Ep.028: The Downsides of Using Family Trusts

Summary

In this episode of the Millennial Money Canada podcast, hosts Guillaume Girard and Sam Lichtman, along with guest Mohammed Al-khooly, discuss various financial topics ranging from personal achievements in ultra marathons to misconceptions about the Canadian tax system, particularly regarding inheritance taxes. They delve into the complexities of family trusts, exploring their benefits and drawbacks, and discuss when they are appropriate for individuals and families. The conversation also touches on the importance of financial planning and the implications of prenuptial agreements in relation to trusts.

Topics Covered in this Episode

00:00 Introduction and Personal Accomplishments

06:12 Understanding Canadian Tax Misconceptions

15:26 Exploring Family Trusts: Basics and Benefits

32:40 Navigating Capital Gains and Business Sales

33:08 Competing Interests in Family Business Planning

34:29 Understanding Trusts and Associated Corporations

36:00 The Complexity of Trusts in Family Dynamics

39:25 When Trusts Are Not the Right Fit

40:34 Trusts for Special Circumstances

41:53 The Suitability of Trusts in Financial Planning

42:42 Professional Perspectives on Trust Recommendations

47:23 Trusts and Divorce Protection

49:53 Prenups vs. Trusts: A Personal Perspective

55:46 Investing in Relationships vs. Legal Protections

Millen Wealth AdvisorsWebsite: https://www.mwadvisors.ca/

Co-Pilot Tax

Website: https://copilottax.ca/

Canadian Tax Guy: https://x.com/canadataxguy?lang=en

Follow us on Social MediaPodcast YouTube Channel: https://www.youtube.com/@MillennialMoneyCanadaPodcastSam’s TikTok: https://www.tiktok.com/@millennialmoneycanada?lang=enSam’s LinkedIn: https://www.linkedin.com/in/sam-lichtman/Guillaume’s Instagram: https://www.instagram.com/financialplannergui/Guillaume LinkedIn: https://www.linkedin.com/in/guillaume-girard-cfa-cfp-08487170/

KeywordsFinancial planning, tax system, family trusts, estate planning, ultra marathons, Canadian tax misconceptions, wealth management, inheritance tax, personal finance, financial education

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