‘H’ Retirement Terms

Halloween Massacre: "Canada's decision to tax all income trusts domiciled in Canada. In October 2006, Canada's minister of finance, Jim Flaherty, announced that all income trusts would be taxed in a similar manner as corporations at a rate over 30% on taxable income, causing unit holders' values to decrease dramatically virtually overnight."

Hardship Withdrawal: "An emergency withdrawal from a retirement plan that may be subject to certain tax or account penalties. In the United States, funds withdrawn prior to the age of 59.5 are typically subject to a 10% Internal Revenue Service (IRS) early withdrawal penalty, as well as standard income taxes."

Health Insurance Portability and Accountability Act (HIPAA): "An act created by the U.S Congress in 1996 that amends both the Employee Retirement Income Security Act (ERISA) and the Public Health Service Act (PHSA) in an effort to protect individuals covered by health insurance and to set standards for the storage and privacy of personal medical data."

Heir: "A person who inherits some or all of the estate of another person who has died. An heir receives property according to the laws of the state in which the property is probated when a person dies intestate (without a valid will). The rules of descent and distribution determine to whom property transfers when a person dies without a will. The heir(s) who inherit(s) the property are typically children, descendants or other close relatives of the decedent."

Heroes Earned Retirement Opportunities Act (HERO): "Legislation passed by Congress on May 18, 2006, that allows tax-free combat-related compensation received by military personnel to be considered taxable income for IRA contribution purposes. Military personnel also will be able to make IRA contributions based on combat pay earned from January 2004 to May 2006 - up to two years before the act became law."

Holographic Will: "A holographic will is a will that is handwritten and signed by the testator (the person who makes the will). Some states do not recognize holographic wills and those that do require the will to meet certain requirements. The minimal requirements that must be met for a holographic will to be recognized are:

1. Proof that the testator actually wrote the will
2. Proof that the testator had the mental capacity to write the will
3. The will must contain the testator's wish to disburse personal property to beneficiaries."

Home Buyers Plan (HBP): "A program in Canada that allows RRSP holders to withdraw up to $25,000 from their plan to buy or build a home for themselves. The major benefit of the Home Buyer's Plan (HBP) is that you are allowed to withdraw the funds tax free as long as they are used to buy/build your first home. "Halloween Massacre: "Canada's decision to tax all income trusts domiciled in Canada. In October 2006, Canada's minister of finance, Jim Flaherty, announced that all income trusts would be taxed in a similar manner as corporations at a rate over 30% on taxable income, causing unit holders' values to decrease dramatically virtually overnight."

Hardship Withdrawal: "An emergency withdrawal from a retirement plan that may be subject to certain tax or account penalties. In the United States, funds withdrawn prior to the age of 59.5 are typically subject to a 10% Internal Revenue Service (IRS) early withdrawal penalty, as well as standard income taxes."

Health Insurance Portability and Accountability Act (HIPAA): "An act created by the U.S Congress in 1996 that amends both the Employee Retirement Income Security Act (ERISA) and the Public Health Service Act (PHSA) in an effort to protect individuals covered by health insurance and to set standards for the storage and privacy of personal medical data."

Heir: "A person who inherits some or all of the estate of another person who has died. An heir receives property according to the laws of the state in which the property is probated when a person dies intestate (without a valid will). The rules of descent and distribution determine to whom property transfers when a person dies without a will. The heir(s) who inherit(s) the property are typically children, descendants or other close relatives of the decedent."

Heroes Earned Retirement Opportunities Act (HERO): "Legislation passed by Congress on May 18, 2006, that allows tax-free combat-related compensation received by military personnel to be considered taxable income for IRA contribution purposes. Military personnel also will be able to make IRA contributions based on combat pay earned from January 2004 to May 2006 - up to two years before the act became law."

Holographic Will: "A holographic will is a will that is handwritten and signed by the testator (the person who makes the will). Some states do not recognize holographic wills and those that do require the will to meet certain requirements. The minimal requirements that must be met for a holographic will to be recognized are:

1. Proof that the testator actually wrote the will
2. Proof that the testator had the mental capacity to write the will
3. The will must contain the testator's wish to disburse personal property to beneficiaries."

Home Buyers Plan (HBP): "A program in Canada that allows RRSP holders to withdraw up to $25,000 from their plan to buy or build a home for themselves. The major benefit of the Home Buyer's Plan (HBP) is that you are allowed to withdraw the funds tax free as long as they are used to buy/build your first home. "