Like many Canadians, you contribute to a Registered Retirement Savings Plan (RRSP) for two reasons: to build a financially comfortable future and to improve your present income tax situation. But, did you know an RRSP loan could increase your income tax deduction and provide you with more money at retirement?
Is an RRSP loan for you?
There are often other financial demands that can make contributing to an RRSP seem difficult. And it can be hard to practice the discipline of regular RRSP contributions throughout the year. Fortunately, there are options available. An RRSP loan is a simple solution that can help you maximize your retirement contribution and reduce your income taxes.
Some people think RRSP loans are only for those close to retirement who are trying to “catch-up”. In reality, RRSP loans can offer great value for many individuals regardless of their age.
RRSP loans are easy and convenient
RRSP loan programs offered today provide flexibility and convenience at a reasonable cost. Some companies offer a 90-day loan payment deferral option, hopefully giving you enough time to receive your tax refund and possibly pay the loan off entirely. As well, you can make extra payments to your loan at anytime without a fee. What could be easier?
Now it’s your decision
It’s important to invest for your future. Please think about this opportunity and contact us if you have questions or would like to learn more about RRSP planning and borrowing to invest. I hope to hear from you soon. Together we can take care of your financial future.