[Verse 1]
Sarah's got her consulting corp, wondering how to pay herself
Three main roads to compensation, each one brings a different wealth
Salary builds her future with RRSP room to grow
CPP contributions for retirement down the road
[Chorus]
Salary, dividends, rental too
Mix and match what's right for you
RRSP room, CPP gain
Dividends ease the tax pain
Rental income, clean and neat
Blend them all to make ends meet
[Verse 2]
Dividends dance around payroll, no CPP or EI
Lower rates at moderate levels, tax credits multiply
Eligible dividend gross-up gives you credits back
Simpler books, no payroll hassles, keep admin on track
[Chorus]
Salary, dividends, rental too
Mix and match what's right for you
RRSP room, CPP gain
Dividends ease the tax pain
Rental income, clean and neat
Blend them all to make ends meet
[Bridge]
Rental income from your home office
Real expenses you can claim
No payroll deductions taken
Formal lease keeps records plain
[Verse 3]
Most consultants find the sweet spot, blending all three ways
Enough salary for RRSP and CPP that pays
Dividends for extra income when the tax rate's low
Rental reimbursements cover what the business needs to know
[Chorus]
Salary, dividends, rental too
Mix and match what's right for you
RRSP room, CPP gain
Dividends ease the tax pain
Rental income, clean and neat
Blend them all to make ends meet
[Outro]
Corporate deduction for the salary
Administration costs to weigh
Plan your compensation strategy
The smart consultant's way