If you are in the top tax bracket and you fail to order your affairs to minimize tax, then over half of your marginal income goes to the government in income tax.
Of what’s left, some goes to various governments in the form of sales tax, property tax, fuel tax and user fees. And if you own a business, its income is taxed first and then when you extract what is left it is taxed again personally.
Taxes are a highly destructive and direct charge against your wealth.
Indirect tax, in the form of inflation is the silent killer. Inflation is a monetary phenomenon caused by “soft money” policies. In general, soft money refers to “fiat currency”, printed by central banks to fund government spending. For Canadians, soft money comes in the form of “Loonies”. As new Loonies get printed, the existing Loonies that store your wealth become less valuable. This inflationary force isn’t a direct hit to your wealth the way taxes are, but it slowly and surely destroys your wealth over time.
My 30-year career seems to have been intelligently designed for Red Jacket, but in reality it was evolution. I studied business at Ivey and law at Queens, and then learned both on Bay Street as a corporate litigator at Stikeman Elliott. I have spent the past two decades advising private clients at
BMO Nesbitt Burns and investing in new ventures, with over 20 start-ups and early-stage companies. My thirst for knowledge isn’t easily satisfied. I’m currently pursuing my Masters in Taxation Law at Osgoode Hall and in my spare time building an expertise in Bitcoin. As a friend and mentor says, relationships matter. That idea seems to animate our firm. We are students of human interaction and look to build rich relationships with our entire network. Ken and I are the best of friends over a lifetime. Our collective experience allows us to share our impact and influence so that our clients will flourish.