Three Things That May Surprise You

You may be worth more than you think. At least that’s what many people discover when they take the time to add up their assets. Retirement funds have grown; real estate values have increased; investments have multiplied; insurance policies have expanded; things of value have accumulated over the years.

First, have you checked your financial worth lately? Chances are you’ll be pleasantly surprised.

Second, if you find yourself above the $50,000 level, another surprise may await you: the high estate taxes due after you die. For example, if your assets are worth more than $50,000, it is possible your estate will have to pay excessive probate fees. And, let’s say that part of your estate includes a qualified retirement fund and the named beneficiary is someone other than your spouse. Did you know that the recipient will have to pay Revenue Canada the deferred income tax on that retirement account?

It is not unusual for a person with a larger estate to discover, sadly, that more than half of his or her hard-earned money will eventually wind up in the hands of the government and Revenue Canada even though the person had previously paid income tax on much of this wealth.

Now here’s the third surprise: a little planning can make an enormous difference. For example, did you know that you can actually redirect money that is headed for Revenue Canada by earmarking it to a charity of your choice? Did you know that estate gifts to qualified charities are 100 percent deductible?

Gift and estate planning are well worth the investment of your time - even if your estate is modest and taxes are not an issue. Planning allows you to make the decisions about your estate, not the government. We strongly urge you to locate a good estate planning lawyer and make an appointment soon. Do it now while you are healthy and mentally sharp.

You’ll be amazed at the benefits of prudent planning and feel mighty good about taking care of this crucial area of your life.

Help your community and yourself by making a charitable gift.