Who doesn’t want to take advantage of free money given to you in Canada?
We are getting free money in Canada in so many ways that you will be surprised to see how more than 50% of people don’t even take it.
None of the ways I am going to tell are illegal, it’s a benefit given to people by the Government or their employers to improve their life and I don’t want people to miss it. These small things can build a lot of wealth over time.
Home Accessibility Tax Credit
The Home Accessibility Tax Credit helps pay for renovations that make your house easier to navigate or reduce the chance of injury.
You can claim up to $10,000 of eligible home improvements per year and get 15% back when tax time comes around.
This is mainly helpful for people who got injured and need to make changes in the home to make it more accessible, like installing ramps or lifts.
RRSP Matching Contribution for Retirement
Most of the companies in Canada provide between 1-5% of your salary if you put the exact matching amount in RRSP. It’s free money and I have seen people leave this free money because they can’t scramble enough money to match.
If you make $100k and your company provides a 5% matching contribution, then you will get $5K free if you put the same amount in RRSP and on top of that you will save income tax on the $5K which you put in.
Over 40-50% of eligible people never take advantage of this. I just can’t believe this.
RESP Grant for kids Education
In Canada, you get 20-30% of max $2500 for each kid if you put unto $2500 in a year in a RESP education account. My kids are very young and their RESP account has already passed $50K. It’s just because I started this account right away when they were born.
50% of eligible people never take advantage of this.
Credit Card Rewards and Grocery Shopping Points
In the last one year, I have built around credit card points worth $700, I can use those on amazon or use those to book vacation. These points are even worth more if I book vacation. I have been using them to get a free trip every year.
You can use your credit card, build your credit history and get free points.
Most of us buy food, right? What if we also get paid for buying it?
Most of the groceries stores in Canada have store points cards, it’s not a credit card. It’s just a card you swipe every time you buy food and it accumulates points and it also sends you an email for different products on sale in the store.
Here, I have $150 already built up this year, and I use this money right away once it reaches around $30 or so. This is the first time I let it grow as I wanted to see how much I can accumulate.
Canada Student Grant for Full-Time Students
For Low income Canadian Residents, you could receive up to $6,000 per year or up to $750 per month of study.
You could be eligible for this grant if you apply and:
- have a financial need
- are a full-time student in a qualified program at a designated school
- your total family income is less than the income threshold
Money for low income families.
There are always a lot of benefits given to low income families, If you have kids then the Govt will give you monthly $500-$1000 per kid depending on your income and family situation.
True story, one of my tenants was not married but had kids, they all were living together in the same apartment but the father of the kids was showing a different address on his documents. This means the mother was taking benefits of being a single mother which is much higher than living as a couple.
This is definitely a scam, I don’t recommend you do this.
Small Business instead of Job
Open a small business instead of full-time which helps you reduce personal income and save taxes big time.
You will be paying a lot of taxes If you will be working as a salaried employee in Canada. While businesses, big or small, enjoy a lot of tax breaks.
Just starting your own store or small business will save you plenty of money in taxes.