When Should You Contribute to your RRSP?

A couple on a bench with the text 'Contribute to your RRSP - Grow your money faster by deferring taxes'

How I finally settled on contributing to my RRSP

In my last job my employer matched up to 3% of my salary to my RRSP so contributing was a no brainer. My current company doesn’t match contributions so the question is back on the table. How do you decide whether to contribute to your RRSP or not? I decided a few calculations would be the best way to convince me and will walk you through the same steps.
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Reducing Taxes – Smart RRSP Contribution

A dreamy night sky background with the text Save taxes and invest in your future? Your RRSP can do that

In 2017 my boyfriend and I bought a house. In order to make the down payment I sold most of my stocks and index funds and have a resulting capital gain. While obviously this is a great problem to have I don’t want to pay tax on it come April 2017 so I will make an offsetting RRSP contribution.
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Retirement – How Much Do You Really Need?

A picture of a cottage on a lake in the forest and the caption 'Start Saving for Retirement'

It seems like there is a constant flow of articles and news featuring people who don’t know how much to save for retirement. It is easy to sympathize with this problem but even after reading the articles I don’t feel like there is a clear answer on how much to save. There are many ‘rules’ that all seem to have as many pros as cons. I am going to breakdown a couple rules and how I got to my retirement savings goal.
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Saving for a Sunny Day – Registered Retirement Savings Plan (RRSP)

A picture of a palm tree on an island

The news has been full of the changing patterns of retirement given increasing life expectancy. Now with life expectancy well over 80, people need to plan for 20-30 years of retirement. This requires significant savings – a great first step is an RRSP. Essentially you get a tax credit for putting money away for your retirement. For most people you can contribute 18% of your salary to a maximum of $26,010.
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The Magic of Compound Interest

a graph showing exponential growth - the result of compound interest

Let’s reminisce to middle school science… exponential growth. If it takes 8 days for a water lily that double every minute to cover half a pond when will the pond be completely covered? Trick question – it will be 8 days + 1 minute. Compound interest may not double every minute but the growth will still surprise you!
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Want an Instant Raise?

a picture of a dollar sign versus a cents sign

Who doesn’t want a raise? It could be a lot easier than you think! Many companies offer employer matched savings plans. This is essentially ‘bonus’ money as a result of you saving some of your pay cheque. Two commonly offered matching plans are RRSP contribution matching and stock purchase plans.
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