Wealth Strategy Canada | Canadian Corporate Wealth Management Strategies

Strategies

Corporate Wealth Preservation
How can I minimize my tax on corporate savings and investments today and maximize retirement income tomorrow...
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Individual Weatlh Preservation
How can I protect the proceeds of my estate, including disposed non-registered investments, real estate, shares, RRSPs and RRIF balances...
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Corporations

Leverage Corporate Insurance Strategy
Corporate Estate Transfer
Key Person Insurance
Private Surgery Insurance

Individuals

Insured Retirement
Income Replacement
Family Wealth Strategy
Estate Preservation
Personal Estate Transfer
Charitable Giving
Investment Loan

Corporate Wealth Conservation Strategies

Leveraged Corporate Insurance Strategy

Strategy	Your Need	Your Situation	The Solution
Leveraged Corporate Insurance Strategy	To minimize your tax on your corporate savings and investments today and maximize retirement income tomorrow?	Shareholders have a need for supplemental cash flow in retirement	Corporation purchases a universal life policy on the life of the shareholder
		RRSP of shareholders is fully utilized	Use the universal life policy as collateral for a series of personal or corporate loans from a bank or other financial institution
		Company is retaining and not reinvesting earnings below the small business deduction limit in the business	The loans are paid back from the death benefit with any remaining balance paid to the corporation, tax free
		There is an underlying corporate insurance need	Insurance proceeds can be passed to surviving Canadian resident shareholders via the capital dividend account
		Age 30-55	There may be remaining capital dividend account room to pass future after-tax earnings tax free to surviving Canadian resident shareholders

Corporate Estate Transfer Strategy

Strategy	Your Need	Your Situation	The Solution
Corporate Estate Transfer	To pass corporate assets to your heirs in the most tax-efficient manner?	Shareholder of a Canadian Controlled Private Corporation (Operating or Holding company)	Use accumulated surpluses to purchase a corporate owned universal life policy
		No personal need for assets	Fund policy as quickly as possible to reduce current corporate taxation
		Shares earmarked for heirs	At death, the policy's death benefit is paid to the corporation tax free
		Passive income inside corporation taxed at a high corporate rate	The death benefit less the adjusted cost basis to the corporation flows through the capital dividend account to the successor shareholders tax-free
		The surplus would be taxed if distributed
		Age 40 and up
		Canadian resident heirs

Key Person Insurance

Strategy	Your Need	Your Situation	The Solution
Key Person Insurance	To protect your business from financial loss in the event that a key employee - such as a top salesperson, manager, partner, or product developer suddenly dies	Smaller businesses for which success is heavily dependant on a few high-performing individuals	Project the amount of insurance required in case of death of key person
		Business feels that a cash injection may help should a key person pass away.	Use a life insurance policies owned by the business with a sufficient benefits to sustain the business in the event of losing a key individual permanently or for a significant period of time.
		Life Insured: Age 30 and up	The death benefit less the adjusted cost basis creates a capital dividend account to flow other after-tax assets to the shareholders tax-free (corporate owned businesses only)
	To protect your business from financial loss in the event that a key employee - such as a top salesperson, manager, partner, or product developer - contacts a long term critical illness like cancer, heart attack or stroke.		Use a critical illness policy owned by the business with a sufficient benefits to sustain the business in the event of losing a key individual for a significant period of time.

Private Surgery Insurance

Strategy	Your Need	Your Situation	The Solution
Private Surgery Insurance	To offer a tax free benefit to key employee groups that will provide them with a significant benefit that will enable them to get required surgery for non life threatening accidents and illnesses and return to work much faster than normal.	Any business or partnership that has a few thousand dollars to protect key employees against being off work awaiting surgery for such things as knee replacement or torn ligaments and hernias from accidents. This is a tax free benefit as well as an expense for the company.	Purchase a company owned emergency medical plan that will ensure your key employees get medically necessary surgery in the event of their accident or illness. For example, if they hurt themselves skiing they get the surgery usually within 72 hours.