How do I invest my RDSP?
Making investment decisions can be difficult or easy- it depends on factors such as what your dreams are for the future, your age and how long you plan to keep the money invested, among others. We always recommend making an appointment with your financial planner to discuss your goals. The Step by Step Guide has some things to think about before meeting with your planner. And yes, if you have opened an RDSP, you are the bank’s customer and they will find a financial planner for you!
The Investor Education Fund has a good website that explains different types of investments- www.getsmarteraboutmoney.ca
Many communities also have “financial literacy” courses that explain the basics about money management- if you know of any in your community, feel free to share with us by email at email@example.com.
Certain retirement savings and education investment incomes may be rolled over into a RDSP.
Rollover of retirement funds into an RDSP
Parents or grandparents can arrange for some or all of their retirement savings to be transferred (tax-free) to their financially dependent child’s or grandchild’s RDSP when they pass away.
The Government will not pay a matching grant on the money transferred.
Please note: You cannot arrange for your retirement savings to be transferred to your own RDSP.
Rollover of Education Savings into an RDSP
An Accumulated Income Payment (AIP) from a Registered Education Savings Plan (RESP) can be rolled into an RDSP on a tax-deferred basis. An accumulated income payment represents RESP growth that will not be used for education purposes. It does not include original contributions or RESP grants or bonds.
For more information on transferring retirement or education savings to an RDSP, visit https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/registered-disability-savings-plan-rdsp/rdsp-limits-transfers-rollovers.html or call 1-800-959-8281 (TTY users call 1-800-665-0354).