Senior Wealth Advisor and Senior Portfolio Manager Maili Wong was recently interviewed by The Globe and Mail to provide expert commentary on how insurance strategies can help enhance tax efficiency within RRSP and RRIF accounts. In the feature, Maili discusses when it may make sense for retirees to strategically draw mid‑tax‑bracket withdrawals from their RRIF and redirect those after‑tax dollars into permanent life insurance – a strategy that, in specific circumstances, can help high‑net‑worth retirees reduce future tax burdens and create a more predictable, tax‑free inheritance for their beneficiaries.
She also highlights criteria that determine whether this approach is appropriate, including age, insurability, liquidity, and whether clients have registered assets they do not need to support their lifestyle — offering a thoughtful, practical framework for Canadians considering advanced planning options.
Key Points:
• Tax Efficiency: Strategic use of permanent life insurance within retirement planning can help reduce tax drag on retirement assets held in RRSPs and RRIFs.
• Retirement Income Planning: Insurance strategies can complement traditional withdrawals by smoothing after-tax income and helping manage marginal tax rates in retirement.
• Estate & Legacy Benefits: Leveraging insurance can support more efficient wealth transfer to beneficiaries by reducing taxes at death and preserving more capital for heirs.
• When It Makes Sense: These strategies are most effective for certain investors—particularly higher-income individuals or those with estate planning goals—and should be assessed within a broader financial plan.
To read the full article and gain access to Maili Wong’s insights, click here.
If you have any questions about how this relates to you or your investment portfolio and financial plan, please give us a call at 778 655 2410 or email us at thewonggroup@wellington-altus.ca
Sincerely,
Maili Wong, CFA, CFP, FEA
Senior Portfolio Manager & Senior Wealth Advisor
Wellington-Altus Private Wealth Inc.
Board Director
Wellington-Altus Financial Inc.
Maili Wong is a senior portfolio manager and senior wealth advisor at The Wong Group at Wellington-Altus Private Wealth and the Amazon best-selling author of ‘Smart Risk.’ She has over two decades of experience in the finance industry and was named a Top Wealth Advisor and one of the Best in Province in the 2022 rankings produced by The Globe and Mail and SHOOK Research.
