The Health Savings Account in a Canada-U.S. Context
You work hard to earn your money. You live below your means and have extra funds to save for retirement or a rainy day. But with all the different types of savings and investment accounts available, which should you prioritize? Once you’ve stashed away three to six months of living expenses in a basic savings account to cover unexpected emergencies like insurance deductibles, out-of-pocket medical expenses, and auto repairs, it’s time to turn your attention to other savings or investment accounts that have tax advantages that provide a benefit from the investment, allowing more of your money to be invested and ultimately returned back to you. Below are the factors to consider:
- Are contributions to the account deductible?
- Does the account provide tax deferral of investment income?
- How are distributions taxed?
The best scenario for an investment account is one that allows deductible contributions, tax-free investment income, and tax-free distributions.
In Japan and some other Asian international locations, if the husband only is working then it is the norm for the entire salary to go into the spouse’s bank account with the husband have no access in any respect. All payments, lease, mortgage, bills, automotive and so forth.. will be deducted from the spouse’s account and he or she we give the husband a weekly allowance, for lunch and many others. If the husband is to buy something outside this allowance then he will need to ask his wife for more money and she will solely oblige depending on the family’s finance status.
Whereas entrepreneurs like Larry Page and Sergey Brin of Google are liable for many notable examples of successful innovation, there are practical limits to what individuals can accomplish working on their very own in risky entrepreneurial ventures. That is why the concept of intrapreneurship can serve as a practical strategy for innovation within existing firms.