Registered Disability Savings Plan
As Canadians with disabilities and their families prepare for the future by contributing to an RDSP, they can also benefit from the matching grants and the bonds offered by the federal government.
Who is eligible?
An individual can be designated the beneficiary of this registered plan if they meet all of these eligibility criteria:
- Is approved for the Disability Tax Credit (DTC)
- Has a valid social insurance number (SIN)
- Is a Canadian resident when the plan is entered into
- Is younger than 60 years of age
Benefit from the savings power of an RDSP
The maximum that can ever be contributed is $200,000. Grants, bonds and the interest earned on investments don't count towards this lifetime limit.
Grow your money faster – Savings grow tax-free until withdrawn, so interested is compounded faster. (Withdrawals must begin in the year that the beneficiary turns 60 years of age.)
Anyone can contribute – Whether friends or family, anyone who has permission from the plan holder can contribute to an RDSP.
Hold a number of investments – Qualified investments such as term deposits, investment savings accounts, and mutual funds can be held in your RDSP.
Benefit from government support – Grow your savings with the federal government's matching grants, and for low- to modest-income individuals, the bonds. What you get is based on contributions and family income.
Canada Disability Savings Grant (CDSG) – The federal government may pay a matching grant of up to 300% on RDSP contributions to a maximum of $3,500 annually. The grant is based on net family income to a maximum lifetime benefit of $70,000.
Canada Disability Savings Bond (CDSB) – Low- to modest-income Canadians may also receive up to $1,000 each year from the federal government. You do not have to make a contribution in order to receive the CDSB and the maximum lifetime benefit is $20,000.
About deposit protection
Eligible deposits in registered accounts have unlimited coverage through the Financial Services Regulatory Authority (FSRA).
We can help provide security and peace of mind to people living with a disability. Let us answer all your questions.
How much will I save?
Use our RDSP Calculator to estimate how much annual income you can rely on from your disability savings, and how government grants will contribute.
