Financial Plans Archives - Page 4 of 12

Tax Credits and Benefits for Seniors: Part 2

Posted on March 10, 2017April 12, 2016 by Jordan Rumanek

Tax Credits and Benefits for Seniors: Part 2

Ontario Drug Benefit Programs: Each year, millions of Ontario residents receive drug benefits from Ontario’s drug programs. The province has five different programs seniors can apply for depending on needs: Ontario Drug Benefit Program (ODB), if eligible, may pay for the majority of cost of your prescription drugs, New Drugs Funding Program for Cancer Care (NDFP) may cover the costs of newer intravenous cancer drugs. Third, the Special Drugs Program (SDP) may provide funding for specific drugs used for certain diseases and conditions. Fourth, inherited metabolic diseases program (IMD) may pay for certain drugs, appropriate supplements and specialized food to treat metabolic disorders. Finally, the government offers the Visudyne Program, this program may pay for the specific drug that slows the eye disease called age related macular degeneration. It is important to find out if you are eligible and apply to these programs because the cost of your prescription drugs may be covered by the province of Ontario.

Trillium Drug Program: This program helps people who have high prescription drug costs relative to their household income. You will however have to pay a small amount 4 times per year and this is called a deductible. The amount of your deductible is based on your household income. For most people, the deductible equals about 4% of your household’s combined net income. In addition, if you have high prescription drug costs and a low household income you may be eligible to pay $2 or less for every prescription. The pharmacist will charge you this fee and the fee is called a co-payment. You need to download: Application for Ontario Drug Benefits and the information package: A Guide to your Application: Ontario Drug Benefit (ODB).

Reduced Co-Payment for Lower Income Seniors: It is important to research all possibilities for tax credits and benefits—particularly when you are a senior. Depending on your annual income, you may be able to have the ODB $100 annual deductible waived and have your co-payment reduced per prescription.

Ontario Guaranteed Annual Income System (GAINS): If you are 65 years old or older and receive the federal Old Age Security pension and the Guaranteed Income Supplement payments, you could get up to a maximum of $83 per month to ensure your income stays above a certain amount. GAINS ensures a guaranteed minimum income for Ontario seniors by providing monthly payments to individuals who qualify. The monthly GAINS payments are on top of the federal Old Age Security (OAS) pension and the Guaranteed Income Supplement (GIS) payments you may receive.

Strong Communities Rent Supplement Program: Low to moderate income households, including those requiring support services, can apply for a rent-geared-to-income subsidy to help make housing affordable.

Contact Rumanek & Company Ltd. for more information on bankruptcy and debt solutions. Or please fill out the free bankruptcy evaluation form. To learn more please visit our YouTube Channel. Rumanek & Company have been helping individuals and families overcome debt for more than 25 years.

Tax Credits and Benefits for Seniors: Part 1

Posted on February 10, 2017February 19, 2017 by Jordan Rumanek

Tax Credits and Benefits for Seniors: Part 1

Healthy Homes Renovation Tax Credit: If you are 65 years old, and over you could get up to $1,500 to help with the cost of making your home safer and more accessible. The Healthy Homes Renovation Tax Credit is a permanent, refundable personal income tax credit for seniors and family members who live with them. If you qualify, you can claim up to $10,000 worth of eligible home improvements on your tax return. The amount of money you get back for these expenses is calculated as 15 per cent of the eligible expenses you claim. For example, if you spend and then claim $10,000 worth of eligible expenses, you could be eligible to receive $1,500. The Healthy Homes Renovation Tax Credit can help with the costs of improving safety and accessibility in your home. Explore the interactive house below for examples of changes you could make. Seniors and their family members at all income levels are eligible.

Home and Vehicle Modification Program: It is possible to receive money to help with the cost of making your home and vehicle more accessible if you have a disability that restricts mobility. This money is a last resort option due to the minimum amount of cash in this program. However, the maximum government contribution for home and vehicle modifications is $15,000 per client for home modifications and/or $15,000 per client for vehicle modifications. The government contribution may be spent on the following goods and/or services: design schematics and professional fees of contractors, architects or other professionals needed to plan construction or installation. In addition, the equipment and supplies needed for the approved modifications, the cost of any warranties and the installation of any equipment, the approved structural alteration of the home and/or vehicle, including labour and/or training on the use of equipment, provided by the contractor/ supplier/ vendor.

Ontario Senior Homeowners’ Property Tax Grant: If you are 64 years old and over and own your own home, you are eligible to receive up to $500 to help with the cost of property taxes each year. You are eligible if your family net income for the previous year was $35,000 or less. The amount you receive is adjusted if you make between 35,000-50,000 and you are not eligible if you make over $50,000 per year. Here is how you apply for the grant: You complete the application for the Ontario Trillium Benefit and Senior Homeowners’ Property Tax Grant, which is part of your personal income tax and benefit return. You have to report the amount of property tax you paid on line 6112 on the ON-BEN application. Remember to use total property taxes paid including the municipal and education property taxes.

How Can I Stop Collection Calls?

Posted on January 27, 2017April 12, 2016 by Jordan Rumanek

How Can I Stop Collection Calls?

There are three different situations where an Ontario resident can stop collections calls.

Where you are receiving collection calls concerning monies owing to a bank

In Canada a significant percentage of non-mortgage debt is owed to financial institutions regulated by the federal government. You can stop collection calls in connection with monies owing to a bank provided you do the following:

Send the organization calling you a letter by registered mail
In which you ask that it only communicate with you in writing,
You provide an address where you can be contacted in writing

This federal law gives the consumer receiving collection calls on monies owing to a bank the right to stop calls from not only collection agents but also the original creditor.

Where you are receiving collection calls from a collection agency

An Ontario resident can stop collection calls from a collection agency, regardless of who the money is owed to. You can stop collection calls from a collection agency provided you do the following:

Send the collection agency a letter by registered mail
In which you dispute owing the alleged debt and you suggest the dispute go to court

Where you are receiving collection calls from a law firm

An Ontario resident can stop collection calls from a law firm. You can stop collection calls from a law firm by hiring a lawyer to send the law firm a letter indicating the lawyer is representing you in this matter.

Repair Your Credit Score

Posted on January 20, 2017April 12, 2016 by Jordan Rumanek

Repair Your Credit Score

A credit score does not fix itself. Your credit score is the sum total of the history reported to the credit bureau (either Equifax Canada or Trans Union of Canada by your creditors. Your credit score is affected by many factors such as your payment history, how much credit you are using of your total limit, enquiries by old and new creditors, etc. You should obtain a copy of your credit report every few years to be certain the information on your file is accurate, current and has no errors. If you find anything wrong in your credit report, notify the reporting agency immediately to correct your report. The last thing that you need when applying for a loan or mortgage is an unexpected problem. It takes time to fix a problem, even if you are not the cause of the problem.

As previously stated, your credit report and credit score is based on your history. Even if a debt that was delinquent is subsequently paid off or made current, the history will stay in your file up to 6 years. If a delinquent account has been sent to a collection agency or has resulted in a lawsuit, the information may show up twice. Once under the name of the creditor and a second time, under the public information section at the end of the credit report.

Your credit report and credit score is very important to you. It affects not only your ability to borrow but also the interest rate that you are charged. Very few people have a perfect credit score. If they had a perfect score, they likely would not need to borrow money anyway. For the rest of us, do your best to present yourself in the best possible way.

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Tax Credits and Benefits for Seniors: Part 2

Tax Credits and Benefits for Seniors: Part 2

Tax Credits and Benefits for Seniors: Part 1

Tax Credits and Benefits for Seniors: Part 1

How Can I Stop Collection Calls?

How Can I Stop Collection Calls?

Repair Your Credit Score

Repair Your Credit Score

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