Skip to main content
Accessibility|Contact|Privacy|Terms of Service

CIBC Registered Disability Savings Plans RDSP

  • Published: 2009-02-24 (Revised/Updated 2010-07-15) : Author: CIBC
  • Synopsis: CIBC is now offering Registered Disability Savings Plans to eligible clients and outlining RDSP strategies for disabled Canadians and their families.

Main Document

CIBC is now offering Registered Disability Savings Plans or 'RDSPs' to eligible clients.

CIBC has also issued a report from Managing Director of Tax and Estate Planning, Jamie Golombek, outlining RDSP strategies for disabled Canadians and their families.

The RDSP is largely modeled after the Registered Education Savings Plan (RESP) with both grant and bond incentive programs. It is a new registered savings plan that allows Canadian residents eligible for the Disability Tax Credit, and in certain cases their parents and other eligible contributors, to invest up to $200,000 in a tax-deferred plan. As with RESPs, earnings and growth on all RDSP contributions accrue tax-deferred, contributions are not tax deductible and there are no annual contribution limits, only a lifetime limit.

"The RDSP is an effective way for clients with disabilities and their families to save for the future and make the most of government grants and bonds, all the while deferring tax on the plan's earnings and growth," says Golombek.

Canada Disability Savings Grants (CDSG) and Canada Disability Savings Bonds (CDSB) were designed to augment assets held within the RDSP. The Government of Canada will contribute funds, in the form of a CDSG, to a maximum of $3,500 depending on the net income of the beneficiary's family. The Government of Canada will also contribute up to $1,000 annually in CDSBs depending on the net income of the beneficiary's family.

Golombek discusses that prior to the arrival of the RDSP, trusts were the main vehicle used when planning for persons with disabilities. Fully discretionary trusts have been commonly used to set aside assets for a disabled beneficiary, including an inheritance, but still preserve the beneficiary's right to collect certain government benefits and entitlements.

Putting assets into an RDSP, instead of giving them to the beneficiary outright, will also protect against a beneficiary losing valuable disability benefits in most provinces, but RDSPs have the added benefits of saving money in a tax-deferred manner, while collecting CDSGs and CDSBs.

Reference: CIBC's RDSP product line-up includes a broad selection of CIBC Mutual Funds, including savings, income and growth funds, and CIBC Managed Portfolio Services. More information on the CIBC Registered Disability Savings Plan visit or call 1-877-433-1901. CIBC is a leading North American financial institution with nearly 11 million personal banking and business clients. CIBC offers a full range of products and services through its comprehensive electronic banking network, branches and offices across Canada, in the United States and around the world.

Similar Topics

1 : 2016 Canada Child Benefit Information : Canada Revenue Agency.
2 : 2014 Canada Pension Plan and Old Age Security Benefit Rates : Employment and Social Development Canada.
3 : Disability Credit Consultants Canada : Disability Credit Consultants.
4 : Disability Savings Grants for Canadians (CDSG) : Samuel Li.
5 : Canada Pension Plan and Old Age Security Benefit Rates : Human Resources and Skills Development Canada.
From our Canada Pension Plan section - Full List (11 Items)

Submit disability news, coming events, as well as assistive technology product news and reviews.

Loan Information for low income singles, families, seniors and disabled. Includes home, vehicle and personal loans.

Famous People with Disabilities - Well known people with disabilities and conditions who contributed to society.

List of awareness ribbon colors and their meaning. Also see our calendar of awareness dates.

Blood Pressure Chart - What should your blood pressure be, and information on blood group types/compatibility.

1 : Bias Keeps Women with Higher Body Weight Away From the Doctor
2 : Smart Hoteliers are Building a Healthier Future
3 : Teaching Baby Sign Language - Nita, Show Us More
4 : MitoQ Novel Antioxidant Makes Old Arteries Seem Young Again
5 : Telemedicine Helps Overcome Healthcare Gender Based Barriers
6 : Screen Reader Plus Keyboard Helps Blind, Low-Vision Users Browse Modern Webpages
7 : Our Digital Remains Should be Treated with Same Care and Respect as Physical Remains
8 : Tungsten: Concern Over Possible Health Risk by Human Exposure to Tungsten

Disclaimer: This site does not employ and is not overseen by medical professionals. Content on Disabled World is not intended to be a substitute for professional medical advice, diagnosis, or treatment. Always seek the advice of a physician or other qualified health provider with any questions you may have regarding a medical condition. See our Terms of Service for more information.

Reporting Errors: Disabled World is an independent website, your assistance in reporting outdated or inaccurate information is appreciated. If you find an error please let us know.

© 2004 - 2018 Disabled World™