Whether you’re an employee or business owner, there is no escaping the taxman. However, sometimes not being savvy with number crunching or being caught up in the daily grind can mean financial reporting takes a back seat.

As your net worth begins to increase, it brings newfound prosperity. However, it can also be a challenge to manage your cash flow, file taxes efficiently, and prepare budgets. So hiring the services of a prudent accountant can be the perfect solution.

All of us at Prospera Chartered Accountants wish you a relaxing and joyful time with your family, and we hope 2020 is a year of success in your business and personal life.

We would like to inform our clients that during this holiday season, we will be closed from December 24, 2019, to January 2, 2020. 

From all of us at Prospera Chartered Accountants, we wish you a very Merry Christmas, a joyous holiday season and a prosperous New Year 2019!

We are delighted to announce the launch of our new website!

New Website Coming Soon!

One of the basic purposes of any business is to generate a sufficient profit to allow the owner to pay their personal bills. The joy of owning your own business is the ability to control how you take that compensation.

Many entrepreneurs start their business as consultants or suppliers to one major customer. However, if you continue in business with only one customer or client you run the risk of being classified as an employee, not a contactor, by CCRA.

If you are a proprietorship, i.e. an unincorporated business, it could not be easier. Just write yourself a cheque. A proprietorship pays tax on the profits of the business, before taking account of owner’s draws.

There are three basic areas I want to highlight which I have found are most commonly misunderstood or attract the most questions.

Brian and Maria are 35 and have just had their first child. Maria works for a large Oil Company in Calgary in an administrative role and makes $40,000 a year. Brian is self employed, also working in the oil patch in a job that is subject to the ups and downs of world oil prices.

Ken and his wife Tracy (both approaching 40 fast) came to Prospera to discuss financial planning and their desire to appease their mid life crisis by buying their hearts desire, a convertible BMW, price tag $80,000.

Building substantial personal financial assets is not dependant on the size of your income or how much you will inherit from a wealthy uncle. It is not even about winning the lottery.