Insurance

Question 1

Taxation of life insurance proceeds at death?

Answer 1

Not taxable

Question 2

Two types of life insurance

Answer 2

Term and permanent (AKA whole or universal)

Question 3

Taxation of life insurance policy cashed out?

Answer 3

Taxable

Question 4

A reason to name a beneficiary other than estate on life insurance policy? (beyond avoiding probate)

Answer 4

protection from creditors during your lifetime and after

Question 5

Requirements for CPP disability?

Answer 5

1. CP conts in 4 of last 6 years
2. Unable to work ANY job due to prolonged medial reasons
3. May need to undergo medical exam
4. Need to provide medical evidence

Question 6

CPP disability if you have already started taking CPP?

Answer 6

Yes, Post Retirement Disability Benefit is available to those 60-65 (it is a supplement). Stops at 65

Question 7

How is CPP disability calculated?

Answer 7

A flat rate (~558) plus 75% if retirement earnings (if you reitred today) up to a maximum (~1546)

Question 8

In addition to prov & fed CPP tax credits, and deduction on the enhanced CPP, what do self-employed individuals et?

Answer 8

A deduction through their business on CPP paid.

Question 9

What is CPP second additional pension?

Answer 9

Beginning in 2024, earnings above YMPE will participate at 4% into an enhanced CPP plan