Retirement & Investment Planning

Retirement Planning

We realize everyone has a different view of what “retirement” is, where they want to be when they retire and how they see themselves getting there. A retirement plan built specifically for you can help you achieve your dreams. It should make sense and fit with where you see yourself today, and down the road.

Financial Heights Inc. creates comprehensive retirement plans by 1) understanding where you are today, 2) establishing where you want to go from here and, 3) perhaps most importantly, planning how to get there.  Once we have your retirement plan in place, regular reviews will help ensure we are adhering to the plan and if necessary, making adjustments to keep up with life’s unexpected changes.

Investment Planning

There are many choices and options when creating an investment plan which can sometimes be overwhelming for the average person. We can help clarify what you may already have or create an investment plan designed to meet your needs.

The main types of retirement and investment products we offer include:

  • RRSP (Registered Retirement Savings Plan) – Contributing money to an RRSP can lower your income in a particular year and allows your contributions and capital gains to grow tax-deferred. You pay tax on earned income and capital gains when withdrawn.
  • RRIF (Registered Retirement Income Fund) – this is one solution to converting your RRSP when you are ready to draw an income from them, by no later than December 31 in the year you turn age 71. Your money continues to grow tax-deferred and you pay tax on the income you receive from this income option.
  • TFSA (Tax-Free Savings Account) – A type of plan that allows you to earn investment income from eligible investments tax-free (including capital gains). A TFSA can help you save for a large purchase or supplement your retirement savings plan. Unlike an RRSP, you do not receive a tax deduction on contribution made to the plan and withdrawal from the plan are not taxable.
  • LIRA (Locked-In Retirement Account) – allows your money (usually from a previous employer’s registered pension plan) to grow tax-deferred but has restrictions on when and how you can access this money.
  • LIF (Life Income Fund) – this is what you convert your LIRA (or money directly transferred from your pension)  tax-deferred to when you are ready to draw an income from it, no later than December 31 in the year you turn age 71. Your money continues to grow tax-deferred but the income you drawing is taxable. There are also legislated minimums and maximums on the amount of income you can draw from this account.
  • Non-registered  – For income tax purposes, interest, dividends and capital gains/losses earned are not tax-deferred and must be included as taxable income by the policy owner in the year they are earned.
  • RESP (Registered Education Savings Plan) – a great way to save for post-secondary education; this plan allows your money to grow tax-deferred and the federal government provides a 20, 30 or 40% grant (dependent on family net income) on the first $500 contributed, and a 20% grant on the next $2,000 contributed annually, to a lifetime maximum of $7,200.
  • GIO (Guaranteed Investment Option) – performs a similar function to a GIC (Guaranteed Investment Certificate).  GIOs provide a guaranteed rate of return on the original amount invested provided there are no redemption’s, with guaranteed rate options such as one or five years. This product protects your principal and is only offered through insurance companies.  A GIO with a named beneficiary gives you the additional benefits of an insurance policy such as bypassing probate, legal and other estate fees on death.
  • Mutual Funds – Allow investors to pool their money together with other Canadians who share similar investment objectives. Professional fund managers make the daily decisions based on the objective of the fund. Mutual funds range from lower risk fixed income funds to higher risk specialty equity funds.
  • Segregated Funds Policies – Like a mutual fund, a segregated fund is a pool of money from thousands of investors which professional fund managers invest in a variety of individual securities. But unlike a mutual fund, a segregated fund policy is only available through an insurance company. Also range from lower risk to higher risk and offer benefits such as potentially guarantee your income for your lifetime, protect your capital investment and bypass estate and potential probate fees along with the potential for creditor protection not available with mutual funds.
    Any amount allocated to a segregated fund is invested at the risk of the policyholder and may increase or decrease in value.
  • Corporate Class Funds – a type of mutual fund that offers opportunities for tax efficiency for your non-registered investments. Also offered in different asset classes and risk levels depending on your investment objective.
  • Payout Annuities – These can provide guaranteed payments to meet your fixed-income needs. A payout annuity is a  financial product that pays you a regular income for a fixed period or the rest of your life. We offer a wide range of payout annuity types.

So whether you are planning for your retirement, living your retirement, or saving for your child’s education, Financial Heights Inc. can help you choose the investment solution to help meet your personal goals and objectives.

Make your investment decisions wisely. Important information about mutual funds is found in the funds’ simplified prospectus. You can obtain a copy of this from your investment representative. Please read this carefully before investing. Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated. Unit values and investment returns will fluctuate.

If you have any questions or would like to set up a meeting please *contact us.