A registered retirement savings plan (RRSP) is a contract registered with the Canada Customs and Revenue Agency in which an investor invests for his/her retirement.

Major Advantages

• In addition to being income tax deductible, your RRSP investment grows tax-free.

• Unused contributions may be accumulated indefinitely.

• You may temporarily withdraw a certain amount from an RRSP without paying income tax if you purchase a home under the Home Buyers' Plan (HBP) or return to school under the Lifelong Learning Plan (LLP), if you meet the requirements of these programs.

• Your RRSP can hold up to 100% foreign content.
   

Main Features

• The plan's goal is to allow individuals to defer paying income tax until they withdraw funds from the plan.

• You can deduct RRSP contributions from your annual income. The maximum RRSP contribution is the lesser of 18% of your earned income from the previous year or the maximum allowed under the Income Tax Act (Canada), This limit can be decreased by the contributions paid into an employer-sponsored pension plan.

• You can contribute to your spouse's RRSP so that your income is split at retirement. In such cases, the money accumulates in your spouse's name but you enjoy the tax deductions.

• If you cash in your RRSP before you retire, the amount you withdraw is added to your income the year you withdraw it.

• You must convert your RRSP into an annuity or RRIF by December 31 of the year you turn 71.

• All Desjardins Financial Security investments are RRSP eligible:
  
  
  • guaranteed investment certificates
  • segregated funds
  • mutual funds
  • securities

Consult our Rethink Retirement Information Centre for answers to your questions and advice on how to make the most of your RRSP.

Getting Advice

To find out more about this product, Desjardins Financial Security offers you various possibilities :   Call us at 1-866-838-7553 or e-mail us. Complete the form Please Have a Representative Contact Me