Welcome! Our Motto is: It’s not about how much money you get, it’s about how much you get to keep! The biggest erosion of your wealth is taxes. Most people decide on tax DEFERRAL when they should be deciding on tax DELETION. The problem is people don’t plan to fail, but fail to plan. Give me a call and find out how you can put more money in your pocket instead of the tax man’s.
Office (905) 684-6539 Cell (905) 708-5889
We have moved on Monday, July 11th into our new location on Ontario Street. Marta, Wendy and myself are looking forward to assist our clients with all their financial needs there. For our clients that come from out-of-town to see us, the new location is much more convenient. Check the website for directions.
The busy high season in the tax business is behind us and now were are preparing to move to a different location. Our new location will be on Ontario Street and a more convenient access for clients that come to see us from out of town. We hope that we will be in our new location by mid July and we look forward to give our clients the same great service there. Watch for our update on the website soon!
One of the biggest changes to the Income Tax Act was introduced in 2009, the TFSA or Tax Free Savings Account. Some people are unaware of it while even more do not understand it. Every taxpayer should be taking advantage of this extremely powerful tax savings tool.
The average tax payer benefits the most from the TFSA, while high-income earners, banks and the government benefit by using RRSP’s. To be able to contribute, you need to file a tax return.
Some of the similarities:
Both can consist of Mutual Funds, GIC, Stocks and Bonds etc. and the growth is protected from annual taxation.
Some of the differences:
RRSP’s must be collapsed at age 71 and when withdrawn are taxable.
TFSAs remain for your lifetime and when withdrawn are tax free.
Example:
Two people, each contributing $5000 annually – one in a TFSA and the other one in an RRSP. For the next 20 years ($100,000) will grow to a value of $200,000. In year 20 both withdraw the total amount. The TFSA contributor gets $200,000 to do as they wish, because their tax return shows $0 income and no taxes due. The RRSP contributor gets $160,000 ($40,000 withholding tax) and their tax return shows $200,000 income. The result is approximately another $50,000 taxes owing. The RRSP contributor is left with $110,000 to do as they wish. Would you rather save the money for YOU or YOU & the TAX MAN?
If you would like more information on this subject feel free to give me a call any time
Office (905) 684-6539 Cell (905) 708-5889
