Whether you’re transitioning out of residency or already leading a thriving medical practice, 2026 is the right moment to reassess your financial framework. At Imperial Lifestyle Management, we specialize in building intelligent, physician-specific financial plans that evolve with your career.
Tax laws change. Corporate regulations shift. But one constant remains — your need for proactive, refined strategies to stay ahead.
Here’s your tailored checklist to keep your wealth strategy sharp as you head into 2026.
1. Reassess Your Compensation Strategy: Salary vs. Dividends
If you’re incorporated, how you pay yourself matters. Consider:
-
Salary for RRSP contribution room and Canada Pension Plan (CPP) benefits
-
Dividends for lower immediate taxes and simplified administration
-
A custom blend may deliver maximum tax efficiency — especially under the current $500,000 federal small business deduction threshold.
2. Maximize Registered Account Contributions
2026 Contribution Limits:
-
RRSP: Up to $33,810, based on earned income
-
TFSA: Annual room now $7,000 (cumulative limit exceeding $100,000 for many)
When paired with your corporate savings strategy, these vehicles remain essential for tax-sheltered wealth growth.
3. Don’t Let Passive Income Penalties Creep In
If your medical corporation earns passive investment income, the $50,000 threshold is a key trigger. Exceed it, and your access to the small business rate starts to erode.
Defensive strategies include:
-
Allocating funds to a holding corporation
-
Rebalancing toward tax-efficient investments (e.g., corporate-class funds, exempt life insurance)
-
Exploring active business investments through your holdco
4. Review Your Lifetime Capital Gains Exemption (LCGE) Strategy
Selling shares in your clinic or medical corporation? The LCGE offers a tax-free gain of over $1 million in 2026. But accessing this requires forward planning.
Now is the time to:
-
Consider a family trust
-
Complete necessary purification steps
-
Position your corporation to qualify for this significant tax advantage
5. Optimize CPP and EI Contributions
Drawing salary through your MPC? CPP maximums are increasing. Overpaying — particularly if you have multiple income sources or employees — erodes efficiency.
And while most physicians opt out of EI, planning scenarios such as parental leave or employee support may warrant a second look.
6. Secure Your Retirement and Risk Management Strategy
Cash is building. Are you leveraging the right long-term vehicles?
-
Individual Pension Plans (IPPs) for tax-efficient retirement savings
-
Corporate-owned life insurance for estate transfer and tax planning
-
Disability and critical illness insurance aligned with your current income and practice risks
7. Partner with Experts Who Specialize in Physician Wealth
Generic financial advice isn’t built for you.
At Imperial Lifestyle Management, we provide bespoke tax planning, corporate structuring, and wealth strategy services, exclusively for physicians.
We help doctors across Canada (outside Quebec) simplify their financial lives, protect their earnings, and build enduring wealth.
Ready to Build Your 2026 Strategy?
Book your complimentary consultation and let’s align your finances with your ambition.
Stay In Touch