As we approach the end of the year, owner-managers of Canadian private corporations may be thinking about their annual remuneration plan. This yearly assessment is a key step and should consider changes in personal circumstances and various external factors including changing tax rates and laws. Owner-managers often ask:
- Should I pay myself a salary or dividend this year?
- Are there ways to reduce our family’s income tax bill by paying amounts to family members without adverse tax consequences?
Furthermore, many owner-mangers may be in a position to devise or re-evaluate their long-term strategy for saving and planning for retirement. They may be wondering:
- Are there concerns with growing an investment portfolio in my corporation to save for retirement?
- What pension options should I consider when building a robust retirement plan?
How BDO can help
Annual remuneration and retirement planning can be complex. Reach out to a BDO advisor for customized tax strategies that work best for you.
The information in this publication is current as of October 18, 2023.
This publication has been carefully prepared, but it has been written in general terms and should be seen as broad guidance only. The publication cannot be relied upon to cover specific situations and you should not act, or refrain from acting, upon the information contained therein without obtaining specific professional advice. Please contact BDO Canada LLP to discuss these matters in the context of your particular circumstances. BDO Canada LLP, its partners, employees and agents do not accept or assume any liability or duty of care for any loss arising from any action taken or not taken by anyone in reliance on the information in this publication or for any decision based on it.