AEGEC Financial Inc. can bring you closer to the future you see for yourself in many ways – from creating personalized savings strategies for all your short- and long-term goals, to selecting the right investment products for you, working through estate considerations and setting up insurance protection for you and your loved ones.
Contact
- +1-226-899-2425
- 415 Dolman Street, Breslau, ON, N0B1M0, Canada
- arvind@aegec.ca
Description
A Registered Retirement Savings Plan (RRSP) is a government-registered account designed to help Canadians save for retirement. RRSPs offer significant tax advantages, allowing you to defer taxes on the income you contribute, and only pay taxes when you withdraw funds, typically during retirement when your income may be lower.
By contributing to an RRSP, you can reduce your taxable income for the year, making it an essential tool for individuals looking to save for their future while minimizing tax liabilities.
Types of RRSPs:
There are several types of RRSPs available to suit various financial goals and needs. Here are the most common types:
- Individual RRSP: The most common type of RRSP, an Individual RRSP is set up by one person and is used to save for retirement. You can contribute to this account based on your annual contribution limit, and the contributions are tax-deductible.
- Spousal RRSP: A Spousal RRSP allows one spouse to contribute to an RRSP in the other spouse's name. This is ideal for couples where one spouse has a higher income than the other, as it helps reduce the overall family tax burden by spreading the income between both spouses during retirement.
- Self-Directed RRSP: For individuals who prefer more control over their investments, a Self-Directed RRSP allows you to choose a wide range of investment options, such as stocks, bonds, and mutual funds. It’s ideal for those with investment knowledge or who want to tailor their portfolio to meet specific financial goals.