The smallest adjustment or change can make the biggest difference, let me tell you.

the long weekend, I was in Port Perry visiting my future in-laws and one thing we like to do on the regular is hit the driving range. For those of you who haven't had the pleasure of golfing with me, let me tell you that I'm actually quite terrible. Well actually, I was terrible. Not anymore. It all changed when my future mother-in-law looked over at me and said, "Dian, your club face is closed".

"I don't know what that means", I said.

So she explained: Everything was perfectly in line - my posture was perfect, my aim was on target, my swing was down to a fine form (if I say so myself) but my grip was slightly off. I was aiming the club face pretty much into the ground - explaining exactly why I wasn't getting any loft and why I wasn't able to hit the dang ball further than 50 yards, 75 if I was lucky. Adjusting my grip by the slightest degree opened the club face and all of the sudden, I was driving the ball, further, higher and more consistently than ever. So, now I'm pretty much a professional.
I read about another "small change" this week - and this change is going to make a difference even bigger than my recent professional golfing status. This significant change is coming straight from the CRA regarding prescribed loan rates. The unprecedented 1% prescribed rate opportunity that we have had since April 1, 2009 is closing in a couple of months and set to double on October 1st, 2013. While income splitting opportunities will still exist in many cases at prescribed rates of 2% or higher - the benefits are obviously that much greater at a rate of 1%.
To find out if spousal loans or family trusts are a strategy you ought to be considering, feel free to either call me directly or read more about it here. I also have some handy articles you may find useful on the topic.

Spousal loans are quite easy to put in place and could save you thousands in taxes every year - but the key point in this game changer is that once an interest rate on a prescribed loan is established - that interest rate can remain in effect for the life of the loan - so let's do this before September 30th if it makes sense for you.

Enjoy the weekend.

D.

Dian Chaaban

Investment & Wealth Advisor

Chaaban Wealth Management Group

416.842.4234