Love your videos !! - two things - the RRSP tax bomb bill as stated at 49.2% on $1M is $492,000 - is the effective tax rate (vs. marginal) not closer to 40% ? So the tax amount is slightly lower ? Also can you please confirm my DCPP (defined contribution pension plan) balance is also subject to this tax bomb upon death ?
You should be able to leave your money in your rrsp and remove money as you need it rather than having to convert to a rif and withdraw money as mandated by the govt . That would be a real self directed retirement plan.The withdrawal rates are such that by the time you are 90 your retirement funds are pretty much gone. Who wants to be a 90 years old and broke? Are govt pensions designed so it runs out by the time you are in your early 90s.?Of course not. What kind of a sociopath came up with those rules. Anyway you are taxed at the maximum marginal rate when you die.
There's a group of MPs trying to change RRIF withdrawal rules. But don't hold your breath. The liberal government wants to tax your money now to fund more social programs. If they wait until your death to grab your money, the budget deficit would be even worse than it is now. In order to get reelected, the government comes up with new 'ideas' and promises of 'free' everything. We, the people who go by the book, sacrifice, save, and take risks to invest our hard earned money are screwed.
Solid advice ✅
Great job boss!
Love your videos !! - two things - the RRSP tax bomb bill as stated at 49.2% on $1M is $492,000 - is the effective tax rate (vs. marginal) not closer to 40% ? So the tax amount is slightly lower ? Also can you please confirm my DCPP (defined contribution pension plan) balance is also subject to this tax bomb upon death ?
You should be able to leave your money in your rrsp and remove money as you need it rather than having to convert to a rif and withdraw money as mandated by the govt . That would be a real self directed retirement plan.The withdrawal rates are such that by the time you are 90 your retirement funds are pretty much gone. Who wants to be a 90 years old and broke? Are govt pensions designed so it runs out by the time you are in your early 90s.?Of course not. What kind of a sociopath came up with those rules. Anyway you are taxed at the maximum marginal rate when you die.
There's a group of MPs trying to change RRIF withdrawal rules. But don't hold your breath. The liberal government wants to tax your money now to fund more social programs. If they wait until your death to grab your money, the budget deficit would be even worse than it is now. In order to get reelected, the government comes up
with new 'ideas' and promises of 'free' everything. We, the people who go by the book, sacrifice, save, and take risks to invest our hard earned money are screwed.