Stanley is a busy Obstetrician/Gynecologist who, over the years, has accumulated sizable capital within his corporation. He is beginning to think about retirement and estimates that in another 15 years he would really like to slow things down. He would also like to move some money out of his corporation to fund some personal projects that he is passionate about, however he is worried about the tax implications.
It was important for us to ensure that we understood his corporate structure and what he was trying to achieve. This allowed us to visualize how any decisions made would affect him and his ability to achieve his financial goals and priorities. We worked with his tax professional to outline different “what-if” scenarios and potential outcomes. Together we designed solutions that:
● Allowed him to withdraw assets from his corporation tax-free
● Took advantage of corporate asset-transfer strategies that allows a tax-free transfer of his assets from his corporation to his beneficiaries upon death
● Addressed his retirement planning needs to ensure his retirement is well-funded
Working with his CPA, we were able to mitigate the tax consequences for taking funds out of his corporation. The solutions we implemented helped to protect his savings while creating an income stream that will continue to fund his personal projects. He is well on his way to a well-funded retirement and we continue to meet with him regularly to ensure he stays on course.