Contributions made to an RDSP can make a significant difference in the long-term financial well-being of a person who is living with a disability. In fact, many Canadians who are potentially eligible may be missing out on its benefits due to many misconceptions about the account. Read on as we tackle several myths that could help you or someone you love benefit from the long-term financial security and peace of mind an RDSP can offer.
Launched by the federal government in 2008, the Registered Disability Savings Plan (RDSP) is designed for long-term tax-deferred savings that will help individuals living with disabilities save for future expenses.
“An RDSP can unlock up to $90,000 in government contributions, depending on income, along with tax-deferred growth and the power of compounding. These are meaningful, long-term benefits that can offer real peace of mind for individuals living with a disability and their families. Yet too many Canadians are missing out due to persistent misconceptions. That’s why it’s so important we continue to raise awareness, and why we at Concentra Trust, alongside our credit union partners, have a role to play in making these tools more accessible to the communities we serve,” says Tanya Postlewaite VP of Credit Union Services at Equitable Bank. Concentra Trust is an Equitable Bank company that provides services to credit unions across Canada.
If you’ve ever wondered about who qualifies, who can open a plan, or even how and when you can make deposits, some of these facts may surprise you. Check out Concentra Trust’s online resources to learn more about RDSPs.
RDSP Advantages for Eligible Canadians
Up to $20,000 – Canada Disability Savings Bond (CDSB)
For low to moderate income individuals, the government contributes up to
$1,000 annually and up to a lifetime maximum of $20,000.
Up to $70,000 – Canada Disability Savings Grant (CDSG)
Depending on net family income, the government matches contributions up to
a lifetime maximum of $70,000.
For questions, or if you wish to open an RDSP, call 1-800-788-6311 or visit Concentra’s website at www.concentra.ca. If you would like to learn more about RDSPs in-person, visit your local credit union. Concentra Trust proudly partners with most credit unions across Canada.
Find your local Credit Union here.
