Registered Retirement Savings Plan (RRSP)
It’s never too early to begin saving for retirement
A Registered Retirement Savings Plan (RRSP) allows you to make tax-deferred contributions toward retirement savings. By deferring taxes on the growth within the plan to a time in the future (like retirement) when you will likely be in a lower tax bracket, you can save money. The money you contribute can be used to reduce earned income for tax purposes during your pre-retirement years.Talk to Mohamed Kababji about how to customize a RRSP to effectively and tax-efficiently plan for your retirement years.Quick facts:
- – An RRSP can be opened at any time but must be collapsed by the end of the year in which the annuitant turns 71 years old
- – The limit on yearly contributions is the lesser of 18%of earned income or the maximum dollar amount allowed for that year.
- – Up to 100% of your RRSP may be invested in foreign holdings
- – The contribution deadline is approximately the first 60 days of the New Year.