RRSP Strategies & Essential Tax Planning Kurt Rosentreter CA, CFP, CLU, TEP, FMA, CIMA, FCSI, CIM Senior Financial Advisor, Manulife Securities Incorporated

Agenda  Defining an RRSP  Essential RRSP Rules  RRSP vs. TFSA?  Should RRSP be a priority?  RRSP Investing  Designing your retirement (pre)  Designing your retirement (post)  Tax smart investing  Questions and answers  Book Draw!

Registered Retirement Savings Plan (RRSP)  Why set up an RRSP?  Types: self directed, employer provided, spousal  How much can you contribute?  Contribution vs. deduction  Age limits  Investment options within the RRSP  RRSP over contributions  RRSP carry forward rules

RRSP Must Know Rules  Converting your RRSP at age 71  RRSP withdrawal rules  In-kind transfers as contributions  Retiring allowances  RRSP Loans  Locked in RRSPs  Using an RRSP to buy a home  Using an RRSP to finance education

RRSP Must Know Rules  Death and the RRSP  Company pension plans Defined benefit pensions Defined contribution plans Group RRSPs Your own RRSPs  Individual pension plans  RRSPs and leaving Canada

RRSP vs. TFSA  What is the Tax Free Savings Account?  Which is better? –Depends on: –Tax bracket today and in retirement –Investment results every year until you die –What you do with RRSP refund yearly –Employer contributions, if any –How long you live  My recommendation…

Strategic Allocation of Money  Financial industry makes this the hardest decision: what to pay first? Disability and life insurance? Credit card debt? Company pension plan? RRSP? RESP? TFSA? Line of credit debt? Car lease? Non-registered savings? Other?

RRSP Investing  1. Goals –2. Financial plan 3. Investment Plan –Strategic Asset Allocation Product Types Product Brands  Rebalancing – what kinds and how often?  You or who?  Fees  Measurement and benchmarking

Retirement Design (pre)  We all have 30 years  Danger of too much real estate  Evolution of your plan as you evolve  Manage the big picture as part of your plan  No pension? Work to 70 No one wants to retire the way their parents did  $1.5 Million – max out RRSP every year  Balanced investing with rebalancing  More conservative every decade that passes.

Retirement Design (post)  Three phases of retirement Four categories of expenses and the need to track  Income design in retirement  When to draw on RRSP? CPP?  When to convert RRSP to RRIF?  New pension splitting rules  Pension credit  OAS clawback  Incorporation

Tax Smart RRSP Investing Seven Dimensions of tax smart investing:  Taxation and people matter  Taxation and types of investments  Taxation and types of accounts  Taxation and types of income  Taxation and geography  Taxation and investment fees  Taxation and legal ownership

Final Words  Sit down with a Chartered Accountant for a tax planning review every 3 years – ensure the CA is knowledgeable about investing.  You will need more than you think for retirement in the 21 st century.  Track progress and demand accountability. Don’t trust easily.  Get a second opinion on your investments every five years.  Have an overall financial plan always.

Book Draw!  Complete the ballot on your chair now. Only completely filled out ballots can be winners.  Hand in to win a copy of one of Kurt’s Seven books on wealth management!  Draw will occur at the end of the session.  Bring your ballot to the front.

About Kurt Rosentreter, CA  Give Kurt your phone number or for: –Copy of these slides –Tax planning review in Kurt’s office –To learn about Kurt’s services as your Family CFO. –To sign up for Kurt’s popular e-newsletter on cutting edge wealth management strategies Learn more at:

Questions and Answers Now! Thank you for attending! Kurt Rosentreter, CA, CFP, CLU, TEP, FMA, CIMA, FCSI, CIM Senior Financial Advisor, Manulife Securities Incorporated Kurt’s Seven books available at

Disclaimer The opinions expressed are those of the author and may not necessarily reflect those of Manulife Securities Incorporated. Manulife Securities Incorporated is a member CIPF