Quote:
Originally Posted by Slava
Well yeah, these things aren't appropriate for everyone/everything. But if you have a PC (for example) an IPP is a pretty useful strategy at times. I don't know if that's quite what you're getting at as an owner/manager corporation though?
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I meant that in general for most small corporations. A corporation that is like OP's which is just himself is unlikely to use an IPP vehicle, no? You just withdraw and declare income over a period of time?
Sorry, by owner/manager corp, I meant sole shareholder corporations.
Pardon my ignorance on IPPs, but I thought you're more likely to use an IPP vehicle if you have multiple individuals in a corporation and those individuals continue on the business after said person retires? I would assume the gist is that if your business lives and dies with you as the sole shareholder, then you're less likely to pay a high fee to set up an IPP. You'd do a combination of RRSP and deferred salary and management fee based on tax brackets, right?