Financial Education Resources

What Is a Life Insurance Policy Loan? Understanding Whole Life Policy Loans

Many people overlook one of the most powerful financial tools available through permanent life insurance: the policy loan. This unique borrowing option allows policyholders to access the cash value they’ve built in their whole life insurance policies, providing liquidity and opportunities that traditional financing often can’t match. Unlike conventional loans from banks, policy loans offer…

Fundamentals of the Capital Dividend Account

One of the most common questions I get asked by clients around owing their life insurance corporately, is if it is still tax free on death. The simple answer is “Yes”. When a life insurance policy is owned and paid for by a corporation, and the death benefit pays to the corporation, the full death…

What Is Asset Management?

Asset management refers to the professional oversight of investment funds and client portfolios with an aim towards achieving specific objectives. These could range from maximizing return on investments, reducing associated risks, maintaining steady cash flow among others. This process involves making informed decisions about buying, selling, or reallocating assets based on thorough research and analysis…

Corporate-Owned Life Insurance (COLI): Tax, Uses, Risks, Ethics

If you own a business with key people whose loss would hurt the company financially, corporate-owned life insurance will come up in your planning at some point. It is simultaneously oversold by some advisors and reflexively dismissed by owners who remember the “janitor insurance” scandals of the 1990s. The reality is more nuanced. When COLI…

Understanding Contingent Beneficiary

The Infinite Banking concept also known as IBC was pioneered by Nelson Nash. Infinite Banking strategy takes a revolutionary approach toward personal finance. The strategy essentially involves becoming your own bank by utilizing a dividend-paying whole life insurance policy as your bank.

Money Multiplier – Formula, Definition, Supply, Effect, Calculator

Becoming Your Own Banker is a financial strategy focused on your benefits not the banks. A way to grow your financial success using the power of time tested dividend-paying whole life insurance.

How Do Dividends Work?

Did you know that certain life insurance companies in Canada pay dividends annually to their participating whole life policy owners? Since 1848, Canadians who own these contracts have been receiving annual dividends each year without interruption. Yes, even during the Spanish Flu, the great depression, 30 recessions, H1N1, SARS, the financial crisis, and now COVID…

How to Get Tax Free Death Benefit

If retirement is on the horizon for you or a major milestone you want to achieve, set a clear goal, and plan a reward for achieving it to help motivate you. Instead of planning an age or a date focus on a financial target that will produce the quality of life you are looking for.

Learn More About Your TFSA Contribution 2022

The Tax-Free Savings Account or TFSA has become a very popular investing tool for Canadians. The good news for Canadian families is that each adult can contribute another $6000 into their TFSA accounts this year. That is $6000 in total across all accounts. Indeed, you can have multiple accounts, but you are capped to a contribution max. …

Category: Financial Education