Mackenzie Financial Corporation (Mackenzie Investments) today announced that it now offers Registered Disability Savings Plans (RDSPs) to eligible clients. A Federal Government program, the RDSP is designed to help families and individuals save for the long-term financial security of Canadians with disabilities.
“This Government-assisted savings vehicle provides a new way to save for the future for individuals or families who are affected by disability,” said Mary Taylor, Senior Vice-President, Product and Marketing of Mackenzie Investments. “According to Statistics Canada, more than 1.7 million Canadians are impacted. The RDSP can play a critical role in helping create financial security for eligible Canadians with disabilities. Contributions can be invested and grow tax deferred, and the Federal Government offers generous grants and bonds to help beneficiaries accumulate long-term savings.”
Canadian residents under age 60 who are qualified for the Disability Tax Credit may open an RDSP. Contributions are not tax deductible, but grow on a tax-deferred basis until money is withdrawn. The lifetime contribution is $200,000per beneficiary, with no annual contribution limit.
To encourage savings, the Government provides a matching Canada Disability Savings Grant of up to $3,500 a year on contributions, depending on the net income of the beneficiary or beneficiary’s family. The Government also pays aCanada Disability Bond of up to $1,000 a year for 20 years into the RDSPs of low and modest income Canadian beneficiaries. To date, the Government has contributed more than $290 million to Canadian RDSPs.
“We are pleased to be increasing accessibility to RDSPs by making the product available through independent financial advisors,” said Carol Bezaire, Vice President, Tax and Estate Planning at Mackenzie Investments. To help meet beneficiaries’ needs and goals, Mackenzie RDSP clients have access to a selection of Mackenzie mutual funds covering a variety of asset classes, geographical areas and investment styles. “We look forward to helping advisors and their clients maximize the benefits of their Mackenzie RDSPs,” said Bezaire.
TORONTO, Nov. 4, 2011 /CNW/