Are you prepared for your death?

By Vicki Winger

Today, most people are on auto-pilot and coast along in their busy lives. We only see from one day to the next without looking into the future. That future is the end of one’s life. It’s not a topic that is easily discussed, nor do people want to, but it’s one that needs to be done.

Last Thursday evening, a free public forum was held at the Seniors Circle with that very topic being discussed by a panel of experts. The forum focused on several issues, but boiled down to what happens when we die? Do we have our affairs in order? Do we know what happens with the property, wills, and money? To answer these questions and get people thinking, professional guest speakers were there to discuss the various financial woes that can occur after death and how to avoid them and make it as easy as possible.

Realtor Leo Zelinski spoke about property titles and probates. Real issues can arise in transferring titles if you’re not correctly set up. It’s not as simple as putting who gets what in your will. Having it done this way can cause many issues, delays, and much-wasted money to sort it all out. There’s more to it than that which can only be done by talking to a professional and pre-planning.

Lawyer Dennis Denis touched on executors, power of attorney, wills, and living wills and what each one provides for. He clarified misconceptions surrounding wills. Denis stressed that everyone should have a will regardless of age. It’s a minimal cost to get one compared to the thousands that could potentially be paid out after the fact just to resolve some of the issues that arise from not having one.

Financial Advisor Clifford Mertick shed some insight regarding money, RRSPs, and life insurance that needs to be dealt with after one passes away. Some money is taxable while some is not. The reality is that when all assets are valued, most people don’t consider the government and the 40 to 50 per cent taken off the top. To avoid certain taxes, it’s best to speak with a financial advisor about your assets and get advice as to where your money is best placed.

Speaking about the Canada Revenue Agency (CRA) and taxes was Mark Reschke, Chartered Accountant. Reschke discussed the importance of filing tax returns after death and steps executors must take when it comes to the CRA. As executor, if not done correctly, you could be left liable for the taxes owing from your loved one’s estate. As well, having capital gains can create a large percentage payable in tax. Again, it’s best to sit down with a professional and discuss these matters as it pertains to your own situation to get the facts and what’s financially best.

Last to speak on the panel was Frances Marion, Funeral Director with Park Memorial. Marion explained how it could be a substantial financial burden and overwhelming for survivors to come into a funeral home after someone’s passed and not able to think clearly or realize the costs involved and it can just be too much. You can pre-plan your own funeral. As Marion can only speak about Park Memorial, there are pre-planned funerals in which you have a contract and can lock in the price. If you pass away 10 or 20 years later, your rate remains as it was when the agreement was signed. One of the most important factors to consider is conversing with family and keeping a record of your wishes.