Effective January 1, 2020, Westminster Savings and Prospera Credit Union officially merged. The two credit unions are now one legal entity – Prospera Credit Union. In the months ahead, we will be launching our new brand and will be revising all materials including our website. We appreciate your patience during this transitional period.

February 2020

Make a plan — and maximize that RRSP contribution before March 2 deadline

Surrey, BC – February 25, 2020

Even though one of the first things any financial planner will tell you is to maximize your RRSP contributions, many Canadians don’t, says Prospera Credit Union’s investment advisor Marcus Van Reeuwyk.

Even more concerning, says Van Reeuwyk, is a Statistics Canada survey suggesting that nearly a third of Canadians feel they’re inadequately prepared financially for their retirement.

“Contributing to an RRSP makes the most sense when your income is in a higher tax bracket than it will be when you withdraw the funds,” says Van Reeuwyk. “If used correctly, the tax advantages provided by RRSPs can help you reach your savings goals quicker by reducing the amount of tax you end up paying on what you earn and on the money your savings earns as well. All of this should be part of your financial plan.”

The deadline for contributions is March 2, 2020 and Van Reeuwyk suggests the following:

  • Know how much you can contribute and consider how much you should contribute by looking at your 2019 T4s. Determine your earned income and look at your 2018 CRA Notice of Assessment for unused room. You can use 18% of earned income from the 2018 tax year as well as unused room from previous years.
  • Don’t forget about your spouse/common-law partner. A spousal RRSP contribution may make sense depending on your retirement timeline, your current annual incomes and your potential annual incomes in retirement. There could be benefits to having RRSP savings in both individuals’ names depending on your retirement age.
  • Finally, seek advice. An investment advisor’s job is to help you make the right financial decisions. They do this by understanding your goals, your current situation and trying to simplify complex financial situations such as RRSPs. They encourage you make decisions that help you reach your most important goals on time or faster.

For more information or to speak with an investment advisor click here.

Media Contact:
Jeff McDonald t. 604-549-2566 or c. 778-875-2574
Manager, Corporate & Internal Communications jmcdonald@wscu.com

Jessica Thiessen 604.953.3757
Manager, Communications jthiessen@prospera.ca

About Prospera Credit Union Expand/Collapse

Building on over 75 years as a BC credit union, Prospera is proud to serve communities from Vancouver to Kelowna. As a member-owned financial institution, our number one priority is the financial well-being of families and businesses in our local communities and our dedicated team is here to serve all their banking, lending, investing and insurance needs through sixteen branches; online and mobile banking and a locally-based contact centre. As a member of The Exchange network, our members also enjoy access to more than 4,000 surcharge free ATMs across Canada (that’s right, no ATM fees).

Making life better for everyone is important at Prospera, which has an extensive community investment program devoted to supporting the organizations, events and volunteers that make our BC communities stronger. To learn more about our community investment programs, check us out on YouTube, Facebook, Instagram and Twitter.

For all the latest news from Prospera Credit Union, visit our newsroom online at prospera.ca.