A Group RRSP enables employees of a company to save for retirement by contributing to an RRSP through payroll deductions and receiving a tax break every pay at source.This information is generic and does not constitute financial advice. You should consult us before purchasing. Ektos Financial offers a selection of Investment solutions that may fit your P.A.C.T plan.What make u [...]
A LRSP or Locked In Retirement Account (LIRA) originates from Registered Pension Plans. It is typically the result of termination of employment. Investment growth is not taxed as it is earned. It is similar to a RRSP but it inherits restrictions from the company Registered Pension Plan.This information is generic and does not constitute financial advice. You should consult us [...]
A Pension is a steady income given to a person. Pensions are typically payments made in the form of a guaranteed annuity to a retired or disabled employee. Some retirement plan designs accumulate a cash balance (through a variety of mechanisms) that a retiree can draw upon at retirement, rather than promising annuity payments. In either case, a pension created by an employer fo [...]
A Registered Education Savings Plan (RESP) is a special trust arrangement, but it is not subject to trust rules in the Income Tax Act. It must be terminated by the end of the year that includes the 25th anniversary of the particular plan. Contributions can be made during the first 22 years of the plan's existence. There are two types, family and individual.The Canada Revenue A [...]
A Registered Retirement Income Fund (RRIF) is an investment vehicle used in retirement. Once funded by converting an RRSP, the RRIF allows for periodic withdrawals while the remaining balance remains tax deferred. The withdrawals have a specified minimum, depending on age, and now maximum.The Canada Revenue Agency website has in-depth information about RRIFs.This information [...]
RRSP’s are personally managed investment and savings accounts with tax benefits. Contributions are tax deductible and investment growth is not taxed as it is earned. Tax is paid when funds are withdrawn from these accounts. Anyone with an earned income is eligible to contribute to an RRSP, prior to their 72nd birthday. There are several strategies that can be used to grow a R [...]
A Tax Free Savings Account or TFSA is an account that provides tax benefits for saving. Contributions to a TFSA account are not deductible for income tax purposes but investment income, including capital gains, dividends and interest earned in a TFSA are not to be taxed while invested nor is there any tax implication upon withdrawalTFSA is an investment option for individuals w [...]
Segregated Funds or Seg Funds are life insurance products. A segregated fund is similar to a mutual fund but has unique feature, such as the guarantee of all or part of the principal. If the fund loses value because of poor market performance, you get part or all of your original capital back but only if you keep the fund for a specific period of time, typically ten years. Segregat [...]
Annuities are insurance contracts. It is financial product, typically offered by a financial institution that may accumulate value and take a current value and pay it out over a period of years.Their main use is to generate a known level of income. There are several strategies that take advantage of Annuities.This information is generic and does not constitute financial advice. You should con [...]
The most important use of life insurance has been to ensure sufficient capital in the estate to allow the deceased's dependents to maintain the standard of living they enjoyed while the deceased was alive. Other uses of Life Insurance are to provide capital for both Personal needs as in mortgage (*see mortgage insurance) and/or corporate needs (*retirement compensation, Buy/Sell, Key Person Covera [...]
