knowledge topics
EFA Withdrawals and Payments
KNOWLEDGE EXPECTED OF: Both CFP® Professionals and QAFPTM Professionals
- Identify the services that may be paid for using funds from an Eligible Funeral Arrangement.1
- Funeral services
- Cemetery services
- Explain funeral services that may be paid for using funds from an Eligible Funeral Arrangement, such as:
- Services or supplies provided by a funeral director for the care and embalming of the deceased
- A casket for the deceased
- Services or supplies provided by a funeral director in connection with the funeral rite for the deceased and
- The transportation of the deceased, including transportation of the deceased from a place outside Canada to a place in Canada where the funeral ceremony is to be held, assuming that such transportation is provided under an arrangement made in Canada with a qualifying person
- Explain cemetery services that may be paid for using funds from an Eligible Funeral Arrangement, such as:
- Internment vaults / caskets
- Grave markers
- Flowers
- Casket liners
- Urns
- Shrubs and wreaths
- Service directly related to cemetery arrangements in Canada in consequence of an individual’s death
- Explain how a remaining surplus within an Eligible Funeral Arrangement is handled after all payments have been made to cover funeral and cemetery services.
- Explain the tax impact of an Eligible Funeral Arrangement.
- For payments made for funeral or cemetery services
- For payments made to the deceased’s estate
- For payments made to another individual
Glossary of Verbs (mouse over to see definition)
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Define
To state exactly the meaning of
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Identify
To be aware of / to recognize and correctly name / to locate an appropriate resource
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Explain
To make clear the meaning of / to describe something in more detail or reveal relevant facts or ideas related to it
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Compare
To note the similarities and differences between two or more things
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Estimate
To determine an approximate value for
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Calculate
To find the value using mathematics
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Convert
To change from one form or purpose to another
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Evaluate
To reach a conclusion or make a judgement through careful study
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Interpret
To give the meaning of / to construe or understand / to translate orally
