Registered Disability Savings Plan: Who Qualifies and What You Get
Learn how to build long-term savings through government grants and bonds available to those with eligible disabilities.
The Registered Disability Savings Plan (RDSP) is a long-term savings vehicle designed to help people with disabilities build wealth for the future.
Who it's for
To be eligible for this plan, you must be eligible for the Disability Tax Credit and be under the age of 60.
What you get
This plan allows you to save money over the long term while receiving assistance from the government in the form of grants and bonds. These additions help grow your savings faster than a standard account.
What it costs you
The primary requirement is that you must first qualify for the Disability Tax Credit. Beyond that, you must contribute your own money to the plan to trigger the government benefits.
The catch to know
While the government matching for these grants is very generous, many people do not take full advantage of it. To get the most out of the scheme, you need to ensure you are contributing enough to maximize the available funds.
How to apply
- Ensure you have been approved for the Disability Tax Credit.
- Open an RDSP account through a qualifying financial institution.
- Set up regular contributions to take advantage of government matching.
- Visit the official portal for more details: https://www.canada.ca/en/employment-social-development/programs/disability/savings.html