Group Retirement Plans
As an employer, it's in your best interest to offer your employees a group retirement plan that meets their needs. By offering such a privilege, you demonstrate your concern for your employees’ future.
A retirement savings plan must allow your employees to save easily and regularly. That’s what National Bank Trust offers with the Group RRSP.
This page explains how the Group RRSP works, and presents the tools we've developed to help your employees get the most out of their investments, whether they're planning for a comfortable retirement or simply wish to bring a project to fruition.
Deferred profit-sharing plan (DPSP)
A DPSP is a retirement plan that allows an employer to distribute part of the company’s profits to some or all of its employees. Thanks to this highly flexible plan, which is not permanent, an employer may choose to contribute to the DPSP only if the company generates a profit. A DPSP may also be used to pay out bonuses, overtime work and sick days.
Simplified Pension Plan (SPP)
An SPP is a pension plan in which the employer, and most often the employee, contribute to an account in the participant’s name. An SPP is administered by a financial institution, such as National Bank Trust, which reduces the employer’s administrative burden.
Individual Pension Plan (IPP)
An IPP is a registered pension plan normally established for a single participant and designated specifically for business owners or key employees. It offers particularly interesting tax benefits, and allows to plan retirement income. The IPP is a sound alternative to a strategy that only seeks to contribute the maximum RRSP amount for retirement purposes.
Voluntary retirement savings plan (VRSP)
VRSP is a new type of group retirement plans created by the Québec government to help residents of Québec save for retirement. It came into effect on July 1, 2014, and is accessible to self-employed workers, individual investors, business owners and associates.
Defined Contribution Registered Pension Plan (RPP DC)
A RPP DC is a traditional registered pension plan with defined contributions. Contributions are pre-determined and correspond to a percentage of the salary, or a fixed amount.
You may also offer a RRIF (registered retirement income fund) or a LIF (life income fund) to employees who must terminate their retirement plan. These retirement income payment plans account for contributions accumulated in retirement plans, and reduce the tax consequences of capital withdrawals.