We all look to get the best return possible on our income taxes and contributing to a Registered Retirement Saving Plan can help with that. 

Brandon Carter, Moosomin-Rocanville branch manager for Conexus Credit Union, outlined how an RRSP can help you on your income tax forms. 

“If a person you know made $50,000 a year and put in $3,000 into their RRSPs, the government is actually going to only tax them on $47,000.” 

The deadline to contribute to an RRSP and claim it on your income tax is March 1. 

Carter said, while RRSPs have huge implications when it comes to tax breaks, it is also about saving for the future. 

In 2020, Conexus conducted an Insightrix Survey that showed that 37 per cent of people of Saskatchewan felt that not being able to retire when they want to is one of their top financial concerns. Carter pointed about that running out of money during retirement was the most common concern from the survey. 

He suggested starting off with whatever you can afford, adding that even $25 per month as an example will start adding up in the long run. 

If you are unsure about where to turn or how much to put away, Carter said there are free tools available online. 

“There are lots of calculators out there in the marketplace. If you have any questions, certainly get in touch with a financial advisor.” 

One of the hot topics as of late is Tax-Free Savings Accounts versus RRSPs. Carter said there are benefits and drawbacks to both and a lot depends on the customer and what they are hoping to achieve. He said the best way to find out which option works best for you is to talk to a financial advisor.