6 Financial Considerations When Growing Your Business

Taking the next step with your business can be just as vital to its success as your first day of operation. As any owner knows, finances are central to commercial viability-- but there is much to consider when growing your business. Keep reading for Liu & Associates’ introduction to the complex financial needs of business growth. #1: Does your business have the appropriate funding? Unless you have considerable savings or borrowing power, growing your business requires a considerable influx of capital. If you are searching for investors or elsewhere for funds, make sure they honour your values and share the ...Read More

COMPANION CREDIT: Can Pet Expenses be Tax Deductible?

Everyone thinks their pet is the best… and they are right! This is common knowledge for most animal lovers and owners, but can your animal companion actually earn you tax credits? The short answer is no: Bella, Fluffers or Mr. Pickles likely does not qualify, no matter how good they are at cuddling or looking cute. Still, there are some cases where a portion of buying, training or feeding an animal can be used as a deductible. Keep reading for Liu & Associates’ guide to some of these benefits! ANIMAL THERAPY OR SERVICE ANIMALS Usually listed under medical expenses on ...Read More

Family Trusts 101

One of the most common misconceptions people have about family trusts is that they’re only for incredibly well-off families. That couldn’t be further from the truth. Keep reading for our introduction to family trusts and how they can be beneficial to you! What is a family trust? A trust fund or family trust is a legal agreement two parties in regards to assets to be passed on. A trust can contain money, stocks, real estate, and/or other assets. There are three parties involved in establishing a trust fund: The settlor or trustor - this is the person or entity who ...Read More

7 Most Forgotten Tax Credits, Benefits and Deductions

  While freelancers and business owners may be quite familiar with tax credits, benefits and deductions-- it is no guarantee that you are getting everything that could be owed to you. Also, these opportunities often apply to anyone filing taxes… even if they did not earn any professional income in a given year. Keep reading for our top seven most forgotten and overlooked tax credits, benefits and deductions!   #1: Income-related costs No matter how you earn your living, if you make taxable income-- you are eligible to claim certain costs incurred in pursuit of it. While self-employed taxpayers are ...Read More

What’s in a Year: Fiscal vs Calendar Years

When it comes to running a business, a new business owner may overlook the fiscal year or tax year. While many business owners may default to utilizing the calendar year as their fiscal year, there may be advantages to choosing a different time period. What’s the difference A calendar year is relatively self-explanatory: January 1 to December 31. A fiscal year be any chosen start and end date within the calendar year as long as it is no longer than 53 weeks or 371 days. For example, a business that incorporates on July 1, 2018 could choose a year end ...Read More

RESPs: What you should know

It’s no secret that the cost of a university education continues to increase every year. Planning for your child’s education now allows you to save as much as possible to give them a step up when it comes to post-secondary costs. What is an RESP? RESP stands for Registered Education Savings Plan. These are plans that allow parents to put aside money for their child’s education. RESPs aren’t limited to just a child’s parents. Any adult is able to open up and contribute to an RESP on behalf of a child. The first iteration of an RESP dates back to ...Read More

Working from Home: What can you claim on your tax return?

Nowadays, business and their employees are connected more than ever-- allowing increased flexibility when, where and how people complete their work. Also there is a rising number of people whose main income is self-employment, which has blurred the lines between are personal spaces and the workspace. Income tax law has always accounted for those that make their living from their living room… or anywhere else in the home for that matter! If you work from home or are self-employed, do not overlook the credits you can claim on your income tax return. For more information, read on for four fantastic ...Read More

How Your Business Can Benefit from a Bookkeeper

Bookkeepers and accountants are similar but they have different duties, even though the terms are often used interchangeably. Qualifications and education aside, just how much the two professions handle the scope and complexity of a business’ finances is the main division between them. If you are unsure if you require the services of an accountant or a bookkeeper, refer to Liu & Associates’ related articles to find out more. Once you have identified your business and financial needs, refer to the information below to learn how your business can benefit from a bookkeeper.   BOOKKEEPING COSTS Only you can decide ...Read More

3 QUESTIONS: So You’ve Been Selected for a Tax Audit

  As you may know, sometimes individuals or businesses are selected for an audit by the Canadian Revenue Agency (CRA). What you may not realize are the varied consequences that can occur should you not be adequately prepared. For a start, consider Liu & Associates’ three most common questions about tax audits. After that, bring your questions or concerns to one of our financial professionals today!   “How was I selected for an audit?” CRA agents do not select audit candidates at random, they use a system of risk assessment that identifies returns that could be considered “high risk.” Some ...Read More

What age should you start saving for retirement?

Roughly half of all Canadians have some form of savings that they plan to use in retirement, not including any pension or social security that may (or may not) be available to them. While this may seem like a lot, it is not nearly enough! Many people procrastinate the process of putting away paychecks-- even if you have a sizable savings account, your money could be earning you more than the modest interest offered by most banks. Keep reading for a few retirement savings tips from Liu & Associates!     EARNING POTENTIAL Throughout all professions and ways to make ...Read More