Canada RIT Deposits – Everything you need to know

Canada RIT Deposits

Did you see ‘Canada RIT Deposits’ on your bank statement and wondering who sent you that money? Read on further to know everything about it.

What is Canada RIT Deposit?

RIT stands for ‘Refund Income Tax’. 

Canada RIT deposits, also known as tax refunds, are monetary reimbursements issued by the CRA to taxpayers who overpaid their taxes. 

These refunds are due to overpaid taxes or eligible tax credits. For instance, if an individual’s employer withheld more income tax than necessary throughout the year, they may be entitled to a refund.

How is Canada RIT Deposit calculated?

Calculation of Canada RIT deposits is influenced by various factors such as income, tax deductions, tax write-offs, RRSP contributions and tax credits. 

Individuals who have filed their taxes and meet specific criteria are eligible for these deposits. For example, individuals with low to moderate incomes may qualify for the Canada Workers Benefit (CWB), a refundable tax credit designed to provide financial support.

Understanding the eligibility criteria is crucial in determining if one qualifies for Canada RIT deposits. 

Income levels play a significant role in eligibility, as those earning lower incomes may be entitled to additional benefits or credits through the deposit system. 

Timeline for Receiving Canada RIT Deposits

Processing Times

Factors such as the method of filing taxes (online or by mail), accuracy of information provided, and any outstanding debts owed to government agencies can impact the timeline for receiving Canada RIT deposits. For instance, those who file their taxes electronically and choose direct deposit may receive their refunds more quickly compared to those who file paper returns.

It’s crucial for taxpayers to ensure that all information submitted in their tax returns is accurate and up-to-date. Any errors or missing details could lead to delays in receiving the Canada RIT deposit.

How are Canada RIT Deposits made?

Receiving a Canada RIT deposit can be done in two primary ways: through direct deposit or via a paper cheque. 

If you have opted for an electronic refund, the funds will be transferred directly into the bank account linked to your Canada Revenue Agency (CRA) profile.

Alternatively, if you are set to receive a paper cheque, it will be sent by mail to the address that is currently registered with the CRA. To expedite the receipt of your Canada RIT deposit, it is advisable to ensure that your CRA profile is up-to-date with accurate direct deposit information. This way, you can receive your funds more swiftly and efficiently.

What to do with Canada RIT Deposits?

Debt Repayment

Utilizing Canada RIT deposits to repay outstanding debts can provide significant relief from financial burdens. By using these funds to pay off high-interest credit card debt or loans, individuals can reduce their overall interest payments and improve their financial standing. This strategy not only alleviates immediate financial stress but also contributes to long-term savings by minimizing interest expenses.

Consider allocating a portion of the Canada RIT deposit towards settling any outstanding balances with high-interest rates. For example, if an individual has accumulated credit card debt, applying the deposit towards paying off this debt can lead to substantial interest savings in the future.

Savings & Investments

Another effective strategy for utilizing Canada RIT deposits is to allocate a portion of the funds towards building an emergency savings fund or investing for future goals. By setting aside these funds in a high-yield savings account or directing them into low-risk investment opportunities, individuals can secure their financial well-being and work towards achieving their long-term objectives.

Individuals may choose to place a percentage of the Canada RIT deposit into a dedicated emergency fund or explore investment options such as low-cost index funds or retirement accounts. This approach allows individuals to harness the potential growth of these funds while safeguarding against unforeseen expenses.

Canada RIT Deposits - Frequently Asked Questions

  1. Are Canada RIT Deposits taxable?

No, Canada RIT deposits are not subject to taxation. These deposits represent a reimbursement of taxes that you’ve overpaid, and therefore, they are not classified as income.

     2. Who sends the RIT Deposits to your account?

Canada Revenue Agency (CRA) is responsible for processing your refund income tax. 

     3. Is getting RIT Deposits good?

 It is neither good nor bad. The optimal situation is to have no tax refund. This indicates that you’ve paid the precise amount of taxes due over the year, avoiding both overpayment and underpayment. In this scenario, you can utilize your money immediately rather than temporarily handing it over to the government and subsequently waiting for a refund during tax season.

    4. How can I recognize RIT payments on my bank statement?

The deposit may be named Canada RIT. Some other codes may include EFT Credit Canada and Canada Fed Deposit. It’s sometimes labelled as a RIT/RIF transaction on your bank account statement.

Minimum Wage in British Columbia 2024

Minimum Wage in British Columbia 2024

Hello, friends in British Columbia and those interested in the pulse of our economy! Today, let’s chat about a topic that’s close to the hearts (and wallets) of many – the minimum wage in British Columbia for 2024. 

Whether you’re earning it, spending it, or just keen on the economic trends, this is something you’ll want to keep tabs on. So, let’s dive in and explore what this means for everyone in our diverse and beautiful province.

What is Minimum Wage, Anyway?

Minimum wage is the bedrock of an employee’s earnings. It’s the lowest hourly pay that employers are legally allowed to offer their workers. This isn’t a number plucked from the air; it’s a carefully calculated figure designed to ensure that workers can maintain a basic standard of living. 

In British Columbia, this number has evolved over the years, mirroring changes in our economy and the cost of living.

Minimum Wage in British Columbia 2024

As we step into 2024, let’s take a look at the current state of the minimum wage in British Columbia. After a recent increase, the general minimum wage now stands at $16.75

This minimum wage of $16.75 per hour came into effect on 1st of June 2023. 

This jump from the previous rate ($15.65) in 2022 signifies a notable shift in the earning potential for many workers across the province, from the bustling streets of Vancouver to the serene vineyards of the Okanagan Valley.

Out of all the provinces in Canada, British Columbia has the highest minimum wage in 2024. Here’s a look at ontario’s minimum wage in 2024.

Minimum Wage Increase over the years in British Columbia

DateMinimum Wage in British Columbia
15-Sep-15$10.45
15-Sep-16$10.85
15-Sep-17$11.35
01-Jun-18$12.65
01-Jun-19$13.85
01-Jun-20$14.60
01-Jun-21$15.20
01-Jun-22$15.65
01-Jun-23$16.75

Minimum Wage Differences in different sectors

In British Columbia, the minimum wage isn’t a one-size-fits-all deal. There are specific rates for different groups of workers. For example, students and liquor servers often have different minimum wage rates, reflecting their unique working conditions. 

Understanding these variations is key to appreciating the diverse workforce that keeps British Columbia thriving.

Some jobs in British Columbia come with their own set of rules when it comes to minimum wage. For instance, certain industries or job roles might have a pay structure based on specific conditions or agreements. Let’s look at some niche categories here. 

Liquor Servers

As of June 1, 2023 liquor servers must be paid the regular minimum wage rate ($16.75) for hours worked, in addition to any tips or gratuities they receive.

Live-in Camp Leaders

Live-in camp leaders are paid a daily rate of $133.69 as of June 1, 2023

Live-in Home Support Workers

Live-in home support workers are paid a daily rate of $124.73 as of June 1, 2023

Frequently Asked Questions about Minimum Wage in British Columbia

Q1: What is the current minimum wage in British Columbia for 2024? 

A1: The minimum wage in British Columbia for 2024 is $16.75, reflecting a recent increase from the previous year’s minimum wage per hour of $15.65

Q2: Does the minimum wage vary for different types of workers in BC? 

A2: Yes, in British Columbia, there are different minimum wage rates for general workers, students, and liquor servers, each tailored to their specific working conditions.  The increase will positively affect approximately 150,000 workers who currently earn less than $16.75 per hour.

Q3: How often does the minimum wage increase in British Columbia? 

A3: The minimum wage in British Columbia is reviewed periodically, with changes typically announced based on economic conditions and cost of living adjustments. They are mostly revisited every year.

Q4: Are all employees in BC eligible for the minimum wage? 

A4: Most employees in British Columbia are eligible for the minimum wage, but there are exceptions, such as independent contractors or certain professional roles. 

Q5: How does the minimum wage increase impact small business owners in BC? 

A5: Small business owners may face increased operational costs due to higher wage bills. However, it can also lead to a more motivated workforce and reduced turnover.

Q6: Can tips be included in the minimum wage calculation in BC? 

A6: No, in British Columbia, tips cannot be counted towards the minimum wage. Employees must receive the minimum wage as a base salary.

Q7: What happens if an employer doesn’t pay the minimum wage in BC? 

A7: Employers who fail to pay the minimum wage in British Columbia may face legal consequences, including fines and compensation orders.

Q8: Are part-time workers also entitled to the minimum wage in BC? 

A8: Yes, part-time workers in British Columbia are entitled to the same minimum wage as full-time workers.

Q9: How does the minimum wage in BC compare to other provinces? 

A9: The minimum wage in British Columbia is the highest across all provinces in Canada.

Q10: Can employees negotiate a higher wage than the minimum in BC? 

A10: Yes, employees in British Columbia can negotiate for higher wages based on their skills, experience, and the employer’s capacity

Minimum Wage in Ontario 2024: What You Need to Know

minimum wage in ontario 2024

Hello, fellow Ontarians and curious minds! Today, we’re diving into a topic that touches the lives of many – the minimum wage increase in Ontario. 

Whether you’re earning it, spending it, or just keen on economic trends, this change is something to keep an eye on. Let’s unpack what this means for everyone in our diverse and vibrant province.

What Exactly is Minimum Wage?

Minimum wage is like the foundation of an employee’s earnings. It’s the lowest hourly rate that employers can legally pay their workers. 

This isn’t just a number pulled out of thin air; it’s a carefully calculated figure meant to ensure that workers can afford a basic standard of living. In Ontario, we’ve seen this number evolve over the years, reflecting changes in our economy and cost of living.

The Current Minimum Wage in Ontario

As of October 1, 2023, the general minimum wage in Ontario saw a jump to $16.55 per hour. 

This increase from the previous $15.50 is more than just a number change – it represents a significant shift in the earning potential for many workers across the province. From the bustling streets of Toronto to the serene landscapes of Muskoka, this change impacts a wide range of industries and individuals.

A Closer Look at Different Wage Categories

Ontario’s approach to minimum wage is not one-size-fits-all. There are specific rates for different groups of workers. For instance, students, who often juggle work and studies, have a minimum wage of $15.60 per hour. 

Liquor servers, who traditionally rely on tips, now enjoy the same rate as general workers, ensuring a more stable income base. Understanding these variations is key to appreciating the diverse workforce that keeps Ontario thriving.

Special Rates for Unique Roles

Some jobs in Ontario come with their own set of rules, especially when it comes to minimum wage. Take wilderness guides, for example. Their pay structure is based on the length of their workday, acknowledging the unconventional nature of their work.

 Homeworkers, who contribute to the economy from their homes, have a higher minimum wage of $18.20 per hour, recognizing the merging of their work and living spaces.

General Minimum Wage in Ontario 2024

  • The current general minimum wage rates in Ontario apply to most workers.
  • The current minimum wage rate for general workers is $16.55 per hour.
  • This rate will be applicable from Oct 1, 2023, to Sep 30, 2024.
Minimum Wage History for previous 3 years in Ontario
Period Minimum Wage Rate in Ontario
Oct 1, 2021 – Dec 31, 2021 $14.35 per hour
Jan 1, 2022 – Sep 30, 2022 $15.00 per hour
Oct 1, 2022 – Sep 30, 2023 $15.50 per hour

Minimum Wage for Students in Ontario - 2024

  • The current student minimum wage in Ontario is $15.60 per hour.
  • This rate applies to eligible student workers in Ontario.
  • This minimum wage for students is valid until September 30, 2024

Let’s look at how the minimum wage for students has progressed over the years. 

PeriodStudent Minimum Wage Rate in Ontario
Oct 1, 2021 – Dec 31, 2021$13.50 per hour
Jan 1, 2022 – Sep 30, 2022$14.10 per hour
Oct 1, 2022 – Sep 30, 2023$14.60 per hour

Peeking into 2024: What Might Change?

Looking forward, any potential changes to the minimum wage in 2024 will likely be announced by April 1, with implementation starting October 1. 

This timeline gives businesses and workers alike time to prepare for the adjustment. It’s a period of anticipation and planning, as everyone speculates on how the changes might affect their lives and the broader economy.

Minimum Wage Increase - Effects

When the minimum wage goes up, it sends ripples across the economy. For workers, it’s often a cause for celebration, as it means more money in their pockets. 

However, for business owners, especially small businesses, it can be a challenge. They need to balance higher wage expenses while maintaining their service quality and prices. This delicate balance is crucial for the health of Ontario’s economy.

Beyond the Hourly Rate

The story of minimum wage in Ontario isn’t just about the hourly rate. It encompasses a range of rules and considerations, like how commission-based earnings are treated, the value of room and board, and the three-hour rule. 

These aspects ensure that workers are compensated fairly, not just for the hours they work, but also for the conditions under which they work.

Frequently Asked Questions about Minimum Wage in Ontario

Q1: Who is affected by the minimum wage increase in Ontario?

A: The minimum wage increase in Ontario affects a wide range of workers, including those in retail, hospitality, and other service industries. Specifically, it impacts general workers, students, liquor servers, and homeworkers, each with their own designated rates.

Q2: When did the new minimum wage rate take effect?

A: The new minimum wage rate of $16.55 per hour for general workers in Ontario took effect on October 1, 2023. This change marked a significant increase from the previous rate and applies until September 30, 2024.

Q3: How often does the minimum wage increase in Ontario?

A: Minimum wage increases in Ontario are not scheduled annually but are typically reviewed periodically. The government considers various economic factors, including the Consumer Price Index (CPI) and inflation rates, before deciding on an increase.

Q4: Are all workers in Ontario eligible for the minimum wage?

A: Most workers in Ontario are eligible for the minimum wage, but there are exceptions. For example, independent contractors and some professions have different wage agreements. It’s always best to check specific employment standards or consult a legal expert for individual cases.

Q5: How does the minimum wage increase impact small business owners?

A: Small business owners may face challenges with the minimum wage increase, as it can lead to higher payroll costs. However, it can also result in a more motivated workforce and reduced employee turnover. Business owners often need to adjust their budgeting and pricing strategies to accommodate these changes.

Q6: Will the minimum wage increase lead to higher prices for consumers?

A: There’s a possibility that some businesses might increase prices to offset the higher wage costs. However, this isn’t always the case, as market competition and other factors also play a role in pricing decisions.

Q7: What is the difference between the general minimum wage and the student minimum wage?

A: The general minimum wage applies to most workers, while the student minimum wage is for students under 18 who work 28 hours a week or less when school is in session, or during a school break or summer holidays. The student rate is slightly lower than the general rate.

Q8: Are tips included in the minimum wage calculation?

A: No, tips are not included in the minimum wage calculation in Ontario. Workers must receive the minimum wage as a base pay, and tips are considered additional income.

Q9: How can workers ensure they are being paid the correct minimum wage?

A: Workers should regularly check their pay stubs and be aware of the current minimum wage rates. If there are discrepancies, they should first address the issue with their employer or seek assistance from the Ministry of Labour.

Q10: Can employers pay less than the minimum wage if they provide room and board?

A: No, employers cannot pay less than the minimum wage even if they provide room and board. The cost of room and board can only be considered as part of the wage if it is mutually agreed upon in writing and adheres to the maximum allowable deductions set by the government.

Ontario Minimum Wage for 2024 - Conclusion

The minimum wage increase in Ontario is more than just a policy change; it’s a reflection of our evolving society and economy. Whether you’re directly affected by this change or simply interested in the economic health of our province, it’s a topic worth understanding and discussing.

Canadian Telecom Companies Dividend Dates 2024

Canadian Telecom Companies - Dividend Dates 2024

Investors often favor dividend-paying stocks for steady income, and Canadian telecom companies are notable in this regard. Below are the dividend dates for major Canadian telecom companies for the year 2024, presented in a tabular format for easy reference.

Understanding Dividend Dates

Before we look at the dates, here’s a quick recap of key dividend-related terms:

  • Announcement Date: When the company announces its dividend.
  • Ex-dividend Date: The deadline to own the stock to be eligible for the next dividend.
  • Record Date: The date by which you must be recorded as a shareholder to receive the dividend.
  • Payment Date: The day the dividend is paid out.

2024 Dividend Payment Dates - Canadian Telecom Stocks

BCE Inc. (Bell Canada)

Record DatesPayment Dates
December 15, 2023January 15, 2024
March 14, 2024April 16, 2024
June 13, 2024July 16, 2024
15 September 2024October 16, 2024

Last Dividend Payment: $0.96

Annual Dividend Yield:  7.09%

Dividend Payout:  Quarterly

Telus

Telus is one of the leading telecom players in the Canadian market. 

Record DatesPayment Dates
March 10, 2024April 1, 2024
June 10, 2024July 1, 2024
September 10, 2024October 1, 2024
December 10, 2024January 2 (2025)

Last Dividend Payment: $0.37

Annual Dividend Yield:  6.18%

Dividend Payout:  Quarterly

Rogers Communications

Record Dates Payment Dates
December 7, 2023 January 2, 2024
March 9, 2024 April 2, 2024
June 7, 2024 July 4, 2024
September 8, 2024 October 3, 2024

Last Dividend Payment: $0.50

Annual Dividend Yield:  3.14%

Dividend Payout:  Quarterly

Are you looking for dividend dates for Canadian banks in 2024? We’ve got you covered.

Disclaimer: These tables provide a concise overview of the dividend schedules for 2024. It’s important to note that these dates are based on typical patterns and are subject to change based on each company’s Board of Directors’ decisions. Investors are advised to confirm the dates from official company releases or reliable financial news sources.

Investing in these telecom companies can be a strategic move for those seeking regular dividend income. Platforms like Wealthsimple Trade facilitate easy access to these stocks, catering to both novice and seasoned investors.

How to convert USD to CAD in Questrade?

Here’s a simple guide on how to convert USD to CAD in Questrade. 

Let’s say you just sold stocks of a US based company in your Questrade trading account. Now you are looking to buy a Canadian stock or you may want to withdraw funds into your Canadian bank account.

So you need to convert your USD to CAD first.

Guide to convert USD to CAD in Questrade

Step 1 : Login to your Questrade Account
Step 2: Click ‘Questrade Web’ on top and select ‘Accounts’ from the dropdown menu

Step 3: On the Accounts page, click on 'Requests' from the top menu. In the sub menu, select 'Exchange Funds'

Step 4: Select the account in which you have USD that needs to be converted into CAD
 

Select the account. In the Transaction, choose ‘Exchange USD to CAD’ and in action, you need to choose ‘Specify the amount of USD to sell’ . 

If you are converting 1000 USD to CAD, enter 1000 in the Amount field and click ‘Submit’. 

You are done. You have successfully submitted a request to convert your USD to Canadian dollars in Questrade.

Frequently Asked Questions

  1. How long does it take for the conversion to happen?

     It usually takes one business day for the conversion to complete. Once it is done, you will receive the corresponding CAD amount in your account. 

For exchange requests that are done before 2:30 p.m EST on a trading day, the exchange request can be processed even on the same day.

     2. Can I track the status of the request?

    Yes. You can track that under ‘Request History’ (refer the image above). The ‘Request history’ tab will contain all the previous exchange requests.

     3. How much does Questrade charge for the exchange?

   Questrade charges a flat fee of 1.5% for currency exchange.

How to convert USD to CAD on Questrade – Wrap Up

I hope the above steps helped you to convert USD to CAD on Questrade.

Do you want to convert cad to usd in Questrade? We’ve got you covered.

Happy Investing.

How to withdraw money from Questrade? – Easy Guide

Are you wondering how to withdraw money from Questrade? You are in the right place. This step-by-step guide will help you withdraw your funds to your bank account in less than 5 minutes.

Are you ready? Let’s go

You need to log in to your Questrade account to get started.

Step by Step Guide to withdraw money from Questrade

Step 1: Hover over Questrade Trade Web on the top menu and click ‘Accounts’

Step 2: Click Requests on the top menu and select ‘Withdraw Funds’

how to withdraw money from questrade

Step 3: Select the account from which you want to withdraw funds from.

This is where you select the account from which you want to withdraw the funds from. Let’s say you have a TFSA account and a margin account, in this step, you can choose which account you want to withdraw the funds from.

Step 4: Select currency and enter the amount to withdraw

Based on the account chosen in the previous step, Questrade will list the funds available to withdraw from the chosen account.

In this image, the cash available to withdraw is $5.28 Canadian dollars and $41.22 US dollars. The remaining funds shown are the value of the equities held in the account.

If your withdrawal amount exceeds the cash balance, interest will be charged. Check this page for more details.

If you want to avoid paying interest and you need to download more than your cash balance, the only way is to sell off some equities so that your cash balance improves from the proceeds of your sale.

Step 5: Enter the amount to withdraw and choose the withdrawal method

As seen in the image above, select the currency and enter the amount to withdraw.

The next step is to choose a withdrawal method. If you want to withdraw funds in CAD to your Canadian banking account, the easiest and free way is electronic fund transfer.

Once you select electronic fund transfer, you will need to select your bank account from the drop-down. The bank account connected to your Questrade accounts will show up. Select the account and press ‘Withdraw’.

Withdrawing funds from Questrade account – FAQs

  1. How long does it take to withdraw funds from Questrade to your bank account?

Although Questrade says it takes 3 to 5 business days for transfers, I’ve had transfers hit my bank account the very next day.

2. Can I put a withdrawal request online?

Yes, you can set up the withdrawal online by logging into your Questrade account.

3. How can I check the status of my withdrawal?

Inside the same withdrawal page, you will find a tab called ‘Request History’. If you click on that, you will see the requests and the status next to it. You may find status updates like ‘Processing’ while in progress and ‘Processed’ once it is done.

How to withdraw money from Questrade – Final Thoughts

Hope this simple step-by-step guide was helpful to understand how to withdraw money from Questrade. This article can help you set up your dividend reinvestment program on Questrade.

How to setup DRIP on Questrade – A Step-by-Step Guide

If you’re looking to set up a Dividend Reinvestment Plan (DRIP) on Questrade, you’re in the right place. As an investor, you may be looking for ways to maximize your returns while minimizing your costs. DRIP is a great way to do just that. 

By automatically reinvesting your dividend payments, you can purchase more shares of the same stock or fund without incurring any additional trading fees. This can help you grow your portfolio over time and increase your overall return on investment.

Setting up a DRIP on Questrade is a straightforward process. You can do it online in just a few simple steps. Once you’ve set it up, you can sit back and let it do the work for you. Your dividends will automatically be reinvested, and you’ll start seeing the benefits of compound interest.

Steps to Setup DRIP on Questrade

STEP 1: Download and complete the DRIP application form

  • Fill out the account number in the top right corner. If you want to set up DRIP on multiple accounts on Questrade, you have to submit one form for every account.

  • Read through the terms and conditions carefully

  • Fill out your name, the date, account number, and sign beside “Client signature” (E-signatures accepted)

  • Check off either All eligible securities or Individual securities (based on your preferences)

  • If you’ve selected individual securities, you will need to list the ticker symbol, the names of the Stocks or ETFs and the exchange they trade on below

  • For mutual funds, you will need to list the fund code and the fund name

  • If you’ve selected all eligible securities, any eligible, dividend-paying securities will automatically be enrolled in the DRIP once you have purchased the shares or fund units. This includes new positions bought after you’ve submitted the DRIP form.

STEP 2: Log in to Questrade and go to the ‘Accounts’ section

how to setup drip on questrade

Step 3: Press ‘Account Management from the top menu and click ‘Upload documents‘

Step 4:  Select the account, and set document type to ‘Dividend purchase plan authorization’, and upload the document.

Setup drip on questrade

DRIP on Questrade – FAQs

  1. What happens when the dividend amount credited is not big enough to buy a share of the underlying stock?

This is a very common scenario during the early stages of your investment journey as the dividend received will not cover the cost to purchase a new share of the same equity.  In that case, the dividend $ is credited as cash to your account. 

  1. Can Questrade buy a fraction of a share based on the dividend value?

As of July 2023, Questrade does not allow fractional trading. If the dividend is not big enough to buy a share, it will be credited as cash in the account.

  1. Is DRIP free on Questrade?

Yes, Dividend Reinvestment Plan (DRIP) is absolutely free on Questrade. 

  1. What accounts are eligible for DRIP on Questrade?

TFSA, Margin, RRSP – All of these accounts are eligible for DRIP. 

What is DRIP?

As an investor, I’m always looking for ways to maximize my returns while minimizing costs. One strategy that has been gaining popularity in recent years is the Dividend Reinvestment Plan (DRIP), which allows investors to automatically reinvest their dividends back into the underlying stock or ETF.

Essentially, a DRIP is a program offered by certain brokerages that allows investors to reinvest their dividends in additional shares of the same stock or ETF. Rather than receiving a cash payout, investors receive additional shares, which can compound over time and potentially lead to greater returns.

It’s important to note that not all securities are eligible for DRIP, and investors should check with their brokerages to see which securities are eligible before signing up for the program. Additionally, while DRIP can be a great way to save on fees and boost returns, it’s not a one-size-fits-all solution, and investors should carefully consider their own investment goals and risk tolerance before signing up.

Why Choose Questrade for DRIP?

When it comes to setting up a Dividend Reinvestment Plan (DRIP), Questrade is an excellent choice for a number of reasons. As someone who has been using Questrade for DRIP for some time now, I can confidently say that it is a reliable and user-friendly platform.

Low Commissions

One of the biggest advantages of using Questrade for DRIP is the low commissions. With Questrade, you can set up a DRIP for most stocks or funds, including Exchange Traded Funds (ETFs), without having to pay any commission fees. This can save you a significant amount of money over time, especially if you are a frequent trader.

Easy to Use

Another reason to choose Questrade for DRIP is its ease of use. Setting up a DRIP on Questrade is a straightforward process that can be completed in just a few steps as mentioned above. Once you have set up your DRIP, you can sit back and let your dividends automatically reinvest into your chosen securities.

Reliable Platform

Finally, Questrade is a reliable platform that you can trust to handle your investments. The platform is secure and has a strong reputation in the industry. Additionally, Questrade provides excellent customer service, so if you ever have any questions or concerns, you can easily get in touch with a representative who can help you out.

Overall, there are many reasons to choose Questrade for DRIP. With low commissions, ease of use, and a reliable platform, it is an excellent choice for anyone looking to set up a DRIP for their investments.

How to build a $100 per month dividend portfolio in Canada?

100$/month dividend portfolio

Dividends from stocks are truly passive in nature.

You are doing nothing apart from holding them in your investment portfolio and they pay a share of their profits to you in the form of dividends.

If you are looking to build a dividend portfolio in Canada, you are in the right place.

Let’s look at how much you need to invest to make $100 per month in dividends.

How to find how much dividend a company pays per year?

td dividend yield percentage

In the picture, you should check for ‘Div yield’ in the last row, it is listed as 4.16%

This means that TD Bank pays 4.16% of its current share price as dividends to its shareholders. This is for the whole year.

Most companies pay every quarter and TD will pay 1/4th of 4.16% of its share price as dividends every quarter.

How much do you need to invest to get $100 per month in dividends?

$100 per month means $1200 in total annual dividends.

The question here is how much you need to invest in a company to receive an annual dividend of $1200. A lot depends on the dividend yield percentage of the company/companies you invest in.

It’s simple math.

If 4.16% of your total value of TD stocks amounts to $1200, what is 100% of your total value of TD stocks?

(100/4.16)*1200 = $28,846

So, you will need to invest $28,846 in TD Bank’s stocks to receive a dividend of $1200 per year (equates to $100 per month)

Are you wondering how many shares of TD you will have to own to get such dividends? We’ve got you covered.

Divide $28846/$85.53 (current price of 1 share of TD Bank)

The answer is 337 shares.

Note: The above calculations are based on the current price of TD Bank’s shares. If the price goes up or down, your dividends may go up or down.

Things to consider while buying dividend stocks

  • Don’t go all-in on one dividend paying stock. Always diversify your investments.
  • There are stocks that offer a dividend yield of even more than 10% but high dividend doesn’t always translate to high returns in the long run. There are companies that have a low dividend yield but have grown leaps and bounds in the long term.

e.g.:  Apple pays a dividend yield of just 0.59% but has grown 659% in the last ten years.

Popular Canadian dividend stocks

Stocks

Dividend Yield

Investment required for $1200/year in dividends

Enbridge (ENB)

6.33%

$18957

Manulife (MFC)

5.85%

$20512

Telus Corporation (T)

4.56%

$26315

TD Bank (TD)

4.16%

$28846

CIBC (CM)

5.38%

$22304

The above stocks are just examples and not stock recommendations. When you identify your dividend stocks, use this formula to calculate how much you need to invest to get $1200 per year in dividends.

(100/Dividend Yield %)*1200 = Investment Required

Happy Investing. Start now.