Top-up RRSP

Think about your future

By Mauricio Dreher | Published 13/02/2018

There is something really important that you still should take care. Your future.

You may have been already receiving messages about RRSP season.


Have you heard about a Top-up RRSP loan?

You could be able to take out a Top-up RRSP loan at a reasonable lending rate. It’s not hard to figure out how much to borrow so that your total RRSP deduction creates tax savings sufficient to pay off the loan.

For example, if you still have RRSP contribution room and have contributed during the year with $6,000 (or will contribute until March 1st), you may have tax savings of $2,604.60 (considering a MTR – Marginal Tax Rate of 43.41%).

With a Top-up RRSP loan of $4,602.64, you would have $10,602.64 contributed into your RRSP, and could have tax savings of $4,602.64, which you could use to pay off the loan.

That’s the gift you could provide to yourself…


Using the above strategy, instead of having only $6,000.00, you would have more than $10,600.00 invested into your RRSP.

Talk to you Financial Planner to discuss the benefits and associated risks with this strategy, but do it quickly, since this year the RRSP Season ends on March 1st.

Maurício Dreher

Mauricio has more than 15 years experience in the financial industry, having an internationally recognized certification as Certified Financial Planner. He works with Canfin Financial Group, offering Investments, Insurances, Mortgages, with emphasis in Tax Savings Strategies. Bus: (877) 422-6346 ext. 528 or Cell: (416) 876-3644.