Tax Planning

In Canada and in most developed economies, salaried employees pay the highest tax rate on their income.

Employees can use tax credits and deductions to lower their tax burden. However, there are limits to this for employees compared to the …

The 4 obstacles that could be holding you back and what you can do to overcome them

“Wealth is not his that has it, but his that enjoys it.” — Benjamin Franklin

Building wealth is hard. This is why most …

Taxes are by far the largest cost that most households face, yet most people do nothing to manage their taxes

“The best things in life are free, but sooner or later the government will find a way to tax them.”

This past week, I had the opportunity to interview two Canadians that achieved financial independence in their 30’s.

I was curious to hear from them directly and to get a better understanding of how they did it, what it took …

“You don’t buy life insurance because you are going to die, but because those you love are going to live.” — Unknown author

Of the four tax-free options that the Canadian tax law permits, the use of tax-exempt life insurance …

Tax issues are complex and dealing with CRA is not a pleasant experience for most people. Often times, it is a roller coaster emotional experience.

This is not surprising as it often involves money. When it comes to your money, …

This is often misunderstood. To be clear, “tax-deferred” does not mean the same thing as “tax-free.” Tax-deferred is something that must eventually have taxes paid on it. On the other hand, tax-free will not need any tax payments made.

Tax-Deferred…

If we were living in normal times, it would have been past the peak of the tax season by now. However, given the situation with the virus and the extension of tax filing deadlines by the government, I am now …

The Canadian tax system is based on marginal tax rates. This simply means that the more money you make, the more taxes you pay. As your income increases, so does your marginal tax rate. Marginal tax is the dollar amount …

In my last article I challenged you to an exercise that required you to review the total income earned and total taxes paid in the last decade. If you did the exercise, it may have revealed something shocking about the …