We know most people will make it to retirement without suffering a major illness but if you are one of the unlucky ones, what happens now?
Would you forego 1% of your annual rate of return to eliminate this risk?
Sure, you could use your savings or take out a loan to cover the unexpected costs, however, both options will have a significant impact on your retirements plans. If you need to access your registered funds, they are taxed in the year you use them. Accessing those funds prior to retirement is not part of your plan.
Pass on that risk to an insurance company. They will take care of the rest with an illness recovery benefit. This is a tax-free lump sum payment to cover any number of unforeseen expenses. No need to submit receipts or to justify the costs.
Keep your retirement goals on track
If you are diagnosed and survive a major illness like cancer, heart attack or stroke, you receive an illness recovery benefit payment. This will keep your retirement goals on track.
Below is an example of a typical 40-Year-old, on track, saving for retirement.
After diagnosis, he/she needs to access 100k from their registered account at age 55 to cover additional costs associated with fighting an unfortunate cancer diagnosis. The impact is significant:
Take 1% of your annual rate of return to pay the premium. Your future self and family will be grateful if the worst happens.
902 940 5927 | Call Us at Atlantic Business Federation for more information or talk with one of our licensed advisors to go over all your options.
If you’re looking to staff up this summer, there’s a program for you!
Applications are open until January 29 for the Canada Summer Jobs subsidy, which can help you to hire young people (15-30 years old).
With COVID-19 still wreaking havoc on small business owners and their staff, the government is specifically prioritizing small businesses affected by the pandemic – so take advantage of the funding available to you!
Canada Summer Jobs 2021
For CSJ 2020, the Department introduced temporary flexibilities to respond to the needs of employers and youth in the context of the COVID-19 pandemic. The program will continue to offer these temporary flexibilities for 2021 in order to continue to support employers and youth. The following temporary flexibilities will be in place for CSJ 2021:
You can submit your application(s) in several ways:
Good news: you can now apply for the federal government’s improved rent subsidy program!
What is the new program?
The Canada Emergency Rent Subsidy (CERS) will reimburse eligible businesses up to 65% of their rent expenses, depending on how much revenue they’ve lost as a result of COVID-19.
If you’ve been forced to close your doors by a public health order, you could also qualify for a top-up, bringing your subsidy to 90%.
How much am I eligible for?
It depends on how much revenue you have lost and whether you own or rent the building. Check out our CERS website to better understand how the subsidy is calculated. You can also use CRA’s CERS calculator to find out how much you qualify for.
Please note that you can apply for the subsidy retroactively to September 24, so make sure you get everything you are eligible for!
How do I apply?
You can apply in two ways:
Unlike CECRA, it does not require your landlord’s involvement, so it is much more accessible.
The Canada Emergency Rent Subsidy (CERS) provides easy-to-access rent and mortgage support direct to eligible renters and property owners until June 2021.
Latest Update - November 23rd, 2020: The new CERS and Lockdown Support supports are open for applications. Apply through the CRA for claim period 1: September 27th to October 24th.
What is the Canada Emergency Rent Subsidy (CERS)?This financial support replaces the Canada Emergency Commercial Rent Assistance (CECRA) program. CERS helps businesses, charities, and non-profits that have suffered a revenue drop due to COVID-19. It subsidizes a percentage of your expenses, on a sliding scale, up to a maximum of 65 per cent of eligible expenses until June, 2021. Hard-hit businesses subject to a lockdown could receive rent support of up to 90 per cent.
There is no minimum revenue drop required to qualify for the subsidy.
Apply through the CRA
If you have set up direct deposit, you can generally expect to receive your payment 3-8 days after filing your claim.
Who is Eligible?
This subsidy will provide payments directly to qualifying renters and property owners, without requiring the participation of landlords.
To be eligible, you must:
Get full eligibility details.
What is Lockdown Support?
The CERS program includes a new, additional Lockdown Support of 25 per cent for businesses that must shut their doors or significantly limit their activities under a public health order issued under the laws of Canada, a province or territory (including orders made by a municipality or regional health authority under one of those laws).
Combined, this would mean that hard-hit businesses subject to a lockdown could receive rent support of up to 90 per cent.
See more about Lockdown Support eligibility and subsidy amounts.
You can apply for a portion of eligible expenses relevant to each claim period for each qualifying property.
A qualifying property is one that you:
Get full details of eligible expenses.
Calculating Your Subsidy
Use the Government of Canada CERS calculator to find out how much your rent subsidy may be. The calculation takes into account:
Calculate your rent subsidy.
Important DatesA CERS application must be filed no later than 180 days after the end of a claim period. This support program is due to end in June, 2021.
Learn more about the CERS claim periods.
Keep informed on PEI Business news at PEI Business Federation.
902 940 5927
We provide group benefits and services to PEI Business & their valued employees.