British Columbia 2023 Budget Highlights
On February 28, 2023, the B.C. Minister of Finance announced the 2023 budget. We have highlighted the most important financial measures you need to know:
On February 28, 2023, the B.C. Minister of Finance announced the 2023 budget. We have highlighted the most important financial measures you need to know:
When looking to save money in a tax-efficient manner, Tax-Free Savings Accounts (TFSA) and Registered Retirement Savings Plans (RRSP) can offer significant tax benefits. The main difference between the two is that TFSAs are ideal for short-term goals, such as saving for a down payment on a house or a vacation, as its growth is entirely tax-free, while RRSPs are more suitable for long-term goals such as retirement. When comparing deposit differences, TFSAs have a limit of $6,500 for the current year, while RRSPs have a limit of 18% of your pre-tax income from the previous year, with a maximum limit of $30,780. In terms of withdrawals, TFSAs have no conversion requirements and withdrawals are tax-free, while RRSPs must be converted to a Registered Retirement Income Fund (RRIF) at age 71 and withdrawals are taxed as income.
This calendar is designed to help you keep track of important financial dates and deadlines, such as tax filing and government benefit distribution. You can bookmark this page for easy reference or add these dates to your personal calendar to ensure you don't miss any important financial obligations.
You've likely heard much about interest rates, especially house prices and mortgages. Rising interest rates will impact everyone, whether they are borrowers or savers.
A Tax Free Savings Account can be an effective way to save for the future, even for those who are only able to save a little every year, as your savings will grow more quickly due to the fact that you do not pay any tax on the earnings.
We’re approaching the end of the year, so it’s time to review your business finances. We’ve put together an article highlighting the most critical tax-planning tips you need to know as a business owner. We’ve focused on: • How to determine the right salary and dividend mix. • The best ways to handle compensation. • How to make sure you can take advantage of the small business deduction. • What you need to know about depreciable assets and charitable donations. • How to make the most of Covid-19 relief programs.
Are you wondering if you’re on the right track with your investments? If you have concerns about whether or not you’re on the right track, our article has four great questions to help you decide: • What are your investment goals? • What is your risk tolerance? • What kind of income will you need during retirement? • Are your investments tax-efficient? Knowing the answer to these four questions can help you determine if you’re on the right track. A properly allocated portfolio can help ensure you are not unduly affected by equity volatility, fluctuating interest rates, or high rates of income tax.
Wondering what the key to a fulfilling retirement is? It’s making the most of everything you have – your free time, your health, and all the money you’ve worked so hard to save! It takes good planning to make the most of your retirement, though. We’ve got six steps you must take to ensure you have a steady stream of income during your retirement years. We’ll explain why you need to take all of these steps – from organizing your assets to estate planning – to make the most of your retirement years.
If you've left a job or will be retiring soon, you may have the option to cash out your pension and put your pension's commuted value into a LIRA or an RRSP. Getting a lump sum will provide you with some investment opportunities, but it also comes with the risk that you'll be tempted to overspend early in your retirement. To help you make this decision, it's essential to be aware of critical factors – such as when your pension will start and what kind of income you may be able to earn if you take a lump sum.
Both TFSAs and RRSPs can be significant savings vehicles for your clients. We've put together an article to help your clients easily understand the differences between them – with one section focussing on differences in deposits and one focussing on differences in withdrawals. The deposit section focuses on: • How much contribution room is available each year • How carry forward works for TFSAs and RRSPs • Tax deductibility of contributions • Tax treatment of growth The withdrawal section focusses on: • Conversion requirements • Tax treatment of withdrawals • Impact of withdrawals on government benefits • Impact of withdrawals on contribution room
Many business owners have built up earnings in their corporation and are looking for tax efficient ways to pull the earnings out to achieve their personal and business financial goals.