Mike, Author at MOOSE MARKETS

A Business Built Around Utility Poles and Railway Ties — And It Works

Lumber stocks usually run hot with housing booms and crash just as fast. But not this one. This Canadian company built its business around utility poles and railway ties — essential infrastructure that keeps cities powered and freight moving. In a sector known for wild swings, this one offers surprising consistency (and a few earnings surprises too).

Business Model: Where Wood Meets Infrastructure

Most investors hear “lumber” and think housing starts, sawmills, and cyclical chaos. However, Stella-Jones (SJ.TO) took a different route — it built its business around utility poles and railway ties, two products that are essential in modern infrastructure.

Instead of chasing construction booms, Stella-Jones established long-term supply relationships with power utilities, telecommunications companies, and railroads. These customers aren’t just placing one-time orders — they come back again and again for maintenance, upgrades, and replacements. That’s the kind of stability we like to see in a dividend-paying company.

Here’s what Stella-Jones focuses on:

Utility poles for electrical and telecommunications grids
Railway ties for short lines and commercial railroads across North America
Industrial wood products are used in bridges, marine pilings, and foundations
Residential treated lumber, primarily sold through Canadian retailers

With over 70% of revenue coming from poles and ties, Stella-Jones sits in a unique niche: boring, essential, and high-repeat. Sounds like a recipe for reliable cash flow.

Stella-Jones (SJ.TO) Nort American Network from its Annual Report of 2024.

Investment Thesis: Stable Demand, Smart Expansion

Stella-Jones isn’t your typical lumber stock. It built its business around utility poles and railway ties, supplying essential infrastructure with steady, repeat demand. These are not one-time purchases — they’re part of long-term maintenance cycles for utilities and railroads.

This provides SJ with a reliable customer base and predictable cash flow, even when residential construction slows. Its clients — power companies, telecoms, and railroads — don’t delay upgrades when interest rates rise.

Additionally, management has executed strategic acquisitions effectively, expanding its North American footprint in a fragmented market. With its core products tied to infrastructure — not housing — Stella-Jones offers steady growth potential backed by disciplined operations and rising margins.

Build a Smarter, Safer Dividend Portfolio

Whether you’re looking for income today or wealth tomorrow, you need stocks that deliver on all three parts of the Dividend Triangle.

That’s precisely what the Dividend Rock Star List is built for:

No fluff — just fundamentally strong dividend stocks
Includes both Canadian and U.S. dividend payers
Easily sort by dividend growth rate, payout ratio, and more
Updated every month — no stale picks, no guesswork

Use it to build your watchlist, strengthen your portfolio, or start fresh with confidence.

Explore the Dividend Rock Star List now:

The Dividend Triangle in Action: Solid, Steady, and Sharpening Margins

Stella-Jones (SJ.TO) 5-Year Dividend Triangle.

Looking at Stella-Jones through the Dividend Triangle lens reveals exactly why it stands out in a volatile sector:

1. Revenue Growth: Revenue reached $3.467B, showing a stable, upward trajectory since 2021. While growth has flattened recently, the trend remains positive, particularly in infrastructure-facing segments like utility poles and industrial products.

2. Earnings Growth: EPS sits at $5.58, up firmly from 2021 levels. Despite fluctuations in specific segments, SJ has improved its margin profile through disciplined cost management and pricing power — especially visible in the latest 23% jump in EPS.

3. Dividend Growth: The dividend increased to $0.31, representing a nearly doubling since 2021. While still modest in yield, it reflects a sustainable and consistent payout strategy, backed by stable cash flows and a conservative payout ratio.

Summary: SJ delivers on all three fronts. Even when revenues stall (as seen in the latest quarter), earnings and dividends continue to rise, signaling healthy operations and a resilient business model.

Bull Case: Built-In Repeat Business

There’s a lot to like here for investors who value stability and recurring demand. Consider the following:

Over 70% of sales from utility poles and railway ties = repeat demand
Clients include utilities and railroads that replace wood regularly
Growing U.S. presence and acquisition strategy support long-term growth
Low payout ratio = dividend growth runway

This isn’t a timber boom stock. It’s an infrastructure business disguised as a lumber company.

Bear Case: Macro + Tariffs = Wild Swings

Still, the company isn’t without its risks — and some of them could hit hard in a volatile year:

Revenue can get hit by currency fluctuations or sudden order shifts
One Class 1 railroad started producing its own ties — not great
The residential lumber business still relies on housing demand
Volatile stock: Double-digit daily moves aren’t rare, especially with tariff concerns brewing

Investors should expect bumps along the way — even if the long-term story looks solid.

Latest News: Flat Top Line, Fat Bottom Line

The latest quarter had a little bit of everything:

Revenue flat, but $38M FX headwind masked real progress
Utility poles +4% thanks to pricing power
Railway ties -8% due to client production shift
Residential lumber stable
EPS +23%, helped by insurance gains and leaner operations

In short: management delivered higher profits even without growth fireworks. That’s how you win long-term.

Want More Stocks Like This One?

The Dividend Rock Star List is our hand-picked collection of quality dividend stocks.
Here’s what you’ll find inside:

🔍 Over 300 U.S. and Canadian dividend-paying stocks
✅ Screened using our Dividend Triangle: Revenue growth, EPS growth, and dividend growth
🚨 Updated monthly with the latest data
📊 Filter by yield, sector, payout ratio, dividend growth rate, and more
💡 Discover reliable growers that can power your portfolio through bull and bear markets

Start browsing the Dividend Rock Star List now and find your next winner before everyone else does.

Final Word: You’re Not Buying a Lumber Company. You’re Buying a Utility Supplier

Stella-Jones isn’t sexy. It’s not flashy. But it is essential.

Between utility poles, railway ties, and disciplined execution, SJ has carved out a strong niche in a cyclical space. If you’re looking for dividend growers that do the job year after year — not just when lumber prices spike — this name should be on your radar.

Just don’t expect it to sit still. Volatility is part of the deal. Growth, however, is still on the table.

This Canadian IT Stock Deserves a Spot in Your Portfolio

In a tech world obsessed with disruption, some firms win by delivering mission-critical services with precision and consistency. This company has built one of the most dependable consulting and IT infrastructures supporting governments and enterprises across the globe — and its latest results show it’s still gaining ground.

Business Model: The Backbone of Digital Bureaucracy

CGI Inc. (GIB.A.TO) is a global consulting and IT services company that thrives on long-term contracts, particularly in the public sector. With operations in over 40 countries and more than 90,000 employees, its core strategy is simple: being close to the client.

The firm deploys a proximity-based model, which places offices near its customers — especially effective for sensitive government work where data sovereignty, security, and compliance are paramount. Its comprehensive service suite spans:

IT and business consulting
Managed IT and business process services
System integration
Proprietary software solutions

Its client-first approach is underscored by a 95% contract renewal rate, proving the strength of its long-term relationships.

CGI Revenue Mix from their Q2 F2025 Presentation.

Investment Thesis: Built for Resilience, Positioned for Growth

This company stands out not through flash, but through stability and execution. Serving governments and large enterprises with critical infrastructure, it builds high-retention, multi-year recurring revenue. Its book-to-bill ratio of 110% signals sustained demand, while public sector work — nearly 40% of total revenue — provides a defensive core.

In a world accelerating toward digital transformation and automation, this firm is well-positioned with capabilities in AI, cybersecurity, and data analytics. As governments modernize and enterprises automate, this company is the quiet engine behind the upgrade.

For an even more detailed investment thesis, watch my video on CGI below.

Want More Stocks Like This One?

The Dividend Rock Star List is our hand-picked collection of quality dividend stocks.
Here’s what you’ll find inside:

🔍 Over 300 U.S. and Canadian dividend-paying stocks
✅ Screened using our Dividend Triangle: Revenue growth, EPS growth, and dividend growth
🚨 Updated monthly with the latest data
📊 Filter by yield, sector, payout ratio, dividend growth rate, and more
💡 Discover reliable growers that can power your portfolio through bull and bear markets

Start browsing the Dividend Rock Star List now and find your next winner before everyone else does.

The Dividend Triangle in Action: Growth, Growth and… Not Much Yield

GIC (GIB.A.TO) 5-Year Dividend Triangle. — CGI Inc. (GIB.A.TO) 5-Year Dividend Triangle.

Let’s look at the company through the lens that matters: the Dividend Triangle.

1. Revenue Growth: Revenue sits at C$15.14B, up steadily over the past three years. That’s what you want to see — clients are spending, and the firm is landing new contracts.

2. Earnings Growth: EPS climbed to $7.87, tracking right alongside top-line growth. This shows substantial operating leverage and margin discipline.

3. Dividend Growth: The dividend is symbolic: $0.15 per share. This isn’t an income stock. Management prefers to reinvest capital into growth and acquisitions. And frankly? With these returns on equity, that’s not a bad call.

Bull Case: A Backlog that Buys Time and Growth

Investors bullish on this name point to several strengths:

A backlog of C$30.99B, equivalent to 2x annual revenue
Strong public sector exposure — offering resilience during economic downturns
A scalable global model with recent acquisitions driving margin improvements
Expanding into AI-driven solutions, where demand is surging
Financial discipline with rising EPS and a history of effective capital allocation

This is a stock built for compounders who value visibility, execution, and sticky client relationships.

Bear Case: Acquisition Risks and Margin Ceilings

While its recurring revenue model is attractive, bears flag a few key risks:

Its growth strategy leans heavily on acquisitions, raising concerns about integration execution and potential overpayment
Government contracts, while stable, tend to come with lower margins
The company’s low dividend payout (currently $0.15) and slow dividend growth may turn off income-seeking investors
In a talent-driven industry, maintaining headcount and quality amid global wage inflation could become a drag

Any stumble in acquiring, integrating, or retaining key staff could pressure performance.

Latest News: Booking Big, Growing Steady

The most recent quarterly report was strong across the board:

Revenue and EPS up 8% YoY
U.S. Commercial & State Government segment up 24.6% in EBIT
Scandinavia, Northwest & Central-East Europe EBIT up 21.7%
Book-to-bill ratio: 111.5%, with solid new contract momentum

These results reinforce the strength of the firm’s international footprint and its ability to scale contracts profitably.

Final Word: A Low-Yield, High-Confidence Compounder

This company may miss the spotlight like tech giants, but it compounds value through consistency, thoughtful acquisitions, and long-term client relationships. For dividend growth investors, the fundamentals are in the right place.

With its deep backlog, public sector strength, and push into AI and digital transformation, this is a stock worth watching — and potentially owning.

Build a Smarter, Safer Dividend Portfolio

Whether you’re looking for income today or wealth tomorrow, you need stocks that deliver on all three parts of the Dividend Triangle.

That’s exactly what the Dividend Rock Star List is built for:

No fluff — just fundamentally strong dividend stocks
Includes both Canadian and U.S. dividend payers
Easily sort by dividend growth rate, payout ratio, and more
Updated every month — no stale picks, no guesswork

Use it to build your watchlist, strengthen your portfolio, or start fresh with confidence.

Explore the Dividend Rock Star List now:

The Roadmap to Succeed as a Dividend Investor

You’ve got money to invest. You want dividend income. You’re not afraid of putting in the work. But here’s the problem: you don’t know where to start.

Should you buy a few blue chips right away?

Wait for a correction?

How many stocks do you need?

Should they all be Canadian?

If this sounds familiar, I hear you. I’ve had this same conversation with dozens of investors—smart, experienced people who still feel stuck at square one.

That’s exactly why we built the DSR Investment Roadmap: a clear, actionable process to go from “cash in your account” to “fully invested in a rock-solid dividend portfolio.”

Here’s a sneak peek into how it works.

Step 1: Set Your Ground Rules

Before looking at tickers, you need a strategy—not someone else’s rules, but your own.

What’s your goal? Income now, total return over time, or a mix? Knowing this helps you prioritize growth vs. yield from the start.
How long are you investing for? A long-term mindset (think decades) puts corrections and bear markets into proper perspective.
What’s your ideal number of holdings? Most investors do best with 20–40 stocks—enough for diversification, not so many that tracking them becomes a full-time job.
Do you prefer high-yield or high-growth? Your preferences will shape your filters and the types of companies you review.
Are you more comfortable with banks or software companies? Focus on sectors you understand—you’ll make smarter decisions and avoid panic when markets swing.

These ground rules are like GPS coordinates: they keep you headed toward your destination.

Step 2: Start with the Right Filters

There are 9,000+ publicly traded companies. You only need 20–30. It’s time to shrink the list.

5-year revenue growth: Tells you if the business is actually expanding—not just cutting costs or buying back shares.
5-year earnings per share (EPS) growth: This metric reflects actual profit growth, supporting dividend sustainability.
5-year dividend growth: A company

Dividend triangle represented as an image.

committed to increasing its dividend year after year is typically one that has been well-run and built to last.

This is what I call the Dividend Triangle.

Even setting the bar at just 1%+ will eliminate companies that don’t align with your goals, without missing the great ones.

Step 3: Narrow by Sector, Not FOMO

You don’t need to buy a stock in every sector. But you do need some diversification.

Stick to the sectors you understand. If you’ve worked in finance, you’ll likely grasp bank reports more easily than biotech earnings.
Start with the underrepresented areas in your portfolio. This helps you reduce concentration risk and avoid duplicate holdings.
Pick 5–6 companies per sector at most, based on dividend triangle strength. That’s enough to find leaders without becoming overwhelmed.

Sector filtering keeps your research focused and manageable—and cuts out the hype.

Not Sure What to Do Next?

You’re not the only one. A lot of investors hit a wall after picking a few filters or bookmarking 10 stocks they’ll “get to later.”

That’s why we built the DSR Investment Roadmap—a clear, no-fluff guide to go from cash on the sidelines to a portfolio you actually believe in.

✅ Build your strategy
✅ Apply filters that work
✅ Skip the guesswork
✅ Invest with confidence

👉 Grab the Complete Roadmap—it’s free, and it actually works.

Step 4: Analyze What Really Matters

This is where most DIY investors get stuck: they try to read everything and drown in spreadsheets. Don’t do that.

Focus on these key areas:

The business model – How does the company make money? What keeps the engine running? If you can’t explain it in plain English, skip it.
The risks – Look for red flags: debt-heavy strategies, single-product dependency, regulatory risks, or volatile earnings.
The dividend track record – Not just the payout amount, but whether it’s been growing consistently and sustainably.
Red flags – Rising debt, declining margins, or erratic dividend increases all need a closer look before buying.

You don’t need perfection—just a repeatable process you trust.

Step 5: Test with a Mock Portfolio

Before you click “Buy,” try this: build a mock portfolio with your top picks.

Check your sector weightings to make sure you’re not too concentrated in one area (hello, 8 banks and 3 utilities).
Confirm your diversification across industries, dividend profiles, and growth potential.
Spot any overweight positions or gaps so you can rebalance before you’ve even spent a dollar.

It’s like test-driving your portfolio—and saves you from costly corrections down the road.

The DSR PRO dashboard will tell you if your portfolios make sense once combined. (Mock portfolio example)

Step 6: Invest with Confidence (Lump Sum or Not)

Worried about buying right before a crash? That fear keeps too many people on the sidelines for too long.

Here’s what works:

All in, right now – This strategy is backed by decades of market data. Time in the market beats timing the market almost every time.
The 1/3 strategy – Invest a third now, a third in three months, and the last third three months later. Review quarterly results between buys.

This phased approach gives you a plan, reduces stress, and helps you move forward—without second-guessing every step.

Want the Full Roadmap?

This is just the summary version.

The full DSR Investment Roadmap includes:

✅ Ground rules templates to define your strategy and stock count
✅ Stock screener filters that actually work
✅ Sector-by-sector research tips so you don’t waste time
✅ Stock analysis breakdowns for consistent decision-making
✅ Position sizing guidelines to balance growth and risk
✅ Portfolio builder worksheet to test before you invest

🎯 Whether you’re starting from scratch or cleaning up a messy portfolio, this is the framework to help you build something strong, clear, and personalized.

👉 Download the free roadmap here » and take your first confident step today.

From DIY Investor to Confident Retiree: 5 Questions That Define the Transition

Retirement used to be seen as a finish line. Today, it’s more of a turning point—a new phase of life filled with possibility. But behind the dream of travel, time freedom, and meaningful pursuits is a single, recurring concern: Do I have enough to enjoy the life I want?

That question isn’t just about the size of your savings. It’s about making smart, confident decisions in a world of ever-changing markets, tax rules, and personal goals.

The good news? You can simplify the complexity by focusing on five essential questions. These aren’t financial formulas—they’re strategic filters to guide your thinking, reduce overwhelm, and help you take action.

1. Do You Have Enough?

Let’s start with the big one: do you have enough to retire comfortably and stay retired?

This isn’t just about hitting a magic number. It’s about aligning your income sources (pensions, savings, investments) with your expected lifestyle over the next 25–30 years. That means accounting for inflation, healthcare, market variability, and life’s unpredictable moments.

Rather than relying on outdated rules of thumb or flat withdrawal rates, modern retirement planning uses dynamic projections that adapt to your spending, not the other way around. These models show whether your plan holds up—and help you course-correct early if needed.

You may also want to identify your main retirement goals:

Retire Early
Spend the Maximum (Die with Zero)
Maximize your Estate

💡 Tip: Run multiple projections with different assumptions (e.g., conservative vs. optimistic returns) to see your “range of outcomes.”

Retirement Loop Projections Sheet Example.

2. Are You Paying Too Much in Fees?

Investment fees may not seem like much year to year, but they quietly erode your wealth over time.

A portfolio with 1.5% annual fees may lose tens of thousands in potential returns over a 20+ year retirement. That’s money that could have paid for vacations, healthcare, or boosted peace of mind.

One of the most effective ways to reduce fees is to switch to low-cost, globally diversified ETFs—particularly all-in-one solutions like XEQT or ZEQT. These can simplify portfolio management and save you thousands in fees while maintaining proper asset allocation.

💡 Tip: Check the MER (Management Expense Ratio) on every fund you own. Anything over 0.50% deserves a second look.

Management expense ratio (MER) chart example.

3. Are You Paying More Taxes Than Necessary?

Taxes don’t retire when you do. In fact, they often become more complex.

Drawing from your RRSP, TFSA, and non-registered accounts in the wrong sequence can push you into higher tax brackets—even if your spending hasn’t changed. Many retirees overpay simply because their withdrawal strategy wasn’t optimized.

The key is to aim for a stable average tax rate across your retirement years—not just minimizing tax today. That might mean withdrawing from RRSPs earlier than you expected, or deferring CPP/OAS in favor of drawing on taxable investments.

💡 Tip: Work on various scenarios. Keep the average tax rate as steady as possible.

4. Can You Spend More Without Worry?

This question surprises many retirees—but it’s one of the most important.

After years of diligent saving, many people struggle to enjoy their money. They worry about spending too much too soon, or about the next market downturn. Ironically, this cautious mindset can prevent you from living the retirement you worked so hard for.

One solution is an agile spending plan—a flexible model that adapts to your portfolio’s performance. If markets do well, you increase spending. If they don’t, you temporarily tighten the belt. It’s not about deprivation—it’s about confidence and control.

💡 Tip: Run your projections each year as if it were your first retirement day.

5. What If the Market Crashes?

Remember 2008? I do…

One of the most effective ways to manage a market crash is to use a cash reserve—a buffer of liquid, low-risk funds outside the market. A cash reserve is money you set aside in a high-interest savings account, money market fund, or short-term GICs—not in the market.

During a bear market, you can draw from your cash reserve, giving your investments time to recover.

💡 Tip: Stress-test your portfolio. I have given an example here.

I have covered more about the cash wedge in the article below.

How to Build a Retirement Income Plan That Actually Works

Putting It All Together

Retirement confidence doesn’t come from beating the market. It comes from clarity. When you can answer these five questions with conviction, you free yourself to focus on what matters most: living well.

You know where your money is going.
You know how to reduce the silent threats (fees, taxes, inflation).
You know how to adapt your plan without panic.
And perhaps most importantly, you know you’ve done the work.

There’s no one-size-fits-all retirement plan—but there is a framework that makes it easier to build one that fits you.

Bonus Resource: Want to Go Deeper?

We recently shared a full breakdown of this framework in our retirement planning webinar. If you’d like to see real-world examples and visuals that bring these concepts to life, you can watch the replay here:

Ready to Take the Next Step?

If reading this sparked other questions—you’re not alone. Many DIY investors feel unsure during the transition into retirement.

In fact, if you’ve ever thought:

“I’m not sure how much I can safely spend…”

“I keep second-guessing my withdrawal plan…”

“What happens to my portfolio if the market drops again?”

“How will CPP, OAS, and taxes really affect my income?”

…then it’s time to get support.

That’s why I created Retirement Loop: a community for Canadians who want to retire with clarity—not questions.

Inside Retirement Loop, you’ll get:

Retirement Loop logo.

✅ A downloadable projection spreadsheet (you own the data)
✅ Personalized support from our retirement coaches
✅ A private community of 500+ Canadians navigating retirement together
✅ Step-by-step learning modules and monthly live events
✅ Tools to optimize your plan for income, taxes, fees, and peace of mind

It’s everything you need to stop second-guessing your plan and start feeling in control.

📌 Membership is now open—but only for a limited time.
Doors close soon, so we can focus on helping current members build their retirement path.

👉 Click here to join Retirement Loop and get instant access to everything.

How to Build a Retirement Income Plan That Actually Works

You did it—you’re officially retired!

Your bucket list is ready, your calendar is wide open, and your dreams are finally within reach. You’ve saved and planned like a pro. Now it’s time to enjoy what you’ve built.

But then… the real questions start to pop up.

Where do I withdraw money from first?
What if there’s a market crash?
How do I manage taxes across my accounts?
How do I make my investments last?

This is when your retirement income plan becomes just as important as your retirement savings plan.

Let’s set the basics for building a simple, flexible income plan—including how to protect your portfolio from market downturns and withdrawal mistakes. Plus, we’ll walk through the concept of a cash reserve and why it could be your most underrated retirement tool.

Why You Need an Income Plan

Knowing you have “enough to retire” is only half the equation. The other half is understanding how to turn that nest egg into a paycheck.

One of the biggest risks retirees face is the withdrawal sequence risk—the possibility of selling investments at a loss during a market downturn. If the first few years of retirement coincide with a bear market, this can significantly reduce the long-term sustainability of their portfolio.

Withdrawal Sequence in Three Scenarios to illustrate risk. — Withdrawal Sequence in Three Scenarios to Illustrate Risk.

It’s why even well-prepared retirees feel overwhelmed when they look at 10+ accounts and multiple income sources.

Imagine this: you retire at the top of a bull market, start drawing income, and the market drops 20% in your first year. Now you’re forced to sell lower-priced shares to meet your income needs—locking in losses early and potentially throwing your entire plan off course.

Retirees with dividend-only or high-yield portfolios hope to avoid selling shares. But we know high yield often comes with higher risks, so this isn’t always a better strategy.

So what’s the solution?

The Cash Reserve Strategy: Your Retirement Shock Absorber

One of the most effective ways to manage withdrawal risk is using a cash reserve—a buffer of liquid, low-risk funds outside the market.

What is it?

A cash reserve is money you set aside in a high-interest savings account, money market fund, or short-term GICs—not in the market.

Why use it?

If your portfolio doesn’t generate enough dividends to cover your retirement spending needs, the difference (the “gap”) typically comes from selling shares. But during a bear market, you can instead draw from your cash reserve—giving your investments time to recover.

Example:

Retirement income needed: $50,000/year
Dividends generated: $20,000/year
Gap to cover: $30,000/year

If markets are down, you draw that $30,000 from the reserve instead of selling at a loss.

How Much Cash Reserve is Enough?

There’s no one-size-fits-all answer. It depends on two key factors:

How big your income gap is
How much volatility you’re comfortable with

As a general rule:

1–2 years’ worth of gap = moderate protection
3+ years’ worth = maximum protection (especially for conservative investors)

Keep in mind: while a large reserve offers security, it also limits your exposure to long-term market growth.

6 Retirement Upgrades—Save Your Spot to My Next Webinar!

Planning for retirement is both complex and essential for enjoying this phase of life. Understanding strategies, tax optimization, and withdrawal methods can feel overwhelming.

But how do you know if you’re making the right decisions?
You weren’t trained as a financial planner. Yet when seeking professional help, many advisors focus more on selling investments than addressing your concerns.

It’s time to put you in control of your retirement plan.

As a financial planner for 10 years before leaving the corporate world, I’ve helped many people like you, and I took great pride in answering their retirement questions.

On May 22nd at 1 pm ET, I’ll host a free webinar addressing six crucial retirement questions:

Retirement Loop webinar visual. — Retirement Loop free webinar visual.

Do I have enough to retire?
How to pay less fees?
How to pay less taxes?
How to spend more, and still have enough?
What if the market crashes?
How do I know I’m doing the right thing?

I’ll provide 6 retirement upgrades that will transform how you approach these challenges.

👉 Reserve your free spot here »

A Simple Framework to Build Your Income Plan

There are many variations, but the foundational steps are consistent:

Run Your Retirement Projections: Estimate your needs, withdrawal rates, and growth assumptions to see if you’re on track.
Identify All Sources of Income: Include CPP, OAS, pensions, dividends, and any part-time work or rental income.
Calculate the Gap: Subtract total income from your spending needs. That’s the gap you must fill each year.
Build the Cash Reserve: Set aside 1–3 years of your gap in liquid, low-risk assets.
Invest the Rest: Focus on dividend growth equities to protect against inflation and grow your income. Add fixed income if volatility keeps you up at night.

Keep it Simple (and Flexible)

Managing multiple accounts doesn’t have to be complicated. Whether you use managed solutions or self-directed portfolios, a clear set of 3–4 rules can guide when and what to sell.

For example:

Only sell from accounts with the lowest tax impact
Prioritize capital gains over income in non-registered accounts
Rebalance once per year to refill your reserve and stay diversified

And remember: selling isn’t a mistake—it’s part of the plan.

Revisit Your Plan Every Year

Markets change. Life changes. So should your income plan.

Rerun your retirement projections each year and adjust your withdrawal strategy accordingly. The goal is to spend more time enjoying retirement rather than constantly recalculating it.

Let’s Talk Retirement—Live!

You’ve worked hard to get to retirement. Don’t let uncertainty about withdrawals derail the freedom you’ve earned.

By building a thoughtful income plan—with a cash reserve as your buffer—you’ll give your retirement more flexibility, stability, and peace of mind.

I’m hosting a free webinar in which we’ll explore real-life retirement income strategies, including how to handle taxes, cash reserves, and withdrawal timing.

Here are the details:

The webinar is on Thursday, May 22nd at 1 pm ET.
The content is 100% Canadian.
If you can’t attend, register and you will receive the replay for free.
It is 100% free, no strings attached.
The presentation is about 50 minutes.
I will stay one hour after the presentation to answer all your questions.
I will also provide handouts and other resources to all live attendees.
Live places are limited to the first 500.

Join the session here → Save my seat

The 4 Budgets of Retirement: How to Spend Confidently at Every Stage

Most Canadians understand the importance of having a budget while saving for retirement—but few realize just how critical budgeting becomes after you retire.

While your working years are about maximizing savings and staying invested, retirement introduces a new challenge: spending wisely without outliving your money.

One of the most common questions from retirees is:
“How do I protect my portfolio against a market correction?”

While you can’t control the markets, you can control how much you withdraw and when. And that starts with a retirement budget tailored to each phase of your journey.

The Four Phases of Retirement

Just like your working life has seasons, so does your retirement. These four stages—Before You Go, Go-Go, Slow-Go, and No-Go—help define your spending needs and investment strategy over time.

Planning with these stages in mind enables you to build an agile retirement budget that grows, flexes, and contracts as needed—while keeping your long-term financial health intact.

1. Before you Go: The Accumulation Years

This is the “pre-retirement” phase, which often lasts longer than retirement itself. It’s the period when you’re actively saving, investing, and preparing for what lies ahead.

The most important principle here?
Pay yourself first. Systematic investing—through your RRSP, TFSA, or pension—is the cornerstone of a secure retirement.

But don’t stop there. This is also the time to envision the kind of retirement you want:

Will you travel regularly?
Do you want to help your children financially?
Will you buy a vacation home or downsize?

These answers will shape your savings targets and retirement age. The earlier you plan, the more flexibility you’ll have later.

Tips for this phase:

Use tools like a Projection Spreadsheet to explore different scenarios.
Adjust contributions between RRSPs, TFSAs, and other accounts based on your income and pension entitlements.
Stick with a consistent investing strategy that suits your goals and risk tolerance.

From GICs to REITs: A Complete Guide to Retirement Income in Canada

Canadian Retirees Guide to Income-Producing Investments Cover.

This free guide reviews 20 income-focused products. In the one-page summaries, we highlight the pros and cons, common mistakes to avoid, and who should use them.

We also created a rating system to highlight the difference between each product. The idea is to provide you with as much information as possible so you can make the right choice for your situation.

While there is no free lunch in finance, there are multiple ways to reach your retirement goals.

Download the Complete Guide to Retirement Income Products to discover which fits your retirement phase best.

2. Go-Go Years: The Fun Phase

The moment you retire, you enter the “Go-Go” phase. You’ve worked hard, saved diligently—and now it’s time to enjoy the rewards. For many Canadians, this phase lasts from their early 60s to around age 75.

Picture of a retired couple walking on the beach.

This is when you’ll likely:

Travel more
Make larger discretionary purchases
Renovate your home or relocate
Spend on family or hobbies

However, this phase also presents a new challenge: shifting from saving to spending. Many retirees feel anxious about drawing down their portfolio.

That’s why having a flexible budget is key. You’ll want:

A base budget for regular expenses (housing, food, utilities)
A variable budget for travel, new cars, and other big-ticket items

Tips for the Go-Go years:

Reassess your plan annually: simulate “retiring now” each year to update your 12-month budget based on portfolio performance.
Postpone large purchases in down markets and increase spending during up years.
Use advanced budget tools to account for one-time gifts or lifestyle upgrades.

3. Slow-Go Years: Steady as It Goes

As you move into your mid-to-late 70s, travel slows down, energy levels shift, and your budget changes again.

While you’ll spend less on big adventures, your base expenses may stay the same—and some costs (like health care or home maintenance) could increase.

You might also want to adapt your home for aging-in-place or plan for more frequent medical appointments or services.

Tips for the Slow-Go phase:

Don’t reduce your budget too aggressively; changes should be gradual.
Consider future-proofing your home for mobility and comfort.
Explore downsizing or selling assets to unlock cash if needed.

4. No-Go Years: Health First, Finances Second

This final phase typically begins in your 80s or later, when cognitive or physical health changes become more significant. You may spend more time at home, require assisted living, or home care.

At this point, your budget shifts to reflect increasing healthcare needs, estate planning, and support services. You’ll have a reliable income stream if you’ve built a strong foundation with defined benefit pensions, CPP, OAS, or annuities.

If your strategy included gradually drawing down your portfolio or even “dying with zero,” this is the time to ensure you’ve preserved enough flexibility.

Tips for the No-Go phase:

Be cautious with plans to spend aggressively in earlier phases; longevity risk is real.
Keep a home as a backup asset, or ensure stable income from guaranteed sources.
Review estate plans and consider early inheritance options or charitable giving if desired.

Final Thoughts: Plan Long, Adjust Yearly

Planning for retirement is much like planning a long road trip. You need a map for the big picture, but you’ll also need to reassess regularly, adjusting for weather, detours, and unexpected stops along the way.

One of the best habits you can develop is to “retire each year.” That means checking in annually with your budget, income, and lifestyle expectations. That way, you’re not just reacting to market corrections—you’re steering your retirement journey with confidence.

Ready to build a retirement income plan that fits your lifestyle?

From simple GIC ladders to advanced income strategies, the Canadian Retirees’ Guide to Income-Producing Investments covers 20 income-generating products with pros, cons, and tax insights for each.

👉 Get your free copy of the complete guide now and take the guesswork out of retirement planning.