The document provides an overview of ongoing corporate financial planning tasks for Fake Company, including a re-organization completed in 2014 and valuation of the company between $13-15 million. It also lists individual planning tasks for shareholders, such as introducing a corporate insured retirement program and corporate estate bond using universal or whole life insurance. Additional tasks cover investment, insurance, tax, family, and estate planning issues to discuss for the shareholders.

1. July 14, 2015 Fake Company – Planning Document 1
Corporate Financial Planning - Task Overview (Operating Company)
Prepared for: Fake Company
Prepared by: Brian Laundry
Wednesday July 14, 2015
Ongoing Task List for Fake Company (Operating Company)
Task/Planning Topic Status
1. Corporate Re-organization (see org chart) Complete (June 2014)
2. Business Valuation
*Grant Thornton formal valuation ranged between $13-15MM in October 2014 (final report)
*Growth projections for company provided by Brian Laundry in December 2014
Complete (June 2014)
Shareholder Planning (Operating Company)
3. Buy Sell Life Insurance (Redemption Method) *$5MM of term for each shareholder
with business valuation indexation
In Progress (July 2015)
4. Buy Sell Disability Insurance (Redemption Method) *$2MM for each shareholder In Progress (July 2015)
5. Wage Loss Replacement Plan (WLRP)
*Provide long term disability to shareholders and key employees (tax deductible to OPCO)
Deferral to 2017
6. Shareholders Agreement (Draft – Article 8 Insurance) – Draft from Susan May 27
*Insurance information will be provided to lawyer to amend Article 8 to amend buy sell life
and disability insurance.
In Progress/Timelines for
completion?
Other Corporate Planning (Operating Company)
7. Corporate Investments within Operating Company (Currently @ TD
Waterhouse)
*Eliminate passive tax (46.17%). More tax efficient investing
*Lend/borrow back to Holdco or intercorporate dividends – discussion required about
recent changes in 55(2) of the ITA regarding intercorporate dividends
Deferral to late 2015
8. Group Benefits (Currently with Manulife)
*Discuss more in-depth planning model for employee planning – discussion/proposal
required
Deferral to Renewal
9. Scientific Research and Experimental Development Tax Credit (SR&ED) Update required
10. Pension Introduction/Implementation for Employees
*Introduced in April 2015 – Defer to future
*Discuss executive compensation strategies
Deferral to 2016-17

2. July 14, 2015 Fake Company – Planning Document 2
Corporate Financial Planning - Task Overview (Individual Holdco’s)
A complete list of past, present and future conversations about Shareholder Holdco’s
Ongoing Task List for Individual Planning (Holding Company/Family Trust)
Task/Planning Topic Status
1. Individual Financial Plan(s)
*Each shareholder requires an individual financial plan and individual recommendations
To Discuss
Investment Planning
2. RRSP & TFSA
*Are there currently RRSP or TFSA account? What are the annual contributions?
To Discuss
3. Corporate Investments/Savings
*Why this is preferred over RRSP/TFSA/RESP
*Tax efficiency of growth within the corporation and income in retirement is essential
*Introduction of Corporate Class investment strategies
*Eligible Dividends education is required (~$48,000/yr tax-free)
*Effective management of LIRA account (Amanda)
To Discuss
4. Corporate Insured Retirement Program (CIRP) – Universal or Whole Life
*An overfunded insurance strategy for the Holdco
*Provides tax-free growth and income
*Valuable at a young age and very low risk
In Progress
5. Corporate Estate Bond (CEB) – Universal or Whole Life To Discuss
*An insurance strategy for the Holdco that transitions corporate accumulation to the
children tax-free (saves 35-40% taxable dividend at death)
*Can be used as an investment strategy if parents are insurable and shareholder of a
corporation (CDA strategy) – See attached document
Insurance Planning
6. Term Life Insurance (Includes spouse)
*What happens at death? Is the proper coverage inforce? Review current plans
*Ensure ownership, payor and beneficiary is structured to the Holdco properly. Why?
To Discuss
7. Disability Insurance (Includes spouse)
*What happens if somebody can’t work? Educate about group benefits. What happens to
the plan?
To Discuss
8. Critical Illness Insurance (includes spouse)
**What happens if somebody can’t work? What impact does this have on the financial
plan? Can it be used as a cash-like investment strategy inside of the Holdco?
To Discuss
9. Long Term Care Insurance (includes spouse)
*What happens if somebody requires care? This is an important discussion about the value
of ‘locking in’ while young. Education required
To Discuss

3. July 14, 2015 Fake Company – Planning Document 3
10. Insuring Children
*Why this has been a popular strategy for generations
*Talk about the different options
*Education is required
To Discuss
11. Personal Health Savings Plan (PHSP)
*Make personal/family medical expenses (orthodontics, drugs, etc.) corporate deductions
To Discuss
Tax Planning
12. Salary or Dividends
*Education about dividend sprinkling from Holdco or Family Trust
To Discuss
13. Funding Children’s Education from Holdco or Trust
*Education about dividend sprinkling from Holdco or Family Trust
To Discuss
14. Corporately /Owned Paid Insurance
*How to have personal/family coverage paid by the corporation
To Discuss
Family Planning
15. Multiple Wills and Powers of Attorney
*Personal and corporate wills are required (for Holdco)
To Discuss
16. Personal Snapshots Document
*Provides a 1-stop place for all relevant information if an emergency occurs
To Discuss
17. Mortgage/Banking Efficiency
*Introduction of Manulife One
Estate Planning
18. Corporate Estate Bond (CEB) – Universal or Whole Life
*Same as #5 above
To Discuss
19. Estate Planning for Parents
*Who is the executor? Who will pay for costs for care? Considerations for pro-active estate
planning for parents
To Discuss