RRSPs - Registered Retirement Savings Plans
A Registered Retirement Savings Plan is a government approved plan through which you save money for your retirement years. Your contributions, within limits, are tax deductible, and the income earned is tax sheltered.
- available in variable or fixed rate plans
- all deposits made to RRSP plans are fully insured through the Financial Services Regulatory Authority (FSRA) with no limit on the maximum amount
- The contribution maximum for 2020 is $27,230, for 2021 it is $27,830 and for 2022 it is $29,210.
- The 2020 contribution deadline is Monday, March 1, 2021.
Variable Rate RRSP
- this plan may be used for Pre-authorized Contribution Plan (PAC) automated/periodic deposits to your RRSP
- flexible investment (plan can be cashed in full or partial withdrawals available)
- interest rates adjusted frequently to be competitive
- interest accrues daily and it is compounded semi-annually, June 30th & December 31st
- a Guaranteed Investment Certificate (GIC) with fixed rates for one to five year periods (special periods offered from time to time)
- interest is compounded annually
The Financial Services Regulatory Authority (FSRA) automatically insures all eligible Canadian deposits in each registered savings plan, www.fsrao.ca.