Definition: Flexible savings account with tax‑free growth and withdrawals.
Features: No tax deduction on contributions, but withdrawals are tax‑free.
Best for: Short‑ and long‑term savings goals, emergency funds, or investments.
Investments
Investing through insurance companies offers a unique blend of security and growth. Unlike traditional investment vehicles, these solutions combine the stability of regulated financial institutions with the opportunity to build wealth over time.
Insurance-based investments—such as segregated funds or annuities—not only provide potential market returns but also offer added benefits like principal protection, estate planning advantages, and guaranteed income options.
They are designed to safeguard both capital and legacy, ensuring that financial goals are met with confidence. In today’s uncertain environment, partnering with an insurance company for investment solutions means balancing risk and reward while securing long-term financial resilience.
Investments
Wealth Strategies Approach
TFSA (Tax‑Free Savings Account)
RESP (Registered Education Savings Plan)
Definition: Tax‑advantaged savings for a child’s post‑secondary education.
Features: Government grants (CESG) and tax‑sheltered growth.
Best for: Parents or guardians saving for education costs.
RRSP (Registered Retirement Savings Plan)
Definition: Tax‑deferred retirement savings account.
Features: Contributions reduce taxable income; growth is tax‑sheltered until withdrawal.
Best for: Retirement planning, especially for higher‑income earners.
Home Buyers’ Plan (HBP)
Definition: Federal program allowing first‑time buyers to use RRSP funds for a down payment.
How it works: Withdraw up to $35,000 tax‑free per person; couples up to $70,000.
Repayment: Must repay into RRSP over 15 years; missed payments become taxable income.
Best for: Young or first‑time buyers using RRSP savings to enter the housing market sooner.
RRIF (Registered Retirement Income Fund)
Definition: Converts RRSP savings into retirement income.
Features: Mandatory annual withdrawals; growth remains tax‑sheltered until withdrawn.
Best for: Retirees drawing steady income from RRSP savings.
Annuities
Definition: Insurance contracts that provide guaranteed income for life or a set period.
Features: Lump‑sum investment converted into regular payments.
Best for: Retirees seeking predictable, lifelong income.
GICs (Guaranteed Investment Certificates)
Definition: Low‑risk deposits with banks or credit unions.
How they work: You invest a fixed amount for a set term (e.g., 1–5 years).
Returns: Guaranteed interest, usually higher than a savings account.
Best for: Safety‑focused investors who want predictable returns.
Mutual Funds
Definition: Pooled investments managed by professionals.
How they work: Investors buy units; funds invest in stocks, bonds, or other assets.
Returns: Vary with market performance; diversification reduces risk.
Best for: Investors seeking growth with professional management.
Segregated Funds
Definition: Insurance‑based investment funds offered by life insurers.
Features: Similar to mutual funds but with guarantees.
Best for: Investors wanting growth potential plus protection and estate planning benefits.
DiscloseAll Financial Services Inc.
Mon-Fri, 9AM-5PM