The Transfer Stage and Estate Planning

Plan now to reduce what could be your largest tax bill, among other perils.  Why not give more money to your family and less to the government?  Get proffessional help from GTA Wealth Management Inc. and reap the benefits

The Transfer Stage and Estate Planning

Plan now to reduce what could be your largest tax bill, among other perils. Why not give more money to your family and less to the government? Get proffessional help from GTA Wealth Management Inc. and reap the benefits

After working hard all your life, you tend to accumulate assets in the process. It is prudent to have a plan to take care of these assets when you pass away. This can be the largest tax bill during your lifetime! You can give a majority of the assets to the government in tax or you can plan now for how to reduce your largest tax bill. This tax bill can be in the 50% range of asset values and gains on the assets.

I don’t know how many times clients have come into our offices without wills! It must be about 60% of the new clients that we meet. This is startling. This is the starting point for your planning. Basic things like, who is going to take care of your kids when you are gone; who will be the beneficiary of your assets; how can you reduce the tax on death; who has power of attorney; should you use a trust etc. will need to be addressed. This organization is key to a successful transfer of your assets.

Benefits Of Planning The Transfer Of Your Assets (Estate Planning)

  • Organization: This is a big one. With a proper will you will be able to designate the executor / executrix to manage your affairs after you are gone. Without the executor, you will spend much time and money dealing with the courts. This will be a stressful time for the heirs and not having a will makes this time more stressful.
  • Tax planning:  This can be the largest tax bill of your life.  When you pass away, certain assets are “deemed” to be disposed by the taxman.  Consequently, your estate could be left with a huge tax bill.  If you have a business, own a cottage, significant assets in your Rsp’s etc. seek professional help to reduce this tax bill.  In some situations, there may be US tax implications as well.  Probate fee can also be considered in this planning.
  • Children planning: In your will you can designate who will be the guardians of your children.  Without the planning, the children may be placed under the guardianship of someone that many not have been chosen otherwise
  • Financial planning: Life insurance is a great planning tool.  It provides tax free cash to the beneficiaries.  This can be used to pay a large tax bill, take care of the kids etc.
  • Reduced stress: Without a will, you don’t have an executor / executrix to manage the affairs of the deceased.  The court will appoint someone to do manage the estate.  This can result in a significant time delay and frustration for the surviving family.  If planning had taken place, steps can be taken to expedite the transfer of the assets to the beneficiaries.
  • Beneficiary planning:  With proper planning, the individual can plan on who receives what assets.  This can also be done in a tax efficient manner to keep more money in your beneficiaries’ hands and less in the government hands.
  • Fee planning:  Dying without a will is expensive.  It is more economical to pay for a will while you are living, rather than pay the legal fees and court costs to deal with this after death.
  • Probate fee planning:  Probate is the legal process where the estate of the deceased is administered.  The probate process attracts different fees and complexity in each province.  In Ontario, probate fees are levied on the value of the assets in the estate.  Hence, planning to reduce these fees should be reviewed.
  • Trust planning:  Trusts are legal relationships where assets are owned by one or more persons (Trustees).  A trust can be useful planning for financially unsophisticated beneficiaries, individuals in second marriages, mentally infirm beneficiaries etc.

The GTA Wealth Management Inc. Advantage And Your Estate Planning

  • Independent: GTA Wealth has an independent financial team. GTA Wealth can access more that 50 investment firms including the banks to service your needs. We will select the investments that best suit your needs without any allegiance to a particular company; as opposed to an employee working for one company. We work for you, not an employer.
  • More resources:  GTA Wealth can access investment firms with offices around the globe and more than $1.6 trillion in assets under management (Fidelity Investments); larger than all the assets under management of the Canadian banks.  We can also access companies that offer investment guarantees on death and investment options that reduce probate fees; great estate planning benefits.
  • Unique investment opportunities: Access to institutional investment managers that have experience managing corporate and government pension funds for more than 40 years. This expertise leads to consistent performance and in some cases, capital preservation. We also have access to currency neutral options, and the ability to trade in European countries via Jitney that competitors don’t have legal filings to do so.  These are great investment options for the beneficiaries of large estates.  To have access to a comprehensive investment arsenal is a powerful tool for your estate plan.
  • Multidisciplinary approach: GTA Wealth can provide multiple financial services that will result in efficiency for the client and superior results. The GTA Wealth financial advisors and tax accountants are able to analyze various facets of your wealth building plan, such as, tax, investments, debt, insurance etc. Why go to a multitude of financial advisors when you can come to one; a financial advisor that is knowledgeable about your entire wealth management plan. Capitalize on the synergy.  A comprehensive financial planner at GTA Wealth is a great player to have on your estate planning team.
  • Tax efficiency:Access to corporate class funds and tax efficient systematic withdrawal plans.
    Flexible: The client can set up monthly contributions from his/her bank account. Monthly contributions amounts can be changed at any time.  Systematic withdrawal plans can also be set up for clients that need a consistent cash flow.  This is a great advantage for estate beneficiaries that need cash flow.
  • Expertise: GTA Wealth has tax accountants and certified financial advisors / planners to answer all your income tax, retirement planning, insurance and investment planning questions.  We also have legal resources to be used to assist in estate planning.
  • Enhanced reporting: Clients can access their accounts online and receive statements electronically.

Working in close coordination for your benefit, the financial advisors, legal advisors and tax accountants at GTA Wealth Management Inc. can ensure your estate / asset transfer plans are taken care of. We have helped many happy clients successfully craft their retirement and estate planning and would welcome the opportunity to also help you with your retirement planning. Why go anywhere else when you can holistically access all needed professional services (Tax, Legal, Financial Planning) for your estate planning in a synergetic way with GTA Wealth Management Inc?

Contact or call the GTA Wealth Management Inc. tax accountants and financial advisers toll free at 1 855 GTA WLTH (855 482 9584) for an education savings plan tailored to your needs. GTA Wealth Management Inc. has three convenient locations in Mississauga, Toronto and Markham to serve you.

Products or services related to investments, investment recommendations, financial planning, retirement planning, and investment reviews are provided through our mutual fund dealer Security Financial Services and Investment Corp.