When you withdraw money from your RRSPs or RRIFs, you pay tax at your marginal tax rates on the money withdrawn. The only exceptions are when funds are withdrawn under the Home Buyers’ Plan to purchase a first home or under the Lifelong Learning Plan…
The clients you have worked with for many years will have their finances in order as they move into retirement. But new clients who come to you may need help in making a successful transition from their accumulation years to their de-accumulation years. “About 75%…
By Alain Theriault, October 21, 2014 Insurers are denouncing a scheme in which a third party pays the premiums on a life policy in exchange for giving the insured person a loan, often at a higher than average rate of interest. The lender is reimbursed at…
Appropriate tax and estate planning can significantly reduce the tax burden experienced by wealthy families at the time of inter-generational transfers. First and foremost the family and its advisors must ensure that mistakes are not made that can in fact result in higher than expected…
Let’s face it, life insurance does not have the “sex appeal” of other types of financial products available to high-net-worth (HNW) individuals. But most wealthy individuals and business owners have purchased life insurance for the significant benefits these products provide to their overall financial and…
Capital SQUARED utilizes three policy features (cash value, loan option, death benefit) to enhance overall net wealth and reduce the cost of funding annual premiums. This strategy also enables borrowed funds to be tax-deductible within the scope of subsection 20(1)(c) of the Income Tax Act -Canada. The Loan…
More than half (58%) of family businesses are currently seeking external financing to fund their investment plans, finds a KPMG survey. And finding the right strategic investment partner can be challenging. While family businesses create more than 70% of global GDP, many find their fundraising options limited,…
Consider the situation of a recent client, a successful private software firm wholly owned by a married couple. Although the owners are the prime drivers of the business, they rely heavily on their chief analyst for software development. Unfortunately, he died unexpectedly three months ago…
Business and family relationships change over time. When that happens, people may need to move a life insurance policy from one person or entity to another. This requires careful review to ensure client objectives remain achievable. Typically, when ownership of a life insurance policy changes,…
Incorporated business owners who wish to donate to charity often wonder whether the donation should be made by the business or by the shareholder personally. To advise them properly, there are several factors you should consider and discuss with clients. It’s important to note that…