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2024 RRSP Contributions: Deadline March 3rd

While 2024 is over, you still have a bit of time left to finish your 2024 tax year. Contributing your RRSP before March 3rd will give you a break on your 2024 income taxes - so dont wait much longer, and click below to get started!




RRSP Loans Starting at Just 5.65%

Maximize your retirement savings today with an RRSP loan starting at a competitive rate of 5.65%. An RRSP loan allows you to contribute to your retirement savings now, take advantage of immediate tax savings, and enjoy the benefits of compound growth. Let’s look at how it worked for Sarah.

Sarah's Story

Sarah, a 38-year-old marketing specialist earning $75,000 annually, wanted to take advantage of her unused RRSP contribution room but didn’t have the savings to do so. By taking out a $10,000 RRSP loan from StellerVista Credit Union, she was able to lower her taxable income, receive a $3,000 tax refund, and boost her retirement savings immediately. She used her refund to pay down part of the loan and repaid the rest in manageable monthly payments over the year. This simple strategy helped Sarah save on taxes, grow her retirement fund, and stay on track for her financial goals.





Sarah, a 38-year-old marketing specialist earning $75,000 annually, wanted to take advantage of her unused RRSP contribution room but didn’t have the savings to do so. By taking out a $10,000 RRSP loan from StellerVista Credit Union, she was able to lower her taxable income, receive a $3,000 tax refund, and boost her retirement savings immediately. She used her refund to pay down part of the loan and repaid the rest in manageable monthly payments over the year. This simple strategy helped Sarah save on taxes, grow her retirement fund, and stay on track for her financial goals.

Detailed Example: How an RRSP Loan Worked for Sarah

Sarah had $15,000 in unused RRSP contribution room and knew she could benefit from reducing her taxable income. She decided to take out a $10,000 RRSP loan from StellerVista Credit Union at a competitive rate of 5.65%. With the loan, she made a one-time contribution to her RRSP, reducing her taxable income from $75,000 to $65,000. This change helped her generate a $3,000 tax refund.

Sarah was strategic about her refund and used it to immediately pay down $3,000 of her RRSP loan, lowering the outstanding balance to $7,000. StellerVista’s flexible repayment options allowed her to spread the remaining payments over 12 months, making manageable monthly installments of approximately $600. This ensured she could comfortably handle her loan while still maintaining her regular expenses.

At the same time, the $10,000 she contributed to her RRSP began compounding, giving her a significant boost to her retirement savings that will continue to grow tax-free until she withdraws it. By the end of the year, Sarah had fully repaid her loan, saved thousands in taxes, and made meaningful progress toward her long-term financial goals.


RRSPs, TFSAs & RRIFs: A Little Something for Everyone

Your financial goals are unique, whether you're saving for retirement, managing investments, or building an emergency fund. The right tools make all the difference, and both Registered Retirement Savings Plans (RRSPs) and Tax-Free Savings Accounts (TFSAs) can help you get there. When it’s time to convert your savings into income, a Registered Retirement Income Fund (RRIF) is designed to provide steady withdrawals during retirement.

No matter what stage you’re at in your financial journey, our team is here to guide you. With our knowledge of these products and the tax advantages they offer, we’ll ensure you make the most of your savings and investments while maximizing the benefits available to you.

The Many Ways to Invest Registered Funds

No matter which option you choose—RRSP, TFSA, or RRIF—you’ll have access to a variety of investment tools to grow your savings. Here are the options we offer:

  • Stocks, Bonds, and ETFs through our wealth management services
  • GICs (Guaranteed Investment Certificates) for secure returns
  • Mutual Funds to diversify your portfolio
  • Variable Accounts for flexible saving options
  • Community Bond for unique investment opportunities with competitive rates

Community Bond Rates

  12 Month 
Cashable after 90 days with no penalty  		 12 Month 
Auto renews into a 1 year term at maturity 		 24 Month 
Auto renews into a 2 year term at maturity 		 60 Month 
20% of original balance redeemable on anniversary with no penalty 
  Redeemable Non-Redeemable Non-Redeemable Non-Redeemable
$500 2.95% 3.30% 3.20% 3.25%
$25,000 3.00% 3.35% 3.25% 3.30%
$100,000 3.05% 3.40% 3.30% 3.35%

Lock in Your Rate Today >

 *Please note that all rates and promotional offers are subject to change without prior notice. Our credit union reserves the right to modify or end any rates and promotions at any time based on market conditions or other factors. We encourage our members to check our website regularly or contact us directly for the most current rate information.

TFSA or RRSP: What’s Right for You?

Both TFSAs and RRSPs are excellent savings tools, but each has its own benefits depending on your needs. Let’s explore when to use each:

Tax-Free Savings Account (TFSA)

A TFSA is designed for flexible, all-purpose savings. Whether you’re saving for a short-term goal like a vacation, home renovation, or an emergency fund, or something longer-term, a TFSA offers versatility. The big advantage? Any gains or interest earned within the account are tax-free, and you can withdraw funds at any time without paying taxes. It's a great option if you need regular access to your savings or want to avoid tax impacts in the future.

When to Use a TFSA

  • Flexible Savings: Ideal for shorter-term savings goals or if you think you might need to access your money sooner.
  • Tax-Free Withdrawals: Any money you take out is tax-free, so it’s perfect for goals like home renovations, vacations, or emergency funds.
  • No Impact on Income: Withdrawals don’t count as income, so they won’t affect your eligibility for government benefits.
  • Contribution Room Grows: Withdraw at any time, and you get the contribution room back the next year.
  • Eligibility: Available to Canadian residents aged 18 or 19 and older (depending on your province).


Registered Retirement Savings Plan (RRSP)

An RRSP is designed primarily for long-term retirement savings. Contributions to an RRSP are tax-deductible, which means you can lower your taxable income now, while the investments within the account grow tax-deferred. You’ll only pay taxes when you withdraw the money, which is ideal if you expect to be in a lower tax bracket during retirement. RRSPs also offer some flexibility with programs like the Lifelong Learning Plan or the Home Buyers’ Plan, which allows you to withdraw money tax-free for your first home purchase (if repaid on schedule).

When to Use an RRSP

  • Retirement Savings: Perfect for long-term savings, particularly if you’re saving specifically for retirement.
  • Tax Deductions Now: Contributions are tax-deductible, which can lower your taxable income today.
  • Tax Deferral: You won’t pay taxes on the money you invest until you withdraw it, ideally when you’re in a lower tax bracket during retirement.
  • Home Buyers’ Plan: Withdraw funds for your first home with no tax consequences, if repaid on schedule.
  • Contribution Limits: Based on your income, RRSPs often allow for larger contributions than TFSAs.


 

Registered Retirement Income Fund (RRIF): Converting Savings to Income

A Registered Retirement Income Fund (RRIF) is designed to provide a steady income during retirement, using the funds you’ve saved in your RRSP. Once you’re ready to retire, you convert your RRSP into an RRIF to start withdrawing income. Here’s how an RRIF works:

  • Income Stream: A RRIF allows you to withdraw a set amount each year to provide a steady stream of retirement income.
  • Flexible Withdrawals: You can decide how much income to withdraw each year (above the government-set minimum), offering flexibility in your retirement planning.
  • Tax Deferral: Like an RRSP, your funds grow tax-deferred until withdrawn, with taxes payable only when you receive your income.




Get Started Today

Ready to take control of your financial future? Contact us today to set up an appointment with one of our financial advisors, and let’s get you on the path to achieving your goals.


Introducing the FHSA

The Tax-Free First Home Savings Account (FHSA) helps first-time homebuyers save for their dream home with significant tax benefits. This account allows for both tax-deductible contributions and tax-free withdrawals for home purchases, merging the advantages of RRSPs and TFSAs.

  • Save up to $40,000 towards your first home purchase.
  • Enjoy tax deductions on contributions and tax-free withdrawals.
  • Combine accounts with your partner to boost your buying power.
Click Here to Learn More

Helpful Resources


Guaranteed Deposit Protection ​
The safest way to save money and earn a return, thanks to CUIDC insurance.

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​Understanding Investments ​
​Explore the different investment solutions you can use.

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Saving for Retirement
​Learn the good money habits that help you retire stress free.

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​Get helpful tips, free resources and more!
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*Mutual funds and other securities are offered through Aviso Wealth, a division of Aviso Wealth Inc.
 
 

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