Understanding the Basics - Servus Credit Union

Table of ContentsRRSPWhat is an RRSP? 1What Does an RRSP Mean to You? 1What Happens at Retirement? 2Who is Eligible to Contribute? 2Definitions of Spouse/Common-law Partner 2What is Earned Income? 3RRSP Deduction Limits 3Special Transfers to Your RRSP 5Contributing to RRSPs in Your Spouse’s Name 6Removal of Contributor Detail FollowingBreakdown of Marriage/Common-law Partnership 7Carry Forward Unused Deduction Room 8Carry Forward of Undeducted Contributions 8Contribution Deadline 8Over-contributions 9Can You Borrow for an RRSP? 9Official Receipt 10Who Sells RRSPs/RRIFs? 10How Safe are RRSP/RRIF Investments? 10Creditor Protection 10What Types of RRSPs are Available? 12Self-Directed Plan 13Group RRSPs 13Income Tax Considerations 14What Does an RRSP Cost? 14What Should You Look for in an RRSP? 15Benefits and Advantages 15Can You Transfer Your RRSP? 16RRSP Transfers FollowingRelationship Breakdown 16Can You Withdraw Funds? 16