An investment in your future - with advantages today
A Registered Retirement Savings Plan (RRSP) is a government-recognized, tax-sheltered account you can use to build your retirement savings. It can hold a variety of assets, including mutual funds, GICs, bonds, stocks and cash. RRSPs are also available as spousal plans, locked-in accounts, and payroll savings options.
At that point, you would convert your RRSP into a Registered Retirement Income Fund (RRIF) or Life Income Fund (LIF).1
Make the most of your RRSP before the February 29, 2024, contribution deadline for the 2023 tax year
You can contribute 18% of earned income reported on your tax return in the preceding year up to $30,780 in 2023 and $31,560 in 2024.
Contributions to an RRSP may lower your taxable income. Consult a tax professional to review your personal situation and circumstances.
Benefits and features1,2
- Pay less income taxYour contribution is deducted directly from your current income, giving you immediate tax savings.
- Build your wealth faster
When you contribute regularly throughout the year, you take advantage of the power of compounding. And since income earned within your RRSP is not taxed, your investment can potentially grow even faster.
- Defer your taxes to a lower rateWhen you withdraw money from your RRSP, usually when you’re retired, your income is typically lower and therefore you may pay tax at a lower rate.
- Contribute before the deadlineDon’t wait until the annual RRSP contribution deadline. Add money as early as possible and take advantage of the extra time for your investments to grow, tax-free.
- Maximize your RRSP contributionsYou can maximize your contribution based on the amount shown on your previous year’s Notice of Assessment. You’ll get the maximum tax deduction now with the potential of having a bigger nest egg at retirement. If you haven’t maximised your contributions and have more room available, you can catch up using an RRSP Loan. 3
- Contribute automatically and regularlyYou can make a lump-sum contribution before the deadline, but it makes more sense to start a regular investment plan. Your investments will have more time to grow and you won’t have to worry about timing the market or meeting deadlines.
- Start your retirement planning journey
Prepare for life after work with our range of retirement resources.
- Set up a spousal RRSPSpousal RRSPs can be beneficial if you are the higher-income spouse and contribute to an RRSP for the lower-income spouse. You can contribute to their RRSP and have the amount deducted from your income. In retirement, your spouse can withdraw funds – splitting the income more equally between you and your spouse, and potentially helping you pay less income tax as a couple.
- Open a locked-in retirement account
If you no longer contribute to your defined benefit or defined contribution pension plan, you may be able to transfer those assets to a locked-in retirement account (LIRA or LRSP). Like an RRSP, money in a locked-in account can be invested and withdrawn in retirement.
- Borrow from your RRSP to buy a homeThe Home Buyer’s Plan (HBP) is a program that allows eligible RRSP holders to withdraw up to $35,000 from their RRSP in a calendar year to buy or build a qualifying home.
- Borrow from your RRSP to pay for educationRegister for the Lifelong Learning Plan (LLP) and be eligible to withdraw up to $10,000 from your RRSP in a calendar year to finance full-time training or education for you, your spouse or common-law partner.
- Avoid taking money out of your RRSP until retirementYou can withdraw money from your RRSP at any time, but apart from the Home Buyer’s Plan and Lifelong Learning Plan, all withdrawals are considered taxable income and withholding taxes may be charged.
Build the RRSP that’s right for you
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Benefit from broad diversification across asset classes and markets with the expertise of global portfolio managers who make the day-to-day investment decisions for you. Not insured by the CDIC.
Select and manage your own RRSP investments with HSBC InvestDirect5. Access a wide variety of securities from major international markets and pay low trading commissions. Not insured by the CDIC.
An exclusive, boutique discretionary service designed for high-net-worth clients offering tailored solutions and specialized attention from HSBC's worldwide network of research analysts and money managers.
How to apply
You must have a valid Social Insurance Number (SIN) to apply for an RRSP account.
You may contribute up to your RRSP deduction limit. Contributions can be made until December 31 of the year you turn 71 or to a spousal RRSP until December 31 of the year that your spouse or common-law partner turns 71.
Open a new RRSP
Open a new mutual funds account online through HSBC Wealth Compass™
or call 1-888-310-4722
Open a new Self-Directed account with HSBC InvestDirect
Already have an RRSP account with HSBC?
Contribute to your existing HSBC RRSP savings or fixed Term Deposit account
Contribute to your mutual fund account online through HSBC Wealth Compass™
Apply for an HSBC RRSP Loan
An RRSP Loan is a great way to maximize your RRSP if you haven't reached your contribution limit. Proceeds can be invested in a wide range of options, including mutual funds3 and GICs.