INTEGRIS for Financial Advisors

The advisor opens the accounts and manages the assets. They set and receive their usual commission (e.g. 50 - 100 bps) as they would for any other investment account. The investment management fees can be tax-deductible to the plan sponsor.

The advisor continues to own and manage the client relationship. Ongoing administration of the pension plan, back-end reporting, actuarial work and fiduciary oversight rest with INTEGRIS, which has its own in-house actuarial department. Industrial Alliance acts as actuary only for plans held on its insurance platform.

Yes. Please view the repository of brochure options here - https://www.dropbox.com/sh/w4brdd36ngrsrxn/AAAjjWPB9fDnrELaBaF9Nwrma?dl=0 [DropBox Folder].

Yes. The annual fee is invoiced to the corporation and can be claimed as a tax-deductible expense.

No. It is a CRA governed official pension plan that needs a licensed advisor on file, managing the assets. Licenses that qualify include: LLQP, IIROC, MFDA, IFIC, Exempt Market Dealer or Discretionary Portfolio Managers or other securities licence to transact in securities. If you refer the investment mandate to a discretionary portfolio manager, no licence is required at all.

T4 income includes salary and bonus. T4 income creates contribution space in the PPP while dividend income does not.

Unlike group pension plans, 100% of the money in a PPP resides with the pensioner or their family. The company or Professional Corporation sponsors the plan. The trustees hold the assets on behalf of the members and their beneficiaries. No one truly 'owns' the pension plan, since it is a bundle of liabilities/promises and corresponding assets.

Yes, our pension lawyers and actuaries can be retained to provide special consulting services on pension related issues.

No. If the individual is a > 10% shareholder, they are considered a "connected" person and have more flexibility when it comes to contributions in most of the provinces. If they are a non-shareholder or own less than 10% of shares, they are considered "non-connected" and funding is mandatory (other restrictions may apply as well).

No, you do not, however, you will need an employment relationship with a T4 income to qualify.

A Limited Partnership, General Partnership, Joint Partnership (example, law firm) or even a Sole Proprietor could offer a PPP to its employee (ie. wife, kid) if the employee is receiving T4 income. However, the partners themselves or the sole proprietor would not be eligible for a PPP. Why? because they cannot employ themselves and pay themselves T4 income.

Yes, corporate clients who contribute to the Defined Benefit component of the PPP will be granted an extension of 120 days from the fiscal year end of the company to make the contribution and still have it deductible against corporate revenues earned during the company's fiscal year

A pension plan is a retirement plan that requires an employer to make contributions to a pool of funds set aside for a worker's future benefit. The pool of funds is invested on the employee's behalf, and the earnings on the investments generate income to the worker upon retirement.

In addition to an employer's required contributions, some pension plans have a voluntary investment component. A pension plan may allow a worker to contribute part of his current income from wages into an investment plan to help fund retirement. The employer may also match a portion of the worker's annual contributions, up to a specific percentage or dollar amount.

From Investopedia.com

No, you do not, however, you will need an employment relationship with a T4 income to qualify.

A Limited Partnership, General Partnership, Joint Partnership (example, law firm) or even a Sole Proprietor could offer a PPP to its employee (ie. wife, kid) if the employee is receiving T4 income. However, the partners themselves or the sole proprietor would not be eligible for a PPP. Why? because they cannot employ themselves and pay themselves T4 income.

Retained earnings have already faced corporate taxes. As well, they will face ongoing taxation if the annual gains exceed $50,000 CAD. Conversely, PPP contributions come straight from your revenues before they face corporate taxes. This is the power of the PPP.

Generally Yes. One of the main components of a pension plan is an employer / sponsor company that will make contributions towards a plan in which you are a member of.

The company or Professional Corporation sponsors the plan. The trustees hold the assets on behalf of the members and their beneficiaries. No one truly 'owns' the pension plan, since it is a bundle of liabilities/promises and corresponding assets.

There are 2 key instances where a PPP® would not be suitable for a prospect:

1. Individuals who will treat the account as a special kind of short-term savings account to be used towards an upcoming expenditure before retirement. While it is possible to withdraw some funds in a certain situation or even opt for early retirement -- treating the PPP® as a short-term savings account is not the best strategy.
2. Individuals who want to invest all of their money in a single security. If you think you've found the perfect stock and want to leverage all of the funds by concentrating on that stock, you will be prohibited from doing so in a PPP®. Like all pension plans, you cannot hold more than 10% of a single security within your PPP®.

In practice the plan typically pays for itself: contributions and fees are corporate tax deductions, and a pension-entity HST rebate applies on top. The clean way to see your break-even is a quick illustration — get started and we'll run it for you.

Yes, the INTEGRIS PPP® is available in all provinces and territories of Canada

TFSA

You can always contribute to your TFSA at all times, whether you have a PPP® or not.

RRSP

When you participate in a PPP®, this creates what we call 'Pension Adjustments' or PA. The following year, the PA eliminates a lot of the RRSP contribution room generated during the year that contributions we made to the PPP. You have to understand that RRSP contribution room in a given year is based on earned income from the previous year, as such there is a lag.

That said, some RRSP contributions are still permitted in spite of the PA. For example, in the first year, one can contribute to the PPP and to the RRSP. Why? because the PA will only impact RRSP room for the next year. in other words, in the year that the RRSP room was created, the PPP did not exist thus no PA.

So, what can be contributed to an RRSP when a PPP is in place? In the first year: an RRSP contribution using the room you accumulated before the plan was set up (up to the annual RRSP dollar limit for that year). In subsequent years: The RRSP contribution is capped at $600 because of the PA system.

Yes, as long as you are getting a T4 from the organization.

Put simply -- the INTEGRIS PPP® is better in every way. For a full comparison click here

Yes. You can convert the IPP into a PPP® and gain the advantages of having a PPP®. It is an easy process that involves filing an amendment with the regulators and completing a few documents. Click here to get started.

The first $2,000 of pension income received is eligible for the pension credit (reducing the taxes otherwise payable). Moreover, spouses can use the pension income splitting rules to allocate up to 50% of the pension income to a spouse who is not in receipt of a pension, thereby potentially moving the PPP® member's tax bracket to a lower bracket and reducing the couple's overall taxes in the process. When pension income splitting is used, the first $4,000 of pension income can be claimed as a 'pension amount' credit to further reduce individual taxes.

For each member:

• Proof of age – copy of driver's license/passport that shows the name and date of birth
• Latest Notice of Assessment
• Latest RRSP statement for all RRSPs/LIRAs/LIFs/RRIFs etc.
• Document to verify the SIN Number - e.g. a T4 slip or a notice of assessment if the full SIN number is available.
• T4's for every year buying back past service (PLEASE NOTE THIS CAN TAKE UP TO 6 MONTHS – TIPS ON HOW BEST TO OBTAIN T4s BELOW)

For the company that is sponsoring the plan:

• Articles/Certificate of Incorporation for the company
• Document to verify the CRA Business Number of the company that is sponsoring the pension plan – e.g. the first page of a corporate tax return or the T4 slip that shows the employer number

Tips for obtaining T4s:

• Request from your corporate accountant
• Request through the CRA website
• Contact CRA by phone 1-800-959-8281
• Use CRA Form AUT-01 to request on your clients' behalf (can take 4-6 months)