The Great Tax Spikes of 2015 & 2016
The past 2 years we have seen the Ontario government followed by the Federal government increase the top personal marginal rate of tax by 7.12% from 46.41% to 53.53%. Unfortunately, these increases may just be the beginning as the government moves towards balancing their books.
Don't wait until your student loan is repaid, your mortgage is eliminated or your kids are through University. Now more than even, it makes sense to be proactive with your finances.
Here are two opportunities to save money on your insurance protection...
Do you currently fund your Disability Insurance protection with personal dollars? Depending on your situation, it may make sense to fund your disability insurance with corporate dollars. Individuals fund their disability policy with personal dollars because they want to receive the benefit tax free. This option sounds beneficial nonetheless we show our clients how they can pay for the policy with corporate dollars and as well receive the benefit tax free. We can help you quantify your alternatives and let you decide what is best for your situation.
Another important insurance instrument dentists can utilize is Critical Illness Insurance. The critical illness insurance benefit can fund your mortgage, loans, office and medical expenses. Canada is the only country in the world where you can purchase critical illness insurance with 100% return of premium. We view this concept as 'heads you win, tails you don't lose' approach to insurance. Where can you find an insurance policy where you receive 100% of your money back if you don't use it? We evaluate your options for funding the insurance policy personally or corporately depending on your situation. The return of premium can be integrated into your plan to enable you to pay off your mortgage in 15 years. Therefore, eliminating your mortgage in 15 years rather than 25 years will allow you to accumulate more wealth for retirement.
Book a free no obligation appointment with our advisors today to see how you can benefit.