Canada Needs a Financial Plan

According to a July 23 publication by the Fraser Institute, we are getting poorer here in Canada and the prospects for economic growth are looking grim.  This should be of concern to every Canadian concerned about their “real income” – that’s their purchasing power – and by extension - their ability to fund consumption now and for important family milestones in the future:  retirements, education and homeownership.  It’s grim, but there are practical suggestions for a turn around plan. Here’s a synopsis of the report.   

Your client, a financial advisor himself, is retiring from his practice and therefore selling non-financial assets, financial assets, real estate assets and a business. Where will the tax be paid and how much will be paid in the hands of the individuals, corporations or trusts involved?

It’s amazing how many people rush through their tax filing obligations only to find they have missed important claims on their tax returns. One of the most common is medical expenses. Here is our top ten list of common medical treatments you may have missed.

“Investing is simple, but it isn’t easy.” I’ve heard Warren Buffett, the world’s undisputed champion of value investing, say words to this effect so often—most recently at a Berkshire Hathaway annual meeting that brought 40,000 of us (me for the 21st time) to Omaha, Nebraska (of all places), on the last Saturday in April of 2016.

A reality for retirement income planning specialists is that the difficult subject of “disability probability” must come up. But, the best time to discuss it with clients is when they are still healthy. According to Statistics Canada1  close to 4 million adults had a disability which limited daily living activities in 2012, or about 14% of Canada’s population.

As our population ages, disability-related caregiving for family members will increase, but, as a society, how well are we able to cope? From meal preparation and household chores to time off for appointments with doctors or to deal with financial matters, the commitment in caring for the sick, the disabled and dying is enormous and it is exhausting.

We love sharing feedback from our recent graduates. This week we feature the success of Mr. David Foth from Saskatoon, who recently graduated from the new T1 Professional Tax Preparation - Basic course.