Unlock the Benefits of a Personal Real Estate Corporation: Schedule a Free Consultation Today

Are you a real estate professional looking to optimize your finances and save more money for retirement? Forming a Personal Real Estate Corporation (PREC) may be the solution for you. However, there are many factors to consider before making this important decision.

This Calculator will compare the estimated taxes that if you operated as a Sole Proprietor versus the estimated taxes if you operated as an incorporated entity. Use this calculator to learn the estimated tax savings of choosing one form of organization over the other.

At CPA4IT, we offer free consultations with financial professionals who are knowledgeable on the many tax strategies available to realtors.

Contact us today to schedule a consultation and determine if forming a PREC is the right choice for your personal and business situation.

Select your Province, The annual income of your business and the amount of personal income you will need to withdraw from the corporation for your non deductible living expenses.

Province:
How much do you earn?(in a year):
How much do you spend?(on non business related items)
This is the amount of money you will take out of the company personally to pay for personal lifestyle expense that are above and beyond the expenses paid for by the corporation.Your goal is to keep this amount as low as possible. If you aim for between $30,000 – $35,000 this will keep your personal taxes in the lowest tax bracket.

The following are calculated using industry average values. Please adjust to suit your specific circumstances to get more accurate results.

Contract Income
Automobile
Depreciation
Rent/Home Office
Advertising
Business Promotion
Travel
Consulting Fees
Sub-Contracting
Accounting Fees
Computer Supplies
Employee Benefits
Office Supplies
Telephone
Education and Seminars
Professional Fees
Books and Periodicals
Insurance
Wages
Bank Charges
General Expenses
Interest
Repairs and Maintanence

Results

Your potential tax savings is:

$8234.99

Sole Proprietor
Gross Income:
Expenses:

Net Sole Proprietor Income:

Total Estimated Taxes:

Personal Tax:
CPP Employee:
CPP Employer:
EI Employee:
EI Employer:

Corporation
Gross Income:
Expenses:
Salary:
Net Corporate Income:

Total Estimated Taxes:

Personal Tax on Salary:
CPP Employee:
CPP Emplopyer:
Corporate Tax:

Caveat:

This calculator has been developed from a database of CPA4IT Professional Corporation, an ISO 9001 Registered firm of public accountants focusing on the home based business. Readers are cautioned to understand that results are based on past experience and individual results may vary.

We do not advocate the deduction of any expense that was not incurred in an attempt to earn income. If however, the individual can develop a 30 second elevator speech that is targeted at high earning employees who have expenses to deduct, it is possible to repeat your message to the extent that there will be a realistic opportunity to legitimately deduct the ammounts identified in the calculator.

Unlock the Benefits of a Personal Real Estate Corporation: Schedule a Free Consultation Today

Select your Province, The annual income of your business and the amount of personal income you will need to withdraw from the corporation for your non deductible living expenses.

Results

$8234.99

Sole Proprietor

Corporation

Book A Free Consultation

Pay Less Tax