Tax minimization strategies

Minimizing your family’s tax obligations is a key part of the overall wealth planning process your Investment Advisor is able to provide. Your Investment Advisor can introduce several tax-minimization strategies that can benefit you and your family, including:

  • Family income splitting: Income splitting works by transferring the tax liability from higher-income to lower-income family members, who are taxed at a lower rate. There are several ways to do this, including contributing to spousal RRSPs, creating formal spousal loan arrangements or establishing family trusts.
  • Investing through tax-exempt insurance: In addition to providing your family with financial security, life insurance policies can also help reduce your investment taxes. You can deposit additional amounts into a life insurance policy for investment purposes, and the investment income accumulates on a tax-free basis, similar to an RRSP.
  • Tax-efficient asset allocation: Your Investment Advisor can help you maximize tax-efficient investments and investment plans, including your RRSP, RRIF and TFSA.

These and other strategies are available through your Investment Advisor to help you build and protect your wealth in a tax-efficient manner.

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Build tax-free wealth

If you still haven’t opened a Tax Free Savings Account you’re missing out on a significant tax break, as all the investment income you earn is tax free.


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