Discover the benefits!
Use Your RRSP for a First Home
Pay no taxes on withdrawals from your RRSP to buy your first home. Simply repay what you borrow in 15 years.
Use Your RRSP for Your Education
Pay no taxes on RRSP withdrawals for your or your spouse’s education. Withdraw up to $10,000 in a calendar year.
Enjoy Tax Deductions
You can claim your RRSP contribution as a deduction on your tax return. Pay less taxes!
Save and Earn With Your Spouse
Earn more than your spouse? Save on taxes by contributing to a spousal RRSP. You'll help them build tax-free retirement savings.
Earn Interest Tax-Free
You do not have to pay taxes on investment income in your RRSP. Tax-free compounding interest will allow your savings to grow faster.
Pay Less Tax in Retirement
While you do have to pay tax when you withdraw funds from your RRSP in retirement, you will be in a lower tax bracket.
Note: Over Contribution Penalties apply.
To obtain the most up-to-date information about your RRSP contribution room, you can:
- Visit the CRA website and choose My Account or My CRA after you log in,
- Call the CRA’s Tax Information Phone Service at 1.800.267.6999 (TIPS), or
- View your most recent Notice of Assessment
Achieve your retirement dreams!
Use our retirement savings calculator to find out how much non-taxable income you can earn throughout your RRSP investment.
1-Year Redeemable
Save on taxes!
- Interest paid annually and/or at maturity to your RRSP account
- See current rates
- No redemption penalty
- Additional deposits are permitted in any amount at any time during the investment length
- Minimum deposit - $1,000
- Minimum partial withdrawal - $1,000
- Minimum balance of $1,000 must be maintained
1 to 5-Year Non-Redeemable
Retire faster!
- Interest paid annually and/or at maturity to your RRSP account
- See current rates
- Minimum deposit - $1,000
1-Year Easy Start Non-Redeemable
Save for your $1,000 minimum!
- Interest paid annually and/or at maturity to RRSP account
- See current rates
- Pre-authorized transfers are required and may be set up at any frequency and for any amount
- Additional deposits are permitted in any amount at any time during the investment length
- Minimum initial deposit - $5.00
- Minimum balance by maturity - $1,000
3-Year Convertible Non-Redeemable
Take advantage of rate increases!
- Interest paid annually and/or at maturity to your RRSP account
- See current rates
- Convertible option only available once during the originating investment length
- Convert into a non-redeemable investment of equal or greater than the remaining investment length
- Minimum deposit - $1,000
Laddering Strategy
Earn more PLUS easily access your funds. It's a win-win!
- 1 year, 2 year, 3 year, 4 year, and 5 year (must have minimum of $1,000 in each investment length)
- Interest paid annually and/or at maturity to your RRSP account
- See current rates
- Minimum deposit – $5,000
- You can access 20% of your deposit annually since 1/5 of your deposit matures in 1 year
RRSP Savings Account
Save for your RRSP investment! And easily transfer funds to your RRSP.
- Interest calculated daily and paid at month end
- See current rates
- Redeemable
- No monthly fee
- No minimum deposit required
- Pre-authorized transfers may be set up at any frequency and amount
- Fixed recurring withdrawals permitted for a set amount at a set frequency (for income replacement)
- No redemption penalty
Open an RRSP Savings Account to contribute to your RRSP in seconds!
Contribute to your RRSP online today!
Video Transcript
Now you can easily open and deposit money into your RRSP by logging into your Innovation Federal Credit Union online and mobile banking app.
Contribute to your RRSP in three easy steps.
Step 1: to get started, simply click on the Accounts option on your home page.
Step 2: then transfer money from one of your accounts to your RRSP Savings Account if you don't have sufficient funds for your deposit in your RRSP Savings Account.
Step 3: open a new RRSP deposit account based on your needs using the RRSP Savings Account as your funding account.
And that's it! Topping up your RRSP account is simple and easy with Innovation's online banking and mobile app. Start saving for your future today!
RRSP Interest Rates
Find some of the best interest rates to retire faster. Take a peek at our registered retirement savings plan options and rates that will help you save on income tax and contribute more to your retirement:
| Account | Annual Rate | |
|---|---|---|
| RRSP Savings Account | 1.050% | Get This Rate |
| 1-Year Redeemable RRSP | 2.150% | Get This Rate |
| 1 to 5-Year Non-Redeemable RRSP | 3.450% to 3.300% | Get This Rate |
| 1-Year Easy Start Non-Redeemable RRSP | 3.800% | Get This Rate |
| Laddering Strategy | 3.300% | Get This Rate |
| 3-Year Convertible Non-Redeemable RRSP | 3.200% | Get This Rate |
RRSP: What a Registered Retirement Savings Plan Can Do For You
A registered retirement savings plan (RRSP) is exactly what it sounds like. This vehicle for saving and investing allows you to earn money on savings and investments tax-free. Until you make a withdrawal from your account, you won’t need to worry about taxes.
An RRSP also allows you to make special, tax-free withdrawals to purchase your first home. You can take money out to pay for your or your spouse’s education without worrying about taxes as well.
Your funds will grow with further contributions, interest, and returns on investments until it's time to make a withdrawal. When you retire, you’ll most likely be in a lower tax bracket than when you were a full-time employee. That means there are opportunities to save money on taxes when making a regular withdrawal, too.
By funding your savings plan during your working years, you can build a nest egg for retirement. Setting up an RRSP early on, then letting investments grow tax-free for decades, can lead to some significant returns. Even if you've already spent plenty of time in the workforce, you should still consider the tax benefits of an RRSP.
How to Make the Most of Your RRSP
Consider different savings options — There are other tax-savings investments to consider, like a TFSA or FHSA (if you’re saving for your first home). Adding these accounts to the mix may give you even greater flexibility, access to cash, and earning potential.
Get a head start on your savings — Open an RRSP account early so you can take advantage of compounding interest. Earning interest on your interest plus paying less tax every year really adds up!
Manage your contributions — Try to contribute as much as you’re permitted every year to to get the most of your tax benefits and investment growth. If you aren’t able to max out your contributions, you can carry them forward to the next year to reap their benefits.
A valuable strategy to consider is making monthly automatic contributions to your RRSP. You’ll earn interest every month; plus, making smaller consistent contributions versus one large one annually is much easier to manage and budget for.
- Find the best RRSP rates — Last but not least, find the best plan for you with competitive interest rates to help you save more for your retirement. Contact us to get started!
RRSP Breakdown by the Numbers
Now that we've introduced the basics, let's take a look at some key numbers to better describe what an RRSP account in Canada truly brings you:
$31,560 — The maximum contribution you can make in 2024
18% — The amount of income you can invest in your RRSP annually
71 — The maximum age at which you have to convert your RRSP into an RRIF
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RRSP Frequently Asked Questions
Am I eligible for a RRSP?
You can apply for an RRSP if you are a Canadian resident for tax purposes, and file income taxes in Canada. The maximum allowable age for an RRSP is 71.
What is the RRSP contribution limit for 2024?
The RRSP contribution limit this year is $31,560. You can carry forward your unused contribution room. To find out your contribution room, you can review your Room Statement from the Canada Revenue Agency or call 1-800-267-6999 and provide them with your Social Insurance Number.
When is the RRSP deadline?
It’s March 1, 2025. Contributions made in the first 60 days of the year can be claimed against the previous year's income.
How much can I borrow from my RRSP for a first home?
The maximum amount you can borrow from your RRSP for your first home is $35,000.
How much can I borrow from my RRSP for education?
You can borrow $10,000/year for education, up to a maximum of $20,000.
What is the minimum investment for an RRSP?
The initial deposit must be $1,000 or more. If you don’t have $1,000, no problem. You can open an RRSP Savings Account. Deposit as little or as much as you like and save, tax-free, for that $1,000 initial deposit. Apply today or if you already have a registered investment with us, you can open a RRSP Savings Account through digital banking. Go to Accounts > Open Account > Registered > RRSP Savings Account.
Need more help choosing the right savings product?
Rates subject to change without notice.
Calculators on the site are made available to you as tools for independent use and are not intended to provide investment advice. We cannot and do not guarantee their applicability or accuracy. All examples are hypothetical and are for illustrative purposes only. Please contact us directly to seek personalized advice from qualified professionals for all personal finance issues.
Investments require a minimum deposit of $1,000. Interest is earned in the currency of the account and calculated on a per annum basis. Rates are subject to change without notice. Interest rates are annual interest rates. Interest is calculated daily on the closing credit balance. If term is withdrawn in full, the accrued interest is paid in full based on prior day's amount. If partial withdrawals are processed, there is no payment of accrued interest as it's paid according to the original terms. Interest for products can either be paid to a separate account or added to the principal on each anniversary date and at maturity.
Learn more about our accounts and services. Review our Account and Fee Information (pdf).
Identify the interest rates applicable to your account(s) and how they're calculated. Review our About Our Interest Calculations (pdf) document.