25/10/2026
Planning for retirement is one thing. Planning for what happens after passing away is another.
When someone passes away, their RRSP doesn't just transfer seamlessly to loved ones. In most cases, the account value is included as income on the deceased person’s final tax return, and depending on the size of the RRSP, that tax bill can be substantial. But how your RRSP is handled and who receives it depends largely on decisions you can make right now.
Designating a beneficiary can simplify the process and may help avoid additional probate fees. If you designate a spouse or common-law partner as beneficiary, they may be able to transfer the funds into their own RRSP and defer the tax until they make withdrawals later.
Reviewing these choices after life changes like marriage, separation, or the birth of children or grandchildren can help ensure your wishes are clear.
When you're ready, we're here with guidance and resources to help you move forward.
Next time you review your financial documents, double-check that your beneficiary designations align with your wishes. Small mismatches can create big complications later.
Read the full article to understand RRSP rules and how planning ahead can reduce stress for your family: https://spr.ly/6185BHbsO5