FAQ
Who is Wealth and Retirement Canada?
Wealth and Retirement Canada is an educational resource for Canadians who are interested in building wealth while also looking fund their retirement. Wealth and Retirement Canada provides free educational seminars open to the public.
How much do our seminars cost?
Our educational seminars are offered at no charge to attendees.
Is Wealth and Retirement Canada affiliated with any government agency?
No, we are not affiliated with any government entities.
Who are the presenters at the seminars?
Our presenters are professionals who come from a financial background (accountants, financial advisors, attorneys and other knowledgeable professionals). Pensions and Taxes play an important part in your retirement income plan, along with your overall financial objective. As Pensions and Taxes play a large part in your retirement income, it makes sense that learning from someone with financial expertise and experience makes the most sense.
What does the presenter get out of this?
Our seminars are focused around the education of the community. While presenters are given a chance to educate the people in attendance, they often find there are people who may need help with their wealth and retirement planning in a number of ways. If you find you are interested in working directly with the professional presenter, there may be a fee or commission that may they charge. Your attendance to any of our seminars in no way obligates you to engage the professional presenter in any service. This allows the professional to potentially grow their practice, all while educating interested people whom may greatly benefit from their knowledge and expertise.
Is there a “sales” pitch at the seminar?
No, our seminars are strictly for educational purposes. One of the most common comments we hear from past attendees is how relaxing it is to go to a live workshop event and receive very valuable information without being ‘sold’ a product or service. While the presenter may hand out their cards or informational brochures for services they offer, there is no obligation to engage with any Wealth and Retirement speaker regarding their services during or after the workshop.
What will I learn at this workshop?
Our seminars are held in a workshop/classroom type environment, we will be discussing:
How to maximize the growth of your current investments
Build and protect the wealth of your estate
How to minimize risk & volatility of your investments
Planning to reduce taxes now, in retirement and for your estate
What government pensions are you eligible for?
How much will you receive and when?
How registered, non-registered, and TFSA income affects government benefits
Basics of the Income Tax Act and tax levels
Preparing for retirement to maximize benefit income
How to maximize your cashflow in retirement
When to start retirement, when to take CPP/OAS (early or defer)?
Facts: Sources of Income for Retirement
GOVERNMENT PENSION PLANS
CPP
The Canada Pension Plan is available to Canadians who, starting at age 60, have contributed over their adult lives. CPP provides a monthly income for people who have worked in Canada (excluding Quebec residents), and it also provides a benefit in cases of disability or death. These are considered as taxable income.
These benefits do not automatically start, they must be applied for. The reason is some Canadians may decide to take the benefit early or later than age 65. The amount of the benefit is mostly dependant upon years of contribution and the amount of the contribution over the years.
OAS
Old Age Security is a social retirement program that has been in place for Canadians in retirement since 1927. Introduced as a supplement to other income sources for retired Canadians. Other sources include CPP and/or Quebec Pension Plan, registered retirement plans and employer plans. These are not treated as taxable income and are based on marital status and income.
A clawback occurs for those whose taxable income levels exceed $77,580 for 2019. Only taxable income will affect this clawback threshold level that a retired tax payer has.
INDIVIDUAL PLANS
RRIF/LRIF
Canadians have access to a tax-sheltered income accounts that provides an income stream in retirement. These Registered Retirement Income Funds (and Locked-in RIFs) are converted from Registered Retirement Savings Plans (RRSPs) when a Canadian retires and wants to access their savings. The latest age one must convert an RRSP into a RRIF is the year in which the retiree turns 71. The income stream starts the following year (age 72).
TFSA
The Tax-Free Savings Account is one of the most versatile investment plans available to Canadians. As the name entails, it provides access to tax free funds both pre and post retirement. Most investments may be held within these accounts. Although it has only been a few years since it was introduced, these accounts are becoming more and more popular as an income source in retirement.
EMPLOYER PLANS
Defined Benefit Plan
This an employer-sponsored pension plan where the retirement benefits are projected and guaranteed by the employer and provides a taxable income source for the whole life of the employee. These are based on contributions of the employer and employee over the years, however the employer takes on the risk of providing the income amount set.
Defined Contribution Plan
These work plans are not guaranteed by the employer and the benefit amounts are based on fund performance and amount of contributions over the years.
Deferred Profit-Sharing Plan
The DPSP plans are not as common nor robust as they once used to be. Still they are yet another great source of retirement income. Once the employee leaves the firm, these plans are usually converted into a RRSP or RRIF or even an annuity at retirement.
INDIVIDUAL INVESTMENTS
Non-Registered/Open Investments
Many high-income earning Canadians have Non-registered investments as they may have maximized their contribution room for RRSPs and TFSAs. These ‘CASH’ accounts do not provide tax sheltering of growth and should be considered for tax advantaged investments first.
Investment Property
These include investment property that is held with no income stream, as well as property that is generating rental income. Real estate price in Canadian cities have grown at stellar rates over the past few years and have added greatly to the wealth of many property owners.
Business Ownership