Skip to content
News & commentary

Insuring your Estate

Home News & Commentary Insuring your Estate
Jon Glougie

Jon Glougie

It’s never a pleasant topic, but how many of us have taken a long and serious look at our estate plans? Do you know where your assets will go after you’ve passed away? A Will can help determine this. What a Will won’t help with, is protecting your estate from tax. Do you know what your estate tax bill is going to look like? You may have estate taxes that you didn’t even know about. For example, your RRSP/RRIF accounts typically have a named beneficiary, and therefore they are not subject to probate. They are, however, taxed as income in the year that you pass away, and although the full amount of the RRSP/RRIF will be transferred to the beneficiary, your estate will still be required to settle the tax bill. You may also have a non-registered portfolio that you want to leave to a beneficiary(ies) identified in your will. Although only the growth on these investments will have estate taxes applied to them, the entire portfolio will form part of your estate (no named beneficiary) and thus be subject to probate tax. Life insurance can help you preserve your estate by paying for your estate’s tax bills, which will, in turn, leave your estate fully intact for your beneficiary(ies). You can also move assets from a non-registered portfolio into a permanent life insurance product, which can make the transition of these assets to your beneficiary(ies) at the time of your passing tax-free if done through a life insurance policy. If you want to know more about your estate, and how much tax your estate may owe, please let us know and we would be happy to help.


This information has been prepared by Luft Financial. Opinions expressed in this article are those of Luft Financial only and do not necessarily reflect those of IA Private Wealth. Furthermore, this does not constitute an offer or solicitation to buy or sell any of the securities mentioned. The information contained herein may not apply to all types of investors.

How do we elevate your wealth?

It begins with understanding your needs and creating a comprehensive and tailored financial plan to help reduce tax, manage risk and grow your portfolio over the long term. Learn more about how we help you achieve financial security and peace of mind.

News & commentary

Semi Annual Review: First Half of 2021

Luft Financial model portfolio updates help you understand the complexity of your assets, better manage them & develop successful investment strategies. Click here to read Elvis Picardo’s review: Model Portfolio Update 2021 First-Half Review

Read more
The Market & Economic Environment

Market & Economic Environment

Equities continued to power ahead in June, as the TSX Composite traded over 20,000 for the first time and the S&P 500 capped its second-best performance in the first half of a year since 1998. The TSX advanced 2.2% last month, led by outsized gains in the technology sector (+18.2%); the energy sector rose 5.8% […]

Read more

Critical Illness Insurance… For the Kids

Insurance for children may seem odd at first glance, but if you look closer, you may find a few great reasons to consider it. First, approval for a Critical Illness insurance policy is, in part, underwritten based on family medical history. If you get sick, your children may not be able to get approved for […]

Read more