The Rules The cascading insurance strategy takes advantage of subsection 148(8) of Canadian tax law, which will allow you to transfer ownership of a life insurance policy to any of your children, free of tax, where a child of yours is the life that is…
It’s not unusual for grandparents to want to give money or gifts to grandchildren. And as the Canadian population ages, you may find more clients choosing to skip over their adult, and more financially secure, children in order to provide for the younger generation. Grandparents…
Many entrepreneurs don’t want to retire. “They love what they do. It’s their passion,” said Jason Safar, PricewaterhouseCoopers Canada’s Oakville, Ont.-based national private company services tax leader. But financial advisors should urge their small-and-medium-size business clients to address the subject of their retirement. “They need…
As more and more baby boomers get ready to retire, so do the thousands of entrepreneurs within this generation – many of whom would benefit from a sound business succession plan. In a November 2015 report, the Canadian Federation of Independent Business (CFIB) described succession…
With the deadline to file 2015 personal income tax returns fast approaching, BMO Wealth Management asked Canadians what tax topics are on their minds most. Top five tax questions answered: 1. SHOULD I CONTRIBUTE TO MY RRSP OR TFSA? (Asked by 46% of those polled)…
Jeffrey Gundlach correctly predicted that oil and junk bonds would suffer in 2015. But some are hoping his call on the U.S. election – that Donald Trump will become president – won’t come true. A few folks exchanged worried glances when Gundlach, CEO of DoubleLine Capital, told…
More than half of Canadians don’t have up-to-date wills and almost two-thirds haven’t prepared powers of attorney, according to a LAWPRO survey. But most Canadians acknowledge they should have these important documents. A will is a key component of all estate plans. Dying “intestate” (without…
Half of Canadians are concerned that their deaths will put their family’s financial stability in jeopardy, finds a BMO survey. Of those surveyed, 26% feel very concerned. Fewer than half (43%) say they own or will purchase life insurance in the next 12 months. And,…
Why do wealthy individuals, those who have no need for more insurance, sign up for the largest whole life policies issued in Canada? Did they meet a high pressure insurance salesperson who convinced them to buy something they don’t need? Are they unsophisticated investors who…
Most people know what insurance is, but few people have ever been told what it can do. The combination of turbulent financial markets and record low interest rates have challenged investors for several years. Conventional guaranteed financial instruments like bonds and GICs, long considered safe…