The Hidden Joint GIC Trap That’s Costing Canadian Families $100K+

In this episode of the Ask TMFG Podcast, Carlo Cansino and John Iaconetti uncover a common mistake Canadians make with joint GICs that can quietly lead to unnecessary taxes and estate planning issues. They explain how GIC interest is fully taxable in Canada and why holding a GIC “joint with rights of survivorship” doesn’t automatically mean the tax is shared between both owners. In many cases, the person who funded the GIC is the one taxed on the interest, which can lead to higher-than-expected tax bills over time. The episode also touches on probate planning, how joint GICs can help assets pass smoothly to a surviving spouse, but why probate avoidance alone isn’t a complete strategy. Without proper planning, families may reduce paperwork but increase lifetime taxes. The key takeaway: joint GICs can simplify estate transfers, but they aren’t automatically tax-efficient. Knowing who pays the tax and how these accounts fit into your broader financial plan can help protect more of your money. 👉 Watch the full video episode on YouTube to understand how joint GICs really work and avoid costly mistakes: https://www.youtube.com/watch?v=9RdycuvGzjo&t=11s Question for our listeners: Do you hold any GICs jointly, and do you know who’s actually paying tax on the interest? If you’d like help reviewing how your GICs and other non-registered assets fit into your overall plan, we’re offering a free portfolio analysis 👉 https://tmfg.ca/portfolio-analysis/ Follow us on our social channels: LinkedIn: The McClelland Financial Group Facebook: https://www.facebook.com/tmfg.ca Instagram: https://www.instagram.com/themcclellandfinancialgroup_