RRSPs, Taxes, 1st Full Time Job ever

[yeedub]

Hey guys, I'm graduating in May and will be starting full time work on July 1st. I'm totally new to the finance and tax world and really don't know too much about what it will be like to pay taxes and manage RRSPs etc. Does anyone have any good websites that will teach me the basics?

Thanks!

[ray420]

Hey guys, I'm graduating in May and will be starting full time work on July 1st. I'm totally new to the finance and tax world and really don't know too much about what it will be like to pay taxes and manage RRSPs etc. Does anyone have any good websites that will teach me the basics?

Thanks!

well congrats and welcome to the real world! What a type to graduate a start job hunting! good to see you interest in learning about personal finances, too bad it is not taught in schools.

Well first of all coming out of school you will probably have some student credits that will offset your taxes for first year and your income probably wont be all that high either.

Here are couple posts I have on my blog that you might find helpful:

RRSP basics: http://financialhighway.com/rrsp-basics-understanding-rrsp/

TFSA strategies: http://financialhighway.com/tax-free-savings-account-ideas-and-strategies/

Benefits of early investing-magic of compounding: http://financialhighway.com/benefits-of-early-investing-magic-of-compounding/

I have a series on financial planning basics: http://financialhighway.com/category/financial-planning-basics-guide/

well these are three posts I think you will find useful.

Other than that couple books i'd recommend:
David Bach "Automatic Millionaire"
Benjamin Graham "The intelligent Investor"

there are a lot of resources but i think those are a good starting point

[LoookingForDeals]

Keep in mind personal finances should come before investing. Resist the urge to invest your RRSP contribution dollars in any investments (stocks, bonds, mutual funds, index funds, etc) before learning and gaining enough knowledge.
Lack of it is what leads to investment losses.

Its also good to learn at least the basics of how your income will be taxed in Canada. Taxtips.ca is an alright online resources. There are also a ton of books in Chapters/Indigo.

[yeedub]

If I make 80K annual, how much of that do you think I should invest/put into RRSPs?

[ray420]

If I make 80K annual, how much of that do you think I should invest/put into RRSPs?

Well your contribution room for 2009 is based on your 2008 income and your total carryforward amount. And remember you will probably have some tuition credits so you'll have to use that up first before you get deductions from your RRSP contribution. as for how much someone should contribute maxing out your rrsp after paying of debt is a good option.