NUMERA
Accounting Advisory

The Decision Library

Plain-language guides to the decisions Canadian business owners and families actually face — each grounded in official sources, each written to prepare you for the conversation with your own advisor.

43 guidesFive collectionsOfficial sourcesEducation, not advice
Structure, registration, deductions, and the people you hire

Building a Business

The foundational choices — legal form, compensation, registration, expenses, hiring, and the eventual sale — that set a business's tax and legal architecture.

Should I Incorporate?

Incorporation changes how you are taxed, how you are protected, and how much administration you carry. The right answer depends on what your business earns — and what you actually need from it.

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Sole Proprietor or Corporation?

The simplest structure and the most flexible one solve different problems. Comparing them properly means looking at tax, risk, cost, and where your business is headed.

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Salary or Dividends?

How you pay yourself from your corporation shapes your taxes, your RRSP room, your CPP pension, and your corporation's balance sheet. There is no universal answer — only the right mix for your situation.

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Do I Need a Holding Company?

A holding company can protect surplus cash, organize investments, and prepare a business for sale — but it adds a second corporation to feed. The question is whether you have something worth holding.

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How Should I Structure My Company?

Share classes, shareholders, and the map of who owns what: structure decided early is cheap; structure repaired later is expensive. Here is how to think about the architecture.

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When Should I Register for GST/HST?

Registration becomes mandatory at $30,000 of revenue — but the more interesting question is whether registering earlier, voluntarily, would put money back in your pocket.

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Employee or Contractor?

The label on the contract does not decide the question — the working relationship does. Getting it wrong creates retroactive payroll bills, penalties, and disputes no growing business needs.

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Which Business Expenses Can I Actually Deduct?

The rule is short — reasonable, and incurred to earn business income — but the boundaries are where owners win or lose: home office, vehicles, meals, clothing, and the receipts that prove it all.

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What Are My Obligations When I Hire My First Employee?

The first hire converts you into a payroll operator, a trustee of withheld money, and a party to employment law — all before the first cheque. The setup takes a day; skipping it costs far more.

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Buying or Selling a Business: Shares or Assets?

Sellers want to sell shares; buyers want to buy assets — for the same tax reasons, pointing in opposite directions. Understanding both sides is how the price bridges the gap.

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Money moving between the company and the people who own it

Shareholders & Families

Paying family, borrowing from the company, corporate assets, insurance, and the structures that carry a business between generations.

Can I Pay My Spouse or Children?

Paying family from the business is legal, common, and heavily policed. Wages must be earned and reasonable; dividends must clear the tax on split income rules. The paperwork is the plan.

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Can I Borrow From My Corporation?

Your corporation's cash is not your cash — not yet. Shareholder loans that linger past the deadline become fully taxable income, and the rules are among the least forgiving in the Act.

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Should I Buy the Vehicle Personally or Through the Corporation?

Corporate ownership deducts more but triggers taxable benefits; personal ownership is simpler and reimbursed by the kilometre. The percentage of true business use decides which side wins.

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Should My Corporation Own Life Insurance?

Corporate-owned life insurance pays premiums with lower-taxed dollars and can deliver proceeds to your estate tax-free through the capital dividend account — when it is structured correctly.

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Family Trust or Estate Freeze?

A freeze caps your tax bill at today's value; a trust decides who receives tomorrow's growth. They are usually partners, not rivals — the real question is whether you are ready for either.

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RRSP · TFSA · RESP · FHSA · RDSP · CPP — and the mortgage question

Registered Plans & Personal Wealth

Canada's registered accounts and public pensions, compared and combined — plus the personal-wealth questions every household eventually faces.

RRSP or TFSA?

One shelters income now and taxes it later; the other taxes income now and shelters it forever. The deciding variable is the tax rate you face today versus the one you expect in retirement.

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RRSP or Corporate Investing?

Business owners can save inside an RRSP or leave profits invested in the corporation. Both defer tax; they differ in flexibility, creditor protection, and what passive income does to the small business deduction.

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Should I Open an RESP for My Child?

A 20% government match on the first $2,500 you contribute each year is the closest thing to free money in the tax system. The RESP's fine print rewards families who start early and understand the exit.

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FHSA or RRSP Home Buyers' Plan?

Two doors into a first home: the FHSA's deduct-in, tax-free-out account, and the HBP's borrow-from-yourself withdrawal. First-time buyers can use both — but the FHSA usually deserves the first dollar.

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Could an RDSP Help Build Long-Term Security?

For a family member eligible for the Disability Tax Credit, the RDSP offers government matching of up to 300% and bonds that require no contributions at all — the most generous registered plan in Canada.

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Pay Down the Mortgage or Invest?

One choice earns a guaranteed, tax-free return equal to your mortgage rate; the other offers higher expected — but uncertain — returns. The honest comparison involves tax, risk, and how you sleep.

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When Should I Start CPP — 60, 65, or 70?

Start early and every cheque is permanently smaller; wait and every cheque is permanently larger. The right answer depends on health, work, other income — and what the pension is for.

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Do I Need to Report Crypto and Side-Hustle Income?

Yes — and usually earlier, and more broadly, than people expect. Platforms now report sellers to the CRA, every crypto disposal is a tax event, and 'it was just a side thing' is not a filing category.

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Moving, holding, expanding — across one border, two tax systems

Canada–U.S. Tax

What changes for property, investments, registered plans, corporations, and filings when life or business crosses the Canada–U.S. border.

These guides cover tax and financial-reporting matters only — not immigration advice. Residency for tax purposes is distinct from immigration status; immigration questions belong with a licensed immigration professional.

What Should I Do Before Moving to the U.S. for Tax Purposes?

The months before departure are when almost every cross-border tax option is still open. On the day you become a U.S. tax resident, most of them close. This guide covers tax matters only — not immigration.

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Should I Sell My Canadian Home Before Moving to the U.S.?

Sold before departure, your home's gain is usually fully sheltered by the principal residence exemption. Kept and sold later, part of the gain can become taxable in both countries. Timing is worth real money.

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Should I Keep My Canadian Rental After Moving?

A Canadian rental owned by a U.S. resident files in two countries, withholds monthly, and depreciates on two different schedules. The property can still be worth keeping — if the numbers survive the administration.

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Should I Dispose of Investments Before Becoming a U.S. Tax Resident?

Canada deems most investments sold on departure anyway. The real questions are which holdings will misbehave inside the U.S. system — and how to make sure a gain taxed by Canada is not taxed again by the IRS.

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What Happens to My Canadian Registered Plans After I Move?

The RRSP travels well; the TFSA does not. Each registered account has its own treaty status, its own withholding rate, and its own U.S. reporting burden — sort them before the border, not after.

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Should I Keep My Canadian Corporation After Moving?

The day you become a U.S. resident, your company becomes a controlled foreign corporation to the IRS — and may stop being a CCPC to the CRA. Both changes are structural, and neither waits for you to notice.

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My Canadian Business Is Expanding to the U.S. — What Changes for Tax?

Selling into the U.S. and operating in the U.S. are different tax events. The treaty protects the first far more than the second — and the states are not party to the treaty at all.

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What Tax Filings Follow a Canada–U.S. Move?

The year you move, you file in two systems at once — a final Canadian return with departure schedules, and a first U.S. return with an information-reporting stack whose penalties dwarf the tax. Here is the map.

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Cash, pricing, numbers, risk, the CRA, and the modern finance function

Running a Better Business

The operating disciplines — cash forecasting, pricing, statements, KPIs, fraud and cyber controls, CRA readiness, AI, and finance leadership — that separate durable businesses from busy ones.

Why Can a Profitable Business Run Out of Cash?

Profit is an opinion recorded when revenue is earned; cash is a fact recorded when money moves. Growing businesses fail in the gap between the two more often than they fail from losses.

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How Do I Build a Cash Forecast I Can Trust?

A trustworthy forecast is not the one that predicts perfectly — it is the one you update weekly, compare to reality, and act on early. The 13-week rolling model has earned its reputation.

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Am I Pricing for Profit — or Just Revenue?

Revenue is applause; margin is money. Small pricing changes move profit more than almost any other lever a business controls — and most owners underprice out of habit, not analysis.

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What Are My Financial Statements Really Telling Me?

Three statements, one story: what you own and owe, what you earned, and where the cash went. Owners who read all three stop being surprised by their own businesses.

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Which KPIs Should I Put on My Dashboard?

A dashboard is not a scoreboard of everything measurable — it is the shortest list of numbers that predicts your future. Five to eight, half of them leading, each with an owner and a threshold.

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How Do I Reduce Fraud Risk in a Small Business?

Small businesses lose more to fraud, proportionally, than large ones — usually to a trusted person with too much unchecked access. The defences are procedural, inexpensive, and mostly about separation.

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What Cybersecurity Controls Does a Small Business Need First?

You do not need enterprise security; you need the baseline that defeats the automated, opportunistic attacks behind most small-business incidents. Canada's Cyber Centre has published exactly that list.

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How Should I Use AI in Finance Without Losing Control?

AI tools can compress hours of finance work into minutes — and confidently produce errors at the same speed. The governing principle is old: tools draft, humans decide, and someone accountable reviews.

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When Does a Fractional CFO Make Sense?

Between the bookkeeper you have and the full-time CFO you cannot justify sits a role built for growing businesses: senior financial leadership, a few days a month, focused on decisions rather than the ledger.

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How Do I Prepare for a CRA Review or Audit?

Most CRA contact is routine — a processing review asking for receipts, not an accusation. Preparation is a filing cabinet and a process, and both are built long before the letter arrives.

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What If I Can't Pay the CRA on Time?

File anyway, call early, and know which debts are dangerous. Tax arrears are a manageable financing problem for those who engage — and a compounding one for those who go quiet.

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What Should I Review Before My Corporate Year-End?

The last sixty days before year-end are when tax planning is still planning. After the date passes, the same conversation becomes bookkeeping — same facts, fewer options.

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NUMERA
Accounting Advisory

Clarity. Strategy. Impact.

The Numera Decision Library exists because informed owners make better decisions. Every guide is grounded in official government sources, written in plain language, and designed to prepare you for the conversation that matters — the one with your own advisor.

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