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The Money Management
Newsletter: RSP Planning
Retirement Savings Plans – a penny saved is a penny earned Start earlier; with more options and smarter choices you’ll build a bigger nest egg.
For most people, saving for retirement will be a lifelong pursuit. Starting early can mean big rewards later on. Consider the case of a newspaper carrier earning $40 a week - that's hardly enough to file a tax return, you might think. However, that $2080 annually can add up to a huge accumulated carry-forward RRSP-contribution deduction when the fulltime job comes along! It's also about getting better rates on the GIC portion of your retirement portfolio than normally offered in the local bank branch. This can add thousands to your nest egg. Getting your RRSP started is one thing; getting your RRSP portfolio to work 24/7, harder, better, smarter, that's what we do - and GICs are guaranteed. Investment funds, whether sheltered from taxation in an RRSP or not, are ideal for compound growth. Over the long term, well-chosen funds have proven indispensable to the earth-accumulation process while providing diversification. By taking advantage of the equity markets' growth potential, you can structure a mixture of investments that are attuned to your personal risk-acceptance levels. Investment portfolios can be built to reflect your risk preferences, raging from low risk up to aggressive. We can help you understand and measure these risk levels. As you move through your income-producing years, your priorities change. You start out with a savings account; you progress into growth related investments; and then reach the point where your RRSP needs to be converted into income at your retirement. Other considerations are the appointment of beneficiaries and estate-planning matters. Types of RRSP savings and investment services available from our financial institution partners include: Savings Accounts: High-yield daily-interest investment accounts – used for their flexibility and convenience as "catch all" accounts in managing the overall RRSP portfolio. Term deposits and GICs: Short-term notes, 1- to 5-year GICs and beyond. Adding a “Guaranteed" foundation within the objectives and strategies of your Retirement Savings Plan. Market-Linked Notes: The principal is guaranteed, while the yield is linked to a stock market index or other method of market measurement. This investment looks for possible higher returns from the equity markets while keeping its roots within a GIC. Labour Sponsored Investment Funds: Specialty funds that qualify for significant additional upfront tax-refund credits plus tax deductions. Mutual Funds: Are providing the opportunity to participate in the rewards of equity ownership through a wide variety of enterprises both Canadian and international. Investment funds are considered one of the best ways to accumulate wealth. Investment-fund managers access top-ranked domestic and global research and world-class money managers provide professional investment opportunities. Self-Directed RRSPs: Feel you need more control? Add a mortgage or any other eligible investment. Self-managed accounts are designed for the independent minded investor, or if you wish some help, meet with one of our Fiscal Agent investment advisors. Segregated Investment Funds: Are a type of "guaranteed" mutual fund, available from an insurance company. Some use their own in-house management teams while others are co-managed with Canadian or North America's best-known investment houses. Getting the most out of Fiscal Agents and
your Retirement Savings options Call for a free no-obligation consultation 905-844-7700. * * *
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, Fiscal Agents Money Management Newsletter
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