My dad died three weeks before his 65th birthday. He had already started the paperwork enough time ahead of his retirement.
Durham Area Spas...
- Thread starter giggleballer
- Start date
True, poor choice of words. Non CPP pensions are split "on paper" at tax time,. CPP splitting is done at source and each partner receives their share directly from the government.
You’re forgetting spousal RSP’s which are a huge advantage upon retirement. Maybe that’s what you meant by RIF but a RIF in itself cannot be split.
You're right, I forgot about the spousal RSP option. But that's not what I meant.
As you likely know, funds in an RRSP have to be withdrawn by the end of the year you turn 71. You can either withdraw them all at once and pay the tax, convert to an Registered Retirement Income Fund, or purchase an annuity. The income from an RRIF or annuity can be split for tax purposes.
Would you not be eligible to claim the $2000 COVID benefit per month for 4 months if you stopped working as of March 15th? If you made at least $5000 last year and file your tax returns then as a self proprietor you would be eligible for this benefit? Is this correct? Obviously $2000 month is only a fraction of what you make in a month but still better than nothing if you stopped working completely. Just remember to keep approximately $2000ish aside next year when you file your 2020 income tax as it’s a taxable benefit and not deducted at source.
Let’s not forget the sex workers who don’t even file their taxes yet have disability income of about $1500 coming into them every month for a fraudulent illness. More than once I met an SP in Durham who rely on disability income and turn tricks. These same scammers will be applying for the $2000 CERB benefit. There are good legit SPs like Jessica but majority of the girls are scammers dipping into disability income and working as SPs. Depression and anxiety is the main reason for their disability. Money intended for real people with real mental health issues is being hijacked by these scammers.
Ummm.... I'm sure you are condemning anyone who fraudulently uses any social service money. Like all the guys who live with women who collect and live in housing while working their 80K + job, not paying a dime in rent. Or all the guys who work trades with a side hussle they don't pay taxes on at all either.
Secondly, if you are on ODSP you can't get the CERB. None of those relief things are for you except like $200 if you have kids in school to help with homeschooling. Oh and please try living off less then $700 for personal needs. That is all bills minus rent, so food, some meds, phone bills, internet, transportation, etc. More if you have kids but not much more. Less if you are on Ontario works. It is like half of you are on Ontario works. If they were given an actual living amount, maybe caring for their mental health would be able to be their priority.
Lastly, you can't call anyone's mental illness fraudulent unless you're a doctor. Depression and anxiety is very real and very much an issue for many people. Sorry but I'm a huge Advocate for mental health. I just can't stand when people automatically assume anyone with anxiety and depression is full of shit.
Now while I get what you are trying to say, I think you could have tried to say it better instead of just using the post to bash SPs. There are many great SPs and many who scam. There are many great tradesmen and yet many who scam. There are CEOs that have scammed many a loop-hole in tax law, banking systems in other countries. So let's either condemn all or maybe just not knock SPs while their down right now. I'm just a call all or none type at the moment.
PS as to your other post, please look at the government website. There are fines of reliefs funds for different people and their types of employment. I'm not applying for any of them so I can give you the finer details of them.
People with depression commit suicide all the time. People with severe anxiety or depression can't function at all in a traditional workplace. I have personal experience with both.
Yes, people scam ODSP all the time. Some of them fake or exaggerate mental illness to do so. But don't think for a moment that depression and anxiety aren't real mental health issues.
Not really. Each partner would have their own RSP which then gets converted to a RIF, mandatory at 71. The benefit is, for example, two RIF’s at $500,000 grand each vs one at $1,000,000. Nothing gets split as mandatory withdrawals are made each year.
In a spousal plan, yes. Basically that's pre-retirement income splitting.
But pension splitting (post-retirement) rules since 2007 allow one partner to take 100% of the income from that $1,000,000 RRIF and then allocate up to 50% of it for tax purposes to their spouse. Just fill out form T1032.
Even better, if my spouse is younger, I can allocate this percentage even before they turn 65, and the split percentage can be changed annually if the spouse's income changes (for example, if they start collecting their own pension.)
If the spouse was receiving CPP, the surviving spouse is entitled to survivors benefit, roughly half of what was paid to the CPP recipient.
Two different things. One time $2500 death benefit is paid to the estate for funeral expenses. The survivor's pension is an ongoing payment (60%, usually) made to the spouse.
