Video Overview

The household lives in Canada, earns about C$170,000 per year, and aims to build assets over six years before retiring at 65. While the older child attends university, living costs are about C$60,000 and tuition about C$30,000, leaving roughly C$80,000 to invest. From 2027 to 2030, the younger child's education lifts total spending to about C$110,000 and reduces annual investing to around C$60,000. After both graduate in 2031, contributions could rise to C$110,000. The video also mentions a C$310,000 deposit maturing in 2025, about C$90,000 from insurance surrender, and roughly C$900,000 from a planned 2026 rental sale. A 433 allocation is modeled at 12% annual returns with 2% yearly borrowing in retirement; none of those outcomes is guaranteed.

Key Takeaways

• Annual income is about C$170,000, while education changes yearly contributions among C$60,000, C$80,000, and C$110,000.
• The video mentions a C$310,000 deposit, about C$90,000 from insurance, and a possible C$900,000 rental sale.
• The 433 model uses 40% index funds, 30% two-times leverage, and 30% cash-like assets.
• Asset values for 2031, 2035, and 2040 and 2% retirement borrowing depend on a 12% return assumption.

Chapters

About 00:00:09 · The Canadian household's goal

Income, two children's education, and a prior health challenge shape the six-year plan.

About 00:01:11 · Contributions change by education stage

Different university timelines alter the amount available for investment each year.

About 00:02:24 · Maturing funds and a rental sale

Deposit, insurance, and potential property-sale proceeds are assigned to the 433 model.

About 00:03:17 · Asset and borrowing projections

A 12% return and 2% annual borrowing model retirement cash flow rather than guarantee it.

Related Topics

Canadian retirement, 433 allocation, Education costs, Rental-property sale, 12% return assumption, Securities-backed borrowing, Retirement cash flow