Group RSP is a flexible retirement savings plan for small businesses. It is designed for groups with a minimum of two members and total annual plan contributions of at least $10,000.
There are no set-up or annual administration fees.
Is Group RSP for you?
Group RSP may be for you if you are a:
- Small business owner looking to provide your employees with a retirement savings solution
- Small business employee without a group RRSP plan
How Group RSP works
Group RSP can be set up for a minimum of two members, without any set-up and annual administration fees. Plan members can choose from segregated fund investments and interest investments to meet their investment needs.
Contributions are optional by both employers and plan members, but must be at least $30 per contributor for regular monthly deposits and $500 for lump-sum deposits. Total annual plan contributions must be at least $10,000.
Key Features and Benefits
Investment solutions to meet your needs
We offer a simple choice of no-load segregated funds. Our Funds are managed using a disciplined, value-oriented investment philosophy, with the goal of building and protecting your wealth.
Our interest investments include a Treasury Interest Option (TIO) with daily interest rates and Guaranteed Interest Options (GIOs) with terms from one to 10 years and flexible half-year terms.
Protection from market downturns
As with all of our individual policies, you can enjoy the peace of mind that comes with knowing that your net deposits* to segregated funds are protected through our maturity and death benefit guarantees.
Your Segregated Fund benefit guarantees are:
- Upon death – 100% of net deposits made up to the plan anniversary nearest age 65 and 75% of net deposits made after the plan anniversary nearest age 65
- Upon maturity – 75% of net deposits
Bonus features of Group RSP
With the Group RSP you can take advantage of
- Enhanced GIO rates – with Group RSP, you get an automatic interest rate enhancement of 0.125% or 0.250% above our regular GIO rates
- Enhanced rates – any Group RSP deposits that have been in the plan for at least two full years, qualify for enhanced Annuity rates
Benefits for employers
Group RSP can provide a retirement savings solution that can build employee loyalty, at no added administration cost to you. We provide you and your employees with quarterly fund performance mailings and semi-annual client statements.
Benefits for employees
Participating in an Group RSP is an easy way to save for retirement through payroll contributions of as little as $30 a month. You can enjoy an immediate tax benefit since your RSP contributions can be made before any tax is deducted from your pay.
You can also capitalize on the purchasing power of a group and have access to the group’s advisor to build a personalized investment strategy.