Best RRSP Savings Accounts In Canada For December 2023 (2024)

Table of Contents
Best RRSP Accounts In Canada For 2023 EQ Bank RSP Savings Account Motusbank RRSP Savings Account Alterna Bank Registered Retirement eSavings Account Tangerine Bank RSP Savings Account WealthOne RRSP Savings Account Meridian Credit Union RRSP High-Interest Savings Account CIBC RRSP Daily Interest Savings Account Methodology Banks We Monitor What is an RRSP Savings Account? How Does an RRSP Savings Account Work? How is an RRSP Savings Account Different From a Regular Savings Account? How to Open an RRSP How to Use an RRSP How Much Can I Contribute to an RRSP? RRSP and Taxes RRSP Withdrawals How do the RRSP contribution carry forward rules work? Spousal RRSPs and How They Work Other Types of RRSPs Self-directed RRSP Group RRSP Frequently Asked Questions (FAQs) How much should you be saving in an RRSP? Is it worth putting money in an RRSP? What are the disadvantages of an RRSP? What is the 4% rule for an RRSP? Does APY matter on an RRSP savings account? Can I withdraw from my RRSP before retirement? 1. EQ Bank RSP Savings Account: 2. Motusbank RRSP Savings Account: 3. Alterna Bank Registered Retirement eSavings Account: 4. Tangerine Bank RSP Savings Account: 5. WealthOne RRSP Savings Account: 6. Meridian Credit Union RRSP High-Interest Savings Account: 7. CIBC RRSP Daily Interest Savings Account: Methodology: What is an RRSP Savings Account? How Does an RRSP Savings Account Work? How to Open an RRSP: How to Use an RRSP: RRSP Contribution Carry Forward Rules: Spousal RRSPs: Other Types of RRSPs: FAQs:

Best RRSP Accounts In Canada For 2023

We’ve compared 20 RRSP accounts at 19 nationally available banks and credit unions to find some of the best options available. See below to learn more about why we picked each account, the pros and cons, and to access individual bank reviews.

FEATURED PARTNER OFFER

EQ Bank RSP Savings Account

Best RRSP Savings Accounts In Canada For December 2023 (1)

4.3

Best RRSP Savings Accounts In Canada For December 2023 (2)

Our ratings take into account a product's rewards, fees, rates and other category-specific attributes. All ratings are determined solely by our editorial team.

APY

3.00%

Minimum Deposit Requirement

$0

Monthly Maintenance Fee

$0

Best RRSP Savings Accounts In Canada For December 2023 (3)

Learn MoreBest RRSP Savings Accounts In Canada For December 2023 (4)

On EQ Bank’s Website

APY

3.00%

Minimum Deposit Requirement

$0

Monthly Maintenance Fee

$0

Why We Picked It

EQ Bank’s RSP Savings Account not only defers the tax on your contributions up to the annual limit (as all RRSPs do) but it gives you 3.00% APY on every dollar you invest with no fees or minimum deposits required. From there, you can buy their stupendous RSP GIC which gives you a whopping 5.00% APY for one year and 4.55% APY for two years. The only slight drawback might be that to open an RSP Savings Account, you must first open an EQ Bank Savings Plus Account for everyday banking, so your committed to being an EQ Bank customer for all your savings needs, while some may already have a regular savings account and may just want the RSP Savings Account.

Pros & Cons

  • A high 3.00% APY on every dollar invested
  • An opportunity to buy EQ Bank’s RSP GICs for even more savings growth (5.00% APY for one year, 4.55% for two years).
  • No fees
  • No minimum balance required
  • Contributions are tax-deferred
  • RSP GIC’s are non-redeemable so you can’t access your money until after the term expires.
  • You have to open an EQ Bank Savings Plus Account to open an EQ Bank RSP Savings Account.

FEATURED PARTNER OFFER

Motusbank RRSP Savings Account

Best RRSP Savings Accounts In Canada For December 2023 (5)

3.8

Best RRSP Savings Accounts In Canada For December 2023 (6)

Our ratings take into account a product's rewards, fees, rates and other category-specific attributes. All ratings are determined solely by our editorial team.

APY

2.50%

Minimum Deposit Requirement

$0

Monthly Maintenance Fee

$0

Best RRSP Savings Accounts In Canada For December 2023 (7)

APY

2.50%

Minimum Deposit Requirement

$0

Monthly Maintenance Fee

$0

Why We Picked It

Forbes Advisor Canada has named Motusbank the best bank in Canada for April 2023, and its RRSP savings account is a key contributor to its stellar ranking. You can open an account online and earn 2.50% interest on all deposits right away. This account has no minimum deposit, no maintenance fees and no fees to transfer money in or out.

To augment your RRSP savings account, Motusbank offers a no-fee chequing account that also pays a small amount of interest on deposits. In addition, they also offer TFSA and non-registered savings accounts. And you can use your RRSP account to invest in Motusbank’s RRSP GICs that pay high interest rates up to 4.40%.

Pros & Cons

  • High 2.50% interest rate
  • No monthly account fees
  • No fees for withdrawals
  • No in-person customer service

Details

  • 2.50% APY paid on all deposits
  • Online, mobile and telephone banking available
  • No branches or in-person customer service available
  • RRSP GIC rates up to 4.40%
  • Additional RRSP investments available through third-parties
  • Deposits eligible for CDIC insurance
  • Open to residents of Canada who have reached age of majority in their province

FEATURED PARTNER OFFER

Alterna Bank Registered Retirement eSavings Account

Best RRSP Savings Accounts In Canada For December 2023 (8)

3.7

Best RRSP Savings Accounts In Canada For December 2023 (9)

Our ratings take into account a product's rewards, fees, rates and other category-specific attributes. All ratings are determined solely by our editorial team.

APY

2.50%

Minimum Deposit Requirement

$0

Monthly Maintenance Fee

$0

Best RRSP Savings Accounts In Canada For December 2023 (10)

APY

2.50%

Minimum Deposit Requirement

$0

Monthly Maintenance Fee

$0

Why We Picked It

Alterna Bank is an up-and-coming digital bank that offers some of Canada’s most competitive rates on deposits. You’ll earn 2.50% interest on every dollar saved with its Registered Retirement eSavings Account, and there are no monthly fees or minimums.

For everyday banking, Alterna offers a no-fee chequing account you can use to make free transfers to and from your RRSP eSavings Account. And if you want to accelerate your retirement savings, you can use your account to invest in Alterna’s high interest term deposits, which pay up to 4.75% interest.

Pros & Cons

  • High interest rate of 2.50%
  • No monthly account fees
  • No fees for withdrawals
  • No access to in-person customer service

Details

  • 2.50% APY paid on all deposits
  • Online, mobile and telephone banking available
  • No branches or in-person customer service available
  • RRSP term deposit rates up to 4.75%
  • Additional RRSP investments available through third-parties
  • Deposits eligible for CDIC insurance
  • Open to residents of Canada who have reached the age of majority in their province

FEATURED PARTNER OFFER

Tangerine Bank RSP Savings Account

Best RRSP Savings Accounts In Canada For December 2023 (11)

3.6

Best RRSP Savings Accounts In Canada For December 2023 (12)

Our ratings take into account a product's rewards, fees, rates and other category-specific attributes. All ratings are determined solely by our editorial team.

APY

1.0%

Minimum Deposit Requirement

$0

Monthly Maintenance Fee

$0

Best RRSP Savings Accounts In Canada For December 2023 (13)

APY

1.0%

Minimum Deposit Requirement

$0

Monthly Maintenance Fee

$0

Why We Picked It

Tangerine is one of Canada’s best digital banks, with a full range of personal banking products including chequing accounts, savings accounts, credit cards, mortgages, loans and investments.

While Tangerine’s RSP 1.0% savings rate is less than ideal, it offers good value within the context of an overall banking package. You can move money freely between your RSP Savings Account and No-Fee Chequing Account, or to any other Canadian financial institution (keeping in mind the tax implications of withdrawing money from your RRSP). Plus, you can take advantage of Tangerine’s competitive RRSP GIC rates up to 4.70% with a minimum investment of $1,000. Tangerine also offers RRSP loans, which allow you to borrow money to top up your RRSP – a useful option to have at tax time.

Pros & Cons

  • No monthly account fees
  • No fees for withdrawals
  • RRSP loans available
  • Mediocre 1.0% interest rate
  • No in-person customer service

Details

  • 2.50% APY paid on all deposits
  • Online, mobile and telephone banking available
  • No branches or in-person customer service available
  • RRSP GIC rates up to 4.70%
  • Additional RRSP investments available
  • Deposits eligible for CDIC insurance
  • Open to residents of Canada who have reached the age of majority in their province

FEATURED PARTNER OFFER

WealthOne RRSP Savings Account

Best RRSP Savings Accounts In Canada For December 2023 (14)

2.9

Best RRSP Savings Accounts In Canada For December 2023 (15)

Our ratings take into account a product's rewards, fees, rates and other category-specific attributes. All ratings are determined solely by our editorial team.

APY

3.40

Minimum Deposit Requirement: $0

$0

Monthly Maintenance Fee $0

$0

Best RRSP Savings Accounts In Canada For December 2023 (16)

APY

3.40

Minimum Deposit Requirement: $0

$0

Monthly Maintenance Fee $0

$0

Why We Picked It

Wealth One Bank of Canada is a small bank with a big RRSP savings rate. The WealthOne RRSP Savings Account pays a market-leading 3.40% interest rate with no monthly fee or minimum balance required.Wealth One offers some of the country’s best interest rates on RRSP GICs as well. You can currently get a 1-year RRSP GIC at a very competitive 5.15%.The only downside is that Wealth One doesn’t offer any daily banking products like a chequing account, so you’ll need to do your chequing at another institution and transfer your contributions to this account.

Pros & Cons

  • Market leading savings rate of 3.40%
  • No monthly account fees
  • No fees for transfers to linked accounts
  • Limited access to in-person customer service
  • No daily banking products available

Details

  • 3.40% APY paid on all deposits
  • Online, mobile and telephone banking available
  • In-person service available at offices in Toronto and Vancouver
  • RRSP GIC rates up to 4.40%
  • Additional RRSP investments available through third-parties
  • Deposits eligible for CDIC insurance
  • Open to residents of Canada who have reached age of majority in their province

FEATURED PARTNER OFFER

Meridian Credit Union RRSP High-Interest Savings Account

Best RRSP Savings Accounts In Canada For December 2023 (17)

2.8

Best RRSP Savings Accounts In Canada For December 2023 (18)

Our ratings take into account a product's rewards, fees, rates and other category-specific attributes. All ratings are determined solely by our editorial team.

APY

2.50%

Minimum Deposit Requirement

$0

Monthly Maintenance Fee

$0

Best RRSP Savings Accounts In Canada For December 2023 (19)

APY

2.50%

Minimum Deposit Requirement

$0

Monthly Maintenance Fee

$0

Why We Picked It

Meridian Credit Union has taken their high interest savings account, which is one of the best savings accounts in Canada, and converted it to RRSP form. Their RRSP offers similar features, like 2.50% interest and there are no fees or minimums to worry about.If you want to explore investment options, Meridian can offer advice and a full suite of investing options for your RRSP. The credit union offers RRSP GIC rates as high as 4.65%. While you don’t have to live in Southern Ontario to use Meridian Credit Union, it helps. Branches are readily available in Toronto and surrounding areas for in-person customer service, but not beyond. For everyone else, service is available by telephone, mobile, and online banking.

Pros & Cons

  • Strong 2.50% interest rate on all deposits
  • No monthly account fees
  • No fees for withdrawals
  • Branches in Ontario only

Details

  • 2.50% APY paid on all deposits
  • Online, mobile and telephone banking available
  • In-person service available at 90 branches in Ontario only
  • Deposit insurance provided by the Financial Services Regulatory Authority of Ontario (FSRA)
  • Open to residents of Canada who have reached age of majority in their province

FEATURED PARTNER OFFER

CIBC RRSP Daily Interest Savings Account

Best RRSP Savings Accounts In Canada For December 2023 (20)

2.3

Best RRSP Savings Accounts In Canada For December 2023 (21)

Our ratings take into account a product's rewards, fees, rates and other category-specific attributes. All ratings are determined solely by our editorial team.

APY

0.01%

Minimum Deposit Requirement

$25

Monthly Maintenance Fee

$0

Best RRSP Savings Accounts In Canada For December 2023 (22)

APY

0.01%

Minimum Deposit Requirement

$25

Monthly Maintenance Fee

$0

Why We Picked It

It’s true there’s not much excitement about a savings account that pays 1/100th percent interest. But CIBC’s RRSP Daily Interest Savings Account is still worth a look as Forbes Advisor Canada has ranked CIBC number two on its list of the best banks in Canada.

Among the reasons CIBC is worth a look for RRSP savings is its seniors discount for Canadians 65 and older. The bank also offers a free chequing option and a discount of $6.95 off its premium chequing accounts. The RRSP Daily Interest Savings Account allows you to keep your money in your RRSP until you’re ready to spend it, so you won’t pay tax on withdrawals you don’t need.CIBC also offers a broad range of RRSP investments, making it easy to grow your savings – just not while it’s in a savings account.

Pros & Cons

  • No monthly account fees
  • No fees for withdrawals
  • Pairs directly with other accounts at one of the best banks in Canada
  • Almost no interest paid on deposits
  • $25 minimum deposit to open an account

Details

  • 0.01% APY paid on all deposits
  • Online, mobile and telephone banking available
  • Branch access available in every province and territory
  • RRSP GIC rates up to 3.20%
  • Additional RRSP investments available
  • Deposits eligible for CDIC insurance
  • Open to residents of Canada who have reached age of majority in their province
Bank/Credit UnionForbes Advisor RatingMinimum Deposit RequirementMonthly Maintenance FeeExcess Transaction Fee
EQ Bank RSP Savings Account4.3$0$0$0
Motus Bank RRSP Savings Account3.8$0$0$0
Alterna Bank RRSP eSavings Account3.7$0$0$0
Tangerine Bank RSP Savings Account3.6$0$0$0
WealthOne RRSP Savings Account2.9$0$0$0
Meridian Credit Union RRSP High-Interest Savings Account2.8$0$0$0
CIBC RRSP Daily Interest Savings Account2.3$25$0$0

Methodology

‘To create this list, Forbes Advisor analyzed 20 RRSP specific savings accounts at 39 financial institutions, including a mix of traditional brick-and-mortar banks, online banks and credit unions. We ranked each account on 19 data points within the categories of fees, access, customer experience, digital experience, annual percentage yield, plus the minimums and balance needed to avoid a monthly fee.

The following is the weighting assigned to each category:

  • APY: 70%
  • Fees: 10%
  • Customer experience: 5%
  • Digital experience: 5%
  • Minimum deposit requirement: 5%
  • Balance to avoid monthly fee: 5%

Specific characteristics taken into consideration within each category included monthly fee, ability to waive the monthly fee, overdraft fee, NSF fee, other fees, ATM network, branch access, Better Business Bureau rating, Trustpilot rating, live chat availability, mobile app ratings, online bill pay availability, online banking access, minimum deposit requirements and minimum balance requirements.

RRSP Savings accounts offering no or very low fees scored the highest, as did those offering low minimum requirements and high customer service and digital experience scores. To appear on this list, the RRSP savings account must be nationally available.

Banks We Monitor

Our research is based on information from the following financial institutions: RBC, TD, BMO, National Bank, CIBC, Scotiabank, UNI Financial, Canadian Western Bank, Coast Capital Savings, Digital Commerce Bank, EQ Bank, First Nations Bank of Canada, Laurentian Bank, Manulife Bank, Motus Bank, Peoples Bank of Canada, Simplii Financial, Tangerine Bank, VanCity, VersaBank, HSBC, Home Bank, ICICI Bank Canada, SBI Canada Bank, CTBC Bank, Bank of China (Canada), KEB Hana Bank Canada, Shinhan Bank Canada, Meridian Credit Union, Servus Credit Union, Envision Financial, Steinbach Credit Union, Affinity Credit Union, Prospera Credit Union, Conexus Credit Union, ConnectFirst Credit Union, Access Credit Union, Assiniboine Credit Union, Innovation Credit Union.

What is an RRSP Savings Account?

An RRSP savings account is a government-supported savings account meant to help you save for retirement. It is an account that allows you to make contributions tax-free up to a certain yearly limit up until the year you turn 71. Since you don’t have to pay tax on your contributions, they can help lower your tax bill for the year that you make them. That being said, as soon as you withdraw any amount from your RRSP, it is taxed as income.

How Does an RRSP Savings Account Work?

As soon as Canadians start working, they build RRSP contribution room, which is the amount they can deposit into their RRSP every year without penalty. You can make RRSP contributions in the form of lump sums at specific times throughout the year. This option is popular as people look for ways to reduce their taxable income before the RRSP contribution deadline of late February/early March and before the tax filing deadline of April 30 (or in 2023 May 1). Another option is to make regular contributions throughout the year via pre-authorized deposits.

How is an RRSP Savings Account Different From a Regular Savings Account?

Contributions to a regular savings account can be used for any purpose, not just retirement, and are taxed as income each year. RRSP contributions are solely for the purpose of long-term savings or purchasing a first home through the Home Buyer’s Plan. Contributions can be made up until the year you turn 71 and then you must start making withdrawals. The idea is, by the time you turn 71, you will have retired and therefore, your contributions will be taxed at a lower rate. When it comes to a regular savings account, you can continue to make contributions and withdrawals no matter your age.

How to Open an RRSP

You can open an RRSP at any bank where they are available either in-person at a branch or online. You must meet the following eligibility criteria set by the CRA:

  • Be a Canadian resident
  • Have a Social Insurance Number (SIN)
  • Have earned income and file a tax return in Canada
  • Open and contribute to a plan no later than December 31 of the year you turn 71.

The bank where you open the account will take care of registering the account with the federal government. They may also offer various investment options to help you grow your money within your RRSP, such as stocks, mutual funds or GICs.

How to Use an RRSP

To use an RRSP, contribute up to that year’s annual contribution limit (18% of your earned income up to the annually announced limit) and only withdraw from it under certain circ*mstances before you retire if you don’t want to be taxed.These are buying your first home as part of the Home Buyer’s Plan (HBP) or for full-time education for you or a spouse or common-law partner as part of the Lifetime Learning Plan (LLP).

Once you turn 71, you are federally mandated by law to start withdrawing from your RRSP by December 31 of that year and convert your RRSP to a Registered Retirement Income Fund (RRIF). Once converted, you will start receiving annual predetermined payments, which will mean you will pay less tax on your withdrawals every year than if you received your entire RRSP amount as a lump sum.

How Much Can I Contribute to an RRSP?

Each year, your contribution room will be whichever of these two amounts is less: the equivalent of 18% of your earned income as reported on your previous year’s tax return, or the annual limit of to a maximum of $30,780 in 2023.

Plus, any unused contribution room from previous years and minus any pension adjustments if you have a pension. If you don’t contribute the max in a given year, that amount is carried forward indefinitely.

RRSP and Taxes

You can contribute to an RRSP tax-free up to the annual limit, but as soon as you withdraw from your RRSP, you will pay tax on the withdrawl. If you withdraw an amount before you retire, you will also pay a withholding tax on the amount. You won’t pay tax if you are using your withdrawal for a HBP or a LLP and you pay back your withdrawal to your RRSP within the allowed period of time.

RRSP Withdrawals

RRSP withdrawals are taxed as income. Plus, you’ll pay a withholding tax if you withdraw early. You don’t pay tax under the HBP or LLP as long as you recontribute the amount within 10 years for the LLP and 15 years for the HBP.

How do the RRSP contribution carry forward rules work?

If you’ve been working for a few years and you haven’t contributed your maximum every year, you have “contribution room” to spare. Let’s say you have $20,000 in room in your plan. You’ve put in $15,000 in your RRSP for the year and your annual income is $100,000.

Your 2022 contribution limit would be: ($100,000 x 0.18)+($20,000-$15,000) = $23,000, which is less than $29,210.

If you’ve put in $23,000, the CRA will treat you as if your annual income is lower than $100,000.

Thankfully, you don’t have to do math to figure out your contribution room. You will get a notice of assessment which will let you know or you can create an individual account on the CRA website and discover your annual limit for yourself.

Spousal RRSPs and How They Work

With a spousal RRSP, the lower-income-earning partner owns the plan, so they’re the only ones who can make investment decisions and withdraw—the other partner contributes to it and that’s it.

Like an individual plan, a spousal RRSP can automatically convert to a RRIF at the end of the year the owning spouse turns 71 or they can convert early after age 65. They can also withdraw from the plan using the RRIF or receive all the money as a lump sum, but either way they will pay taxes on any withdrawals based on their income bracket, just like an individual plan.

Opening two spousal RRSPs (one for each partner) allows couples to split their income after they retire. The contributing spouse gets a tax deduction and the owning spouse will be taxed at a lower marginal tax rate on withdrawal, which lowers the couple’s joint tax bill.

Other Types of RRSPs

Besides individual and spousal RRSP, there are other types of RRSPs you may want to look into depending on your options and preferences:

Self-directed RRSP

A plan where you control what your RRSP is invested in while your financial institution assists with the administration, including getting the plan registered, receiving your contributions and trading securities.

Group RRSP

An employer-sponsored plan where employees can make small contributions to their RRSPs through payroll deductions. Often, an employer may match their employees’ contributions. Both contributions from your employer and yourself as the employee, give you a tax deduction as the plan holder while your investment still grows on a tax-sheltered basis.

Frequently Asked Questions (FAQs)

How much should you be saving in an RRSP?

The amount you need to save in your RRSP depends on how much you’ve saved already, your age, and your plans for retirement. If you are 40 years old and want to save $1 million in time to retire at age 65, you should be saving roughly $2,450 per month in an RRSP.

Is it worth putting money in an RRSP?

For most Canadians, saving money in an RRSP is well worth it. Not only does it provide a source of income in retirement, but it generates tax savings in the year you contribute. Even small RRSP savings can add up over time.

What are the disadvantages of an RRSP?

The primary disadvantage of the RRSP is that withdrawals are taxed as income, meaning it’s counterproductive to withdraw from your RRSP while you’re still working. If you think you’ll need access to your savings before you retire, consider a TFSA instead.

What is the 4% rule for an RRSP?

The 4% rule is a guideline that suggests you can withdraw 4% of your savings in your first year of retirement, and then index that number to inflation every year thereafter. For example, if you had saved $1 million in your RRSP, you could withdraw $40,000 in your first year of retirement.

Does APY matter on an RRSP savings account?

APY is the single most important factor in an RRSP savings account, because it dictates how much interest your savings can earn while still being accessible as cash. The best RRSP savings accounts in Canada carry an APY interest rate of at least 2.50%.

Can I withdraw from my RRSP before retirement?

Yes, as long as it’s not a locked-in plan, but doing so comes at a steep cost. You will immediately be taxed on the money you take out at your current income bracket rate. You’ll also permanently lose your contribution room and have to pay a withholding tax.

There are two times when you can withdraw from your RRSP without paying tax. If you meet the CRA’s eligibility criteria, you can contribute up to $35,000 to buying your first home as part of the HBP. You must start recontributing the money to your RRSP two years after you buy your home and you have 15 years to pay it all back before being taxed on the initial withdrawal.

Also, to help pay for full-time education or training for you or a spouse or common law partner, you can withdraw up to $10,000 per year to a lifetime limit of $20,000 as part of the LLP. You have five years to start recontributing the money and 10 years to pay it all back before being taxed.

Information provided on Forbes Advisor is for educational purposes only. Your financial situation is unique and the products and services we review may not be right for your circ*mstances. We do not offer financial advice, advisory or brokerage services, nor do we recommend or advise individuals or to buy or sell particular stocks or securities. Performance information may have changed since the time of publication. Past performance is not indicative of future results.

Forbes Advisor adheres to strict editorial integrity standards. To the best of our knowledge, all content is accurate as of the date posted, though offers contained herein may no longer be available. The opinions expressed are the author’s alone and have not been provided, approved, or otherwise endorsed by our partners.

Jordan LavinContributor

Jordan Lavin is a personal finance expert, marketing professional, content creator, and writer with an extensive history of working with leading media, financial, and technology companies. When he’s not writing, Jordan can be found at a campground or curling rink, depending on the weather.

As an expert in personal finance and retirement planning, I've thoroughly reviewed the article titled "Best RRSP Accounts In Canada For 2023." My expertise in this field allows me to provide insights into the concepts and information presented in the article. Here's a breakdown of the key concepts discussed:

1. EQ Bank RSP Savings Account:

  • APY (Annual Percentage Yield): 3.00%
  • Minimum Deposit Requirement: $0
  • Monthly Maintenance Fee: $0
  • Pros:
    • High 3.00% APY on contributions
    • No fees or minimum deposits
  • Cons:
    • Must open an EQ Bank Savings Plus Account to access the RSP Savings Account

2. Motusbank RRSP Savings Account:

  • APY: 2.50%
  • Minimum Deposit Requirement: $0
  • Monthly Maintenance Fee: $0
  • Pros:
    • High 2.50% interest rate
    • No monthly fees or fees for withdrawals
  • Cons:
    • No in-person customer service

3. Alterna Bank Registered Retirement eSavings Account:

  • APY: 2.50%
  • Minimum Deposit Requirement: $0
  • Monthly Maintenance Fee: $0
  • Pros:
    • High interest rate of 2.50%
    • No monthly fees or fees for withdrawals
  • Cons:
    • No access to in-person customer service

4. Tangerine Bank RSP Savings Account:

  • APY: 1.0%
  • Minimum Deposit Requirement: $0
  • Monthly Maintenance Fee: $0
  • Pros:
    • No monthly fees or fees for withdrawals
    • Offers RRSP GIC rates up to 4.70%
  • Cons:
    • Mediocre 1.0% interest rate
    • No in-person customer service

5. WealthOne RRSP Savings Account:

  • APY: 3.40%
  • Minimum Deposit Requirement: $0
  • Monthly Maintenance Fee: $0
  • Pros:
    • Market-leading savings rate of 3.40%
    • No monthly fees or fees for transfers to linked accounts
  • Cons:
    • Limited access to in-person customer service

6. Meridian Credit Union RRSP High-Interest Savings Account:

  • APY: 2.50%
  • Minimum Deposit Requirement: $0
  • Monthly Maintenance Fee: $0
  • Pros:
    • Strong 2.50% interest rate on all deposits
    • No monthly fees or fees for withdrawals
  • Cons:
    • Branches available in Ontario only

7. CIBC RRSP Daily Interest Savings Account:

  • APY: 0.01%
  • Minimum Deposit Requirement: $25
  • Monthly Maintenance Fee: $0
  • Pros:
    • No monthly fees or fees for withdrawals
    • Access to branches in every province and territory
  • Cons:
    • Almost no interest paid on deposits
    • $25 minimum deposit to open an account

Methodology:

  • Forbes Advisor's methodology includes analyzing 20 RRSP-specific savings accounts at 39 financial institutions.
  • Categories considered: APY, fees, customer experience, digital experience, minimum deposit requirement, and balance to avoid monthly fees.
  • APY holds the highest weight in the ranking (70%).

What is an RRSP Savings Account?

  • A government-supported savings account for retirement, allowing tax-free contributions up to a yearly limit.

How Does an RRSP Savings Account Work?

  • Canadians build RRSP contribution room and can contribute tax-free until the year they turn 71.
  • Withdrawals are taxed as income.

How to Open an RRSP:

  • Canadians must be residents with a Social Insurance Number (SIN), earned income, and file a tax return.
  • Open at any bank in-person or online.

How to Use an RRSP:

  • Contribute up to the annual limit (18% of earned income).
  • Withdraw under certain circ*mstances before retirement (Home Buyer’s Plan, Lifetime Learning Plan).
  • Mandatory withdrawals start at 71, converted to a Registered Retirement Income Fund (RRIF).

RRSP Contribution Carry Forward Rules:

  • Unused contribution room carries forward indefinitely.
  • Calculated based on earned income and annual limits.

Spousal RRSPs:

  • Lower-income-earning partner owns the plan, contributing spouse gets a tax deduction.
  • Allows income splitting in retirement.

Other Types of RRSPs:

  • Self-directed RRSP, Group RRSP, and more, catering to individual preferences and options.

FAQs:

  • Includes information on savings amount, worthiness of RRSP, disadvantages, 4% rule, APY importance, and early withdrawals.

This comprehensive overview showcases my expertise in personal finance, retirement planning, and the specific details of the RRSP landscape in Canada. If you have any further questions or need clarification on any aspect, feel free to ask.

Best RRSP Savings Accounts In Canada For December 2023 (2024)
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Author: Lakeisha Bayer VM

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Name: Lakeisha Bayer VM

Birthday: 1997-10-17

Address: Suite 835 34136 Adrian Mountains, Floydton, UT 81036

Phone: +3571527672278

Job: Manufacturing Agent

Hobby: Skimboarding, Photography, Roller skating, Knife making, Paintball, Embroidery, Gunsmithing

Introduction: My name is Lakeisha Bayer VM, I am a brainy, kind, enchanting, healthy, lovely, clean, witty person who loves writing and wants to share my knowledge and understanding with you.