How to Get Passive Income with Little or No Tax
Can you really make money while you sleep with little or no tax?
Covid changed most of our working habits, in that many people stayed home, while others felt the financial pinch of the pandemic.
New paradigms arose, such as creating wealth, without work.
Passive income started becoming a conversation not just with people who invest, but with people thinking about retiring or who hadn’t even thought about making money this way before.
In my latest YouTube video and podcast episode, I talk about all the ways to create passive income, and how to do it effectively & tax-efficiently.
You’ll learn:
- What is passive income?
- Why is everybody talking about it now?
- The 3 main types of passive income.
- How to get passive income with little or no tax.
- Why self-made dividends are better than ordinary dividends in every way.
- How to save tax with each type of passive income.
- How to use passive income effectively.
- How to use passive income as part of your retirement income.
I hope you enjoy it!
Ed
Planning With Ed
Ed Rempel has helped thousands of Canadians become financially secure. He is a fee-for-service financial planner, tax accountant, expert in many tax & investment strategies, and a popular and passionate blogger.
Ed has a unique understanding of how to be successful financially based on extensive real-life experience, having written nearly 1,000 comprehensive personal financial plans.
The “Planning with Ed” experience is about your life, not just money. Your Financial Plan is the GPS for your life.
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Hi Irina,
To get the maximum GIS, your taxable income needs to be zero (other than OAS income). Taxable income can be very different than cash income, so this can take some careful planning every year.
I have a post on this topic: https://edrempel.com/make-your-retirement-comfortable-with-the-8-year-gis-strategy/ .
Let me know if you have any more questions.
Ed
Hi Ed!
Thank you for a very insightful explanation. I am retiring next year.
My question if you can answer: I’ve got a settlement in a divorce case and my lawyer suggests using it to offset a small income I had this year, under 20K. Settlement is tax-free and will be invested into non-registered funds for SWP.
So my net income will be 0, and I am planning to get OAS and GIS. I have applied for it. Is it important to not have income at all or a NET income of 0 in order to avoid a clawback?
Thanks. Irina. Your passion for the subject is very attractive. Thank you.