Why am I passionate about this?
I am a veteran semi-retired Canadian financial journalist who has long made a distinction between the terms “Retirement” and “Financial Independence.” I recently turned 70 and have been financially independent since my early 60s BUT I am not yet retired. I coined the term Findependence in my financial novel Findependence Day, and since 2014 have been running the Financial Independence Hub blog, with new blogs every business day.
Jonathan's book list on financial independence and retirement
Why did Jonathan love this book?
Pensionize Your Nest Egg, or PYNE as some readers call it, is a classic Canadian financial book by famed finance professor Moshe Milevsky and certified financial planner Alexandra Macqueen.
Its audience is primarily anxious would-be retirees who do not have the luxury of having an inflation-indexed, guaranteed-for-life Defined Benefit pension plan offered by an employer. In fact, the headline when I first reviewed the book, was “A Cure for Pension Envy.” Instead, its core reader may have lots of money in group RRSPs, Defined Contribution plans or 401(k)s that rise and fall with financial markets. Hence the subtitle of the second edition, published in 2015, is How to Use Product Allocation to Create a Guaranteed Income for Life.
In practice, this involves using a particular product – the life annuity – to make your nest egg more like a true DB pension. The authors go into some…
1 author picked Pensionize Your Nest Egg as one of their favorite books, and they share why you should read it.
Pensionize Verb. 1. To convert money into income you can't outlive. 2. To create your own personal pension, a monthly income that lasts for the rest of your natural life. With the subpar performance of the markets, record-high personal debt levels, and shockingly low savings rates, it's clear that many Canadians expecting to retire in the next decade simply don't have a sufficient nest egg to ensure a worry-free retirement. Making matters worse, only about one-third of Canadians currently belong to a formal, or registered, pension plan; and even a large number of that "lucky third" will not retire with…