I’ve been going through personal finance books one after another. In an era of insecure employment, insecure pensions, and insecure everything, it’s more important than ever to understand finance. Reading through various titles, I kept on seeing references to “Wealthing like Rabbits”. In spite of its odd title, I decided to give it a try.
Robert R. Brown claims that his book is “an original introduction to personal finance”. He is right. Out of all the personal finance books I’ve read, I have yet to come across one that compares compound interest to the inflated rabbit population in Australia, uses Mario and Luigi in different home buying scenarios, or quotes Captain Picard. I actually laughed out loud while getting a refresher about budgeting.
Don’t be fooled though, it wasn’t all silliness. “Wealthing like Rabbits” taught me some new things and challenged my way of thinking. For example, I had no idea about the T1213 form- Request to Reduce Tax Deductions at Source. If you are contributing regularity to an RRSP, you can fill out this form to get your taxes reduced on your paycheck. This means you won’t be getting a big tax refund in April, but it will make it easier to save into your RRSP throughout the year. Also, Brown made some valid points on why it’s not the best idea to take money out of your RRSP for a down payment for your first house through the Home Buyer’s Plan; he’s adamant about letting your wealth grow like rabbits- and the only way to do it is to leave it in your account to grow.
If you’re looking to help your finances this New Year, I recommend starting with “Wealthing like Rabbits”. It’s one of the most concise books on this topic- you will not be disappointed!