The Importance of a Financial Plan

Working with us to create your financial plan helps you identify your long and short term life goals. When you have a plan, it’s easier to make decisions that align with your goals. We outline 8 key areas of financial planning:

  • Income: learn to manage your income effectively through planning
  • Cash Flow: monitoring your cash flow, will help you keep more of your cash
  • Understanding: understanding provides you an effective way to make financial decisions that align with your goals
  • Family Security: having proper coverage will provide peace of mind for your family
  • Investment: proper planning guides you in choosing the investments that fit your goals
  • Assets: learn the true value of your assets. (Assets – Liabilities)
  • Savings: life happens, it’s important to have access to an emergency fund
  • Review: reviewing on a regular basis is important to make sure your plan continues to meet your goal

Understanding the Registered Disability Savings Plan

The federal government implemented the Registered Disability Savings Plan on December 1, 2008.  The RDSP is a savings plan designed specifically for people with disabilities in Canada.

In the infographic, we highlight the key points of the RDSP:

  • Canada Disability Savings Grant: For every $1 put in an RDSP account, the federal government can (if your family income is below $87,123) match with up to $3.
  • Canada Disability Savings Bond: For people living on a low-income, the federal government will put in $1,000 each year for 20 years.
  • Anyone can contribute to someone’s  RDSP (friends, neighbours, family members, etc).
  • There is a lifetime contribution limit of $200,000.
  • People with disabilities can choose what to do with the money when it comes out.
  • The RDSP is exempt from most provincial disability and income assistance benefits. It does not get clawed back and it does not reduce disability benefits payments.

The RDSP can be complicated, please talk to us for a complimentary review.