Cash Flow Planning

Cash flow: Cash flow is the first area of every financial plan that needs to be carefully examined. It is understanding where money originates. It’s about strategically using money to not only live your life but to create more income sources for yourself. When you put your focus on cash flow, it solves a hundred other decisions.

Getting on the plane home from Dubai many clients say “Next-Time” I will save more.

Working on an Expat Assignment, especially in a tax-free jurisdiction, is a fantastic opportunity to build wealth. The most important thing is to save your money. If in Canada you would pay at least 40% tax, then it is possible that you would have the ability while overseas to save at least 25% of Every Paycheck. That means if you are making $100,000 USD a year, you should be saving at least $2000 a month. This can be accomplished in Canada without compromising your non-residency status to ensure that your capital is not being exposed to locked in overseas accounts and create peace of mind for your family if something should happen to you. Personal Cash Flow Planning Individuals and families should create a cash flow plan to ensure that they can properly support their spending needs on a regular basis, in addition to creating an emergency fund. Those who don’t have an effective cash flow plan in place risk going into debt to cover their life expenses.

cash flow based plan takes into account a different set of variables and it answers the question, “what type of cash flow can I expect after I leave the work force?” Pre-retirement lifestyle and plan your cash flow. A cashflow plan can bring greater clarity to the question of suitable investment risk.
Severance planning can have advantages when you understand if your severance is eligible for transfers to a Canadian Pension structure. There are many tax considerations and retirement lifestyle choices that are impacted by how much you keep of your severance package (not exposed to tax). Many do not get input on this financial life transition, as it is typically emotional and with every wealth decision – each decision is amplified. With global changes we see a rise of staff turnover, and the way forward is much clearer with a plan in hand.


The Expatriate Group offers: Review of current Canadian life, disability policies, overseas benefit package and referral to qualified domestic, international and cross-border specialists and policies. Contact us to find out pitfalls.

  • Advice on supplementary international health, travel, disability, life & evacuation insurance.
  • Non-resident registrations require cancellation of provincial health-care policies within 3 months of departure.
  • Snowbirds and vocational employees require more insurance than offered by Alberta Health Care.

Wills & Estate

The Expatriate group will advise you on upgrades to your Will and refer you to qualified lawyers.  A new Will should be prepared if you do not have one or if it is several years old.  Enduring Power of Attorney and personal care directive clauses for medical and financial management need to be added. All previous clauses and references prior to December 1, 1997 are void unless updated following the new Alberta act of December 1, 1997.

Wills require internationalization, to agree with various commonwealth and country jurisdictions. An international codicil can be added to current will.  Alberta Wills will satisfy moveable property. If a home is purchased overseas then, a second will is required in that jurisdiction.

International Bank and Investment Accounts: It is advisable to hold these accounts in joint name. In event of death of other party, this will avoid expensive probate costs and time.

Note: Contact The Expatriate Group for sample Wills with Powers of Attorney and International codicil.

*Advice only available on full disclosure by completing and submitting Forms 1 a&b and (PFR) Personal Financial Review  as part of one-stop service offered to new or pre-existing clients


Caution: You need a strategy to protect your Income and Assets – Is there really a secret to successful International Banking? Yes, there is and it is very simple. “Knowledge” is the secret key.

“Offshore banking is not illegal – hiding it from the taxman is” Jonathan Chevreau – Financial Post 05-May-2002  Evidently part of the fantasy of the offshore bank account is the mistaken belief you can conveniently “forget” to report any interest or capital gains generated by the offshore account, and that the Canada Customs and Revenue Agency will be none the wiser. If you believe the offshore havens will veil your activities under the cloak of secrecy they once were reputed to have, you’re likely to be nabbed for tax evasion.

International Banking does not make tax evasion or money laundering legal. Don’t get caught in the wrong International Bank, tax haven or clearing house that exposes itself to being accused of major illegal money flows.

One common misperception is that International Banking can legally prevent assets from being subject to personal income tax on interest. Except for certain persons who meet fairly complex requirements, this is incorrect as the personal income tax of most countries makes no distinction between interest earned in local banks and those earned abroad. Persons subject to US income tax, for example, are required to declare on penalty of perjury, any international bank accounts they may have. Although international banks sometimes do not report income to other tax authorities this does not make the non-declaration of the income or the evasion of the tax on that income legal in most jurisdictions.

There is no one size fits all packaged solution. Every business/individual is unique. Everyone who wants to establish an International Banking presence must take into consideration the countries that they will be doing business with to obtain the maximum benefit of going International.

An International Bank has many advantages including strong privacy, less restrictive legal regulation, low or no taxation, easy access to deposits (in terms of regulation) and protection against local political or financial instability. International Banking does not prevent assets from being subject to personal income tax on interest.

Currency Exchange

Transferring money overseas is something that almost every expatriate has had to do and from experience we know that it can be costly, slow and not always secure. We have teamed up with OFX (formerly CanadianForex) to provide our clients with a cost effective and simple way of transferring funds overseas. You will find that an international money transfer is much cheaper and quicker using OFX.