Background:

In their mid-thirties Tim and Tonia were sick of the corporate word, quit their jobs and started a catering business specializing in small weddings. Over the past 5 years they have expanded their business into catering corporate events, with 20 corporate clients and 4 part-time staff. Now that the business is more established and they have employees, Tonia has more time to spend with their 8 year old son Brandon who is disabled.

They have been so focussed on growing their business they are afraid they have been neglecting their personal finances and are concerned about affording care for Brandon when he no longer attends school at age 19. Tim and Tonia have come to Bank C, who also manages their business accounts, to seek advice and a financial plan from the personal banking experts.

Annual Income	Expenses
Tim pays himself a salary of $60,000 Tonia is considered part-time making $30,000	Groceries & drug store ($600/mo), Cell & intranet ($300/mo) Brandons activities (swimming, skating, bowling) ($1,500/yr) Medical insurance ($500/mo) Eating out & entertainment ($300/mo)

Assets	Liabilities
Chequing account $3,000 Townhouse $650,000 TFSA $15,000 Tims plan for retirement income is to live off the proceeds of sale when he sells his business. Company cars	Mortgage $275,000, paying $1,300/mo, 5 year variable rate mortgage at 3.00%, due for renewal April 2023. Heat & Hydro $350/mo Taxes $400/mo $20,000 Line of credit at Prime + 3%, current balance outstanding $18,000 (primarily used to help cover business expenses) Credit cards with total limit of $15,000