Tax Planning Newsletter FALL 2015 - Gordon Stirrett Wealth...
Transcript of Tax Planning Newsletter FALL 2015 - Gordon Stirrett Wealth...
Tax Planning
TABLE OF CONTENTS
FALL 2015Newsletter
Feature Story .............................. 2The global economy is increasingly connected. We review some recent financial newsmakers.
Retirement Planning ................ 4Today’s vibrant seniors raise questions about the concept of full retirement.
Financial Planning ..................... 6Take a sneak peek at our new financial planning book, Your Money. Your Future.
Tax Planning ........................... 8Taxes can take a big bite out of your money. See how we fare against other Canadians.
Debt Management ................... 10Household debt levels continue to concern. We provide some practical advice to maintain a balance.
The Markets ........................... 12An overview of the Canadian and global markets.
Estate Planning ..................... 14Tax planning is a big part of preparing your estate. We review the basics. Insurance Planning................. 16Health issues can make life insurance tough to obtain. We look at one option.
In the Community ................ 18Two powerful initiatives provide opportunities for Nova Scotia’s youth.
With autumn upon us, it’s common to reminisce about the fresh
start of the new school year. In fact, many consider the fall as their
unofficial ‘new year’ and a time to tackle new projects or get back
on track with their goals. So it’s as good a time as any to check in
on your financial plan.
One tool that may help is our new book, Your Money. Your Future. We
wrote it to address the many questions we hear from Nova Scotians.
It’s a quick, clear read that covers a wide range of topics including
the personal values that influence financial decisions, the risks and
challenges that can hijack your plans, and practical strategies to
keep you on track. You can learn more about it on page 6.
Other topics in this edition include an overview of the global economic
factors affecting markets and investors around the world.
Closer to home, we look at Canadian household debt levels, and
review some basic principles for managing a healthy debt balance.
We also review current tax rates, comparing Nova Scotians’ after-tax
income to those in other parts of the country.
Also, many Canadians continue to work in some capacity after
the age of 65. We look at the financial and personal benefits of this
growing trend.
And finally, we provide updates on two community initiatives. I Am
Potential and SHINE Academics are creating incredible opportunities
for young people in two very different ways.
If you have questions about anything in this newsletter, or want
to discuss your financial plan, please contact us. We are always happy
to hear from you.
2 Gordon Stirrett Wealth Management Newsletter
Feature Story
USAThe US continues to plod ahead with low, but positive economic growth. There was some
speculation that the Federal Reserve Bank could potentially raise interest rates in the
fall to offset inflation, but the persistence of low commodity prices, coupled with the China
currency devaluation create uncertain conditions. Under these circumstances, many
analysts suggest a rate change is not as likely as it was.
CanadaWith the low price of oil, Canada’s growth has levelled
off, and several of the key commodity-producing provinces
are at risk of a downturn, which has led to intermittent
speculation of a recession. (Canada has seen five
consecutive months of economic decline, just shy of the
two-quarter decline, which is the standard definition of
a recession.) The devaluation of the Chinese currency adds
to this challenge as it is a large source of exports for
Canadian commodities. The federal bank rate was cut twice
in the last six months to keep people buying and the
economy moving.
Global Economic Highlights The global economy has seen some interesting twists and turns in the last few months, including the challenging situation in Greece, new optimism in the USA and dismal oil prices in Canada.
Gordon Stirrett Wealth Management Newsletter 3
Feature Story
ChinaChina surprised most global economists in August when
it devalued its currency by roughly three per cent in an effort to
stimulate exports. As the second largest economy in the
world, and a key source of business for many major companies,
such a surprise move created uncertainty in the markets. And
while many contend that the US, the world’s largest economy,
will be largely unaffected, the true impact of this change remains
to be seen.
EUIn Europe, the big newsmaker has been Greece. Its continued economic woes led to a tumultuous summer,
including a CDN $125.1-billion bailout package that comes with a set of severe economic
restrictions from its lenders. As the government to date has been unsuccessful in administering austerity
measures, many are not holding hope that Greece can meet these new demands. Despite all that, the
country saw a 0.8 per cent increase in its economic growth in the second quarter.
Meanwhile, Germany, France and Italy, the three largest members of the eurozone, saw nominal rates of
decline and growth, maintaining relative stability despite the Greek crisis.
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Retirement Planning
Finding The Work-Life Balance In Retirement Semi-retirement has become quite a popular concept. Is it right for you?
Most of us have grown up with the idea of working until
we reach the age of 65, and then sailing off into the sunset
of a work-free retirement.
But now, for both financial and social reasons, more than
half of Canadians expect to work in some capacity after
the age of 65.
While many may consider this a defeat—as if we’re
somehow giving up our chance to reap the rewards
of a lifetime of work—others see it as a logical and
meaningful reaction to our longer, healthier life spans.
65 IS THE NEW 50
Better health is a key aspect of this discussion. Many in
their 60s are as vital physically and mentally as they
were in their younger days. They take care of themselves
and maintain healthy lifestyles. While some chronic
illnesses are more common as we age, advances in health
care can make these ailments far less debilitating
than they used to be. This makes many jobs that don’t
require excessive physical exertion much more sustainable
as we age.
PADDING THE NEST EGG
Let’s address the obvious financial implications of
working during retirement. Even a small amount of income
can reduce the need to dip into retirement savings,
essentially prolonging the longevity of your funds. A small
source of income can also delay the date you need to
start government or pension benefits, which can mean an
increase in your monthly benefits when you start
collecting later.*
USE IT OR LOSE IT
Many studies endorse the idea that work provides
extensive psychological and cognitive benefits as well as
financial ones.
Gordon Stirrett Wealth Management Newsletter 5
Retirement Planning
Those who continue to stay engaged in work in
some capacity—including volunteer roles—show
reduced hypertension, lower levels of depression
and higher levels of life satisfaction than those
who don’t work.
Experts say this can be due to many factors,
including the continuity of meaningful social
engagement, which recent studies also correlate
with reduced impacts of dementia.
THE POST-RUSH CRUSH
Working in retirement may also offset what is
known as the "Rush/Crush" scenario where
retirees bask in the glow of their new-found freedom
from work and responsibility for the first couple
of years, but then sink into a slump of boredom
and depression.
There are several potential reasons for this,
including ‘running out’ of interesting or meaningful
things to do, and losing the sense of self-identity
that many associate with their jobs.
Experts say that many retirees are not aware
of this phenomenon before it occurs, and
are reluctant to talk about it when it does. They
suggest that a more gradual transition, which
may include working part-time, can help reduce
the adverse effects of retirement.
THE IDEAL JOB
As mentioned earlier, not all jobs are conducive
to every age. Physically demanding jobs may not
be possible in our 70s, but many more sedentary
jobs are.
Some seniors are pursuing reduced hours or
contract work with their same employer after their
retirement date. Others start consulting,
lending their years of experience and expertise to
companies without the obligation of having to
go to an office every day.
CONCLUSION
While the decision to work during retirement is
personal, it is one that should be carefully
considered as early as possible to ensure the
maximum financial and social benefits. If you
have questions about this, please contact us.
*Delaying the age at which you collect CPP benefits can increase your monthly benefit by as much as 42%.
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Financial Planning
Over the years, we’ve been fortunate to have many
conversations with Nova Scotians about their financial
goals. While the range of issues, challenges and
priorities is different, we’ve seen dozens of common
themes and questions that need answers.
We wanted to create a single resource to address
these issues simply and clearly, and with Nova Scotia’s
economic landscape in mind.
Your Money. Your Future. is designed to provide an
introduction to the key financial planning principles,
strategies and solutions. It doesn’t pretend to be the
exhaustive resource on every topic. But instead, it’s
meant to arm Nova Scotians with enough information to
help them see the big picture and ask the right questions.
In the book, we explore the most important aspects of
your financial plan—your values and priorities—and how
they impact your outlook toward money. We address the
key risks and challenges that can jeopardize your financial
plan. And finally, we outline the many issues and options
for saving and investing, retirement, insurance, debt and
estate planning.
We’re very pleased to provide a complimentary copy to
each of our clients. (You can pick up a copy at your next
appointment, or call in to request one earlier.) The book
is also available for purchase on our website for $29.95.
We hope you enjoy it, and we look forward to your feedback.
Available November
2015!
Financial planning book for Nova Scotians We are thrilled to announce the launch of our new book,
Your Money. Your Future.
Gordon Stirrett Wealth Management Newsletter 7
Financial Planning
Examples, charts and illustrations explain the diverse aspects of a solid financial plan.
Information and examples are based on Nova Scotia's data such as demographics, income and tax rates.
Topics range from big picture planning to tactical solutions and strategies.
Tax Planning
8 Gordon Stirrett Wealth Management Newsletter
Taxes are an important way that governments can
provide the infrastructure and services that make our
communities so great.
But as individuals, Nova Scotians face a big tax burden
– more onerous than most other jurisdictions in Canada.
For example, a Nova Scotian who earns $100,000
can expect to take home $69,262. Whereas the same
income in British Columbia would create a take home
amount of $75,294.
Nova Scotia (and many other provinces) faces high
tax rates due to a number of factors, including an aging
demographic and skyrocketing health care budgets.
Nova Scotia has one of the oldest populations in the
country with 17.2% of the province over the age of 65,
and a projection of 25% by the year 2025.
Older populations tend to consume more health care,
which means higher health care budgets. Nova Scotia
currently spends roughly 41% of its annual budget on
health care. As our population ages, that number is likely
to increase.
As you think about your financial decisions, keep in
mind the tax issues facing Nova Scotia and its aging
demographic. Increases in tax rates and/or reduction
in services should be factored into your long-term planning
to ensure your retirement plan stays intact.
Taxing Times Tax is often a hidden expense that isn’t factored into spending or saving plans. Nova Scotians face some of the highest tax rates in the country, so careful assessment of taxes is critical.
An annual taxable income of $100,000 generates a different after-tax amount depending on where you live.
*Percent of tax on actual dividends received.
Province
$24,706
$25,774
$27,994
$30,289
$26,126
$31,376
$29,769
$30,738
$30,437
$27,980
$24,967
$24,910
$23,100
Tax Payable
24.71%
25.77%
27.99%
30.29%
26.13%
31.38%
29.77%
30.74%
30.44%
27.98%
24.97%
24.91%
23.10%
Average Tax Rate
18.31%
15.15%
17.91%
28.12%
25.38%
29.35%
32.45%
27.09%
24.56%
26.05%
16.12%
15.15%
19.97%
Marginal Rate on Eligible Dividends*
$75,294
$74,226
$72,006
$69,711
$73,874
$68,624
$70,231
$69,262
$69,563
$72,020
$75,003
$75,090
$76,900
After-Tax Tax Rate
38.29%
36.00%
39.00%
43.40%
43.41%
45.71%
45.52%
43.50%
44.37%
39.30%
38.20%
36.90%
35.00%
Marginal Tax Rate
BC
AB
SK
MB
ON
QC
NB
NS
PE
NL
NY
YT
NU
Gordon Stirrett Wealth Management Newsletter 9
Taxable Income
MARGINAL TAX RATES (%)
2015 Nova Scotia Combined Federal & Provincial Marginal Tax Rates
first $29,590
over $29,590 up to $44,701
over $44,701 up to $59,180
over $59,180 up to $89,401
over $89,401 up to $93,000
over $93,000 up to $138,586
over $138,586 up to $150,000
over $150,000
23.79
29.95
36.95
38.67
42.67
43.50
46.50
50.00
* Marginal tax rate for dividends is a percent of actual dividends received, not the gross amount.
2015 Nova Scotia basic personal amount: $8,481
2015 Federal basic personal amount: $11,327
Interest &Regular Income
11.90
14.98
18.48
19.34
21.34
21.75
23.25
25.00
Capital Gains
10.94
18.21
26.47
28.50
33.22
34.20
37.74
41.87
Canadian Dividends*
RRSP Contribution Limits
Old Age Security Benefits 2015$563.74 Monthly $6,764.88 Annually
For 2015, benefits are repayable if net
income exceeds $72,809. The repayment
is 15% of excess to a maximum of
the OAS received. OAS is eliminated once
income reaches $117,908.
Canada Pension Plan Benefits 2015 (maximum benefits available)
Death Benefit $2,500.00 $ –
Retirement Benefit $12,780.00 $1065.00
Disability Benefit $15,175.08 $1264.59
Survivor’s Benefit (under 65) $6,973.56 $581.13
Survivor’s Benefit (over 65) $7,668.00 $639.00
2015 Annual Total Monthly
Year 18% of Earned Income From the Prior Year to
a Maximum of:
2015 $24,930
2016 $25,370
2017 Indexed
Tax Planning
10 Gordon Stirrett Wealth Management Newsletter
Debt Management
Canadian household debt has been a persistent topic
of economists of late. They raise three major concerns:
• Debt-to-Income Ratios Canadians now owe $1.47
for every $1.00 they earn
• Overinflated Housing Markets The biggest house-
hold debt is generally in the form of a mortgage.
If housing prices spike like they have in places like
Toronto and Vancouver, there is always the danger
of a subsequent decrease too, leaving homeowners
with a mortgage that is worth more than the value
of the home.
• Increasing Interest Rates Following on the above,
carrying mortgage debt can get tricky if the interest
rate on the mortgage increases.
So how do we manage debt in a healthy way? The
following tips represent some common sense approaches
to accumulating and paying down debt so that it can be
a useful tool in your financial plan instead of an albatross.
1. Create And Stick To A Budget Maintaining a healthy
level of debt is simple: balance what you earn with
what you spend. But actually implementing that concept
can be challenging. Gaining a clear understanding
of your monthly expenses, compared to your income is
a key part of developing a budget. Sticking to that
budget is easier if: a) your estimates are fairly accurate
(i.e. you’ve reviewed your spending habits over a few
months); b) you’re committed to your savings
goals; and c) you’ve provided a little wiggle room for
the unexpected.
2. Shop Around For The Best Mortgage Rate For most
of us, the family home is the biggest source of debt.
Mortgage rates are generally lower than other forms of
debt like credit cards or car loans. Rates have been
uncharacteristically low since the economic issues
springing from the market crash of 2008. While they
persist in the low range, it’s always good to look for the
lowest rate as even a small difference in interest rates
can have a big impact on the overall ability to repay your
loan. Your mortgage business is valuable to lenders,
and they are competing for it just like other businesses
do. Make sure to shop around for the rate, terms
and conditions that are best suited to your needs and
financial situation.
3. Make Extra Mortgage Payments You get a bonus
at work. You receive a refund on your taxes. You sell
your stamp collection. No matter how it happens, you
sometimes find yourself with a little extra cash.
And when you do, dedicating that extra money to your
mortgage can have a real impact. For example,
let’s say you have a mortgage of $350,000 with an
interest rate of 3.5% amortized over 25 years.
One extra payment of $5000 will reduce your overall
mortgage and interest paid by $6771 and make
you mortgage-free one year faster. If you add that extra
$5000 every year, your savings jump to $57,753
and you’ll have it all paid off in only 18 years!
The Balancing Act Not all debt is bad, but you can keep your debt load in check by
following some common sense guidelines.
Gordon Stirrett Wealth Management Newsletter 11
Debt Management
4. Speed Up Your Mortgage Payments Another somewhat
painless way to reduce your mortgage debt faster
is to use an accelerated payment schedule. So, instead
of having a monthly mortgage payment of say, $1500
a month, you might opt to have a weekly payment of
$375. On a mortgage of $300,000 with an interest rate
of 3.5% amortized over 25 years, this small change in
payment frequency can reduce your total interest by
$20,000 and have you mortgage-free three years faster.
5. Consolidate Your Debt Credit card debt, car loans,
student loans and other non-mortgage type loans
tend to carry higher interest rates than mortgages or
lines of credit. When lumped together in one, lower-
interest consolidated loan such as a line of credit, these
debts can be paid off more quickly, and with lower
overall borrowing costs.
6. Have An Emergency Fund Even the most diligent
savers can face difficulty when the unexpected happens.
The money for a new roof or costly car repairs has to
come from somewhere. Credit cards may allow you to
cover these expenses initially, but their high interest
rates don’t make them practical as a long-term solution.
A small savings fund or access to room on a line of
credit can help offset financial emergencies, and avoid
an unexpected debt trap.
As with many aspects of your financial plan, small actions
can have a big impact on your ability to reach your goals.
If you have questions about your debt situation, please talk
to us.
PURCHASE PRICE: $300,000MONTHLY PAYMENTS: $1,500
Total Interest Over 25 Years: $150,000Total Cost of Purchase: $450,000
INTEREST SAVED: $50,000
3.5%
PURCHASE PRICE: $300,000MONTHLY PAYMENTS: $1,600
Total Interest Over 25 Years: $200,000Total Cost of Purchase: $500,000
4.5%
THE 1% DIFFERENCE
Mortgages are often our biggest
source of debt. Because mortgages
are usually for large amounts
over long amounts of time, even small
increases in interest rates can
have a big impact on how much you
pay to borrow the money. In this
example, increasing the interest rate
by just 1% adds $50,000 in
interest charges.
12 Gordon Stirrett Wealth Management Newsletter
The Markets
Sector Breakdown (As of October 8th, 2015)
TSX Composite Index As of October 8th, 2015: 13,978.66
The following depicts the make-up of the Toronto Stock Exchange, indicating over
64% of stocks coming from the financials, energy and materials sectors.
Source: Standard & Poors
YTD Return: - 4.47%
Materials9%
Industrials8.3%
Consumer Discretionary7.2%
Telecommunication Services5.4%
Health Care 4.9%
Consumer Staples 4.4%
Information Technology 2.8%
Utilities 2.3%
Financials37.1%
Energy18.5%
13 Gordon Stirrett Wealth Management Newsletter
The Markets
The following are year-to-date returns of the major markets of the world in their local currency.
Index Oct. 7, 2015
United States (DJIA)
United States (S&P 500)
United States (NAScomp)
Japan (Nikkei 225)
China (SSEA)
Britain (FTSE 100)
Canada (S&P TSX)
France (CAC 40)
Germany (DAX)
Russia (RTS, $ terms)
Australia (All Ord.)
Hong Kong (Hang Seng)
India (BSE)
Brazil (BVSP)
Emerging Markets (MSCI)
World, all (MSCI)
Source: The Economist, October 10, 2015
Markets% change year-to-date
(in local currency)
- 5.10
- 3.10
+ 1.20
+ 5.00
- 5.70
- 3.50
- 5.20
- 9.20
+ 1.70
+ 11.20
- 3.00
- 4.60
- 1.70
- 2.20
- 13.30
- 5.00
For example, if China is doing well, it uses more natural resources, which is good for many of Canada’s industries. These
connections make it essential for investors to keep an eye on world markets. We provide the following market updates
to give you a quick snapshot of what’s happening around the globe. If you have any questions, please contact us.
16,912.30
1,995.80
4791.20
18,323.00
3,197.40
6,336.40
13,868.40
4,667.30
9,970.40
844.10
5,228.40
22,515.80
27,035.90
48,914.30
828.70
396.20
Today, global economies are more connected than ever.
Estate Planning
From a tax perspective, when you die, you are deemed to
have disposed of all of your assets. If you are single or
the last surviving spouse, many assets such as RRSPs or
RRIFs are then taxable as income. This income is accounted
for by your executor on your terminal (final) tax filing.
For example, if your RRSPs were worth $500,000 at
the time of your death, they would be taxed as if you had
earned $500,000 of taxable income in the final year
of your life. Depending on the other sources of income that
you had in the year of death, the income tax payable can
range between 40 and 50 per cent.
The scenario is thankfully different if you have a spouse.
In that case, assets such as jointly held property or
RRSPs (if your spouse is named as the beneficiary) can
be transferred to your spouse on a tax deferred basis.
WHAT’S TAXABLE AND WHAT’S NOT?
As mentioned, RRSPs, RRIFs and other registered
investments would be taxable upon your death. The major
exception is that these funds can be transferred to
a spouse with no tax implications. So, in the previous
example, if you die before your spouse, they can
receive the full $500,000 in RRSPs without paying taxes
on it. It’s important to note, however, that the surviving
spouse will continue to pay taxes on the income that they
withdraw from the registered account.
WHAT IS EXEMPT?
One major exception to the above rule is tax-free savings
accounts (TFSA). Any funds accumulated in a TFSA
are not taxable upon death (or before). So a TFSA can be
willed to a beneficiary without incurring taxes.
Prudent planning can keep the taxman at bay One of the most surprising facts for people planning their estate is the extent to which taxes come into play. While tax is an unavoidable aspect of estate planning, it is possible to ensure that the majority of your estate lands in the hands of the people and causes that matter to you.
14 Gordon Stirrett Wealth Management Newsletter
Estate Planning
Other non-registered assets such as bank accounts or
GICs can be transferred to a surviving spouse at death
as long as the spouse is a joint account holder. But
when the surviving spouse dies, capital gains on these
non-registered assets become taxable. Once any capital
gains taxes have been paid, the residual can be paid
to beneficiaries. Often non-registered assets are also
subject to probate fees.
Assets such as a home or cottage that are jointly owned
can often be transferred to the co-owner without tax
implications.
Charitable donations create other tax exemptions. For
instance, a $500,000 investment that is donated to a
registered charity would not incur taxes on the deceased’s
terminal tax filing, and instead would generate a
$500,000 tax credit.
INSURANCE-BASED STRATEGIES
Life insurance policies can be used to offset many
expenses for an estate, including taxes. For instance, you
can buy life insurance to cover funeral costs and
probate fees, and name the estate as your beneficiary.
You can also buy a life insurance policy as a means of
providing tax-free cash to a spouse or any other beneficiary
—neither your estate nor the beneficiary will incur taxes
on the cash in the policy.
Permanent life insurance takes that one step further,
allowing you to invest additional funds into the policy each
year. The beneficiary of this policy would then have the
value of the life insurance policy itself, plus any investment
gains, all tax-free. Again, this policy would not incur any
taxes at death.
The tax implications of estate planning can be complex.
It is highly advisable to review your situation with a
professional. We are very happy to discuss your scenario
and identify any further professional help such as
accounting or legal support that might be needed.
Gordon Stirrett Wealth Management Newsletter 15
Insurance Planning
For many adults, chronic health conditions make it challenging to obtain life insurance. However,
with guaranteed life insurance policies, there is no requirement for medical information or a
medical examination, which means you can’t be turned down for coverage.
Besides the guarantee, these policies have a few other
differences from traditional life insurance. For instance, the overall coverage amounts are generally
lower. Often the policies are between $25,000 and $100,000. In addition, guaranteed life insurance
is more costly, with premiums that are higher than traditional life insurance. However, the cost of
the premium remains steady throughout your life, with no price increases, and no change in coverage.
Many policies base their premium price on whether you are a smoker or non-smoker. Like most forms
of life insurance, smokers can expect to pay higher premiums.
Some guaranteed life insurance policies offer increased payouts—sometimes up to five times the
policy value—for accidental death. So a $25,000 policy could potentially pay out $125,000 if your
death was accidental.
CONCLUSION
Guaranteed issue life insurance can be a relatively easy way to obtain life insurance coverage if
you have been turned down for traditional life insurance. While no one likes to consider this prospect,
it’s good to know there is a back-up option in place.
As with any insurance issue, it’s important to review the policy carefully to ensure it meets your needs.
If you have questions about this or another aspect of your insurance plan, please contact us.
Insurance for the UninsurableGuaranteed issue life insurance can provide a solution for those whose medical history makes them ineligible for traditional life insurance coverage.
16 Gordon Stirrett Wealth Management Newsletter
Insurance Planning
Gordon Stirrett Wealth Management Newsletter 17
SAMPLE COSTS The following illustrates the typical monthly premium for a 50-year-old,
non-smoker to obtain $25,000 of guaranteed issue life insurance.
TYPICAL FEATURES OF GUARANTEED ISSUE LIFE INSURANCE
• Offers life insurance coverage without a medical
• Available to those in certain age groups, often 40-75
• Coverage amounts generally lower than traditional life insurance • Premiums generally higher than traditional life insurance
• Premiums and coverage remain constant throughout your lifetime • Premiums higher for smokers
• May include clauses around things like waiting periods and accidental death benefits
MALE $69.45
FEMALE $57.50
18 Gordon Stirrett Wealth Management Newsletter
In the Community
Post-secondary education can be a strong determinant of success for young
people and their communities.
SHINE is playing a crucial role in helping inner city youth take a step closer to
the opportunities that education can afford.
SHINE is a free, volunteer-run tutoring program, independently operated
by local university students. With space provided by the North End Memorial
Public Library, students from the community—regardless of their economic
means—have access to one-on-one tutoring, healthy snacks and learning
tools. This, combined with the collaborative team atmosphere, gives them
the support they need to tackle the critical subjects of math and science.
The program has been so effective in helping kids that word has quickly
spread via students and teachers. SHINE has grown from 12 students when
it began in 2013 to almost 50 for this 2015-2016 year.
Let Them Shine Tutoring Program Bears the Fruit of its Labour
SHINE has
grown from
12 students
when it began
in 2013 to
almost 50 for
this 2015-2016
year.
Gordon Stirrett Wealth Management Newsletter 19
In The Community
"To see these young graduates take time out of their busy university schedules to
give back to the program is one of the most rewarding things for SHINE."
As SHINE has progressed, so have its participants,
graduating from high school and moving on to university.
Some of these students are the first in their families to
attend post-secondary institutions.
“These kids worked so hard to make it to university,”
says Loran Morrison, co-founder of SHINE. “Often they are
doing it with limited support or guidance about what
to expect, how to finance their education, or what programs
to choose.”
Seeing this need, SHINE is doing what it can to provide
information and point students in the right direction for
program selection, student loans, and other sources
of funding. They’ve even developed their own small bursary
program, using donated funds to grant modest monetary
sums to deserving students.
One of the true signs of success of SHINE is that some
of the graduates are now volunteering for the program
themselves–tutoring younger peers from their community.
“To see these young graduates take time out of their
busy university schedules to give back to the program is one
of the most rewarding things for SHINE,” says Morrison.
“They see how important education is, and they’re passing
that on to the kids coming up behind them.”
Gordon Stirrett Wealth Management is proud to be
the Founding Sponsor of SHINE. For more information
on the program and ways you can help, please visit
www.shinehalifax.com
20 Gordon Stirrett Wealth Management Newsletter
In The Community
Gordon Stirrett Wealth Management has been a
long-time supporter of the highly effective Start2Finish
Running & Reading Clubs. This innovative after school
fitness and literacy program supports at-risk elementary
school students and empowers them with tools for
life-long success.
At its core, students have the opportunity to engage
with positive adult role models who want to see them
do well in life.
Kevin Jolly is one of those adults. He’s been leading the
Start2Finish program at St. Joseph A. McKay Elementary
School for the last seven years. While he’s passionate
about the program, he was aware that it was not meeting
the needs of kids when they left elementary school.
“Everything pointed to the need for a creative and
engaging program for junior high youth,” says Jolly. “The
research I’ve done, and the people living and working
in the area say junior high is where these kids start to
lose their way.”
Concerned about the ‘graduates’ of the Start2Finish
program, Jolly developed I Am Potential with a group of
youth from Highland Park Junior High. I Am Potential
is an after-school mentoring program for inner city youth.
It grew out of the conviction that a bright future is
possible for these kids if they can access post-secondary
education and positive adult role models.
The program connects these youth with university
student volunteers once a week. They spend time on a
post-secondary campus and enjoy a sport, a meal,
and hands-on learning projects.
Projects are designed to expose the students to new
areas and opportunities that post-secondary education
affords. For example, in its inaugural year, the youth built
wooden samurai swords using hand tools donated by
Lee Valley Tools at a space provided by the Engineering
faculty at Dalhousie University. This fall youth will have
the opportunity to try projects in Lego-robotics, theatre and
medicine with university student volunteers.
In time, with additional volunteers and resources, Jolly
hopes to offer the program in other schools where interest
and need is high.
Gordon Stirrett Wealth Management is proud to be the
Founding Sponsor of I Am Potential. If you want to learn
how you can help, please visit www.IAmPotential.ca
New program sees the potential in junior high youth I Am Potential picks up where Start2Finish ends
1801 Hollis Street, Suite 1540, Halifax, NS B3J 3N4 tel: 902-492-1119 fax: 902-492-9494 toll-free: 1-888-878-0770 email: [email protected] www.gordonstirrett.com