Ep #80: The Relevance & True Cost of CPP (Canada Pension Plan) for Small Business Owners - with Aravind Sithamparapillai Artwork

beyond MD with Dr. Yatin Chadha

Financial literacy is not emphasized enough for professionals during training, leaving many unprepared as they begin their careers. The topics covered in beyond MD apply to all professionals, including medical students/residents and practicing physicians. This podcast is led by radiologist Dr. Yatin Chadha and guided by expert analysis. Each episode, Yatin interviews accountants, lawyers, brokers, and advisors to heighten awareness on important topics, such as professional corporations, holding companies, trusts, estate planning, insurance policies, mortgages, real estate, and investing. It's time to take your financial knowledge base to the next level so you can get ahead outside of the workplace. Please send questions and topics of interest to beyondmdpodcast@gmail.com

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beyond MD with Dr. Yatin Chadha

Ep #80: The Relevance & True Cost of CPP (Canada Pension Plan) for Small Business Owners - with Aravind Sithamparapillai

December 12, 2024 • Season 1 • Episode 80

Today I welcome Aravind Sithamparapillai (MBA), who is an associate at Ironwood Wealth Management. Aravind is becoming known as a tax ninja - he breaks down complex topics nicely for listeners of all levels.

While the focus of this episode is meant to be CPP (Canada Pension Plan) & its relevance to business owners, we cover a lot of ground that includes salary vs dividends & tax basics.

Discussion Points:
Aravind's background (4:18)
The basics of tax integration (5:00)
Tax integration by province/territory (6:42)
Tax credit & deduction on the employee portion of CPP (9:16)
Employer portion of CPP - tax deductible (14:13)
What is the true cost of CPP? (16:30)
Understanding the dividend gross up & dividend tax credit (22:05)
Income based benefits that can be impacted by the dividend gross up (26:15)
CPP vs investing yourself in the corporation (31:13)
Salary + dividend vs salary only approach (39:10)
What about the IPP (41:35)
Other CPP benefits - disability, children, survivor (43:30)

Post call newsletter: https://postcall.ca/

Aravind:

https://www.linkedin.com/in/sithamparapillai/
aravind.sithamparapillai@ironwoodcanada.com

Yatin:

Email: beyondmdpodcast@gmail.com
LinkedIn: Yatin Chadha

Ways to support beyond MD:

Amex credit card referral link: https://americanexpress.com/en-ca/referral/business-platinum?ref=yATINC4uFw&XLINK=MYCP
https://americanexpress.com/en-ca/referral/cobalt?ref=yATINCYEoc&XLINK=MYCP