Kris Rossignoli, a cross-border tax and financial planner at Cardinal Point Wealth Management, is advising Canadian snowbirds to prepare for the rising costs of wintering in the U.S. With inflation and a weak Canadian dollar driving up living expenses, Rossignoli stresses the importance of proactive financial planning.
He points out that U.S. homeowners are particularly impacted, with property insurance premiums rising by up to 10% annually due to increasing risks such as flooding. Combined with higher travel and healthcare costs, these financial pressures are leading many snowbirds to reevaluate their budgets and lifestyles.
Rossignoli recommends regular budget reviews that consider inflation, foreign exchange rates, and insurance costs. He underscores the need for diversified, balanced investment portfolios to provide both stability and growth, helping clients sustain their desired lifestyle. His strategies include rebalancing portfolios and addressing currency conversion challenges, such as holding U.S. dividend-paying stocks in U.S. dollars.
Acknowledging the financial and logistical challenges, Rossignoli emphasizes the importance of flexibility, thorough planning, and consulting knowledgeable advisors. This approach enables snowbirds to adapt to changing circumstances, mitigate risks, and make informed decisions about their winter plans.
Read the full article below to learn more about navigating these rising costs and protecting your financial health.
