A registered retirement savings plan is a convenient and flexible saving program. The plan not only reduces your taxable income but also ensures that you accumulate funds and postpone taxes on your investment returns. The earlier you start saving, the earlier you will start enjoying these benefits.
Who Qualifies For an RRSP?
- Any employed person under the age of 71
Benefits and features
- Taxes are deferred on your investment income
- Your contributions are deducted from your taxable income
- Contributions can be made from pre-authorized cheques
- Your investment returns are protected against financial market fluctuations up to over 100%
- Your withdrawals are taxed as per the tax table in effect
Once you attain the age of 71, your RRSP matures and must be converted to a registered retirement income fund or any other retirement income plan. This should be done before 31st December of the year you turn 71.