Welcome to my Smith Maneuver Calculator!
Please feel free to try it out as much as you’d like. If you have any questions about how to use the calculator click here to read more:
** The Smith Maneuver (a.k.a. The Smith ManoeuvreTM) is a trademarked name with https://smithmanoeuvre.com/ **
The information provided by this calculator is for general informational purposes only. All information on the Site and our mobile application is provided in good faith, however, we make no representation or warranty of any kind, express or implied, regarding the accuracy, adequacy, validity, reliability, availability, or completeness of any information on the Site or our mobile application.
Your use of the Site and your reliance on any information on the Site is solely at your own risk. This calculator is not intended to provide specific financial, investment, tax, legal, accounting, or other advice, and should not be relied upon in that regard.
We are not a financial advisors or tax professionals. Before making any decision or taking any action that might affect your personal finances or business, you should consult a qualified professional advisor.
This tool is intended to provide you with estimates based on the inputs you provide, and there are no guarantees regarding the accuracy of the calculator’s outputs. Financial outcomes are dependent on a variety of factors beyond the scope of this tool. As such, we cannot be held liable for any decisions made based on the use of this calculator.
The Smith Maneuver strategy involves specific legal and tax implications. It is recommended that you consult with a financial advisor or tax professional who is familiar with the Smith Maneuver to ensure it is suitable for your individual financial situation.
By using this calculator, you agree to hold harmless and release [Your Name or Your Company’s Name] from any and all liability related to the use of this calculator or any decisions made based on its outputs.
Enter the details of your Smith Maneuvre Mortgage here:
If you've got some extra home equity you're thinking about investing, turning on this accelerator will show you how that could bump up your investment portfolio right away. If you're not into using your home equity for investing, just leave this box unchecked..
This option takes your cash investments to chip away at your non-deductible mortgage first. Then, it has you scoop up similar investments using a loan that gives you a tax break. This move can fast-track the process and might even get you bigger tax refunds. If you'd rather keep your current investments as they are, just skip ticking this box.
Throw any tax refunds you get into an annual lump-sum prepayment when tax season rolls around. This can help speed things along. We're guessing you'll see that refund by May 31st.
The Smith Maneuver is a mortgage and tax strategy that lowers your tax bill and helps you pay off your mortgage faster.
It hinges on 2 pieces:
At a glance, here are the basic steps:
In this section, we assume that you’ve refinanced the mortgage into a Smith Maneuver eligible mortgage.
Enter in the details of the property as well as the mortgage and HELOC details.
Typically if you have a specific retirement plan, you can adjust the mortgage amortization to match the time frame you’d like to retire in.
This section helps calculate the marginal tax bracket you have. It is an estimate – keep in mind that I am not a certified accountant. These brackets are based on basic taxes and don’t include variations in taxes.
Currently I only have the calculator supported for Alberta and BC borrowers.
The savings and investment section determines how much assets are available to invest, and what investment rate you expect.
Liquid assets saved should be assets in Non-registered accounts.
The Smith Maneuver has different accelerates so I wanted to add them to this calculator.
Prime the Pump accelerator uses extra equity in your propery to maximize the initial leverage.
Debt Swap is an accelerator that replaces a portion of your non-deductible mortgage with liquid assets you currently have. You would pay the existing mortgage down, then reborrow the funds and re-invest them.
Tax refund pre payment is fairly straight forward. If you want to add your tax refund in to the strategy, it can help you pay your mortgage down faster.