Mahrt Investment Group

Planning for Professionals & Business Owners

Navigating the unique challenges of professionals and business owners requires specialized planning. From risk mitigation to tax optimization and corporate investments, our dedicated team provides the guidance and expertise you need to confidently navigate these challenges and grow your wealth.

Our Approach

Incorporated professionals and business owners face a myriad of unique financial considerations that require specialized planning. From navigating complex tax situations and mitigating business risks, to developing succession plans, the financial planning required for professionals and business owners is multifaceted.

Our approach is centered around providing comprehensive planning solutions specifically tailored to the needs of professionals and business owners. We understand that personal and business finances are intimately connected, with decisions in one area significantly impacting the other. That’s why we take a holistic approach, considering the intricate interplay between your personal and business financial goals.

To truly understand your unique circumstances, goals, and aspirations, we invest the time to listen and engage in meaningful dialogue. We believe that building a solid foundation for financial success starts with a deep understanding of your individual needs and objectives. This allows us to develop customized strategies that align with your vision, addressing the complexities of your personal and corporate finances.

With our expertise in financial planning, we guide you through the intricacies of tax optimization, investment management, risk mitigation, and succession planning. We work collaboratively to identify opportunities, anticipate challenges, and navigate the ever-changing landscape of financial regulations and market dynamics. Our goal is to empower you to make informed decisions, maximize opportunities, and achieve your financial aspirations.

By partnering with Mahrt Investment Group, you gain access to a dedicated team of professionals who are committed to your success. Together, we will create a roadmap to financial success, enabling you to confidently navigate the complexities of your business and personal finances and achieve your financial aspirations.

Investing in Your Corporation

Investing in your corporation offers valuable tax deferral opportunities and allows you to allocate surplus funds for long-term growth and wealth accumulation. By strategically investing your corporate assets, we aim to optimize your tax position by maximizing the capital dividend account and minimizing passive income, thereby preserving your small business deduction. Additionally, we collaborate with you and your tax advisor to develop a withdrawal strategy that efficiently releases trapped surplus while minimizing tax implications. Our focus is on leveraging tax-efficient investment solutions to enhance the financial health and future success of your corporation.

What you may be thinking

  • What are the benefits of investing within my corporation?
  • What are the implications of the passive income grind on my corporation?
  • How does investing within the corporation impact my personal financial plan and retirement strategy?
  • What are the tax implications of investing my corporation?

What you may be thinking

  • How can I minimize tax liabilities when transferring or selling my business?
  • Can life insurance be used to cover tax liabilities?
  • What are the tax implications of gifting my business to my children or other family members?
  • How can trusts be used in succession planning to manage tax liabilities?

Business Succession

Succession planning is a critical aspect of ensuring the smooth transition of your business to the next generation or chosen successors. It involves developing a comprehensive plan that addresses leadership continuity, ownership transfer, and the preservation of your business’s value. When considering the transfer of your business’s value, potential tax liabilities can significantly impact the net value you or your beneficiaries may receive. Implementing strategies such as life insurance for tax liabilities, the lifetime capital gains exemption, strategic use of trusts, or employee share ownership plans can help to manage and often minimize these liabilities.

Tax Optimization

Running an incorporated business involves managing additional tax considerations. Incorporation allows for income splitting, tax deferral, and potential access to the lifetime capital gains exemption, all of which require careful planning and management to optimize. On top of that, considerations around passive income rules, and the corporate-income vs personal-income balance are also key elements of tax planning for incorporated professionals and business owners.

What you may be thinking

  • How can I effectively split income among family members to reduce overall tax liability?
  • What’s the optimal balance between salary and dividends for my income?
  • How can I manage passive income to maintain access to the small business tax rate?
  • How can I take advantage of the Lifetime Capital Gains Exemption (LCGE)?

What you may be thinking

  • What types of insurance should I consider for my business?
  • How can I protect my business in the event of my own illness or disability?
  • What are the risk implications of personal guarantees for business loans?
  • What roles does a buy-sell agreement play in risk management for my business?

Risk Management

Business owners naturally face risks that salaried employees do not. We prioritize risk management as a critical aspect of our financial planning services. Our strategies involve comprehensive insurance coverage to protect against various business risks such as disability, critical illness, or business interruption. We also advocate for the diversification of investments, both within your personal portfolio and business assets. Additionally, maintaining an emergency fund forms an integral part of our approach, offering a safety net against unexpected expenses. We continually assess and address your risks as part of our ongoing partnership, ensuring stability and peace of mind throughout your financial journey.

Planning for Professionals and Business Owners
Strategies & Analyses

Salary vs Dividends
Determining the optimal mix of salary and dividends can minimize overall tax, while ensuring access to desired benefits.
Life Insurance Strategies
Life insurance can be used in a number of ways, including funding buy-sell agreements, covering tax liabilities on death, and enhancing estate value.
Corporate Class Funds
These can be used within a corporation to manage investments in a more tax-efficient way, by minimizing the distribution of taxable income.
Estate Freeze
This strategy involves fixing the value of the current owner’s interest in a business at its present value, with any future growth in value accruing to other family members. This can help minimize tax on death and facilitate succession planning.
Individual Pension Plans (IPPs)
For higher income business owners, an IPP may offer higher contributions than RRSPs, leading to a larger retirement income.
Capital Gains Exemption Planning
Owners of qualified small business corporation shares may be able to utilize the Lifetime Capital Gains Exemption to realize gains tax-free up to a certain limit.

Related Planning Areas

Retirement Planning

Creating a tailored plan to achieve your retirement goals and maintain financial security post-work

Tax Planning

Minimizing tax liabilities and maximizing tax efficiency to optimize financial outcomes

Estate Planning & Wealth Transfer

Developing strategies to efficiently preserve and transfer your wealth to future generations

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