Financial planning for wealthy investors

If you have $1 million or more in investment assets, your financial situation is more complex than the average Canadian’s. You pay higher taxes and have a higher standard of living. Maybe you are an executive with a complicated compensation package or a business owner with an interest in a private corporation. In addition, you possibly own or plan to own more than one real estate property and likely have larger estate transfer and charitable giving desires.

Furthermore, you are very busy with your day-to-day work and family life and may have not spent the time to determine if you are on track to achieve your retirement goals, as well as other important financial goals, such as minimizing taxes or planning for the eventual transfer of your estate.

Creating your financial plan

A comprehensive financial plan ensures that you leave no stone unturned related to your financial situation and potential strategies to enhance your wealth. It can address the following questions:

  • Can I retire when I want to and maintain my desired retirement lifestyle?

  • How can I ensure that I don’t outlive my money?

  • How can I minimize the taxes I pay each year?

  • Is my investment mix appropriate?

  • If I were to die unexpectedly, would my family be taken care of?

  • How can I protect the value of my estate?

The key to a professionally prepared comprehensive financial plan is the level of customization it offers. A customized, comprehensive financial plan should involve the following:

  • In-depth discovery discussion to ensure that your goals, aspirations and objectives are clearly identified

  • Projection of your financial situation (investment, retirement and estate) based on your current strategies and savings rate

  • Recommendation of key investment, tax, estate and retirement planning strategies that are aligned with your goals

  • Projection of your financial situation if the recommended strategies are implemented

  • An action plan that summarizes the key recommendations and a clear guideline for you and your advisor to help monitor their implementation

Financial planning for business owners

A comprehensive financial plan is essential if you are a business owner, as you have more complex financial issues due to owning an active business. This includes business succession issues, withdrawing money out of the corporation tax effectively, taxation of the corporation at death, and more.

Like many business owners, you may not have a retirement savings strategy, since you are relying on the equity in your business to fund your retirement. A financial plan can help integrate your business and personal needs into a plan to ensure you are able to meet your goals.

Contact Cory for more information about having a comprehensive financial plan prepared for you. Depending on your situation, you may only require a simple retirement plan or projection to determine if you are on track for meeting your retirement goals.