Protecting the financial well being of your family can also help you achieve the retirement lifestyle you deserve
We generally think of RRSPs and Pensions when we think about retirement. Many of us will rely on these types of plans along with government sponsored pensions, such as the Canada Pension Plan and Old Age Security, as our main sources of retirement income.
The Problem: Taxation
The biggest retirement income challenge with RRSPs, Pensions, Government Pensions and LIRAs (pensions transferred from a former employer) is that all of the income withdrawn from these types of registered plans has yet to be taxed. As such, income received in a retiree’s hands is fully taxable.