{"id":89622,"date":"2022-03-04T06:00:00","date_gmt":"2022-03-04T13:00:00","guid":{"rendered":"http:\/\/dtfs.ca\/?p=89622"},"modified":"2022-03-04T16:09:09","modified_gmt":"2022-03-04T23:09:09","slug":"essential-tips-and-tricks-for-paying-less-tax-and-keeping-more-of-your-retirement-income","status":"publish","type":"post","link":"https:\/\/dtfs.ca\/essential-tips-and-tricks-for-paying-less-tax-and-keeping-more-of-your-retirement-income\/","title":{"rendered":"Essential tips and tricks for paying less tax and keeping more of your retirement income"},"content":{"rendered":"<div>\n<style type=\"text\/css\">\n@-webkit-keyframes oryCellResizeableAnimate {\n  0% {\n    background-color: hsla(0,0%,100%,.26);\n    top: 45%;\n    bottom: 45%;\n  }<\/p>\n<p>  50% {\n    background-color: hsla(0,0%,100%,.12);\n    top: 0;\n    bottom: 0;\n  }<\/p>\n<p>  to {\n    background-color: hsla(0,0%,100%,.87);\n    top: 45%;\n    bottom: 45%;\n  }\n}\n@keyframes oryCellResizeableAnimate {\n  0% {\n    background-color: hsla(0,0%,100%,.26);\n    top: 45%;\n    bottom: 45%;\n  }<\/p>\n<p>  50% {\n    background-color: hsla(0,0%,100%,.12);\n    top: 0;\n    bottom: 0;\n  }<\/p>\n<p>  to {\n    background-color: hsla(0,0%,100%,.87);\n    top: 45%;\n    bottom: 45%;\n  }\n}\n<\/style>\n<style type=\"text\/css\"><\/style>\n<div class=\"juiced\">\n<div id=\"postToSend-11\">\n<div class=\"ory-row\" style=\"box-sizing: border-box; display: -webkit-box; display: -ms-flexbox; display: flex; -webkit-box-flex: 0; -ms-flex: 0 1 auto; flex: 0 1 auto; -webkit-box-orient: horizontal; -webkit-box-direction: normal; -ms-flex-direction: row; flex-direction: row; -ms-flex-wrap: wrap; flex-wrap: wrap; margin-right: 0; margin-left: 0; position: relative;\">\n<div class=\"ory-cell ory-cell-sm-12\" style=\"position: relative; box-sizing: border-box; -webkit-box-flex: 0; -ms-flex: 0 0 auto; flex: 0 0 auto; padding-right: .5rem; padding-left: .5rem; -ms-flex-preferred-size: 100%; flex-basis: 100%; width: 100%; min-width: 100%;\">\n<div class=\"ory-row ory-cell-inner\" style=\"box-sizing: border-box; display: -webkit-box; display: -ms-flexbox; display: flex; -webkit-box-flex: 0; -ms-flex: 0 1 auto; flex: 0 1 auto; -webkit-box-orient: horizontal; -webkit-box-direction: normal; -ms-flex-direction: row; flex-direction: row; -ms-flex-wrap: wrap; flex-wrap: wrap; margin-right: 0; margin-left: 0; position: relative;\">\n<div class=\"ory-cell ory-cell-sm-12\" style=\"position: relative; box-sizing: border-box; -webkit-box-flex: 0; -ms-flex: 0 0 auto; flex: 0 0 auto; padding-right: .5rem; padding-left: .5rem; -ms-flex-preferred-size: 100%; flex-basis: 100%; width: 100%; min-width: 100%;\">\n<div class=\"ory-cell-inner ory-cell-leaf\">\n<div>\n<h1>Essential tips and tricks for paying less tax and keeping more of your retirement income<\/h1>\n<p>Most of your retirement income sources are taxable; Canadian Pension Plan (CPP), your personal pension plan (if you have one) and income from your RRIFs. However, if you\u2019ve set up a TFSA in addition to your RRSPs, then you\u2019re in luck \u2013 money you take out of your TFSA isn\u2019t taxable!<\/p>\n<p>We have some tips on combining savvy withdrawal strategies with retirement-related tax deductions to keep more of your retirement income.<\/p>\n<p><strong>Make a Plan<\/strong><\/p>\n<p>Determine all the different sources of retirement income you\u2019ll have \u2013 don\u2019t forget about things like annuities, GICs or income from a rental property if you have one. Once you have a complete list, a professional financial advisor can give you tips on when it\u2019s best to start collecting pension income as well as how much to withdraw from your taxable investments. A strong plan can help reduce the amount of tax you have to pay and extend the life of your retirement income!<\/p>\n<p><strong>Split your pension income<\/strong><\/p>\n<p>If you have reached the age of 65 and have a pension, you can split up to 50% of the pension income with your spouse.  Splitting your pension with a lower-income spouse can add up to savings, as this will cut down on the amount of taxes you\u2019ll have to pay overall. <\/p>\n<p>While rewarding, the process to split your pension income can be complicated, so it\u2019s best to get professional advice before starting this process.<\/p>\n<p><strong>Buy an annuity<\/strong><\/p>\n<p>Annuities are a financial product that will provide you with a guaranteed regular income \u2013 a good choice if you are worried about your retirement savings running out.<\/p>\n<p>These are the most common types of annuities:<\/p>\n<ul style=\"margin: auto 2em 1.5em; list-style-type: disc;\">\n<li style=\"list-style-type: inherit; display: list-item; margin: .2em 0 0 .2em;\">\n<p style=\"margin: 0;\">Life annuities provide you with a guaranteed lifetime income, with the option for the annuity to be paid to a beneficiary after you die.<\/p>\n<\/li>\n<li style=\"list-style-type: inherit; display: list-item; margin: .2em 0 0 .2em;\">\n<p style=\"margin: 0;\">Term-certain annuities provide guaranteed income payments for a fixed period. A beneficiary or your estate will receive regular payments if you die before the term ends.<\/p>\n<\/li>\n<li style=\"list-style-type: inherit; display: list-item; margin: .2em 0 0 .2em;\">\n<p style=\"margin: 0;\">Variable annuities will provide you with both a fixed income and a variable income. The variable income will be based on the return of the annuity provider on the performance of the investments your annuity provider invests your money in.<\/p>\n<\/li>\n<\/ul>\n<p>All types of annuities will spread out the income from your retirement savings to lessen the tax you pay each year.<\/p>\n<p><strong>Take advantage of tax breaks<\/strong><\/p>\n<p>Now that you\u2019re retired, there are retirement-related tax breaks you need to know about. Here are some of the tax breaks or credits you may be eligible for:<\/p>\n<ul style=\"margin: auto 2em 1.5em; list-style-type: disc;\">\n<li style=\"list-style-type: inherit; display: list-item; margin: .2em 0 0 .2em;\">\n<p style=\"margin: 0;\">The age amount<\/p>\n<\/li>\n<li style=\"list-style-type: inherit; display: list-item; margin: .2em 0 0 .2em;\">\n<p style=\"margin: 0;\">The home accessibility tax credit<\/p>\n<\/li>\n<li style=\"list-style-type: inherit; display: list-item; margin: .2em 0 0 .2em;\">\n<p style=\"margin: 0;\">The medical expense tax credit<\/p>\n<\/li>\n<li style=\"list-style-type: inherit; display: list-item; margin: .2em 0 0 .2em;\">\n<p style=\"margin: 0;\">The disability tax credit<\/p>\n<\/li>\n<li style=\"list-style-type: inherit; display: list-item; margin: .2em 0 0 .2em;\">\n<p style=\"margin: 0;\">The pension income tax credit<\/p>\n<\/li>\n<\/ul>\n<p><strong>We can help!<\/strong><\/p>\n<p>We can put together a plan that helps you keep more of your retirement income \u2013 call us today! <\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>It\u2019s important to make the most of your retirement income. To do so, you need to be aware of what income is and isn\u2019t taxable, and also how to make the most of the tax breaks you\u2019re entitled to. This article outlines the four main steps you need to take to ensure you keep as much of your retirement income as possible:<br \/>\n1.\tMake a financial plan.<br \/>\n2.\tSplit your pension income.<br \/>\n3.\tBuy an annuity.<br \/>\n4.\tBe aware of retirement-related tax breaks.<\/p>\n","protected":false},"author":7,"featured_media":89624,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":""},"categories":[57,150],"tags":[],"_links":{"self":[{"href":"https:\/\/dtfs.ca\/wp-json\/wp\/v2\/posts\/89622"}],"collection":[{"href":"https:\/\/dtfs.ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dtfs.ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dtfs.ca\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/dtfs.ca\/wp-json\/wp\/v2\/comments?post=89622"}],"version-history":[{"count":1,"href":"https:\/\/dtfs.ca\/wp-json\/wp\/v2\/posts\/89622\/revisions"}],"predecessor-version":[{"id":89623,"href":"https:\/\/dtfs.ca\/wp-json\/wp\/v2\/posts\/89622\/revisions\/89623"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dtfs.ca\/wp-json\/wp\/v2\/media\/89624"}],"wp:attachment":[{"href":"https:\/\/dtfs.ca\/wp-json\/wp\/v2\/media?parent=89622"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dtfs.ca\/wp-json\/wp\/v2\/categories?post=89622"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dtfs.ca\/wp-json\/wp\/v2\/tags?post=89622"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}