If you are between the ages of 35 and 65, it is quite likely that someone you know has recently been diagnosed with a terminal illness. Hopefully, there is time for them to review and organize their estate to ensure their loved ones are properly taken care of.
Joint ownership is used by millions for various reasons. When problems arise, they are usually unintentional and it can be too late to remedy them. For example:
Jane wants to avoid probate with as much of her estate as possible. She also wants her daughter, Sally, to have easy access to her cash at death to take care of last expenses. Jane thinks...she can do this by naming Sally on her bank accounts jointly.
On the surface, this looks like a quick and easy way to accomplish what she wants. It's what lies below the surface that can sink her financial ship.
We've all heard that life has two certainties - death and taxes. You need to know the two often coincide. While Canada does not have an official death, estate or inheritance tax, there are some postponed taxes that become payable on death. There are other obligations that need to be taken into account as well. Without proper planning, an estate may have to face large and unexpected cash shortages. Consider:
No matter how much we desire to protect the people most precious to us, the death of a family member is almost always met with some level of disbelief. In addition to the grief and mourning that follows the passing of a loved one, survivors are also left with the task of handling a variety of different matters at a time when they are probably least emotionally prepared to do so.
Here are some of the most critical matters that must be attended to when someone close to us passes away.
The new October 2016 Federal Government Principal Residence Exemption (PRE) rules are causing many Canadians to review and revise existing Wills and Estate Planning strategies according to STEP (The Society of Trust and Estate Planners).
No one likes to think about their own mortality, but making a proper estate plan can help to lessen the grief of loved ones left behind. Alternately, without a written estate plan, surviving family members are often saddled with the responsibility of making estate decisions without a clear understanding of the deceased’s wishes.
With many Baby Boomers now moving into their sunset years, the growing concern is how they will efficiently and effectively plan for the transfer of their wealth to the next generation?
A recent survey by RBC Wealth Management estimated that the amount of money changing hands over the next twenty years is about $400 billion. Yet, only 22 per cent of wealthy Canadians have a detailed Estate Plan on how they plan to pass on their assets according to this survey.*
The unfortunate truth about aging is that the human brain deteriorates as we age. While the process is vastly different depending on the individual and their health and circumstances, the rate of deterioration cannot be predicted with any level of certainty. It doesn’t cater to genetics, family history, or life habits.
A survey conducted by one of the big banks some years ago revealed that about 18% of Canadians were hoping for a lottery win to fund their retirement. This raises the question, 'If you were to paint a picture of your retirement, what would it look like?' Many would let dreams take over and envision lots of travel, a vacation home in an exotic location, spoiling their grandchildren, perhaps several year-long world cruises.
Julia wants to make sure that her estate passes to her heirs with as little hassle and cost as possible when she dies. She knows she needs a will and decides to buy a do-it-yourself will kit. When she opened it, she soon discovered some serious shortcomings.
Trusting a broker is difficult and scary! Hearing such nightmares of many, it's comforting to know that we are in trusting hands with Richard Bylsma, Aesica Financial. He has made our annual, and in between, meetings enjoyable and pleasurable, even though we don't always understand all the lingo. Richard guides us with high standards of honesty, advice, and caring for his clients, it's clear he goes the "extra steps", always first, for his clients! Richard often sends emails with information of all levels of life to keep us in the "know" of things! We have dealt with Richard the years when we were still working and now (for 5 years) we are retired, and confident for our financial future! We would not hesitate, even for a moment, to recommend Richard Bylsma, Aesica Financial to our family and friends!
We have been a client of Richard’s since day one. We have been impressed by Richard’s financial acumen, his ability to communicate in layman’s terms, and the results of his investment recommendations / decisions. Richard has proven time and time again an ability to outperform the TSX while managing our risk appetite. Particularly reassuring to us is our feeling of certainty in the absolute integrity of Richard’s dealings with us. We have no concerns in recommending Richard to any of our friends and family.