What is it?

The Registered Disability Savings Plan (RDSP) is a Canada-wide registered matched savings plan specific for people with disabilities. Here are some basics:

  • 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! This is the Canada Disability Savings Grant
  • For people living on a low-income (less than $25,356), the federal government will put in $1000 each year for 20 years! This is the Canada Disability Savings Bond
  • For people living on an income between $25,356 -$43,561, they can still receive a partial bond

Anyone can contribute to an RDSP- family, friends, neighbours… it gives people who want to help a way to do so!

The money can be invested to grow- we have heard that it is the best Return on Investment available. Depending on someone’s income, any money saved immediately triples in value. Once investment decisions are made, it can really start to grow!

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. To find out how your province treats the RDSP, go to www.disabilitysavings.gc.ca

People with disabilities can choose what to do with the money when it comes out- there are no restrictions on how the money can be spent!

Of course, the RDSP is a bit more complicated. Take the RDSP Tutorial to find out more about the grants and bond, the 10-year rule and payments out of the RDSP.

Start the tutorial now!