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Too late for RRSPs?

on Mon, 03/13/2017 - 04:30

Deadline for 2016 RRSP contribution had passed. You think it is then too late to do RRSPs? No... Never too late. 

The amount you do now and later, of course, cannot be used to lower your income in 2016 but it can be used towards 2017 and beyond's income level. 

Bear in mind, doing it early is always better than later. Here is why:

1. Less stress

When you have lots on the plate and still have to scramble to get last minute RRSP contribution in, that's very stressful 

2. Less financial burde

You can start a monthly contribution so that you don't have to try come up with a lumpsum at the end of the year

3. Dollar cost averaging 

When you do monthly contributions, you are effectively making use of dollar cost averaging, which works better in the long run

4. Have your money invested early

Instead of waiting to the last minute, you have your money invested right away and take advantage of longer time in the market

Not sure if you can start a monthly contribution? Reference to my budget blog and see! Contact us for help if you have any questions :)

Happy saving!

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