Happy Holidays – Financial Changes for the New Year

‘Tis the season to be jolly! That’s right we’re in the thick of the holidays, and we at Facets Business Solutions want to wish all of you good business owners and managers a safe and joyful break. After all, this is when most businesspeople get a well-deserved rest to enjoy time with their families, to eat, and drink and be merry. In anticipation for the New Year coming, here are a few interesting happenings for you to keep in mind?

Plastic Money: It’s already in effect, since November 2011, Canada started printing and distributing the latest thing in currency—polymer notes! That’s right the $100 bill was the first to come out, so don’t be surprised to see the plastic money being used. The colours of our classic moneys are kept, but the bill cannot be torn and they now have transparent areas and metallic images. Next will be the $50 bill, in March 2012, and then by late 2013, we get the $20, $10, and $5 bills. Get more information at http://www.bankofcanada.ca/banknotes/

Small Business Hiring Credit: Small businesses are the key to growing the economy because they create jobs. Here’s the government’s hiring incentive to small businesses: they’re giving back a one-time tax credit of $1000 to those businesses that paid more employment insurance premiums in 2011 than they did in 2010. See if you’re eligible for the credit here: http://www.canadabusiness.ca/eng/summary/7172/

Pooled Registered Pension Plans (PRPP): For small and single-person businesses, it has always been impossible to have and contribute to a pension plan. To make a more fair system, the government has created the voluntary Pooled Registered Pension Plans (PRPP) by which small business owners and self-employed people will be able to contribute to their own retirement incomes. The PRPP may or may not be a good system for many, and the concept has been getting some backlash in the news. However, it’s still a work in progress, and the provincial acts and tax rules will be in place sometime in 2012. The Department of Finance explains what PRPPs are here: http://www.fin.gc.ca/n11/data/11-119_3-eng.asp

Well, this is it for 2011! We hope you’ve enjoyed our blog roll, and can’t wait to bring you one in the New Year. Happy Holidays!


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