Retirement Solutions

Whether saving for retirement or a child's post-secondary education, registered accounts are a tax-effective addition to any investment portfolio. We offer the following registered account options for our clients:

Registered Retirement Savings Plan (RRSP): RRSP contributions, up to an annual maximum amount, are tax-deductible, and your investments grow tax-deferred until withdrawn. For more information on RRSPs, please see the CRA website.

Registered Retirement Income Fund (RRIF): A RRIF is a tax-effective way to draw income from your RRSP after retirement, while continuing to earn tax-free growth on the funds within the account.

Tax-Free Savings Account (TFSA): You can contribute to a TFSA each year and access your savings at any time. Your investments grow tax-free and you won't pay tax on any growth earned in the account, even when you make a withdrawal. For more information about the TFSA, please consult the CRA website.

Locked-In Retirement Account (LIRA): A LIRA is an RRSP subject to restrictions under federal or provincial pension legislation. You may transfer eligible pension funds to a LIRA, where the funds can grow tax-deferred until withdrawal.

Individual Pension Plans (IPP): An IPP is an employer-sponsored defined benefit pension plan with typically one or two members. It may provide higher retirement savings for business owners, and can be established by an corporation for owners/managers as well as senior executives.

For more information on these accounts, and other registered and non-registered accounts and services available through CIBC Wood Gundy, please contact my office.

Invest in Learning

Today, more than ever, post-secondary education is key to a successful career. But, as tuition costs continue to increase, many students are left with overwhelming debt after university or college. You can provide your child or grandchild with the gift of a post-secondary education by establishing a Registered Education Savings Plan (RESP), a tax-effective account that offers many benefits to help you make the most of your savings:

You can contribute up to a lifetime maximum of $50,000 per RESP beneficiary. Contributions to an RESP are not tax-deductible, but investments grow tax-free until withdrawn. The first $2,500 you contribute each year may be eligible for the Canada Education Savings Grant (CESG) of up to 20 percent, to an annual maximum of $500 and a lifetime limit of $7,200. Amounts withdrawn from an RESP to pay for eligible post-secondary education expenses will be taxed in the beneficiary's hands, generally at a lower tax rate.

Regardless of your stage of life or family circumstances, there are several effective education-funding strategies that may suit your needs. For more information on the RESP, please visit the CRA website.