Suggestions
Canadian Professional Corporation
Add account type to invest and tax Canadian professional corporation’s yearly retained earnings appropriately.
Add account type to invest and tax Canadian professional corporation’s yearly retained earnings appropriately.
I’d love this too. Income from us self-employed people would be great in LP… it can be complicated… a way to set gross revenue of my corporation (hourly x hours, fixed amounts, etc) plus way of then deducting an amount as “salary income” and “dividends” to me personally (which then become incomes), and then a final other expenses to the business entry – this will then give you net income by applying your avg corp tax rate, and then the remaining “retained earnings” you leave in the corporation are savings and investments with a unique % return. Keep it high level but a series of adds and deducts - like your rental property calc sheet.
Seconded! My wife is a medical professional and the majority of our investments will end up being in her corp for tax deferral purposes. I’m currently using the RRSP account as a rough analog but this omits the ability to properly track the Canadian tax integration scheme and the ability for both of us to withdraw from the corp after age 65.