As Audrey and I prepare to head south I have been reflecting on how it’s possible to achieve financial independence. Now, financial independence is measured in many ways, but to me, it is being able to do and live how you want when you want.

As we enter 2024 it’s important that we take stock, examine our financial environment, and plan for the calendar year ahead to strategize on how we can increase our income and reduce our taxes.

Did you Know that the Tax-Free Savings Account (TFSA) Contribution Limit increases in 2024. The TFSA contribution limit will increase to $7,000 (from $6,500) for 2024. Don’t know your missed TFSA contribution limit? We can obtain that information for you and your outstanding RRSP limits as well as long as you are registered through us with CRA. We have online CRA access that helps us with your tax planning and access to registered plan limits. This saves you time and allows us to pre-plan and handle contributions for you. Reach out to us if you have not registered yet.

Imagine this: you’ve come across the perfect home, and you’re thrilled to make an offer. But, here’s the key question—should you include a financing condition? The simple answer, especially in today’s environment of rising interest rates, is a categorical yes!

Our primary goal is to ensure Electronic Funds Transfers (EFTs) and Wire orders are initiated, executed, and approved in a secure manner while meeting the needs of our clients. We want to ensure that you receive your fund requests when you need it; for example, buying a new car or any other purchase.

Please be reminded of the following process to ensure no delays are encountered for funding requests.

You may find yourself asking why the last 5 yearsbefore retirement are critical? For many people,retirement has always seemed like a far-off goal.

Seasoned veteran shares how keeping his practice in the family was driven by clients’ best interests

Over the decades I was certainly familiar with the need for diversity…investment type and geographically. Over the last few years as I sought an “after work” plan, we struggled with just where to spend time. Would it be Canada and perhaps a warmer area within its boundaries? Not many of those – at least year around.Perhaps the USA or further south? We looked at Europe, notably Portugal and Spain…also the Adriatic coast.
 
As we researched, we realized no one place has it all and we became concerned about choosing just one.  Like investments, no one category or country offers satisfaction at all times.

Being a business owner can be an extremely rewarding endeavour, and one of the benefits is lower corporate tax rates compared to the same income had it been earned as salary. As a business owner, you may also benefit from the Canadian Small Business Deduction if your company qualifies as a Canadian Controlled Private Company (CCPC). The small business deduction applies to the first $500,000 of active business income from business operations and is taxed at a more favorable 9% as compared to the general business rate of 15%. Once active business income goes past $500,000 you will then face the general rate of 15%, but you will have realized significant savings on that first half million of income.

Did you Know that as a client, you have coverage under Canadian Investor Protection Fund (CIPF). CIPF coverage policy includes:
• $1 million for all general investment accounts combined (i.e. – non-registered account such as a cash account), plus
• $1 million for all registered retirement accounts combined (i.e. – RRSP, TFSA, RRIF, etc.), plus
• $1 million for all registered education savings plans (RESPs) combined

The Bank of Canada announced today that it will hold the overnight rate at 5% despite an inflation rate increase to 3.3% in July 2023 which is trending further away from its target inflation rate of 2%. The central bank is adopting a “wait and see” stance as there was a sharp drop in domestic GDP growth reported for the first half of 2023 and increased unemployment to 5.5% in July compared to 4.9% a year ago.
Bank of Canada interest rate hikes are designed to curb demand in the economy by making it more expensive for consumers and businesses to borrow and by squeezing household budgets due to higher debt costs and rents.

Our primary goal is to ensure Electronic Funds Transfers (EFTs) and Wire orders are initiated, executed, and approved in a secure manner while meeting the needs of our clients. We want to ensure that you receive your fund requests when you need it; for example, buying a new car or any other purchase.

Please be reminded of the following process to ensure no delays are encountered for funding requests.