Types of Windfalls

No matter what the source of your windfall, at Rheaume Williams Kalbfleisch, we not only help you find the answers, we also know what questions to ask. Here are just a few of them based on specific types of windfalls.

Severance/Buyout | Pay-Equity Settlements | Stock Options | Inheritance | Lottery Winnings |

Sale of Private Corporation | Retirement Planning | Matrimonial Settlements | Legal Settlements


  • When is the best buyout date?
  • Should I take a lump-sum vacation payment or a salary continuance?
  • Should I stay in the pension plan or transfer the commuted value?
  • Should I take all the benefits at the time of my departure or should I split it over two calendar years?
  • What is a severance rollover and how can I take advantage of it?
  • Do I qualify for tax waivers and should I use them?
  • Should I use the money to pay off debt or top up RRSPs? Are there other options?
  • How do I calculate the cash effects from the buyout, the tax due next April and the debt pay-down?
  • How can I map out my cash flow following the buyout?
  • How do I project the impact of this buyout on my long-term ability to meet my financial goals in retirement?
  • What is the Pension Adjustment Reversal and how will it affect me?
  • What are Retirement Compensation Arrangements and can I get help evaluating the merits of using them?
  • How will leaving the country affect my planning?

Pay-Equity Settlements

  • How can I get less tax withheld so I can maximize the initial payout?
  • I know the gross amount, but how can I figure out the amount of the initial cheque?
  • How will I be taxed on the two amounts (pay equity settlement and interest owed me) I will receive and what can I do to minimize the tax I have to pay?
  • How will this affect my tax return this year?
  • Should I pay down my mortgage, invest or top off my RRSPs? Are there other options?
  • Can I shelter any of the payout against taxation?
  • What effect will the payout have on my future RRSP limits?
  • Can I have it taxed in earlier years and if so, should I?

Stock Options

  • When is the best time to exercise my options?
  • Am I eligible for deferred tax treatment?
  • How can I maximize my eligibility for the 50 per cent stock-option deduction?
  • How might the $100,000 per year vesting rules proposed in the federal budget affect my choices?
  • If I move to the U.S., how can I minimize the tax on the growth in share value?
  • Can I share the potential growth with my spouse?
  • Should I diversify my holdings while deferring tax using monetization instruments? (Give us a call, we'll explain it.)


  • How can I use the estate to pay less tax?
  • How do I handle the huge burden of compliance?
  • What tax-planning methods are available to minimize the amount of tax I will have to pay?
  • How do I choose the best time for the trust's year-end?
  • How can I maximize the assets and maximize the opportunities?
  • What do I do with what's left?

Lottery Winnings

  • What impact will this new-found wealth have on my life?
  • How should I invest the money?
  • Who can help me develop a plan?
  • I'll need planners and accountants and a host of other advisors-where do I turn?
  • How much money can I spend?

Sale of Private Corporation

  • When is the best time to sell?
  • Can I achieve tax savings but still maintain control of the funds through a trust?
  • Am I onside for the $500, 000 capital gains exemption ?
  • Am I eligible for the spousal tax-free gain on the sale of my shares?
  • How can I remain on side with the capital tax gains treatment even if the government changes the rules?
  • Can I get liquidity from my private-company shares?
  • How can I use a charitable donation of shares to gain a tax benefit?

Retirement Planning

  • Can I afford to retire? If not, how much more time or money do I need?
  • What are my options in the trade-off between added pensionable service and immediate payout?
  • Should I stay in the plan or transfer the commuted value?
  • What are Pension Adjustment Reversals and what impact will they have?
  • When I take early retirement, should I take a lump sum or a monthly salary continuance?
  • What other sources of income are available and what impact will they have on my ability to retire?
  • How will my pension be affected by CPP integration?
  • How do all my investments come together to provide retirement income?
  • Should I buy back past pensionable service? If I do, will the payment be tax deductible? Is it worth using my RRSP to do it?

Matrimonial Settlements

  • How can I be sure I am receiving my fair share?
  • How can I be sure that all assets-including the family business-have been calculated fairly?
  • How will this affect my long-term financial picture?
  • What changes in my lifestyle will be necessary?

Legal Settlements


  • How do I calculate what is needed to make up for lost wages?
  • Where do I turn for an expert witness, someone who can make the necessary calculations with respect to other damages?


  • What is and what isn't taxable?
  • How do I properly structure the settlement to minimize tax liabilities?
  • Am I eligible to take advantage of the tax-free pre-judgment rules?