Sorry, you have saved too much ..., so you lose!

Contributors to Registered Retirement Savings Programs forget that the program is based on tax deferral.  Whether there is a tax savings, depends on the tax bracket you are in at withdrawal.

Many advisers would suggest that the Registered Retirement Savings Plans income stream start after nonregistered money and other funds are all tapped out.  That could be a BIG tax mistake.

Our Retirement Blueprint proves that RRSP income is more tax efficient withdrawn at lower tax brackets. Usually that means withdrawing from registered assets early, or at least earlier then life expectancy.

Using sophisticated software, our Retirement Blueprint will predict the tax boulder that you might have to drag through retirement.  In other words, at death, there is a potentially significant income tax owing on your RRSP balance.

You lose flexibility if you wait to withdraw funds until your age 71, when your RRSP account must be collapsed and converted into a Registered Retirement Income Fund, or a registered annuity.

The minimum withdrawals determined by the Federal Government could be enough to create a "clawback" of your Old Age Security benefit, or Age Exemption.

You may wish to withdraw an amount from your RRSP, prior to Age 71, to create annual income up to $42,707 (first tax bracket).

Even though you may not need the money, you will pay less taxes, and could reinvest that income into a Tax-Free Savings Account, each year.

When one spouse dies, the surviving spouse has a larger RRSP, meaning a higher amount, based on minimum withdrawal requirement, every year for the rest of your life. 

The surviving spouse will also have the full remainder balance taxed at death.

It makes good sense to contact us for your own Retirement Blueprint, and we do offer a unique opportunity to work through with us, your Old-Age Security Clawback Calculator.

It doesn't sit well with us, that if you save money, you would lose out on government benefits. 

Let us help you fix that problem, before it becomes a penalty.

Ted Wernham
Ted Wernham

Ranked # 1 in London by MDRT, the Premier Association of Financial Professionals. retirement income manager, Host Retirement Ready! Radio on AM1290 Ted Wernham