Page 10 - Magazine Spring 2019

4
ECONOMY AND FINANCE
PAY ATTENTION TO YOUR PENSION !
REGISTERED DISABILITY SAVING PLAN (RDSP)
BY DIEGO F. GONZALEZ
01 What is:
A registered disability savings
03 How does it work:
• Anyone can contribute with the consent of the account holder
plan (RDSP) is a savings plan that
is intended to help parents and others save for the long-term financial security of a person who is eligible for the disability tax credit (DTC) It was created in 2008
Who qualifies:
• If you qualify for the Disability Tax Credit (CRA approves it)
• If you are resident of Canada
• If you are less than 60 and
• If you have a valid Social Insurance
Number (SIN)
The total life time contribution for each beneficiary is $200,000 with no annual contribution limits
Contributions can be matched, based on family net income:
Up to $3,500 a year in Canada Disability Saving Grants (CDSG)
Up to $1,000 a year in Canada Disability Saving Bonds (CDSB) The money you contribute grows tax free
Savings and withdrawals do not affect federal and provincial income-tested benefits
Carry forward on CDSG and CDSB is available back 10 years or the age of diagnosis
04
• •
• •
•
02
Government Grants:
• •
•
Canada Disability Savings Bond:
• The Government deposits money into the RDSPs of low- income Canadians. If you qualify for the bond, you could receive up to $1,000 a year, with a lifetime limit of $20,000.
• Family income below $30,000: $1,000 bond.
• Family income between $30K and $45K: formula
• Family income more than $46K: no bond.
10
THE BEST MAGAZINE SWPIRNITNEGR201198-2019
WWW.THEBESTGROUP.CA