending. It may feel a little overwhelming to try to balance your personal finances with your busy life, however you will find it well worth the effort.
The cost of everyday items may seem minimal, but when you start spending smarter and invest the remaining savings instead, you can significantly increase the amount you have to spend in the future.
While there are many tips on how to spend smarter, this personal finance calculator estimates how much you can save in a year by spending less in a number of areas including: driving a used car, car pooling, paying off credit cards and cutting back on other non-essential items. It also can incorporate the tax consequences and estimates the future value of your savings.
See how saving a little today can help you achieve the financial future you desire.
Click here to use the Smarter Spending Calculator
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Manulife Bank Mobile Banking App
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 Manulife's mobile banking app is now available for download on most smartphones and tablets from the following online stores:The app gives our clients a simple, easy way to bank with us - anytime, anywhere, when it’s convenient for them and provides the following functionality:
- Check their account balances and transaction history
- Pay bills immediately, or set up recurring/future bill payments
- Transfer money between accounts now, later or on a recurring basis
- Send an Interac® e-Transfer
- Find an ABM in their area
- Contact us by phone or email
The app has been built with the same account security features as those used for our online banking site, manulifebank.ca – reinforcing our commitment to protect the privacy of our clients.
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7 Things to Consider Before Getting a Balance Transfer Credit Card
 Credit cards allowing balance transfers can often save you a great deal of money in interest. However, if you're not careful, they can also end up costing you a great deal of money. If you are debating whether or not you should transfer a balance from another credit card or loan, it's important to consider some key factors.
1. Introductory APRs
One of the best times to transfer a balance is during promotional periods for 0 percent introductory APRs, or "teaser rates," often offered to new cardholders. These offers typically allow you to transfer a balance at 0 percent interest for periods ranging from nine months to as many as 15 months or more, depending on the credit card issuer. This free period is intended to entice consumers to make the switch by helping them save money on interest for a limited time. It can be especially helpful if transferring balances from loans or credit cards with high APRs.
2. Paying down the balance
Consider how you plan to pay down the balance you are transferring. If you are taking advantage of a special promotion, ask yourself if you can pay down the balance completely within the promotional period. For example, many credit cards offer lower APRs and 0 percent periods for 15 months before charging interest, but if you aren't positive you can pay down the balance during that time, you could end up paying more in the end. There are also special financing offers that require payment in full before the promotion ends in order to take advantage of the no-interest offer. If you don't pay the entire balance in full, you could end up responsible for all interest that would have accrued during the promotional period.
3. Balance transfer fees
While credit cards often provide low introductory APRs for balance transfers, usually you still have to pay a balance transfer fee. This fee can be as little as $10 or 4 percent of the transfer, whichever is greater. There are a handful of credit cards that waive the balance transfer fee for new card holders. However, in exchange, you may not receive a 0 percent introductory APR. You'll need to calculate the cost difference between paying a balance transfer fee and taking advantage of a 0 percent introductory APR.
4. APR
One of the most important factors to be aware of when transferring a balance is the APR on the loan or card you are transferring from, as well as the APR on the card receiving the transfer. The primary purpose of transferring balances is typically to save money on interest payments. It is important that you transfer to a card with a lower APR in order to save the most money. If you aren't sure about the APR, ask both card companies before transferring.
5. Credit score effects
You'll need to consider your credit score before even attempting to transfer a balance. If you have had credit problems in the past, you may not qualify for a credit card with a decent balance transfer APR or sufficient credit line. Frequently transferring the same balance from card to card also can have a negative effect on your credit score and eventually result in being denied future promotions when you really need them. At the same time, however, the original account will appear as though it has been paid in full, which can bring your credit utilization ratio down. The credit utilization ratio is the percentage of total available credit you have across your accounts. A low ratio reflects positively on your credit reports.
6. Card use after the transfer
When transferring balances, it's important to consider not just the transfer itself, but how you plan to use both cards after the transfer. For instance, do you plan to continue using the card you transferred from, or will you close the account? Before making a decision, weigh factors such as how long you have had the account before the transfer and whether closing it will negatively affect your credit rating. The average age of your accounts is one component of your credit score. Therefore, having an old account could help your credit history. On the other hand, if you keep the account open and continue to use it, you may not have an opportunity to transfer the balance from that account again in the future.
7. Credit limits
Not only do you need to make sure you receive a credit line high enough on your new card to cover the balance transfer, but you also should consider whether the credit limit could impact your credit score. Your credit utilization ratio contributes to your overall credit rating significantly, and transferring a balance to a card with only enough room for the transfer itself can leave you with a maxed out account. If you don't qualify for a higher credit limit, it might be in your best interest to work on repairing any credit issues and paying down the balance on the original account until you can get that higher credit limit.
https://ca.finance.yahoo.com/news/7-things-consider-getting-balance-133500115.html
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WHAT'S DAN READING?
The Big Fat Surprise: Why Butter, Meat and Cheese Belong in a Healthy Diet
by Nina Teicholz
 I recently went in to see my doctor and he told me I have to read this book. Wow, this may have been the most important nutrition book I have ever read in my life. The information was incredibly well researched and cut through the myths and misinformation that prevails in the media.
This book will set you straight on issues such as fat, oils, protein, carbs, etc. It makes a stunning case for protein and gives many examples of cultures that have far less heart disease and cancer than we North Americans do while surviving on diets high in protein and dairy.
Teicholz is a mother and investigative journalist and right from the outset she states that she is not connected to any special interest groups while she exposes in the book many organizations that promote nutrition based on their selective industry.
This is not only a good read, it is a must read.
Dan
Purchase this book at Amazon.ca online.
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Click here to see the story of a 35 year dream come true and learn about Loney Financial’s support of rescuing homeless children in Guatemala. Thank you to all the clients and associates that have helped to make this a reality.
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CLIENT PHOTO
Each month we are featuring the best photos from our Clients. Please submit yours to Dan and we will include this in a future Newsletter.
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by Sarah Loney: Merry Christmas from our home to yours.
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COOKING WITH DENISE
Denise Bailey our Client Services Coordinator brings you a delicious monthly recipe from her renowned portfolio.
Grinch Cookies
These are so easy and festive they’ll be sure to put you in the holiday mood! 
One of my all-time favourite Christmas movies is Dr Suess' How the Grinch Stole Christmas.
When they came out with the movie starring Jim Carey, well, I now watch that one every year. So, when I came across this recipe in...yes...Pinterest, I had to make it.
It is so easy and my kids loved them, I added it to my favourites list.
The only thing to check is your oven temperature. My first batch of cookies were a little too soft in the middle (I did them at the recommended 8 minutes). So, the second batch I put in for 9 minutes and they were cooked more to my liking in the middle.
Needless to say, both batches did not last long! I picked up the heart candies at Michael's - just in case any of you are wondering. Enjoy!
Wishing you are very Merry Christmas and all the best for the coming year!
Denise
 INGREDIENTS:
1 box french vanilla cake mix (16oz).
1/2 cup vegetable oil.
2 eggs.
green food coloring, 1 drop.
Confectioners (powdered) sugar for dusting.
Sprinkles or candies, large heart-shaped.
DIRECTIONS:
- Preheat oven to 350° F.
- In the bowl of your mixer cream together cake mix, food coloring, oil, and eggs.
- Chill the dough for 10-15 minutes.
- Drop by Tablespoon into confectioners sugar and roll into balls. **Please see NOTES**
- Place on baking sheet and press 1 large heart candy/sprinkle.
- Bake for 8 minutes until just set.
- Let cool 2 minutes on pan before removing to cool completely on a wire rack.
NOTES:
- If your cookies are spreading too thin, you can put them back into the refrigerator for 10-15 minutes after step 4.
- Some people have reported reducing the oil to 1/3 Cup. I have since tested the recipe 2 more times (once with 1/2 Cup oil, once with 1/3 Cup oil). Results were preferable using 1/2 Cup, but still fine with 1/3 Cup if that's what you would like to do.
- My son's class had a Grinch party at school and we whipped up these cookies in no time. For a Grinchy treat that comes together even more quickly you can pop a bag of popcorn and drizzle it with green chocolate candy melts. Sprinkle it with with heart candy sprinkles and let cool completely before enjoying.
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Solutions Magazine
WHAT’S YOUR MOTIVATION? - Stories to inspire, strategies to help you achieve your goals.
Read More (PDF) >
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Articles
A Guide to Not Retiring
Some people nearing retirement age simply don’t want to leave their jobs. But defying expectations can be difficult—in the office and at home.
It’s an inescapable reality of getting older: At some point, everybody expects you to retire. There’s your spouse, who perhaps is already retired and is looking forward to enjoying a relaxing life with you —
Read More >
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