Estate Planning in Ontario: Why You Need Both a Lawyer and a Financial Planner

Most people think estate planning starts and ends with a will. In reality, a will is one piece of a much larger picture — and without the financial planning side of the equation, gaps in your estate plan can create serious problems for the people you leave behind.

If you've been searching for an estate planning financial planner in Ontario, this article explains what a complete estate plan actually covers from a financial planning perspective, and why working with both a lawyer and a financial planner gives you the most complete protection.

What Estate Planning Means from a Financial Planning Perspective

Estate planning is the process of organizing your financial affairs so that your assets transfer to the right people, in the right way, with as little friction — legal, financial, and emotional — as possible.

A lawyer handles the legal documents: your will, powers of attorney, and potentially a trust structure. But there is a whole category of financial decisions that exist outside your will and that your lawyer may not be focused on. This is where a financial planner becomes essential.

From a financial planning standpoint, estate planning covers:

• Beneficiary designations on registered accounts (RRSP, RRIF, TFSA, pension) and insurance policies. These designations override your will entirely. An outdated or missing designation can result in assets flowing through your estate, triggering probate fees and potential tax exposure.
• Life insurance as an estate tool. Insurance can provide immediate, tax-free liquidity at death to cover taxes owed, equalize an inheritance between children, or fund a buy-sell agreement. The right coverage amount and structure depends on your broader estate picture, not just your income.
• Corporate shares and business succession. Ontario business owners often hold significant value inside a corporation. Planning for what happens to those shares at death — including the deemed disposition rules and potential use of a holding company — requires careful coordination between your accountant, lawyer, and financial planner.
• Powers of attorney for property and personal care. While the documents themselves are legal, a financial planner can help you think through who should be named, what decisions they may need to make, and whether your financial structure supports the continuity of your affairs if you become incapacitated.
• Spousal rollovers and tax deferral. Registered assets and capital property can often roll over to a surviving spouse on a tax-deferred basis — but planning for the second death, where the full tax bill comes due, is a conversation that belongs in a financial plan.

Why a Financial Planner Is Essential Alongside Your Lawyer

Your lawyer drafts legally valid documents. Your financial planner ensures the financial reality lines up with your intentions.

Here is a common example: a client has a will leaving equal shares to three adult children, but their RRSP still names only one child as beneficiary from a designation made fifteen years ago. The will says one thing; the beneficiary designation does another. The financial planner catches this. The lawyer alone may not.

Similarly, a business owner might have a shareholder agreement that requires a surviving partner to buy out the deceased's shares — but no funding mechanism in place to make that buyout possible. A corporate-owned life insurance policy is often the most efficient solution, but identifying that need requires a financial planner who understands the full picture of the business and the estate.

Estate planning is also not a one-time event. Life changes — marriages, divorces, new children, business sales, the death of a named beneficiary — all require a review of your estate documents and your financial structure. A financial planner maintains an ongoing relationship with you so these updates happen proactively rather than reactively.

What the Estate Planning Process Looks Like in Practice

When a client works with a financial planner on estate planning in Ontario, the process typically involves reviewing all existing registered accounts and beneficiary designations, looking at current insurance coverage relative to estate needs, understanding any business or corporate structure, and mapping out what the estate will actually look like at death — including the tax liabilities.

From there, a financial planner can identify gaps, recommend specific coverage or account changes, and work in coordination with your lawyer and accountant so that every part of your plan is pointing in the same direction. The goal is not to replace professional legal advice — it is to ensure the financial planning and the legal planning are in alignment.

Work with Marc Pineault at Pineault Wealth Management

Marc Pineault is a financial planner with The Co-operators based in London, Ontario, serving clients across southwestern Ontario. At Pineault Wealth Management, Marc works with individuals, families, and business owners to build estate plans that go beyond the will — covering beneficiary designations, insurance needs, corporate structures, and long-term planning for what you leave behind.

If you are thinking about your estate plan and want to understand what the financial planning side of that looks like, reach out to Marc at Pineault Wealth Management to start the conversation.

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This article is for educational purposes only and does not constitute personalized financial advice. Please consult a qualified financial planner before making any financial decisions.