Will you be flying south this winter to spend some time in the warm parts of the U.S.? You’ll have arranged to get your snow shovelled and mail picked up, but what about some of the small details of financial planning?
Banking. Arrange to do your banking through ATMs, the Internet, or telephone. List all your upcoming bills and make plans to pay online, through pre-authorized payment, or otherwise.
For easy access to U.S. funds, consider opening a U.S.-dollar chequing account if you don’t already have one.
Income planning. For a steady stream of income from your Registered Retirement Income Fund or other investments, you can establish a systematic withdrawal plan, with automatic deposit of payments.
You can also arrange for direct deposit of Old Age Security or Canada/Quebec Pension Plan benefits.
Out-of-country health insurance. Comparison shop for supplemental private medical protection — similar coverage can vary in price from provider to provider.
Tax planning. For tax purposes, make sure you understand the “substantial presence test,” which is used to calculate the number of days spent in the U.S. over a three-year period. The test is based on the following criteria: the number of days you are present in the U.S. in the current year, plus one-third of the days present in the preceding year, plus one-sixth of the days present in the second preceding year. If this totals 183 days or more, and you have spent more than 31 days in the U.S. during the current year, you will be considered a U.S. resident for tax purposes.
Remember to see your advisor before you leave to discuss any short-term issues and to ensure they have contact information on file in case anything arises.
This communication is published by CI Global Asset Management (“CI GAM”). Any commentaries and information contained in this communication are provided as a general source of information and should not be considered personal investment advice. Facts and data provided by CI GAM and other sources are believed to be reliable as at the date of publication.
Certain statements contained in this communication are based in whole or in part on information provided by third parties and CI GAM has taken reasonable steps to ensure their accuracy. Market conditions may change which may impact the information contained in this document.
Information in this communication is not intended to provide legal, accounting, investment or tax advice, and should not be relied upon in that regard. Professional advisors should be consulted prior to acting based on the information contained in this communication.
You may not modify, copy, reproduce, publish, upload, post, transmit, distribute, or commercially exploit in any way any content included in this communication. You may download this communication for your activities as a financial advisor provided you keep intact all copyright and other proprietary notices. Unauthorized downloading, re-transmission, storage in any medium, copying, redistribution, or republication for any purpose is strictly prohibited without the written permission of CI GAM.
CI Global Asset Management is a registered business name of CI Investments Inc.