The Registered Disability Savings Plan (RDSP) helps you save for long-term financial security

How does an RDSP work?

  • Eligibility requirements include approved disability tax credit, Canadian citizenship, and SIN #.
  • Every $1 is matched with up to $3 from the government (to a maximum of $3,500 each year, with a lifetime limit of $70,000; grants are paid into the RDSP until the end of the calendar year in which the recipient turns 49)
  • There is no annual contribution limit, but the lifetime limit is $200,000.
  • Contributions can be made up until the end of the year the beneficiary turns 59.
  • Low income individuals may be eligible for an additional $1000/year for 20 years.
  • There are no restrictions on how RDSP withdrawals are spent.
  • The RDSP is exempt from most provincial disability and income assistance benefits.
  • RDSP contributions are not tax-deductible, but income earned grows on a tax-deferred basis until the funds are withdrawn. When withdrawn, the amount is taxed as income.

How do I open an RDSP?

To open an RDSP, a person who qualifies to be a holder of the plan must contact a participating financial institution that offers RDSPs. The plan holder is the person who opens the RDSP and makes or authorizes contributions on behalf of the beneficiary. As long as conditions are met, there can be more than one plan holder at any time.

Who can be a beneficiary of an RDSP?

You can designate an individual as beneficiary if the individual:

  • is eligible for the disability tax credit (DTC)
  • has a valid Social Insurance Number (SIN) 
  • is a resident in Canada when the plan is entered into and
  • is under the age of 60

A beneficiary can only have one RDSP at any given time, although this RDSP can have several plan holders throughout its existence and more than one plan holder at any given time.

Can the holder of an RDSP change?

When a plan is opened by a beneficiary's legal parent(s), the legal parent(s) can continue as the holder(s) of the plan after the beneficiary reaches the age of majority. When the beneficiary reaches the age of majority and is contractually competent to enter into a plan, the beneficiary can be added to the RDSP as a joint holder.

Manage Your Wealth


Sometimes, your financial needs go beyond traditional banking products. Choose to invest your money in Mutual Funds or other securities. Through Aviso Wealth professionals at Rocky Credit Union, we can provide access to a comprehensive line of investments, including a variety of mutual fund companies. 


Mutual funds and other securities are offered through Aviso Wealth, a division of Aviso Financial Inc. Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Unless otherwise stated, mutual fund securities and cash balances are not insured nor guaranteed, their values change frequently and past performance may not be repeated.

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