News Feed Item

BMO's Fourth Annual RRSP Study: More Than a Third of Canadians Have Already Contributed to Their RRSP this Year

- Among those who have already contributed, 64 per cent have contributed at least $2,000 and 40 per cent $5,000

TORONTO, ONTARIO -- (Marketwired) -- 01/10/14 -- BMO Financial Group today announced the results of its fourth annual national Registered Retirement Savings Plan (RRSP) study, which showed that many Canadians are getting a head start on saving for retirement this year. More than one-third (35 per cent) of Canadians reported that they have already contributed to an RRSP before the March 3rd, 2014 deadline. This is up five per cent from this time last year.

Additionally, according to the study:

--  Sixty-four per cent of those who have already made a contribution have
    contributed at least $2,000 to their RRSP and 40 per cent have put in at
    least $5,000.
--  Forty-three per cent of Canadians reported that they will make a
    contribution to their RRSP by the March 3rd deadline. This is down from
    the 50 per cent who made a contribution last year.
--  Almost two-thirds (64 per cent) of Canadians have an RRSP, compared to
    67 per cent this time last year.
--  One-third reported that they usually contribute the maximum amount to
    their RRSPs.
--  Last year Canadians contributed an average of $3,544 to their RRSPs.

"It's reassuring to see that many Canadians are being proactive by contributing to their RRSPs well ahead of the deadline. However, according to Statistics Canada the total unused RRSP contribution amount is estimated to exceed $1 trillion by 2018," said Caroline Dabu, Vice President and Head, BMO Wealth Planning Group. "So we encourage everyone to contribute and contribute as early as possible to avoid the difficulties of having to come up with a large lump sum at the last minute."

Ms. Dabu added that using a Continuous Savings Plan (CSP) to make smaller and regular RRSP contributions throughout the year can help alleviate some stress leading up to the deadline. A CSP regularly and automatically withdraws a specific amount of money from an individual's bank account and invests it directly into his or her RRSP. It eases the cost of investing away from one annual deposit and helps increase savings.

RRSP Investing Hurdles

The study also examined the reasons why Canadians are not planning to make a contribution to an RRSP this year. These include:

--  Not having enough money to make a contribution (37 per cent)
--  Having other expenses which take precedence (33 per cent)
--  Prioritizing other investments (11 per cent)

"It can be difficult to balance all of your financial priorities, whether it is paying down your mortgage, saving for your child's education or putting money aside for your retirement," said Ms. Dabu. "A financial plan can help you map out all of your financial commitments to help you prioritize. Also, a financial professional can help you understand your options, offer checkpoints to follow your progress, adjust your plan as your circumstances change and work with you to ensure you stay on track for success."

Regional Breakdown:

Region             % who have    % who expect  % with an RRSP Average amount
                 already made a  to contribute                  contributed
                  contribution    to an RRSP                   last year ($)
                   before the     before the
                  2013 deadline  2013 deadline
National               35             43             64            3,544
Atlantic               30             35             60            3,955
Quebec                 29             41             53            3,049
Ontario                41             46             68            3,592
Prairies               41             49             81            3,811
Alberta                34             45             65            4,462
B.C.                   31             40             69            3,173

For more information on saving for retirement, please visit www.bmo.com/retirement.

Get the latest BMO press releases via Twitter by following @BMOmedia

The survey was conducted by Pollara with an online sample of 1,003 Canadians 18 years of age and over, between November 18th and 22nd, 2013.

Media contacts:
Amanda Robinson, Toronto
[email protected]

Valerie Doucet, Montreal
[email protected]

Laurie Grant, Vancouver
[email protected]

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
Rapid innovation, changing business landscapes, and new IT demands force businesses to make changes quickly. In the eyes of many, containers are at the brink of becoming a pervasive technology in enterprise IT to accelerate application delivery. In this presentation, you'll learn about the: The transformation of IT to a DevOps, microservices, and container-based architecture What are containers and how DevOps practices can operate in a container-based environment A demonstration of how Docke...
The Internet of Things (IoT) promises to simplify and streamline our lives by automating routine tasks that distract us from our goals. This promise is based on the ubiquitous deployment of smart, connected devices that link everything from industrial control systems to automobiles to refrigerators. Unfortunately, comparatively few of the devices currently deployed have been developed with an eye toward security, and as the DDoS attacks of late October 2016 have demonstrated, this oversight can ...
Smart Cities are here to stay, but for their promise to be delivered, the data they produce must not be put in new siloes. In his session at @ThingsExpo, Mathias Herberts, Co-founder and CTO of Cityzen Data, will deep dive into best practices that will ensure a successful smart city journey.
President Obama recently announced the launch of a new national awareness campaign to "encourage more Americans to move beyond passwords – adding an extra layer of security like a fingerprint or codes sent to your cellphone." The shift from single passwords to multi-factor authentication couldn’t be timelier or more strategic. This session will focus on why passwords alone are no longer effective, and why the time to act is now. In his session at 19th Cloud Expo, Chris Webber, security strateg...
November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Penta Security is a leading vendor for data security solutions, including its encryption solution, D’Amo. By using FPE technology, D’Amo allows for the implementation of encryption technology to sensitive data fields without modification to schema in the database environment. With businesses having their data become increasingly more complicated in their mission-critical applications (such as ERP, CRM, HRM), continued ...
In the 21st century, security on the Internet has become one of the most important issues. We hear more and more about cyber-attacks on the websites of large corporations, banks and even small businesses. When online we’re concerned not only for our own safety but also our privacy. We have to know that hackers usually start their preparation by investigating the private information of admins – the habits, interests, visited websites and so on. On the other hand, our own security is in danger bec...
Two weeks ago (November 3-5), I attended the Cloud Expo Silicon Valley as a speaker, where I presented on the security and privacy due diligence requirements for cloud solutions. Cloud security is a topical issue for every CIO, CISO, and technology buyer. Decision-makers are always looking for insights on how to mitigate the security risks of implementing and using cloud solutions. Based on the presentation topics covered at the conference, as well as the general discussions heard between sessi...
In his general session at 18th Cloud Expo, Lee Atchison, Principal Cloud Architect and Advocate at New Relic, discussed cloud as a ‘better data center’ and how it adds new capacity (faster) and improves application availability (redundancy). The cloud is a ‘Dynamic Tool for Dynamic Apps’ and resource allocation is an integral part of your application architecture, so use only the resources you need and allocate /de-allocate resources on the fly.
SYS-CON Events announced today that Cloudbric, a leading website security provider, will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Cloudbric is an elite full service website protection solution specifically designed for IT novices, entrepreneurs, and small and medium businesses. First launched in 2015, Cloudbric is based on the enterprise level Web Application Firewall by Penta Security Sys...
SYS-CON Events announced today that Impiger Technologies will exhibit in Booth #109 at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Impiger Technologies is a world-class, enterprise software product engineering company specializing in Mobile Application Development, Cloud Applications, Microsoft Technology Solutions, Web Technology and Telecom Services. Impiger Technologies helps enterprises improve busi...
Virgil consists of an open-source encryption library, which implements Cryptographic Message Syntax (CMS) and Elliptic Curve Integrated Encryption Scheme (ECIES) (including RSA schema), a Key Management API, and a cloud-based Key Management Service (Virgil Keys). The Virgil Keys Service consists of a public key service and a private key escrow service. 

SYS-CON Events announced today that Cemware will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Use MATLAB functions by just visiting website mathfreeon.com. MATLAB compatible, freely usable, online platform services. As of October 2016, 80,000 users from 180 countries are enjoying our platform service.
Data is the fuel that drives the machine learning algorithmic engines and ultimately provides the business value. In his session at Cloud Expo, Ed Featherston, a director and senior enterprise architect at Collaborative Consulting, will discuss the key considerations around quality, volume, timeliness, and pedigree that must be dealt with in order to properly fuel that engine.
Digitization is driving a fundamental change in society that is transforming the way businesses work with their customers, their supply chains and their people. Digital transformation leverages DevOps best practices, such as Agile Parallel Development, Continuous Delivery and Agile Operations to capitalize on opportunities and create competitive differentiation in the application economy. However, information security has been notably absent from the DevOps movement. Speed doesn’t have to negat...
SYS-CON Events announced today that eCube Systems, the leading provider of modern development tools and best practices for Continuous Integration on OpenVMS, will exhibit at SYS-CON's @DevOpsSummit at Cloud Expo New York, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. eCube Systems offers a family of middleware products and development tools that maximize return on technology investment by leveraging existing technical equity to meet evolving business needs. ...