Claiming Medical Expenses: Free Healthcare?

Free Health Care? Did you know that Canadians spend on average more than $1,000 on medical expenses each year? It’s estimated that government programs, via our taxes, cover about 72% of medical expenses, which means that we pay for the rest. Your clients may be over-paying on their taxes because they don’t know about medical expense deductions. 

Fees paid to financial advisors are in focus these days, as new fee transparency and account performance reporting is being introduced under the third phase of CRM2 next month.

Does financial planning require its own regulatory oversight? That’s the issue the Ministry of Finance in Ontario has charged an expert committee with. Their preliminary recommendations propose an “integrated regulator” and significant restrictions on who has the qualifications to hold themselves out as a financial planner. Consultations on the matter must be submitted by tomorrow, June 17.

It is critical to know the mechanics of tax preparation, not only for those who want to get into or stay in the tax preparation industry, but also for financial advisors who want to offer an integrated, holistic solution to planning for their clients. If you don't know tax, you're likely missing double digit returns in your plans for Real Wealth Management with your clients.

"If you want to succeed you should strike out on new paths, rather than travel the worn paths of accepted success." John D. Rockefeller

Employees who are leaving their jobs and who receive job termination payments or retiring allowances should do some tax planning, perhaps with RRSP contributions and other income splitting or deferral options.

Manitoba’s new government released its first provincial budget on May 31st, announcing three important personal tax changes that signal a change in direction from the previous regime. Small business in Manitoba also got enhancements to three tax credits.