🔑Moving registered assets to tax-free accounts minimizes tax liabilities and maximizes retirement income.
💼Taking advantage of non-arm's length mortgages allows for tax-deductible interest payments.
💰Utilizing taxable accounts for mortgage investments provides higher returns.
🏦First mortgages offer competitive rates, while second mortgages have a higher risk position.
🔄Regular withdrawals from registered accounts can be used to make mortgage payments.
Why would anyone want to move assets from registered accounts to tax-free savings accounts?
—By doing so, individuals can reduce tax liabilities and enjoy tax-free growth and withdrawals.
What is a non-arm's length mortgage?
—It is a mortgage on your own property that you invest in, allowing for tax-deductible interest payments.
Why are second mortgages charged a higher interest rate?
—Second mortgages have a higher risk position, resulting in higher interest rates.
How can regular withdrawals from registered accounts be used to make mortgage payments?
—Withdrawn funds can be used to make mortgage payments, reducing the impact on retirement income.
What are the advantages of this strategy for retirement planning?
—The strategy minimizes tax liabilities, maximizes retirement income, and provides higher returns on mortgage investments.
00:00Introduction and explanation of the strategy to optimize retirement income.
06:22Overview of the differences between registered accounts (RRSP) and tax-free savings accounts (TFSA).
10:28Explanation of the strategy involving the sale of investments and the setup of a personal mortgage.
13:53Discussion of the benefits and risks of first and second mortgages.
18:15Explanation of how regular withdrawals from registered accounts can be used to make mortgage payments.
