Ask the Money Expert - Answering Personal Finance Canada Reddit Questions

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  • Опубліковано 28 вер 2024

КОМЕНТАРІ • 11

  • @jdreamhunter
    @jdreamhunter 9 місяців тому

    Hi Jessica! Can you make a video (or do you have any) about paying taxes as self employed in Canada while living in another country for longer periods? Let's say I want to spend a year (or less) in Thailand or Indonesia (a girl can dream!) and keep working on my online business or freelancing. Do I need to register as self-employed in Canada before going on a long trip? Or open an LLC? Or is it better to open an LLC somewhere else where taxes are lower? Someone told me that you have to pay taxes in Canada even if you leave elsewhere (but have, say, a bank account in Canada or other ties) so there is no difference, really?

    • @jessicamoorhouse
      @jessicamoorhouse  9 місяців тому +1

      An LLC doesn't exist in Canada, it's only a thing in the U.S. If you choose to work abroad temporarily, then you'd likely become a factual resident. More info can be here about taxes for factual residents: www.canada.ca/en/revenue-agency/services/tax/international-non-residents/individuals-leaving-entering-canada-non-residents/factual-residents-temporarily-outside-canada.html

  • @kedakai
    @kedakai 4 місяці тому

    Hi Jessica, I have a low income so I have been discouraged from getting an RRSP. But the more I learn about it the more I'm questioning why people have been discouraging me to get one. I've maxed out my TFSA and FHSA. I am trying to find a home now but I will still have some money left for investing. Wouldn't it make sense to invest with an RRSP for the deferred taxes? As it stands now, the money I have is in a non-registered account and any growth is shown as income which I had to pay taxes on 😮‍💨

    • @jessicamoorhouse
      @jessicamoorhouse  4 місяці тому

      Great question, I think in general, especially if you feel like your income will increase and you'll be bumped into a higher tax bracket in the future, an RRSP is a great place to invest inside and defer taxes. You could always contribute to an RRSP today and then claim those deductions later (you don't have to claim them in the same year you made those contributions, you can hold off years into the future if you want to get the most out of them). With that said, you've got to think about what tax bracket you think you'll be in when you're retired. If it's similar to your current tax bracket, although yes you'll be paying tax on that money later and not now, you'd still end up paying the same amount of tax when you pull money out of your RRSP. Also, inside a taxable account, there are different tax credits you can use to reduce the amount you on dividends but also there's the benefit of only paying tax on 50% of your capital gains, whereas in an RRSP, when you pull that money out, any capital gains are taxed 100% at your marginal tax rate.

  • @anjulisajames7372
    @anjulisajames7372 Рік тому

    Can i take bulk amount from my business account for incorporation to my personal account

    • @jessicamoorhouse
      @jessicamoorhouse  Рік тому

      Sure, but you have to decide are you paying yourself a bonus, salary, or dividend as there are different tax rules for each.

  • @shapeoftimes
    @shapeoftimes Рік тому

    Hello, great channel! I have a YT channel too and would like to start monetizing. I live in Ontario, Canada and the question is: should i open a sole proprietorship with my legal name? And then can I operate the YT channel Shape of Times under this? Or can I maybe add a second channel with a different name? Thank you!

    • @jessicamoorhouse
      @jessicamoorhouse  Рік тому +1

      You can simply use your legal name as your sole proprietorship for your UA-cam channel. The channel name doesn't have to match your business name (my channel name is Jessica Moorhouse but my business is actually MoorMoney Media Inc.).

    • @shapeoftimes
      @shapeoftimes Рік тому +1

      @@jessicamoorhouse Thank you!

  • @skziaultasyoutubechannel8171

    How nice