902-266-6869

Group Retirement Plans

Home • Services • Group Retirement Plans

Group Retirements Plans

Group Retirement Plans

Make your company stand out with tailored group retirement plans that help employees feel secure in their future.
Get a Quote
Group Retirements Plans

Help Your Team Plan for the Future with Group Retirement Plans.

Retirement should be a time of relaxation and enjoyment, but without proper planning, it can quickly become a source of stress. Many people find themselves uncertain about how to manage their finances, wondering if they have enough savings, and unsure of details related to work and government pension plans. These concerns can leave one feeling anxious about the future.

At Saltwinds Financial, we take the guesswork out of retirement planning. Our expert team works closely with you to create a tailored strategy that helps you to understand your financial situation, which can help with your peace of mind. From personalized investment plans to tax-efficient withdrawal strategies, we provide a comprehensive approach that covers every aspect of your retirement.

Let’s Talk About Your Options

saltwinds financial services

The Most Common Group Retirement Plans

Registered Retirement Savings Plan (RRSP)
RRSP is a great fit for small businesses on a budget. It helps employees save for retirement and gives them instant tax deductions on what they contribute.
Tax-Free Savings Account (TFSA)
It is a solid addition to a Group RRSP, letting employees grow their savings tax-free. It’s perfect for businesses that want to offer more flexible ways to save.
Deferred Profit Sharing Plan (DPSP)
With the DPSP, you can share a portion of your company’s profits with your employees. It’s a great way to boost loyalty without needing them to chip in from their own paychecks.
Defined Contribution Pension Plan (DC Plan)
The DC Plan suits mid-sized and large companies wanting a structured retirement plan. Employers and employees contribute, with retirement benefits based on investment performance.
Individual Pension Plan (IPP)

The IPP is ideal for business owners and high earners. It offers a personalized pension plan with big tax benefits, helping maximize retirement savings.

Groups Worked With

Clients Served

Years Of Combined Experience

FAQ

Frequently Asked Questions

What is the difference between an RRSP and a TFSA?

An RRSP (Registered Retirement Savings Plan) and a TFSA (Tax-Free Savings Account) are both great tools for saving, but they work a little differently:

RRSP:

  • Contributions are tax-deductible, meaning you lower your taxable income.
  • You pay taxes when you withdraw the money, typically during retirement when you’re in a lower tax bracket.
  • Great for long-term retirement savings.

TFSA:

  • Contributions are not tax-deductible, but the money grows tax-free.
  • You don’t pay any taxes when you withdraw the money, no matter when you take it out.
  • It’s flexible—great for both short- and long-term savings.

Both plans offer excellent benefits, but choosing between them depends on your specific financial goals.

How does a Deferred Profit Sharing Plan (DPSP) work?
A Deferred Profit Sharing Plan (DPSP) allows employers to share company profits with their employees by contributing a portion of those profits into their retirement savings. Here’s how it works:
  1. Employer Contributions Only: Only the employer contributes to the DPSP; employees don’t have to contribute any of their own income.
  2. Profit-Based Contributions: Contributions are based on the company’s profits, which means they can vary year to year depending on how the business performs.
  3. Incentivizing Loyalty: DPSPs often come with a vesting period, meaning employees need to stay with the company for a certain amount of time to fully own the employer’s contributions. This encourages long-term employee retention.
  4. Tax Benefits: Employer contributions are tax-deductible, and employees only pay taxes when they withdraw the money in retirement.
This plan is perfect for companies looking to reward employees for their hard work and incentivize loyalty, while also providing a valuable retirement savings option.
How do I choose the right group retirement plan for my business?
  1. Think about how much you can comfortably contribute. Some plans, like DPSPs, only require you to contribute, while others, like DC Plans, involve contributions from both you and your employees.
  2. Ask your employees what matters to them most—do they want flexible savings, like a TFSA, or something more focused on long-term growth, like an RRSP?
  3. If keeping your best employees is a priority, consider a plan like DPSP, where they have to stay with your company for a while to get the full benefit.
  4. Talking to a financial advisor is always a smart move to make sure you pick the right plan for your business and your team.
    How much should employees contribute to maximize their retirement savings?
    1. If your company offers matching, like with an RRSP or DC Plan, make sure employees contribute enough to get the full match—it’s free money!
    2. Experts suggest saving 10-15% of your income for retirement. You can do this by combining what you and your employer contribute.
    3. Start with a smaller amount and increase it over time. Some plans even let you set up automatic increases, so it’s hassle-free.
    4. Max out your RRSP or TFSA contributions if possible. These plans come with great tax benefits to help you grow your savings faster.
    What happens if an employee leaves the company?
    It depends on the type of plan:
    1. RRSP or TFSA: Employees typically take the funds with them. They can either transfer their savings to a personal retirement account or leave it in the existing one, depending on the plan’s terms.
    2. DPSP or DC Plan: If there’s a vesting period, the employee may only take the portion of the contributions that they own (based on how long they’ve worked there). If fully vested, they take the entire amount.
    3. IPP: High-earning employees and business owners with an IPP can often transfer the balance to another registered retirement plan or keep it within the existing framework.
    It’s important to review the specific rules of each retirement plan to understand what happens when an employee leaves the company.
    Are there any tax benefits for participating in a group retirement plan?
    Yes, participating in a group retirement plan comes with several tax benefits:
    1. Tax-Deferred Growth (RRSP, DC Plan): Contributions are tax-deductible, reducing taxable income. The money grows tax-free until it’s withdrawn during retirement, at which point it’s typically taxed at a lower rate.
    2. Tax-Free Growth (TFSA): Any growth or earnings in a Tax-Free Savings Account (TFSA) is not subject to taxes. Even when employees withdraw the funds, they won’t pay any taxes.
    3. Employer Contributions (DPSP): Employers can deduct contributions made to Deferred Profit Sharing Plans (DPSPs) from their taxable income, and employees only pay taxes when they withdraw the funds in retirement.

    Our latest insights & articles