Financial Tip of The Month.
2019 Tax Planning to do Now!
Every year at this time, we get numerous calls from clients trying to understand their tax receipts, and confirm they've all been received. We are happy to help, but we cannot replace the accountant.
What I find every year, is that once we get through this harrowing period (because nobody likes to pay taxes) we should take another 15 minutes to ensure we are doing everything we can now to make life easier next April.
Ensure you are taking advantage of the many ways to keep your taxes down.
*RRSP Contributions. Obvious, but better to manage this all year, then do a large amount at the deadline. Easier on the bank account, and better for investment returns usually.
*Fee deductibility for non-registered accounts. By structuring these Open accounts as fee-based you can deduct the fees.
structuring your accounts to ensure that they have minimal taxable income generated in the non-registered accounts, you can keep your taxes lower.
Maximizing charitable donations. Donating stocks/equities directly to eliminate the capital gain, and receive the charitable donation tax credit.
Tax Receipt items to be aware of for 2018:
A summary of transactions sent to CRA. This receipt has been provided in one way or another for the past 3 years. However, it is proving to be confusing. This receipt simply indicates transactions that were triggered to sell/transfer something in your non-registered account. This could include selling something to cover fees. It does not have to be submitted to CRA with your tax return, but they have a copy. This is primarily to ensure they can identify activity which may trigger a taxable event.
These receipts are generated to indicate income, or sells that were triggered within a product, stock, ETF or mutual fund. Any capital gains included in these receipts reflects changes made within the product. For example, when an ETF sells 1 stock and replaces with another, a capital gain could be triggered that must be passed onto the unit holders. We would have no way of knowing this happened without the T3/T5.
Charges & Compensation Report:
For non-registered accounts, you have the opportunity to claim investment consulting fees. Those that are structured in a disclosed environment can be deducted. These figures can be found on your December statement, under this page, and there is a separate 1 for each non-registered account.
Unfortunately, while there is a report for each account, CRA does not allow the deduction of these fees in any registered accounts. This includes TFSA, RRSP, RRIF, etc. The benefit of the disclosed fees is that we can better manage them, and any discounts can be applied automatically, based on the pre-set schedule.
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Tax Help Needed?
Check out our tax organizers to keep you on track.
Book a meeting today to ensure we have reviewed tax strategies available to you.
Business Owners: Cashflow Tips for the Solopreneur
Did you know that in a recent study from Intuit Inc, found that a majority of small business around the world (61%) struggle with cash flow, and nearly a third ( 32%) are unable to either pay vendors, pay pending loans, or pay themselves or their employee due to cash flow issues.
I was interviewed in a new blog -
. We discussed planning, risk management and how to manage cash flow and client relationship. The full post is below. Thanks Heather
Staying Up to Date
Starting April 1, 2019, OHIP+ will no longer cover individuals 24 years old and under with drug coverage through a private insurance plan, such as a company group benefits plan.
Helping clients create a legacy is why I do what I do.
I'm thrilled to have been asked to present at the Canadian Association of Gift Planners Conference in mid-April. By helping my clients find a way to make their charitable vision come true, I was able to uncover a number of different charitable organizations and structures that can work for many clients in different environments. It's bec
ause of this partnership I've been asked to speak. Stay tuned, I
have so much to share next month on Philanthropy in Canada
Health and Wellness- Special Offer From MedCan
Sign Up For Downsizing Tips at
Stay up to date with tips, trends and upcoming event. We have had 3 success event so far. Stay tuned for more dates.
Interested in learning?
Here are 2 "speakers series" events in Richmond Hill. Great information in our own backyard.
April 18, Richmond Hill Centre For The Performing Arts, Civil Rights in Canada, Karen King
Richmond Hill Centre For The Performing Arts,
The Northwest Passage in Story and Song, David Newland with Siqiniup Qilautu (Sundsdrum),
Retirement : Will Yours be all You Hope it Can Be?
I recently read a number of articles about how we're not saving enough. I know that doesn't have to be the case. In fact, most clients that we work with, usually find the planning truly helps them to be on track for both retirement and the unexpected.
However, to learn more, check out this article by Lisa Kramer.
Psychology plays a big role. That's why most clients with advisors usually save more than those without. Psychology sheds some light. Read Lisa Kramer's view.
In a recent article the CRA is going after day-traders who are using the TFSA for sheltering income.
Investors found carrying on a business - such as day traders - will now be held legally responsible for any tax owing on income earned in a tax-free savings account.
Recession in Canada? Bill Morneau Explains
The yield inversion is bad news for Canadian banks. Here's what investors should do about it
ANYONE WHO STOPS LEARNING IS OLD, WHETHER AT TWENTY OR EIGHTY." -HENRY FORD
This material is provided for general information and is subject to change without notice. Every effort has been made to compile this material from reliable sources however no warranty can be made as to its accuracy or completeness. Before acting on any of the above, please make sure to see me for individual financial advice based on your personal circumstances. The opinions expressed are those of the author and not necessarily those of Assante Capital Management Ltd.
Insurance products and services are provided through Assante Estate and Insurance Services Inc. Assante Capital Management Ltd. is a member of the Canadian Investor Protection Fund and the Investment Industry Regulatory Organization of Canada.
Assante is an indirect, wholly-owned subsidiary of CI Financial Corp. ("CI"). The principal business of CI is the management, marketing, distribution and administration of mutual funds, segregated funds and other fee-earning investment products for Canadian investors through its wholly-owned subsidiary CI Investments Inc. If you invest in CI products, CI will, through its ownership of subsidiaries, earn ongoing asset management fees in accordance with applicable prospectus or other offering documents.
Services and products may be provided by an Assante Advisor or through affiliated or non-affiliated third parties.
Dates to Remember
First Day of Passover
Classic Albums Live- Elton John Greatest Hits
Senior Financial Advisor
Assante Capital Management Ltd.
Ph (905) 707-5220
Fax (905) 707-1035
9130 Leslie St., Ste. 302
ON L4B 0B9