Calculate how much Mike and Vanessa will each get using property division under Ontario law. Mike and

 

Calculate how much Mike and Vanessa will each get using property division under Ontario law.  

Transcribed Image Text:

Mike and Vanessa separated June 15, 2021. Vanessa has come to you for assistance in determining how their assets will be divided. Mike and Vanessa have decided to sell the matrimonial home and will split the proceeds from the sale equally. The following is a list of their other assets: Asset Joint bank account Mike's Car Vanessa's Non- registered Investment Account Value at date of marriage July 20, 2008 and other information Each put $5,000 in their joint bank account Purchased during marriage See Note 1 below Value at date of separation June 15, 2021 $14,000 $7,000 $175,000 Mike's RRSP Mike's TFSA Vanessa's RRSP Vanessa's TFSA $35,000 $165,000 First contribution in 2013 $50,000 First contribution in 2015 $55,000 First contribution in 2015 $60,000 Note 1: Vanessa inherited $175,000 from her Mom when she died. Vanessa put these funds in a Non-registered Investment Account. Vanessa has not added any other funds to the Non-registered Investment Account and has sole direction over the investment decisions and withdrawal amounts for this account. Mike and Vanessa separated June 15, 2021. Vanessa has come to you for assistance in determining how their assets will be divided. Mike and Vanessa have decided to sell the matrimonial home and will split the proceeds from the sale equally. The following is a list of their other assets: Asset Joint bank account Mike's Car Vanessa's Non- registered Investment Account Value at date of marriage July 20, 2008 and other information Each put $5,000 in their joint bank account Purchased during marriage See Note 1 below Value at date of separation June 15, 2021 $14,000 $7,000 $175,000 Mike's RRSP Mike's TFSA Vanessa's RRSP Vanessa's TFSA $35,000 $165,000 First contribution in 2013 $50,000 First contribution in 2015 $55,000 First contribution in 2015 $60,000 Note 1: Vanessa inherited $175,000 from her Mom when she died. Vanessa put these funds in a Non-registered Investment Account. Vanessa has not added any other funds to the Non-registered Investment Account and has sole direction over the investment decisions and withdrawal amounts for this account.

Answer rating: 100% (QA)

In Ontario property division upon separation is determined based on the principles of equalization which means that each spouse is entitled to an equa... View the full answer