• RRSP Accounts – Designed to help Canadians save for retirement
• RRSP to RRIF Conversion – At age 72, mandatory RRIF withdrawals begin
• RRSP withdrawals before age 72 – Permanent loss of contribution room
• Withdrawal Considerations – Amount withdrawn and withholding tax
Example: You withdraw $25,000 from your RRSP. Once withdrawn, you cannot “recontribute” these assets to your RRSP. The contribution room is permanently lost, reducing the opportunity for future tax deferred
growth on these assets.
Exception: The withdrawal is made for the Home Buyer’s Plan (HBP) or the Lifelong Learning Plan (LLP). Recontributions (repayment) is a requirement as per the rules of the plan.