The Family Cottage
Summer season is upon us and if you are one of the many Canadians who are lucky enough to have a cottage or summer property, likely you have been enjoying nights by the fire, days on the dock and quality time with your family. We thought this would be a great time to also share some financial planning topics you may want to consider that specifically relate to the family cottage. We hope the following articles are helpful with any financial plans you may have being thinking about with regards to your cottage.
Sharing the Family Cottage While parents are alive and involved, they usually make the final decisions relating to the family cottage. When they are no longer involved, differences of opinion among children may escalate to disputes... Full Article
Transferring to a Family Member When passing down the cottage, planning ahead can prevent the disputes that lead to rifts between family members. Ideally, all of the interested parties should be brought into the discussion so that the tax, legal, and family implications are considered and dealt with together. Read on to find out more... Full Article
Using a Trust A trust can be a very useful and flexible planning tool when it comes to passing on a cottage to future generations. It helps give you some control over how the cottage is used after you pass—and can reduce the tax burden on your beneficiaries. Find out more... Full Article
Insurance Owning a cottage brings responsibilities for adequate property insurance and liability coverage. Life insurance is also appropriate if you intend for the cottage to be inherited without the inheritors needing to pay your capital gains tax... Full Article
The most important tip of all may be to remember to have fun and enjoy your getaway! As always, I would be pleased to meet with you to answer any questions and to review your evolving financial needs. Thank you, Andrew