{"id":1302,"date":"2025-01-13T19:03:30","date_gmt":"2025-01-13T19:03:30","guid":{"rendered":"https:\/\/advisor.wellington-altus.ca\/smokinbulls\/?p=1302"},"modified":"2025-02-17T22:37:19","modified_gmt":"2025-02-17T22:37:19","slug":"need-ideas-on-where-to-start-3","status":"publish","type":"post","link":"https:\/\/advisor.wellington-altus.ca\/smokinbulls\/2025\/01\/13\/need-ideas-on-where-to-start-3\/","title":{"rendered":"SEEKING INCOME-SPLITTING OPPORTUNITIES?"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"1302\" class=\"elementor elementor-1302\" data-elementor-post-type=\"post\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-413238d elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"413238d\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-1387cb97 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"1387cb97\" data-element_type=\"section\" data-e-type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-7dbe08a7\" data-id=\"7dbe08a7\" data-element_type=\"column\" data-e-type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-19ae752e elementor-widget elementor-widget-text-editor\" data-id=\"19ae752e\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<h3 style=\"text-align: justify\">RRSP Season: Don\u2019t Overlook the Spousal RRSP<\/h3><p style=\"text-align: justify\">It\u2019s RRSP season once again! Over the decades, the federal government has eliminated many income-splitting opportunities available to taxpayers. However, if you have a spouse\/common-law partner, don\u2019t overlook the spousal Registered Retirement Savings Plan (RRSP) \u2014 a valuable opportunity to split income at retirement if your spouse will be in a lower tax bracket at that time.<\/p><h4 style=\"text-align: justify\">A Tax Break Now\u2026A Tax Break Later<\/h4><p style=\"text-align: justify\">A spousal RRSP is a plan to which you contribute on behalf of your spouse and receive a tax deduction based on your own available RRSP deduction limit. With a spousal RRSP, your spouse is the annuitant, so any funds withdrawn are considered to be the spouse\u2019s income and must be included in their income tax return. As such, withdrawn funds will be taxed at a lower rate should your spouse pay tax at a lower rate than you. Be aware that income attribution rules may apply to a spousal RRSP: In general, if you contribute to a spousal RRSP in the current year, or two of the preceding years, some or all of any RRSP withdrawal may be taxed in your hands.<\/p><h4 style=\"text-align: justify\">More Flexibility Than Pension Income Splitting?<\/h4><p style=\"text-align: justify\"><img fetchpriority=\"high\" decoding=\"async\" class=\"alignright\" src=\"https:\/\/advisor.wellington-altus.ca\/towerwealthadvisory\/wp-content\/uploads\/sites\/37\/2025\/01\/Untitled-1.png\" alt=\"\" width=\"317\" height=\"297\" \/>A spousal RRSP may provide an enhanced income-splitting opportunity when compared to pension income splitting. Pension income splitting can only be done after reaching the age of 65 and is limited to 50 percent of eligible pension income. A spousal RRSP can begin before age 65 and the full amount of RRSP withdrawals may be included in the spouse\u2019s tax return. However, RRSP contributions can only be made until the end of the year the taxpayer turns age 71. If you have a younger spouse, you can contribute to the spousal RRSP until the end of the year the spouse turns age 71. For any RRSP matters, please call.<\/p><p><img decoding=\"async\" class=\"aligncenter\" src=\"https:\/\/advisor.wellington-altus.ca\/towerwealthadvisory\/wp-content\/uploads\/sites\/37\/2025\/01\/Untitled-2.png\" alt=\"\" width=\"528\" height=\"287\" \/><\/p><p><img decoding=\"async\" class=\"aligncenter size-full wp-image-2012\" src=\"https:\/\/advisor.wellington-altus.ca\/towerwealthadvisory\/wp-content\/uploads\/sites\/37\/2024\/03\/2.png\" alt=\"\" width=\"2088\" height=\"604\" \/><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>There are many reasons to consider a Registered Education Savings Plan (RESP) to save for a child\u2019s future education: tax-deferred growth within the plan, earnings taxed at the child\u2019s tax rate when eventually withdrawn and, of course, the Canada Education Savings Grant (CESG).<\/p>\n","protected":false},"author":68,"featured_media":1336,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_oasis_is_in_workflow":0,"_oasis_original":0,"_oasis_task_priority":"","_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"footnotes":""},"categories":[27],"tags":[258,267,260,67,259,144,79],"class_list":["post-1302","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-articles","tag-capital-gains","tag-financial-advice","tag-financial-freedom","tag-financial-planning","tag-wealth-advisory","tag-wealth-management","tag-wealth-planning"],"_links":{"self":[{"href":"https:\/\/advisor.wellington-altus.ca\/smokinbulls\/wp-json\/wp\/v2\/posts\/1302","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/advisor.wellington-altus.ca\/smokinbulls\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/advisor.wellington-altus.ca\/smokinbulls\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/advisor.wellington-altus.ca\/smokinbulls\/wp-json\/wp\/v2\/users\/68"}],"replies":[{"embeddable":true,"href":"https:\/\/advisor.wellington-altus.ca\/smokinbulls\/wp-json\/wp\/v2\/comments?post=1302"}],"version-history":[{"count":4,"href":"https:\/\/advisor.wellington-altus.ca\/smokinbulls\/wp-json\/wp\/v2\/posts\/1302\/revisions"}],"predecessor-version":[{"id":1306,"href":"https:\/\/advisor.wellington-altus.ca\/smokinbulls\/wp-json\/wp\/v2\/posts\/1302\/revisions\/1306"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/advisor.wellington-altus.ca\/smokinbulls\/wp-json\/wp\/v2\/media\/1336"}],"wp:attachment":[{"href":"https:\/\/advisor.wellington-altus.ca\/smokinbulls\/wp-json\/wp\/v2\/media?parent=1302"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/advisor.wellington-altus.ca\/smokinbulls\/wp-json\/wp\/v2\/categories?post=1302"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/advisor.wellington-altus.ca\/smokinbulls\/wp-json\/wp\/v2\/tags?post=1302"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}