Estates Made Simple

Send us Fan Mail

Episode Summary

In Part 2 of this conversation on Estates Made Simple, Gordon continues with Aaron Hector of Tier Wealth to look at RRIFs, the new First Home Savings Account, and the mistakes that most often derail estate plans.

Aaron explains how a successor annuitant on a RRIF “flips a switch” so the surviving spouse simply takes over. He also covers the rare case where naming a spouse as beneficiary instead opens up a final-year tax planning opportunity. Then comes a cautionary tale from the Calgary professional community. In a blended family with no successor designations, both spouses died within months of each other. One family received the entire RRIF while the other was left with the entire tax bill.

The conversation moves to naming adult children on registered accounts, why probate savings look very different in Alberta than in BC or Ontario, and how unequal tax treatment can turn an “equal” estate into a family fight. Aaron also breaks down the FHSA, including a surprising rule: here, the tax follows the beneficiary.

Gordon and Aaron close with the most common mistakes they see, their views on contingent beneficiaries, and a simple account-by-account exercise every listener can do.

Key Discussion Points

1. RRIFs and LIFs: Successor Annuitant vs. Beneficiary
2. The Final-Year Tax Planning Exception
3. Non-Spouse Beneficiaries and the Tax Mismatch
4. A Blended-Family Cautionary Tale
5. Naming Adult Children on Registered Accounts
6. Probate Costs: Alberta vs. BC and Ontario
7. When “Equal” Gifts Aren’t Equal
8. The First Home Savings Account Explained
9. FHSA Designations and Who Pays the Tax
10. Gifting Strategies for Grandchildren’s First Homes
11. Common Mistakes with Registered Accounts
12. Contingent Beneficiaries: Yes for TFSAs, Caution for RRIFs
13. Practical Steps and Final Takeaways

Key Takeaways

• Successor Annuitant Is the Simple Route: With a spouse as successor annuitant, they own the RRIF the moment you pass away. A spouse named as beneficiary can still do a tax-free rollover, but it isn’t automatic and has deadlines to meet.
• One Reason to Choose Beneficiary: If death occurs early in the year and the survivor will be in a high bracket for life, opting part of the RRIF out of the rollover can use up the deceased’s lower tax brackets one last time.
• The Tax Mismatch Can Divide Families: When someone other than a spouse receives a RRIF, they get the full value while the tax stays on the deceased’s final return. In blended families, this can pit spouses against stepchildren.
• Probate Savings Depend on Your Province: Alberta’s probate fee tops out at $525, while BC and Ontario charge roughly 1.4% to 1.5%. Avoiding probate can be costly if it creates unequal results and a court fight.
• The FHSA Flips the Tax Rules: On a First Home Savings Account, a non-spouse beneficiary pays the tax on what they receive, so who you name matters more.
• Common Mistakes: Assuming a designation was made (especially with DIY brokerages and group RRSPs), outdated designations after marriage, separation or a move between provinces, and inconsistent designations across accounts.
• Contingent Beneficiaries: Aaron likes them on TFSAs to get money to children quickly. He advises caution on RRSPs and RRIFs because of the tax mismatch.
• Do the Account-by-Account Exercise: List every account and ask what happens to it if you die. Coordinate your will and designations with an advisor so they work as one plan.

Host:

Gordon VanderLeek
Give your family a legacy of protection - Wills, Estates and Trusts.
VanderLeek Law
Facebook
LinkedIn
Instagram

Guest

Aaron Hector, Financial Planner and Co-Founder, Tier Wealth (Calgary)
 Website: tierwealth.com
 Find Aaron on LinkedIn and X

Please note, Estates Made Simple is for informational purposes only and is not to be considered legal, tax, or financial advice. We recommend you seek individualized advice for your unique situation with qualified professionals.

Send us Fan Mail

Episode Summary

In this episode of Estates Made Simple, Gordon sits down with Aaron Hector, financial planner and co-founder of Tier Wealth in Calgary, to tackle a topic that sounds technical but can change what your family receives: the difference between a beneficiary and a successor holder on your registered accounts.

Most people tick a box on a bank form and never think about it again. Gordon and Aaron explain why that box matters. They cover what a beneficiary designation actually does, which accounts can have one, and why “beneficiary” means something completely different on an RESP or RDSP. They also explain why you shouldn’t trust the designation printed on your bank statement.

Then they go deep on the Tax-Free Savings Account. Aaron walks through how naming your spouse as successor holder can keep a combined $650,000 TFSA intact instead of cutting it in half. He covers why a TFSA is “one of the best accounts while you’re alive and about the worst after death,” and the special planning considerations when one spouse is a U.S. citizen.

This is Part 1 of a two-part conversation. In Part 2, Gordon and Aaron turn to RRIFs, the First Home Savings Account, and the most common mistakes they see.

Key Discussion Points

1. Meet Aaron Hector and Tier Wealth
2. What a Beneficiary Designation Really Is
3. When “Beneficiary” Doesn’t Mean Beneficiary: RESPs and RDSPs
4. Which Accounts Can (and Can’t) Have a Designation
5. Why You Can’t Rely on Your Bank Statement
6. Successor Holders and Successor Annuitants Explained
7. The TFSA: Spouse as Successor vs. Spouse as Beneficiary
8. Preserving Contribution Room and Deathbed Planning
9. The Special Election and the 30-Day Deadline
10. Naming Someone Other Than a Spouse on a TFSA
11. U.S. Citizen Spouses and TFSAs

Key Takeaways

• Get the Paperwork, Not the Statement: Gordon shares cases where the bank couldn’t find the designation shown on a client’s statement, or the statement was simply wrong. Ask your institution for a copy of the actual designation, or redo it.
• Successor Holder Keeps the TFSA Intact: A spouse named as successor holder inherits the TFSA as a TFSA. Named as beneficiary, they get cash outside the account, and a $400,000 combined TFSA can become $200,000 tax-free plus $200,000 taxable.
• Contribution Room Can Be Inherited: Only a successor holder inherits the deceased’s TFSA room cleanly. If that was missed, there’s a backup election, but it comes with strict deadlines (end of the year after death, plus a 30-day CRA filing).
• Close Non-Spousal TFSAs Quickly: After death, any growth in a TFSA becomes fully taxable income, and any loss is simply lost. Aaron’s rule: wind it up as fast as possible.
• U.S. Citizens Have Options: A U.S. citizen spouse can be named beneficiary to avoid U.S. reporting, or successor to capture contribution room and then close the account after one year of reporting. Older “avoid the TFSA” advice may be outdated given how large accounts have grown.
• This Isn’t DIY Territory: Prior advice may no longer fit. Review your designations fresh with a professional.

Host:

Gordon VanderLeek
Give your family a legacy of protection - Wills, Estates and Trusts.
VanderLeek Law
Facebook
LinkedIn
Instagram

Guest

Aaron Hector, Financial Planner and Co-Founder, Tier Wealth (Calgary)
 Website: tierwealth.com
 Find Aaron on LinkedIn and X

Please note, Estates Made Simple is for informational purposes only and is not to be considered legal, tax, or financial advice. We recommend you seek individualized advice for your unique situation with qualified professionals.

Send us Fan Mail

Episode Summary

In this special episode of the Estates Made Simple podcast, Gordon VanderLeek is joined one last time by long-time co-host Jenna Carvalho of Guardian Estate Company. After two and a half years and more than 70 episodes together, Jenna is stepping away from the podcast to focus on big projects in her business and a growing family.

Gordon and Jenna use this transition as a chance to look back on what they’ve learned, what’s changing in the estate world, and what executors and families really need to know. They walk through their “Three T’s” - Tips, Trends, and Themes, and leave listeners with practical advice, reassurance, and a peek at what’s next for the show.

Key Discussion Points

1. Jenna’s Transition & What’s Next for the Podcast

2. Jenna’s #1 Tip: Communication, Communication, Communication

3. Gordon’s Tip: Check Your Beneficiary Designations

4. Trend #1 – Who You Choose as Executor Is Changing

5. Trend #2: Over-Reliance on Google & AI for Legal Advice

6. Theme #1: Good Planning Leads to Smooth Administration

7. Theme #2: Every Estate Is Unique

8. Theme #3: Estate Administration Is a Meaningful Career Path

Key Takeaways

·  Communication prevents 90% of estate problems.
Clear, proactive updates (even when the news isn’t great) build trust, reduce conflict, and keep beneficiaries informed.

·  Your executor’s job reflects the quality of your planning.
A clean, thoughtful estate plan makes administration smooth. A messy or outdated plan guarantees stress, delays, and confusion.

·  Beneficiary designations can override your will.
RRSPs, TFSAs, and insurance policies need to be reviewed regularly, especially in blended families, to avoid accidental (and expensive) surprises.

·  Families are moving away from choosing children as executors.
With more complex estates and kids living out of province, professional executors are becoming a more common and practical choice.

·  Online legal advice and AI tools have limits.
Google and AI can spark good questions, but they cannot replace legal judgment, emotional nuance, or tailored estate planning.

·  Every estate is unique, checklists only get you halfway.
Executors should expect unusual assets, unexpected wrinkles, and surprises not found on generic how-to lists.

·  Estate administration is a growing and meaningful career path.
With Canada’s aging population, this field offers complexity, purpose, and long-term demand.

·  You don’t have to do estate administration alone.
Executors do better and feel more confident when they have knowledgeable professionals in their corner.

·  The podcast will continue, even as Jenna steps back.
Gordon plans to expand the format, bring in new guests, and keep delivering practical, accessible education for Canadians.

Hosts:

Gordon VanderLeek
Give your family a legacy of protection - Wills, Estates and Trusts.
VanderLeek Law
Facebook
LinkedIn
Instagram

Jenna Carvalho
The smartest way to choose an executor.
Guardian Estate Company
Facebook
LinkedIn
Instagram

Please note, Estates Made Simple is for informational purposes only and is not to be considered legal, tax, or financial advice. We recommend you seek individualized advice for your unique situation with qualified professionals.

Send us Fan Mail

Episode Summary

In this episode of Estates Made Simple, Gordon and Jenna take listeners back to one of Canada’s most famous, and frankly, most entertaining estate cases: the will of Charles Vance Miller. Known as a sharp lawyer and practical joker, Miller turned his own estate into a social experiment that sparked headlines, lawsuits, and even a movie.

From gifting stock to people who opposed the companies to leaving a house jointly to enemies who had to live together, Miller’s will was full of mischief. But the pièce de résistance? Leaving the residue of his estate to the Toronto woman who could have the most children within ten years of his death, an event that became known as The Great Stork Derby.

Gordon and Jenna unpack this legal oddity through the lens of modern estate administration, discussing what today’s executors would face if this will landed on their desk. They explore everything from verifying beneficiaries to court applications, investments over a ten-year estate term, and whether such a will could even stand up under modern public policy.

Key Discussion Points

1. Meet Charles Vance Miller – The Prankster Lawyer

2. Unusual and Provocative Bequests

3. The Infamous Residual Clause

4. Executor Nightmares and Legal Complexities

5. Public Policy and Legal Validity

6. Practical Lessons for Modern Estate Planning

7. The Outcome of the Great Stork Derby

8. Teaching Points and Takeaways

Key Takeaways

· Unique Intentions, Complex Administration: Miller’s sense of humour created extraordinary challenges for any executor. Securing assets, valuing shares, and verifying bizarre gifts would test even the most seasoned estate professional.

· The Residue Clause Gone Wild: Leaving an estate to “the woman who has the most children in ten years” opened a floodgate of administrative and ethical questions.

· Would It Hold Up Today? Gordon examines how such a clause might be struck down in 2025 for public policy reasons, while Jenna highlights the risk management and verification nightmare for any executor tasked with tracking births over a decade.

· Executor Considerations: The discussion touches on interim compensation, court protection, and investment of estate funds, all critical in long-running or unusual estates.

· Outcome of the Great Stork Derby: Four women tied for first place with nine children each, walking away with roughly $2 million each in today’s dollars

Hosts:

Gordon VanderLeek
Give your family a legacy of protection - Wills, Estates and Trusts.
VanderLeek Law
Facebook
LinkedIn
Instagram

Jenna Carvalho
The smartest way to choose an executor.
Guardian Estate Company
Facebook
LinkedIn
Instagram

Please note, Estates Made Simple is for informational purposes only and is not to be considered legal, tax, or financial advice. We recommend you seek individualized advice for your unique situation with qualified professionals.

Send us Fan Mail

Episode Summary

In this episode of Estates Made Simple, hosts Gordon VanderLeek and Jenna Carvalho deep dive into one of the more nuanced aspects of estate planning, gifting while someone is still alive under a power of attorney.

When someone loses capacity and their power of attorney becomes active, what exactly can the appointed attorney do? Gordon and Jenna unpack the legal and ethical boundaries that govern financial and property decisions, exploring how these choices affect both the present well-being of the donor and the future distribution of their estate.

They clarify a key distinction: in Canada, an “attorney” refers to someone acting under a power of attorney, not a lawyer and that role comes with serious fiduciary responsibilities. The discussion walks through practical examples, such as whether it’s appropriate to gift personal belongings while the donor is alive, how to manage valuable or appreciating assets, and when it may be necessary to seek court approval to protect everyone involved.

Key Discussion Points

1.        Understanding the Role of an Attorney (in Canada)

2.        Scope of Authority Under a Power of Attorney

3.        Respecting Testamentary Intent

4.        Financial Considerations Before Gifting

5.        Common Pitfalls to Avoid

6.        When Gifting May Make Sense

7.        Legal and Practical Safeguards

8.        Evaluating the Nature of Assets

9.        Assessing the Donor’s Circumstances

Key Takeaways

· Acting under a power of attorney gives broad but not unlimited powers — especially when it comes to gifting or benefiting others.

· Always be mindful of the donor’s testamentary intent and how current decisions impact the future estate distribution.

· Attorneys should evaluate the donor’s ongoing financial needs before gifting or selling assets.

· When in doubt, document everything, seek legal advice, and consider court direction to avoid disputes later.

· Appreciating vs. depreciating assets can drastically change what’s prudent to gift or sell.

· Beneficiary consent and proper records can help protect the attorney from potential liability. For families with disabled children, coordinate trust planning to preserve tax advantages and long-term stability.

· Above all, proactive planning minimizes stress and litigation, ensuring your assets go where you intend. 

Hosts:

Gordon VanderLeek
Give your family a legacy of protection - Wills, Estates and Trusts.
VanderLeek Law
Facebook
LinkedIn
Instagram

Jenna Carvalho
The smartest way to choose an executor.
Guardian Estate Company
Facebook
LinkedIn
Instagram

Please note, Estates Made Simple is for informational purposes only and is not to be considered legal, tax, or financial advice. We recommend you seek individualized advice for your unique situation with qualified professionals.

Send us Fan Mail

Episode Summary

In this episode, Gordon and Jenna explore estate planning for divorced and separated couples, one of the most common and complex scenarios in estate law. With nearly half of marriages ending in divorce, this conversation is relevant to countless Canadians navigating the legal and emotional transition from shared to individual planning. They discuss how divorce impacts wills, executors, and beneficiary designations, and how proper planning can prevent future disputes for both families and executors.

Key Discussion Points

1. Why Updating Your Estate Plan Post-Divorce Is Essential

2. The Core Documents to Update

3. Property, Beneficiaries, and Obligations

4. Executor and Trustee Considerations

5. Managing Trusts for Minor Children

6. Estate Planning for Families with Disabled Children

7. Avoiding Future Litigation

Key Takeaways

· Divorce requires a complete estate plan review, don’t rely on old documents or assumptions.

· Update all legal documents: will, power of attorney, personal directive, and beneficiary designations.

· Communicate between legal advisors in family and estate law for coordinated planning.

· Anticipate conflicts and choose executors or trustees who can manage them impartially.

· For families with disabled children, coordinate trust planning to preserve tax advantages and long-term stability.

· Above all, proactive planning minimizes stress and litigation, ensuring your assets go where you intend. 

Hosts:

Gordon VanderLeek
Give your family a legacy of protection - Wills, Estates and Trusts.
VanderLeek Law
Facebook
LinkedIn
Instagram

Jenna Carvalho
The smartest way to choose an executor.
Guardian Estate Company
Facebook
LinkedIn
Instagram

Please note, Estates Made Simple is for informational purposes only and is not to be considered legal, tax, or financial advice. We recommend you seek individualized advice for your unique situation with qualified professionals.

Send us Fan Mail

Episode Summary

In this episode, we’re joined again by Michaela Summers, associate lawyer at VanderLeek Law and head of the estate administration department.

This is part two of our “Estates Gone Badly” series. There were simply too many stories (and lessons) to fit into one episode, so in this episode we continue exploring real-life examples of estate administration gone sideways and what could have been done differently to avoid costly, stressful, or relationship-damaging outcomes.

Key Discussion Points

1. DIY and Hybrid Wills Gone Wrong

· The risks of mixing holograph (handwritten) and formal will requirements.

· Why having a beneficiary witness a will can void their gift.

· How courts may handle these cases and why family harmony often determines whether things turn out well.

2. Multiple Executors and Family Conflict

· When “treating everyone equally” creates more problems than solutions.

· Lessons on choosing executors based on skills, judgment, and ability to collaborate not just fairness.

3. The Power (and Absence) of Communication

· Why clear communication with family about your estate plan is one of the greatest gifts you can leave.

· The damage that secrecy and surprises in a will can cause, even when legally valid.

· Alternative ways to explain decisions - letters, videos, or conversations to help preserve family relationships.

Key Takeaways

· A small upfront investment in professional estate planning saves thousands in legal costs and heartache later.

· Don’t appoint multiple executors just to avoid “picking favourites.” Choose the right person for the job or consider a neutral third party.

· Communication with family members, whether through direct conversation or written explanations, reduces surprises, prevents conflict, and protects relationships. A strong executor is trustworthy, has time, and makes sound decisions. 

Hosts:
Jenna Carvalho
The smartest way to choose an executor.
Guardian Estate Company
Facebook
LinkedIn
Instagram

Gordon VanderLeek
Give your family a legacy of protection - Wills, Estates and Trusts.
VanderLeek Law
Facebook
LinkedIn
Instagram

Please note, Estates Made Simple is for informational purposes only and is not to be considered legal, tax, or financial advice. We recommend you seek individualized advice for your unique situation with qualified professionals.

Send us Fan Mail

Episode Summary

In this episode, Gordon VanderLeek takes the hot seat while co-host Jenna Carvalho fires off some of the most common estate administration and planning questions we’ve heard over the past year. With a one-minute time limit per question (yes, Gord had bumper rails this time), listeners get quick, clear answers to the issues that come up most often.

This episode is perfect for anyone who wants a fast-paced overview of tricky estate topics without the legal jargon.

Key Discussion Points

1. The real reasons estate administration often takes longer than expected.

2. How and when executors receive compensation for their work.

3. Why it’s important to speak with your chosen executor ahead of time.

4. Best practices for storing wills and estate documents safely.

5. Situations where probate is required to access or manage assets.

6. The costs of probate in Alberta and how they compare nationally.

7. Essential qualities of an effective executor.

Key Takeaways

· Estate timelines often hinge on banks, CRA, and other third parties.

· Executor compensation typically happens at the end of the process.

· Naming an executor without asking first can create major problems later.

· Keep original estate documents safe, and make sure your executor knows where they are.

· Probate is about proving authority to act—it’s not always optional.

· Alberta’s probate fee is currently $525, the lowest in Canada.

· A strong executor is trustworthy, has time, and makes sound decisions. 

Hosts:

Gordon VanderLeek
Give your family a legacy of protection - Wills, Estates and Trusts.
VanderLeek Law
Facebook
LinkedIn
Instagram

Jenna Carvalho
The smartest way to choose an executor.
Guardian Estate Company
Facebook
LinkedIn
Instagram

Please note, Estates Made Simple is for informational purposes only and is not to be considered legal, tax, or financial advice. We recommend you seek individualized advice for your unique situation with qualified professionals.

Send us Fan Mail

Episode Summary

In this episode of Estates Made Simple, hosts Jenna Carvalho and Gordon VanderLeek tackle an important and complex topic: estate planning for beneficiaries with special needs. Gordon draws on both his professional expertise and personal experience to explain the unique considerations families need to be aware of when preparing their estate. From trust structures and government support programs to exempt assets and long-term housing, this episode provides practical guidance for families who want to ensure their loved ones are cared for now and in the future.

Key Discussion Points

1. Why Special Needs Planning Requires Extra Care

• The importance of early and thorough planning when supporting a beneficiary with special needs.
• Risks of DIY estate planning and why professional guidance is critical.
• How personal experience gives advisors unique insight into family challenges and goals.

2. Trust Structures and Government Supports

• How Henson Trusts and testamentary trusts work for disabled beneficiaries.
• Understanding Alberta’s Assured Income for the Severely Handicapped (AISH) program and its $100,000 asset limit.
• Why leaving an outright gift can disqualify a loved one from government support.

3. Exempt Assets Beneficiaries Can Hold

• Principal residences and specialized housing.
• Registered Disability Savings Plans (RDSPs) and how they integrate with government programs.
• Other exemptions like accessible vehicles and prepaid funeral arrangements.

4. Estate Administration Considerations

• What executors need to know when managing estates with special needs beneficiaries.
• The six-month probate waiting period and potential family maintenance claims.
• How to structure distributions to protect government benefits and long-term financial security.

5. Housing and Mobility Challenges

• Planning ahead for where a beneficiary will live after parents pass away.
• How moving between provinces affects eligibility for support programs.
• Working with guardians and trustees to ensure housing decisions protect benefits and care.

6. Disability Advocates and Support Programs

• Gordon and his wife Annie’s work helping families secure government supports.
• Understanding programs like PDD, FSCD, and the Disability Tax Credit.
• Conducting audits to ensure beneficiaries receive all eligible supports.

7. The Importance of Updating Your Plan

• Why wills and trusts need regular reviews.
• How changing rules, tax laws, and personal circumstances impact estate planning.
• Creating a coordinated plan with legal, financial, and advocacy professionals.

Key Takeaways

• Estate planning for beneficiaries with special needs is advanced planning, not a DIY task.
• Using the right trust structures can protect government benefits and ensure long-term care.
• Executors must handle distributions carefully to avoid unintended consequences.
• Expert guidance—from lawyers, financial advisors, and disability advocates is essential to crafting a plan that protects both assets and quality of life.

Hosts:
Jenna Carvalho
The smartest way to choose an executor.
Guardian Estate Company
Facebook
LinkedIn
Instagram

Gordon VanderLeek
Give your family a legacy of protection - Wills, Estates and Trusts.
VanderLeek Law
<

Please note, Estates Made Simple is for informational purposes only and is not to be considered legal, tax, or financial advice. We recommend you seek individualized advice for your unique situation with qualified professionals.

Send us Fan Mail

Episode Summary

In this eye-opening episode of Estates Made Simple, Gord and Jenna are joined by Michaela Summers to share behind-the-scenes stories of estate files that didn’t go according to plan. These real-life “estates gone badly” serve as cautionary tales—highlighting what can go wrong when planning is incomplete, improper, or ignored altogether.

Michaela, who leads the estate administration practice at VanderLeek Law, shares three compelling cases that emphasize how even modest estates can become complicated, expensive, and emotionally charged without proper planning.

Key Discussion Points

• Why intestacy can get messy – One case involved 28 distant cousins around the world, requiring flowcharts, registered mail, and months of administrative work—all for a relatively small estate.
• When intent doesn’t match the outcome – A grandmother’s clear wish to gift all grandchildren equally fell apart when she passed away before updating her will for the youngest grandchild—proving that intent alone isn’t enough.
• Surprise relationships and legal claims – Gord shares a file where a neighbour claimed adult interdependent partner status after death, shocking the deceased’s children and forcing a legal and emotional negotiation.
• The high cost of poor planning – From legal fees and postage to delays and strained relationships, every poorly planned estate had measurable consequences—both financially and emotionally.
• How proper legal advice could have prevented it all – Each story illustrates how working with the right professionals and documenting your wishes clearly can prevent complications down the line.

Key Takeaways

• Planning = Peace of Mind: A simple will could have avoided dozens of beneficiaries, costly legal work, and emotional strain.
• Intent ≠ Outcome: Courts only follow what’s legally documented, not what the deceased “probably” wanted.
• Family Dynamics Matter: Poor planning can fracture families and create long-lasting emotional fallout.
• Know Your Relationships: In Alberta, failing to clarify AIP status can open your estate to surprise claims.

Hosts:

Gordon VanderLeek
Give your family a legacy of protection - Wills, Estates and Trusts.
VanderLeek Law
Facebook
LinkedIn
Instagram

Jenna Carvalho
The smartest way to choose an executor.
Guardian Estate Company
Facebook
LinkedIn
Instagram

Please note, Estates Made Simple is for informational purposes only and is not to be considered legal, tax, or financial advice. We recommend you seek individualized advice for your unique situation with qualified professionals.