#AskMelanie: How can I plan make my estate easy for my executor to manage?

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If you could leave your estate in great in order to reduce the amount of stress to your loved ones (and the executor) wouldn’t you want to?  This blog post from the Bean Counter shares how a father’s special planning did just that.

Lynne Butler, of Estate Law Canada blog fame, had a blog titled “What my father’s death taught me about estate planning.” What was interesting about this blog post, is that Lynne essentially got out of the way and just said you have to read this amazing article. I wondered why Lynne had so little to say until I actually read the guest post on the Getting Rich Slowly blog. Essentially, Jody (the guest poster) relayed how her father planned while he was alive, to make her job as an executor as stress-free as possible. If there was ever a selfless act of love in a financial sense, this is it.

This blog was of particular interest to me as I have written several blogs on this topic: Where are your Assets, Speak to your Executor-surprise only works for birthday parties, not death and You Have Been Named an Executor Now What. Like Lynne, I was amazed at how much thought Jody’s father put into his estate. This contrasts with the average person, who often does not even inform their executor that they have been named, let alone provide a roadmap that can be followed once they are gone.

In her guest blog, Jody discusses the steps and actions her father undertook while he was alive to minimize the fees associated with administering his estate, and just as importantly, to keep the process as stress-free for his daughter as possible. While I cannot do Jody’s guest blog justice (you really should open the link above and read it), the following is a summary of some of the steps her father took to ensure he minimized Jody’s stress in administering his estate.

To help assist in administering your estate, you may wish to download the BDO Estate Organizer so that you have a detailed document for your family and/or executor.  You can link to the estate organizer and download the document here.

Professional team

Jody’s dad not only built a team of advisors – a banker, accountant, insurance agent and lawyer – but he also ensured that he introduced his daughter to each of these advisors while he was alive and ensured that she had their contact information. Think about how smart that was. How much easier is it to communicate and work with someone you can put a name and face to?

Fees

Jody’s dad negotiated the estate fees with his lawyer down to 2% from the typical 4-5%. One can easily see why the lawyer accepted the lower fee. Jody’s father was so organized; the estate probably took one-quarter of the time most estates need to settle. Not only did he negotiate the fee, but he also put those fees aside in a separate account.

Joint Accounts

Jody’s father added Jody to his bank accounts, which allowed her to seamlessly pay bills. As Jody is American and there are no probate fees in the U.S., this was not done for probate purposes, but only for easing the administration of the estate for Jody. See my blog on Joint Bank Accounts Documenting your Intention, to understand some of the issues of using joint bank accounts in Canada.

Preparing for death

Jody’s father pre-paid his funeral expenses and even had a master binder that included funeral instructions – he told Jody to go to “F” for Funeral in his binder. Jody essentially had nothing to do but follow instructions.

In addition, her father left extra money for miscellaneous expenses that always arise on an estate. The extra money, whether left in a joint accounts or actually just given to a responsible child, is very important in Canada. The banks will typically pay for the funeral expenses and the probate fees, but access to the funds for any other expenses can be problematic until probate is authorized. Consequently setting aside funds so your executor will not need to beg the bank for access to accounts is a great idea.

Executor Fees

When Jody’s father informed her she would be named executor and he offered compensation, she, like many children, declined because she did not feel that she should charge her father.

However, after undertaking the executor’s job, Jody had this to say: “After he passed away and I realized all that it entailed, I found myself thinking that maybe I should have taken him up on that offer. Being the executor of an estate — even a very well-planned estate — took about 10 to 15 hours a week for months. It’s a big job. I found myself resenting my brothers since I was doing it all.”

The above is a very insightful and honest comment and is the reality in many estates. Jody’s father showed even more insight when he disregarded Jody’s protestation on accepting an executor fee as he had arranged to give her 1% extra when his IRA was distributed.

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I provide a wide range of professional accounting, income tax preparation and consulting services including:

• Financial statement preparation
• Accounting and bookkeeping
• Personal Income tax preparation
• Estate returns
• Corporate Income tax preparation
• CRA audits and assistance
• HST and sales tax
• Business succession and valuations
• Business Start-ups

Let’s get started in three easy steps:

  1. Learn more about me ⇨ Send me a LinkedIn connection invite
  2. Send me an Email ✉ Send me a message at melanie@miltonaccountant.com
  3. Call ✆ Give me a call locally at 905-875-4444

Get more advice from Melanie on her blog and connect with her on Facebook and Twitter as well!

#AskMelanie: What happens to CPP Benefits after the death of a spouse?

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Losing your spouse is a life-changing event. Coping with funeral planning and required paperwork can be time-consuming and overwhelming. Finding out what your survivor benefits will often come as a shock.  In this recent CBC article, we look at this issue:

Here are some key questions and answers:

What if surviving spouse is under 65?

If the surviving spouse is under age 65, they get 37.5 per cent of the partner’s pension, plus a flat rate that rises every year. This year that rate is $193.66 a month.

What if partner dies before applying for CPP?

The deceased spouse’s CPP benefit is calculated based on what they have contributed so far in their working life, whether they’re 25 or 65. The survivor’s benefit is calculated based on that number — 60 per cent if the survivor is 65 or over, 37.5 per cent if they are under age 65.

What if there are children 18 or under?

If the family has children 18 or under, there is a monthly portion per child, currently $250.27 a month per child. Children age 18 to 24 can also get this support if they are enrolled in post-secondary school, though they’ll have to prove their enrolment to the government each year.

READ ENTIRE ARTICLE HERE 

I provide a wide range of professional accounting, income tax preparation and consulting services including:

• Financial statement preparation
• Accounting and bookkeeping
• Personal Income tax preparation
• Estate returns
• Corporate Income tax preparation
• CRA audits and assistance
• HST and sales tax
• Business succession and valuations
• Business Start-ups

Let’s get started in three easy steps:

  1. Learn more about me ⇨ Send me a LinkedIn connection invite
  2. Send me an Email ✉ Send me a message at melanie@miltonaccountant.com
  3. Call ✆ Give me a call locally at 905-875-4444

Get more advice from Melanie on her blog and connect with her on Facebook and Twitter as well!

#AskMelanie: Upcoming deadlines for self employed individuals

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Summer is around the corner, just in time to prepare for more tax deadlines! Self-employed individuals should take note of important personal tax deadlines, along with installment payments and HST deadlines.

Are you ready? 

Specific tax deadlines for 2019 self-employed individuals are:

  • Personal tax deadline for Self-employed individuals – filing deadline is June 15th
  • The second instalment towards 2019 income tax return is due June 15th
  • HST return for self-employed individuals – filing deadline is June 15th

I provide a wide range of professional accounting, income tax preparation and consulting services including:

• Financial statement preparation
• Accounting and bookkeeping
• Personal Income tax preparation
• Estate returns
• Corporate Income tax preparation
• CRA audits and assistance
• HST and sales tax
• Business succession and valuations
• Business Start-ups

Let’s get started in three easy steps:

  1. Learn more about me ⇨ Send me a LinkedIn connection invite
  2. Send me an Email ✉ Send me a message at melanie@miltonaccountant.com
  3. Call ✆ Give me a call locally at 905-875-4444

Get more advice from Melanie on her blog and connect with her on Facebook and Twitter as well!

#AskMelanie: How can I better organize my estate?

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January is a great month for reviewing and cleaning up your finances. In addition to this, I am strongly urging all of my clients to have another individual authorized on their CRA account (preferably your accountant and also a spouse or the executor of their will).  I have had many clients whose spouse has passed away and completing all the requirement of the estate is taking much longer than needed as they do not have access to the deceased tax account. Important note: Being identified as the executor in a will is not sufficient to allow you access to the individual’s CRA account. The CRA wants the returns filed, but will not talk to anyone without the authorization.  CLICK HERE FOR THE FORM. 

#AskMelanie: How can better organize my estate?

This Simple Tool Can Help Organize Your Estate (Content courtesy of the Bean Counter)

I have written numerous times over the years urging you, my readers, to get your financial affairs in order, by stress testing your finances should you pass away suddenly. While clearly a morbid topic, the rationale for the discussion is this: if you do not get your affairs in order and you pass away suddenly, you leave your family a financial mess at a time of emotional distress, anxiety and confusion.

I have had many readers personally write to thank me for urging them to undertake this task, since it provided them with financial peace of mind. They told me that in many cases, this undertaking was the catalyst for them to sit down with their spouse or significant other, review their finances, and communicate and document what financial assets they have and where they can go to find them. In addition, other non-financial issues surrounding their passing were discussed, such as funeral arrangements.

In my professional practice, I have practiced what I preached and have urged my clients to write their financial story and organize their affairs. As clients, I was able to provide them a fillable estate organizer to make their task somewhat easier.

You can link to the estate organizer and download the document here.

If you have not already taken the time to write your financial story and organize your estate, you now have no reason to procrastinate — you have a simple, fillable document to make the task much simpler.

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The content on this blog has been carefully prepared, but it has been written in general terms and should be seen as broad guidance only. The blog cannot be relied upon to cover specific situations and you should not act, or refrain from acting, upon the information contained therein without obtaining specific professional advice. Please contact BDO Canada LLP to discuss these matters in the context of your particular circumstances. BDO Canada LLP, its partners, employees and agents do not accept or assume any liability or duty of care for any loss arising from any action taken or not taken by anyone in reliance on the information on this blog or for any decision based on it.


Please note the blog posts are time sensitive and subject to changes in legislation.

BDO Canada LLP, a Canadian limited liability partnership, is a member of BDO International Limited, a UK company limited by guarantee, and forms part of the international BDO network of independent member firms. BDO is the brand name for the BDO network and for each of the BDO Member Firms.

I provide a wide range of professional accounting, income tax preparation and consulting services including:

• Financial statement preparation
• Accounting and bookkeeping
• Personal Income tax preparation
• Estate returns
• Corporate Income tax preparation
• CRA audits and assistance
• HST and sales tax
• Business succession and valuations
• Business Start-ups

Let’s get started in three easy steps:

  1. Learn more about me ⇨ Send me a LinkedIn connection invite
  2. Send me an Email ✉ Send me a message at melanie@miltonaccountant.com
  3. Call ✆ Give me a call locally at 905-875-4444

Get more advice from Melanie on her blog and connect with her on Facebook and Twitter as well!

#AskMelanie: How to Complete a Financial Clean Up

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The start of a new year is the perfect time for reflection. What important financial planning have you put aside during the busy holiday season? Now is the time to get caught up. Here is some great advice from the Blunt Bean Counter 

#AskMelanie:

So, what is a financial cleanup? The following are some areas you should be reviewing each year.

Yearly Spending Summary

I use Quicken to reconcile my bank and track my spending during the year. If I am not too hazy on New Year’s Day, I print out a summary of my spending by category for the year. This exercise usually provides some eye-opening and sometimes depressing data, and often is the catalyst for me to dip back into the spiked eggnog 🙂

But seriously, the information is invaluable. It provides the basis for yearly budgeting, income tax information (see below), and amongst other uses, provides a starting point for determining your cash requirements in retirement.

Portfolio Review

The holidays or early in the New Year is a great time to review your investment portfolio, annual rates of return (also 3,5 and 10 year returns if you have the information) asset allocation, and to re-balance to your desired allocation and risk tolerance. The $64,000 question is how your portfolio or advisor/investment manager did in comparison to appropriate benchmarks such as the S&P 500, TSX Composite, an International index and a Bond Index. This exercise is not necessarily easy (although some advisors and most investment managers provide benchmarks, they measure their returns against). I hope to write something in more detail on this topic next year.

PWL Capital on their resource page has market statistics and model portfolio’s that you can use as guidelines or to create your own benchmarks which I find useful.

Rob Carrick of The Globe and Mail in an article (it is behind a firewall) last year, pointed me to this Suggestus site which offers a no cost comparison against thousands of portfolios’. This is a good test check, but since no two portfolios are exactly alike, you need to understand the limitations of this site as an exact bench-marker.

Tax Items

As noted above, I use my yearly Quicken report for tax purposes. I print out the details of donations and medical receipts (acts as a checklist of the receipts I should have or will receive) and summaries of expenses that may be deductible for tax purposes such as auto expenses. If you use your home office for business or employment purposes (remember you need a T2200 from your employer), you should print out a summary of your home-related expenses.

Where you claim auto expenses, you should get in the habit of checking your odometer reading on the first day of January each year. This allows you to quantify how many kilometres you drive in any given year, which is often helpful in determining the percentage of employment or business use of your car (since, if you are like most people, you probably do not keep the detailed daily mileage log the CRA requires).

Medical/Dental Insurance Claims

As I have a health insurance plan at work, I also start to assemble the receipts for my final insurance claim for the calendar year. I find if I don’t deal with this early in the year, I tend to get busy and forget about it.

To facilitate the claim, I ask certain health providers to issue yearly payment summaries. This ensures I have not missed any receipts and assists in claiming my medical expenses on my income tax return. You can do this for physiotherapy, massage, chiropractors, orthodontists, and even some drug stores provide yearly prescription summaries.

Year-end financial clean-ups are not much fun and somewhat time-consuming. But they ensure you get all the money owing back to you from your insurer and ensure you pay the least amount of taxes to the CRA. In addition, a critical review of your portfolio and/or investment advisor could be the most important thing you do financially in 2019.

WANT MORE TIPS DELIVERED TO YOUR INBOX? Subscribe to the #ASKMelanie column NOW

I provide a wide range of professional accounting, income tax preparation and consulting services including:

• Financial statement preparation
• Accounting and bookkeeping
• Personal Income tax preparation
• Estate returns
• Corporate Income tax preparation
• CRA audits and assistance
• HST and sales tax
• Business succession and valuations
• Business Start-ups

Let’s get started in three easy steps:

  1. Learn more about me ⇨ Send me a LinkedIn connection invite
  2. Send me an Email ✉ Send me a message at melanie@miltonaccountant.com
  3. Call ✆ Give me a call locally at 905-875-4444

Get more advice from Melanie on her blog and connect with her on Facebook and Twitter as well!

#AskMelanie: How can I better manage and organize my accounting paperwork?

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It is critical that I keep a well-organized office for my clients and for myself. I am often asked for tips on how to best organize important accounting paperwork. Having a system in place to manage your accounting paperwork is essential.  I recommend scheduling time regularly to work on staying organized with your finances and paperwork so that you don’t miss out on important deductions as well as revenue projections.  Here is a simple tip: Tracking your mileage is mandatory. Have you considered keeping a notebook to track mileage in your car or perhaps an app? Little systems make a big difference!

#AskMelanie:

How can I better organize and manage my accounting paperwork?

Here are some great tips from Quickbooks:

1. Keep your personal and business bank accounts separate

This should include, credit cards as well.   I recommend that each source of funding be reconciled on a regular basis to ensure everything is recorded and to save time at year end.

2. Avoid paying expenses or bills in cash wherever possible

Other than small amounts of petty cash, it’s best not to use cash for your business transactions. Expenses paid in cash can be difficult to track and reconciling cash outgoings with receipts can be tricky and time-consuming. Where you do have to use cash, reimburse the payer immediately using an expense form to ensure you accurately record all business transactions, VAT and any other service taxes that need to be captured. Unless there is a receipt attached to the expense report, cash paid transactions are not deductions. VISA BILLS ARE NOT SUFFICIENT PROOF OF AN EXPENSE.   For example, If you are filling your gas tank you need to keep that little “chit” to support your purchase.

3. Create separate records for accounts payable and receivable

Having an accounts receivable system helps you track whether your customers have paid and how overdue unpaid accounts are, so you can chase up payments and keep your cash flow smooth throughout the month. It is also important to have a system in place for your accounts payable, which will help you ensure you aren’t duplicating or being late on your supplier payments.

4. Organize your paperwork digitally

Thanks to myriad accounting software out there today, you can say goodbye to manually filing and storing your receipts, invoices and other financial paperwork that’s integral to your business. Keeping your books digitally also means you can securely backup your files electronically instead of storing them physically on the office premises, which goes a long way in saving space and reducing the risk of losing important business information, as well as making your documents easily retrievable when you need them.

 

READ MORE 

WANT MORE TIPS DELIVERED TO YOUR INBOX? Subscribe to the #ASKMelanie column NOW

I provide a wide range of professional accounting, income tax preparation and consulting services including:

• Financial statement preparation
• Accounting and bookkeeping
• Personal Income tax preparation
• Estate returns
• Corporate Income tax preparation
• CRA audits and assistance
• HST and sales tax
• Business succession and valuations
• Business Start-ups

Let’s get started in three easy steps:

  1. Learn more about me ⇨ Send me a LinkedIn connection invite
  2. Send me an Email ✉ Send me a message at melanie@miltonaccountant.com
  3. Call ✆ Give me a call locally at 905-875-4444

Get more advice from Melanie on her blog and connect with her on Facebook and Twitter as well!

#AskMelanie: How can I change the way I feel about my financial future?

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As an accountant, I have very candid and personal conversations around money and the stress it can cause my clients. Feeling a sense of control over our financial lives is something that we all strive for but how do we cope when things are less than perfect? Cash flow for business owners, the ever-growing expense of raising children and the lack of retirement security are things that many are struggling with today. It can cause us to feel inadequate and unsure of our futures.

The Financial Blind Spots survey, conducted by FPSC, found that four-in-10 Canadians (39%) feel they don’t have their financial future under control, while three-in-10 (29%) admit they are overwhelmed with their financial options.

Don’t suffer in silence, speak to me about ways you can take back control of your financial picture. I am always just a phone call  or email away!

#AskMelanie: How can I change the way I feel about my financial future?

How much power do you feel you have over your money? Your happiness and financial well-being may depend on it, experts say.

People who think they have power over their finances are happier than those who think they have little power over their finances, a study from investment research company Morningstar found a couple of years ago. That result was true whether people’s incomes were high or low.

Newcomb offers tips to Money Talks News readers on taking control of what she calls your “personal economy.” A link to the complete article can be found here. 

1. Focus on your thinking

Concentrate on how you think about your financial situation, rather than just tediously listing your income and expenses on an app to see if your cash flow is out of whack.

“Why do I need apps to tell me I’m broke if I’m disempowered?” she says. “Focus on your thinking.”

Once you start to think differently, you will behave differently, Newcomb says. “We have the power.”

2. List the things you can — and cannot — control

Thinking about the power you have can naturally improve your sense of financial well-being, Newcomb says.

On the other hand, there are things you might not be able to control. In the short-term, maybe you can’t change your salary, rent or mortgage, or other bills, Newcomb says.

You also might not be able to control:

  • Dependents: If you care for children or parents, you cannot control the fact that this will put a drain on your resources.
  • Geography: Maybe you can’t move, which may affect your cost of living as well as the job opportunities available.
  • Time: Maybe you can’t always make your schedule perfect. Like everyone else, you’re limited to 24-hour days.
  • Other people: You can’t control your spouse’s priorities, salary or habits.

While these things are out of your control now, focus on how that might change over time.

“In the long term, almost everything is changeable if you have a plan, and you invest in making the changes necessary to adjust your life to better suit you,” she says. “That’s the purpose of the exercise: When you try to think about what you can’t control, you may find that you really can do more to change your situation than you thought.”

3. Put time on your side

Most of us don’t save because “we’re not wired for it,” Newcomb says.

Newcomb explains in her book that going for the immediate reward instead of focusing on long-term goals — known as “discounting the future” — is responsible for many types of goal-defeating behaviors such as procrastination, drug addiction, impulsive shopping and failure to save money for the future.

So, you need to change your natural inclination to spend by creating a plan to save. To begin, ask yourself how far ahead you think about money: A week? A month? Five years?

One study revealed a connection between how far ahead people think and how much money they have saved.

On average, people earning $50,000 a year who looked far ahead — like to retirement — saved more dollars than those making $100,000 who didn’t look far ahead, Newcomb says.

You can train yourself to extend your time horizon, she says:

  • If you need inspiration, look at yourself through online age-progression software that will use a picture of you now to generate what you may look like in 20 years.
  • Write a detailed essay visualizing the details of your retirement: Where will you live — city, suburb, countryside? How will you spend your time? Who will you spend your time with?
  • If you typically only look ahead a month or two, create a one-year plan and put it in place starting in 2019. Once you have the one-year plan, try making a three-year plan; or if you have a three-year plan, go for five.

If you train your imagination to see a bit further into the future, you will save more money over time, Newcomb says. Otherwise, you will be at a higher risk for a higher debt-to-income ratio, lower savings rate, and more impulsive spending.

“It doesn’t cost more to think ahead,” Newcomb says.

4. Celebrate your victories

Feeling powerful when you’re in debt can be difficult. So, change the story you’re telling yourself, Newcomb says.

For example, paying down $1,000 on a credit card might feel less like “getting ahead” and more like just filling a hole. “Money feels like it’s gone, and that feels disempowering,” Newcomb says.

Instead, she suggests taking a more positive approach: Think of how you’ve just increased your net worth, plus avoided future interest payments on the $1,000.

Taking joy and pride in your victories is one key to feeling more in control of your finances.

“Celebrate every positive thing, like ‘Are you doing better than last year?’ ” Newcomb says. “Did you feed your kids today? Good, celebrate that. A lot of people can’t.”

And don’t worry about what other people have that you don’t. “The person carrying a Louis Vuitton purse, you don’t know if she’s crying in the shower over her credit card bill,” Newcomb says.

6. Enjoy your positive payoff

Money is a major cause of stress for millions. Financial advisers see clients who actually have so much money they’ll never outlive it. Nevertheless, these same rich folks may have so much anxiety about money they can’t even buy their grandchild a birthday present, Newcomb says.

When you feel in control of your money, your stress ebbs. Lower stress leads to better sleep, a better quality of life, better relationships — all benefits you get even without having more money, Newcomb says.

“When you’re stressed out, you may get sick, miss work, lose your job and get caught in a poverty trap because you feel you can’t afford life,” Newcomb says. “When we feel the power we have, when we take one little step forward, instead of stress we end up in a positive feedback loop.”

I provide a wide range of professional accounting, income tax preparation and consulting services including:

• Financial statement preparation
• Accounting and bookkeeping
• Personal Income tax preparation
• Estate returns
• Corporate Income tax preparation
• CRA audits and assistance
• HST and sales tax
• Business succession and valuations
• Business Start-ups

Let’s get started in three easy steps:

  1. Learn more about me ⇨ Send me a LinkedIn connection invite
  2. Send me an Email ✉ Send me a message at melanie@miltonaccountant.com
  3. Call ✆ Give me a call locally at 905-875-4444

Get more advice from Melanie on her blog and connect with her on Facebook and Twitter as well!

#AskMelanie: How to do I best manage my online financial life?

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As we get into our forties and beyond life can become a foggy sandwich of responsibilities and details. It is actually called the “Sandwich Generation” for a reason. We are caring for our children and our parents. We are in the middle of this muddle trying to manage our family/business/financial and work life from many angles. It is not surprising that our memory fails us as we are pressed to keep up as professionals, parents and caregivers. Keeping accurate records and securing passwords is important for us and also anyone who we may be supporting. As always I am here to help you with these challenges and I hope you reach out to discuss your business or accounting needs. In the meantime, based on your challenges I like to provide solutions to make your financial life easier.  Here is my latest addition of #AskMelanie column.

#AskMelanie: How to do I best manage my online financial life?

This content is courtesy of  The Blunt Bean Counter.

As someone who is by no means a computer whiz, I surfed the web to see what others were recommending or suggesting in regards to these various digital issues, and came across a Forbes.com article titled Six Ways To Store Securely The Keys To Your Online Financial Life by Deborah L. Jacobs, who is a lawyer and journalist.

Some of Ms. Jacobs’s suggestions to secure your financial online life are as follows:

Use an electronic password manager

Ms. Jacobs noted there are a number of services that allow you to enter all your passwords into a single database and lock them up with a master electronic key. You (or your agent) only need to remember one password to access the list

Here are a couple 2018 links for the best managers of 2018 from PC Mag.com and CNET.

Ms. Jacobs also suggests you can back up onto a USB flash drive, which becomes a mini encrypted vault with a password of its own. She notes the drawback is you must find someplace secure to store it.

Rely on a digital gatekeeper

Ms. Jacobs’s notes there are several new services, aimed at people who are doing estate planning, that charge a monthly or yearly fee to store the digital data that you enter, and release it according to your instructions.

Old School Solutions

Finally, Ms. Jacobs suggests two “old school” solutions: (1). Enter vital information in a loose-leaf or notebook and (2) use an old-fashioned lock box.

I would suggest that both these solutions are probably used in some manner by many people, but are not exactly state of the art and have inherent security issues.

As I stated earlier, I am far from a computer security whiz. The intention of this blog post is to bring attention to the various electronic and digital issues noted above, and to make sure if you have not already addressed these issues in some manner, you consider doing such.

Read the complete article here 

#AskMelanie’s Tip: Check out Last Pass
it remembers all of your passwords so you don’t have to.

I provide a wide range of professional accounting, income tax preparation and consulting services including:

• Financial statement preparation
• Accounting and bookkeeping
• Personal Income tax preparation
• Estate returns
• Corporate Income tax preparation
• CRA audits and assistance
• HST and sales tax
• Business succession and valuations
• Business Start-ups

Let’s get started in three easy steps:

  1. Learn more about me ⇨ Send me a LinkedIn connection invite
  2. Send me an Email ✉ Send me a message at melanie@miltonaccountant.com
  3. Call ✆ Give me a call locally at 905-875-4444

Get more advice from Melanie on her blog and connect with her on Facebook and Twitter as well!

#AskMelanie: Have you thought about your taxes and estate planning considerations?

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Death is not a subject any of us want to think about but having important conversations with your family about their wishes (plus yours as well) and ensuring that if you are responsible for settling your estate being prepared is critical. This article will give you some important things to consider and also provides some additional tips for end of life planning. As my client, I ensure you stay on top of your important priorities. Each month in my #AskMelanie column, I address those burning questions so that you can maximize your time on growing your business and not worry about taxation issues. As a CPA accountant serving the Milton and GTA community, I am excited to have recently opened a bright and beautiful location in downtown Milton so please feel free to drop by and address your needs with me in-person.

#AskMelanie: Have you thought about your taxes and estate planning considerations?

This content is courtesy of  The Blunt Bean Counter. If you died tomorrow, would your family and advisors know where your assets are and what assets you owned?
I would suggest the answer in 50% or more cases would be a resounding no.
If you have answered no, take this one step further; consider the havoc you will cause your family and executors. They will be distressed having to deal with your passing, now you are compounding their stress by forcing them to deal with an estate when they have no clue what assets you own, what debts you have outstanding or where the assets are held.
Most likely they will not have a duplicate safety deposit key or even know where your safety deposit box(es) is/are.
Whether you are just negligent or lazy, your actions are selfish and you should immediately take steps to rectify the situation.
All this can be averted very simply. Take a weekend and complete a personal information checklist (there are several on the Internet) and then put a reminder in your phone or Outlook calendar to review this checklist each year to ensure there are no changes.
Once completed, consider providing a copy of the checklist to your spouse, your accountant, lawyer or trusted third party. In any event, at a minimum, put a final copy in your safety deposit box and ensure either your spouse of another person is aware of the location of the safety deposit box and the key.
I have on many occasions seen the aftermath of situations where a spouse has not provided a list of assets. It is not pretty and I am sure if you take a moment to ponder this, you do not want to leave your family in a similar situation. So, get to it and make a list!
#AskMelanie’s Tip: Ensure that someone has authorization on your CRA account – spouse, accountant, etc. It allows the executor or authorized individual to deal with the estate properly and in a timely manner. Sometimes estates can take years to settle.

I provide a wide range of professional accounting, income tax preparation and consulting services including:

• Financial statement preparation
• Accounting and bookkeeping
• Personal Income tax preparation
• Estate returns
• Corporate Income tax preparation
• CRA audits and assistance
• HST and sales tax
• Business succession and valuations
• Business Start-ups

Let’s get started in three easy steps:

  1. Learn more about me ⇨ Send me a LinkedIn connection invite
  2. Send me an Email ✉ Send me a message at melanie@miltonaccountant.com
  3. Call ✆ Give me a call locally at 905-875-4444

Get more advice from Melanie on her blog and connect with her on Facebook and Twitter as well!

#AskMelanie: It is my responsibility to stay on top of any HST Installments?

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I love my clients. It is why I went into business for myself so that I could be of service and make more businesses succeed. My client’s challenges are important to me. I hate to see business owners worry and that’s why it is important to stay on top of your tax obligations.  That’s where I come in to help. As my client, I ensure you stay on top of your important priorities. Each month in my #AskMelanie column, I address those burning questions so that you can maximize your time on growing your business and not worry about taxation issues. As a CPA accountant serving the Milton and GTA community, I am excited to have recently opened a bright and beautiful location in downtown Milton so please feel free to drop by and address your needs with me in-person.

#AskMelanie: It is my responsibility to stay on top of any HST Installments?

While Revenue Canada doesn’t send you reminders to make your HST installments, it is still your obligation to do so.  If your annual return reported a balance owing of $2,000 or more, before installments, then you are required to make quarterly installments towards the next taxation year. Generally, installments are quarterly but you can make more frequent if you want.  The downside to not making the HST installments? Interest charged has is effective on the date you should have made the installment.

I provide a wide range of professional accounting, income tax preparation and consulting services including:

• Financial statement preparation
• Accounting and bookkeeping
• Personal Income tax preparation
• Estate returns
• Corporate Income tax preparation
• CRA audits and assistance
• HST and sales tax
• Business succession and valuations
• Business Start-ups

Let’s get started in three easy steps:

  1. Learn more about me ⇨ Send me a LinkedIn connection invite
  2. Send me an Email ✉ Send me a message at melanie@miltonaccountant.com
  3. Call ✆ Give me a call locally at 905-875-4444

Get more advice from Melanie on her blog and connect with her on Facebook and Twitter as well!