Cash Management Plans
No matter what your income level, you may find out that there is little of your hard-earned dollar left after taxes, household expenses, and all the necessities of life. Let us help you find more of that missing dollar with a comprehensive cash management plan.
Retirement Plans
We will sit down with you and help you determine:
- An estimate of your desired retirement income.
- The available sources of this income, including government pensions and benefits, and any corporate pensions.
- The shortfall to be made up through retirement planning, including required contributions to RRSP’s and other savings vehicles.
- A plan to invest these savings, with a view to making them grow with a reasonable amount of investment risk.
Education Planning
Do you have children or grandchildren whom you hope to see obtain a post secondary education? Why not consider the advantages of the Registered Education Savings Plan (RESP)? The federal government has made these so attractive now, in the following ways:
- The government provides a Canada Education Savings Grant of 20% of the first $2,500 deposited to an RESP per child per year.
- As always, all earnings within the plan are sheltered from tax, and when withdrawn are included in the low income of the student beneficiary.
- If a beneficiary does not attend college or university, the plan can be switched to another beneficiary or, subject to certain rules, the funds can be transferred to the subscriber’s RRSP.
Tax Planning
As Canadian citizens, we are entitled to arrange our affairs in such a way as to pay the minimum tax possible. At Michael Cherney Financial, we will assist you to choose the most appropriate tax-savings vehicles. This includes deciding between a Tax-Free Savings Account (TFSA) and a Registered Retirement Savings Plan (RRSP).
Buying a Home
Young people are rightfully disappointed in how difficult it is to purchase a home in Canada’s major markets. We can help analyze your situation, with attention to your income, investments, house price, available savings vehicles (e.g. the newly enhanced $35,000 RRSP Home Buyers’ Plan, and the new First Time Home Buyer Incentive).
Estate Plans
As an integral part of your financial plan, it is important to consider what happens to your assets after you pass away. We at Michael Cherney Financial will help you identify the relevant issues, including:
- The need for an up-to-date will and power(s) of attorney.
- An ownership plan for family assets, with a view to letting assets pass in an orderly tax-efficient manner, including a consideration of the merits of joint ownership.
- The appropriate use of life insurance to meet tax liabilities upon death.
Business Succession Plans
As a business owner, you have worked and sweated for many years to make your business a success. You will surely agree that it is crucial to make sure that you and your loved ones are provided for when you sell your interest or pass away. At Michael Cherney Financial, we will work with your trusted advisors (lawyers and/or accountants) to add a financial planning perspective to this process, while at the same time respecting their control of the process. If you decide that any combination of life, disability or key person insurance is appropriate as part of the plan, then we will help advise you of the pros and cons of corporate vs. individual ownership.