The new year is often seen as a time to explore healthier lifestyle choices such as eating more whole foods, drinking more water, exercising and getting a full night’s rest. It can also serve as an opportunity to pause and reflect on your financial health.
“Whether 2023 and '24 brought strong returns or left you feeling like you missed out, now is the time to ensure your financial strategy is both effective and stable,” says Dave Lee, Senior Wealth Advisor at Scotia Wealth Management in White Rock.
For many, the recent strength of the equity markets may have caused portfolios to drift from their ideal asset mix. “When markets perform well, it’s natural to feel optimistic,” Dave explains. “But unchecked gains can lead to complacency around risk. Taking time to rebalance your portfolio ensures you’re positioned for both opportunity and stability in the years ahead.”
Reflecting on life’s changes
“Life’s milestones often bring shifts in financial priorities and your plan should adapt accordingly,” Dave says. “Your financial plan should adjust to changes in circumstance.”
It's also essential to keep estate planning documents — such as beneficiary designations, power of attorney and executor choices — up to date.
Preparation is especially crucial when navigating major transitions like retirement, selling a business or downsizing. “Having a clear roadmap for these significant changes helps you stay in control and focused on your goals,” Dave advises.
Unlocking tax efficiency
Now is also a good time to review your tax strategy. Have you made your TFSA contributions for the year? Are you minimizing potential clawbacks on Old Age Security (OAS)?
“Tax efficiency isn’t just about saving money today,” Dave explains. “It’s about building a foundation that supports your financial future. Ensuring you’re making the most of available accounts and strategies can make a substantial difference over time.”
Beyond the numbers
“Financial planning goes beyond dollars and cents. It’s about creating a life you can truly enjoy,” Dave says.
He encourages clients to think about how they’ll spend their time in retirement and whether they’re taking care of their health to maximize their quality of life.
“Money is a tool to help you live your best life,” Dave adds. “When you’re healthy and clear on your goals, you’re in a better position to make the most of your financial resources. Now is the time to consider what day-to-day changes you can make to improve both your health and wealth over the coming year.”
For more information, contact Senior Wealth Advisor, Dave Lee CIM, CFP, FCSI, at Scotia Wealth Management in White Rock by email at dave.lee@scotiawealth.com or by phone 604-535-4743.
Read more from Dave Lee online at www.dave-lee.ca/publications