RRSP

A Registered Retirement Savings Plan (RRSP) is a flexible, attractive savings tool. In addition to reducing your tax bill, it enables you to accumulate significant amounts and to defer income tax on your investment returns. You generally have to pay tax when you receive payments from the Plan. The sooner you start saving, the more quickly your savings will start working for you and put you securely on the road to a comfortable retirement. Any person under the age of 71 who has employment income is RRSP eligible.

Also, if you are interested in contributing to an RRSP, but are low on funds, you can opt for an RRSP Loan.

Under the CRA regulations, an RRSP must be converted to a RRIF (Registered Retirement Income Fund) or another retirement income instrument by December 31 of the year in which an individual turns 71.