Personal Savings

Whether you have a private pension plan or not, personal savings are your best option to ensure a good retirement income, as long as you plan carefully and don't take things too lightly.

To help you, here are several savings and investment strategies.

Registered Retirement Savings Plan (RRSP)

The best tool for maximizing your personal savings is, without a doubt, the famous RRSP. It has plenty of advantages, especially when it comes to taxes.

Complete deduction of RRSP contributions up to the maximum allowed
Possibility of including a wide range of financial products from the bank:
- Term deposits (TD)
- Guaranteed investment certificates (GIC)
- ActionGICs
- Mutual funds
Tax-free accumulation of interest, dividends and capital gains
Possibility of converting it into a Registered Retirement Income Fund (RRIF)
Possibility of splitting your income at retirement through your spouse’s RRSP to pay less taxes

The trick, of course, is to start contributing young because trying to catch up later in life is just no fun. Use our secure contribution application form to quickly send your RRSP term investment product application.

Learn more about the RRSP

Registered Retirement Income Fund (RRIF)

You must convert your RRSP into retirement income by December 31st of the year you turn 71. If you don't, the tax department will reap their share of taxes accumulated over all those years. With this in mind, you're much better off transferring your RRSP to an RRIF.
The RRIF is designed to generate retirement income while allowing your capital to continue growing. Plus, you get to decide how to invest it. Your investments are tax-free, and only the annual income is taxable. The only constraint is that you have to withdraw a minimum annual percentage based on age.
Minimum RRIF Withdrawals Table
The RRIF's greatest advantage is its flexibility:

Flexible frequency and payments
Can be changed at anytime
Lump-sum withdrawals
No withdrawal limit except the annual minimum withdrawal required by law

Here are some tips or tricks worth keeping in mind depending on your situation and needs.
Situation	Tip or Trick	Result
You don't have a pressing need for all your RRIF income and your spouse is younger than you are.	You can reduce the amount of your annual withdrawal from your RRIF by using the age of your spouse to determine the annual minimum withdrawal to be made.	By withdrawing less money, more stays in your RRIF, which lets you profit from an accrued growth potential and protection against inflation.
You want to optimize the return on your RRIF.	Withdraw the annual minimum amount only at the end of the year instead of making several monthly withdrawals.	The minimum amount that you must withdraw from your RRIF grows all year, which provides a better return down the road.
You need a higher income.	Instead of adding to your regular income, withdraw a lump sum when you need it.	Your money stays tax-sheltered longer and continues to grow until you need it.
You always want to have your money on the same date.	Have the income from your RRIF deposited directly into your bank account instead of asking to receive a cheque.	You avoid postal delays and can access your money faster.

You have an RRSP with us and you want to convert it into an RRIF? It couldn't be easier! All your RRSP products will automatically be transferred into an RRIF and will continue their term within the RRIF if they have not yet matured. So you can keep your investment products and keep earning good returns once your retirement begins.

Learn more about RRIFs

Investment Products

Just because you have retired, does not mean that your money has to retire too! To make sure your money keeps growing, we offer investment products in line with your new investment goals. Goals that we suggest are more conservative now that your investment horizon is more short term and you’re going to need your funds on a yearly basis.

Saving and Investment Strategies >>>