Salary or Dividends? The Question Every Incorporated Professional Gets Wrong
Book a FREE consultation with me here: https://calendly.com/bee-lee/discover... If you're an incorporated physician, dentist, lawyer, consultant, or business owner, one of the biggest financial decisions you'll make is how you pay yourself from your corporation. Should you take a salary? Should you take dividends? Or should you use a combination of both? The problem is that most professionals are told there's one "correct" answer. In reality, the best compensation strategy depends on your age, retirement goals, RRSP contribution room, CPP planning, corporate tax situation, and long-term wealth strategy. In this video, I break down the salary vs dividend decision for incorporated Canadians and explain why the answer is often much more nuanced than most tax discussions suggest. We'll cover: • Salary vs dividends explained • How corporate compensation works in Canada • RRSP contribution room and earned income • CPP and CPP2 planning considerations • Small Business Deduction planning • Understanding tax integration • RDTOH (Refundable Dividend Tax on Hand) strategies • Capital Dividend Account (CDA) opportunities • Tax-efficient corporate withdrawals • Income splitting and TOSI rules • Compensation planning for physicians and dentists • Corporate tax planning strategies • Retirement planning for incorporated professionals • Corporate surplus extraction strategies • Long-term wealth planning for professionals Whether you're building wealth inside your corporation, preparing for retirement, or simply trying to reduce taxes, understanding how salary and dividends interact with your broader financial plan can have a significant impact over time. The right answer isn't based on a generic rule. It's based on your specific circumstances, income level, corporate structure, and long-term objectives. If you'd like help evaluating your own compensation strategy, use the link above to schedule a conversation. #incorporatedprofessional #salaryvsdividend #taxplanning #corporatetax #canadianfinance #physicianfinance #dentistfinance #financialplanning #wealthmanagement #businessowner #corporation #rrsp #cpp #retirementplanning #professionalcorporation #canadiantax #investmentplanning #corporatewealth #financialadvisor #smallbusiness

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