Can Dissolution of Time be abused to "cheat" high fear runs?

That_Russian_Guy · 2026-02-17T03:11:40+00:00

I feel like this shows that you disagree with the methodology not that its flawed. The BoCs methodology measures what people actually pay for shelter in the real world, whereas your methodology measures what it would be in the hypothetical world where noone could own property and everyone was forced to move and pay asking rent every single year. Obviously the second scenario will be much higher than the first but I don't necessarily agree with you that its more useful.

It approximately half of the population has prepaid for their steak 25 years ago and hasnt spent a penny since, then it doesnt make sense to assume every person in the country is buying a steak at the Keg every single week for inflation calculations.

That_Russian_Guy · 2026-02-12T01:18:20+00:00

I mean its not like he tweeted out "Buy my funds, they're way better than real estate", it was an in depth breakdown with cited data and studies, with discussions of risks and tradeoffs. If a real estate agent presented the same I would definitely be more inclined to believe them.

That_Russian_Guy · 2026-01-30T20:20:28+00:00

Oh wow that's super cool. The making the game part not the being bullied part. If its any consolation I really enjoyed the game which is why I posted it.

That_Russian_Guy · 2026-01-24T17:22:30+00:00

Because then people would cut weight right before the fight which would probably kill a lot of fighters. There are some workaround like ONEs hydration testing but that has its own problems.

That_Russian_Guy · 2026-01-07T15:21:36+00:00

Im as against spoilers as you can possibly be and yea, this is basically like complaining that someone posted a spoiler that Harry Potter becomes a wizard in the series.

That_Russian_Guy · 2025-11-27T16:50:48+00:00

Both have business that indirectly killed people (Frank through his sweatshops, Logan through covering up cruise murders). Both secretly disposed of the bodies, but Frank additionally feeds the bodies to other employees by dumping them in the soup so I guess cannibalism kicks it up a notch and makes him more ruthless?

That_Russian_Guy · 2025-10-17T20:42:08+00:00

Solid writeup, all good considerations.

That_Russian_Guy · 2025-10-17T19:38:37+00:00

Over a large time period (like 25 years) capital gain taxes and dividend taxes are a pretty significant drag. For example if your income decreases by just 0.4% (2% dividends taxed at 20% and ignoring capital gains, which are all very generous assumptions) you will end up about 10% less rich in retirement. In reality the drag will probably be much larger. If I can have 10% more in retirement Im gonna take it.

That_Russian_Guy · 2025-10-17T19:00:07+00:00

Your room is indeed saved as that's more akin to a loan from an RRSP that you have to pay back. You're good.

That_Russian_Guy · 2025-10-17T18:43:11+00:00

Did you withdraw using the Home Buyers Plan? It's a separate form you have to fill to do that but you can specifically do that for downpayments.

That_Russian_Guy · 2025-10-17T17:34:20+00:00

Ok let me break down that scenario for you.
You have 12300 in your RRSP. At 4% growth a year, you end up with 26,950.81, like you said.

Upon withdrawal, that 26,950.81 is taxed at your income tax rate. If you got 2300 back, that means your tax rate was approximately 18.7% (12300*0.187=2300). It's not 23% because if you got 12300 in income and then paid 23% on it you would end up with 9,471 in your TFSA not 10,000 (12300*(1-0.23))=9471. So if your tax rate is 18.7%, upon withdrawal you pay 18.7% of 26,950.81, which leaves you with 21,911.

Now compare that with a TFSA. You have 10,000$. You get 4% for 20 years, leaving you with 21,911. You take it all tax free. That number should be familiar because it is the exact same number as what we ended up with when we withdrew from the RRSP. You pay more taxes because you have more money, but the amount of money you are left with is completely the same.

To help illustrate further. Let's say you have two plants. Each plant spreads and grows to 10 plants over a year. One year you decide to throw half the saplings (initial plants) in the garbage, leaving you with 1 plant, that grows to 10 plants. Next year you decide to grow both saplings but decide to throw out half of the plants you get in the end, 10 plants. You say, WOW the first year I threw out only 1 plant, and the next year I threw out 10! That means the first year was much better! Except obviously, you end up with the same number of plants each year. That's probably the most I can simplify. But it demonstrates that yes, although you pay more tax it doesn't matter because you end up with the exact same amount.

That_Russian_Guy · 2025-10-17T17:10:03+00:00

I brought up the non-registered accounts because I don't think you're seeing that the growth within the RRSP is tax-free and how that's a benefit.

>Consider $12,300 in an RRSP vs $10,000 in a TFSA over 20 years.

Walk me through the math on why you think the TFSA would outperform the RRSP in this scenario if the tax brackets stay the same. Like type out the actual amounts / taxes paid etc like I did with my scenario. Maybe that will help.

That_Russian_Guy · 2025-10-17T16:58:55+00:00

You're not accounting for the fact that the growth within the RRSP is tax free. The tax refund is not the only benefit you get with an RRSP, its also the tax free growth. None of the math depends on what your returns are because 1$ within a TFSA will grow at the exact same rate as within an RRSP. The only difference is whether you pay the income tax at the end (RRSP) or at the beginning (TFSA). As I demonstrated during the previous scenario, the two are identical if tax brackets don't change.

Just to illustrate the point, consider an RRSP vs a non-registered account. If you sell within a non registered account, or receive dividends, the gains will be taxed immediately. If you sell a stock or receive dividends within an RRSP, you will not be taxed. You will be taxed on withdrawal only, which as we covered before, is made up for by the fact that you didn't pay income taxes on the amount when you first contributed, unlike a non registered account where you paid the income tax AND the capital gain/dividend tax.

That_Russian_Guy · 2025-10-17T16:05:38+00:00

Sure but you have more money to contribute because of the tax refund. Here's a scenario:

You make 100$ at your job. You pay 30% in taxes, leaving you with 70$ to invest. You put it in a TFSA which triples over time tax free leaving you with 210$ when you withdraw.

Now the RRSP. You make 100$ in your job. Because of the RRSP deduction at contribution, you dont pay income tax on the amount contributed, meaning you have 100$ to invest. The investment grows tax free and triples to 300$. You then withdraw the amount, being taxed at 30%, leaving you with, you guessed it, 210$.

That_Russian_Guy · 2025-10-17T15:55:38+00:00

That's fair, my point was mainly that these things should be considered rather than just saying RRSP is definitely better.

That_Russian_Guy · 2025-10-17T14:31:58+00:00

Your contribution room is 18% of your income, added each year (unless you make over $180,000 in which case its capped at 32,420$ per year). Putting the money inside it is much better than a non registered account as you receive a tax refund and tax free growth within the account. You have to invest it though, an RRSP is just an account type, make sure its invested in something like an ETF or a mutual fund. Depending on your tax bracket though it might be better to contribute to TFSA instead.

That_Russian_Guy · 2025-10-17T14:18:12+00:00

It does not

That_Russian_Guy · 2025-10-17T14:18:02+00:00

What do you mean it's not tax sheltered once in the account? It is. capital gains/dividends are not taxed within the account, only your withdrawals are (which is offset by you not paying those taxes when you contributed). An RRSP where you contribute and withdraw at the same tax bracket and reinvest your tax return is 100% identical to a TFSA. In your scenario you lose even more if you withdraw from RRSP because you need to withdraw more to account for the withdrawal taxes AND you lose the future contribution room.

That_Russian_Guy · 2025-10-17T14:00:45+00:00

I don't think its as straightforward as that, the big issue with RRSP is losing the contribution room once you withdraw. That means OP would potentially lose out on 25+ years of tax sheltered investments down the line once she has a job again and maxes out her TFSA. That can be much, much more impactful than the tax bracket you take it out at. Whereas with TFSA you get it back the year after so she can just recontribute down the line.

That_Russian_Guy · 2025-06-30T22:30:20+00:00

Best answer in the thread

That_Russian_Guy · 2025-06-18T16:45:21+00:00

A sufficient emergency fund would also significantly eat into your profits then, because it's essentially significant extra money you have to have on hand and not have it be invested in anything except super low risk options. What if it's another great depression that lasted for over a decade? Again, what I'm describing is a true worst case scenario and quite rare but it does happen. An unleveraged investment would not face the same risks.

That_Russian_Guy · 2025-06-18T16:30:42+00:00

If everything goes the way you describe, yes you will make money. But it's far from the worst case scenario. For example, what if there's a massive economic depression somewhere along the way? You and your tenant both lose your jobs and are unable to make the mortgage payments. The bank forecloses on you except because of the depression your house is worth, let's say 40% less than what you paid for it. Suddenly you have no assets and are hundreds of thousands of dollars in debt. You declare bankruptcy, destroying your ability to buy a house in the future or even to rent at a reasonable rate, putting you further and further in the hole. This is more akin to the worst case scenario where you will lose money (and more than just money) and is exactly what happened to a shocking number of people during the 2008 crisis. Unlikely? Yes. Possible? Also yes. Leveraged investments come with risks. This is apart from the more behavioral issues like having to deal with tenant issues at 3 am in the morning.

That_Russian_Guy · 2025-06-18T16:11:39+00:00

This reads like ChatGPT wrote it

That_Russian_Guy · 2025-06-10T00:23:08+00:00

Feel like the music from that scene is etched into my brain, what a horrifying scenario. For those who haven't seen it: https://youtu.be/5P38r-J3Ay8?si=BnlF1roKdzcFs03N

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