An RDSP can get a maximum of $3,500 in matching grants in one year, and up to $70,000 over the beneficiary’s lifetime. A beneficiary’s RDSP can receive a grant on contributions made until December 31 of the year in which the beneficiary turns 49.
The amount of the grant is based on the beneficiary’s family income. The beneficiary family income thresholds are indexed each year to inflation. The income thresholds for 2016 are as follows:
Amount of CDSG grant when family income is $93,208* or less:
Amount of CDSG grant when family income is more than $93,208*:
*As of year 2020, indexed every year.
The bond is an amount paid by the Government of Canada directly into an RDSP. The Government will pay bonds of up to $1,000 a year to low-income Canadians with disabilities. No contributions have to be made to get the bond. The lifetime bond limit is $20,000. A bond can be paid into an RDSP until the year in which the beneficiary becomes 49 years of age.
The amount of the bond is based on the beneficiary’s family income. The beneficiary family income thresholds are indexed each year to inflation. The income thresholds for 2018 are as follows:
Before the end of the year you turn 49 years of age, you can carry forward up to 10 years of unused grant and bond entitlements to future years, as long as you met the eligibility requirements during the carry-forward years (i.e. you were eligible to claim the disability tax credit and you were a Canadian resident). If an RDSP was opened:
Mutual funds are offered through Networth Financial Corp. (NFC), member of the MFDA and MFDA Investor Protection Corporation. Commissions, trailing commissions, management fees, and expenses may all be associated with mutual fund investments. Please read the Fund Facts Sheets before investing. Mutual funds are not covered by the Canada Deposit Insurance Corporation or by any other government deposit insurer and are not guaranteed, their values change frequently and past performance may not be repeated.
Yogesh Bansal is dual licensed for the sale of insurance products as well. As such, you may be dealing with more than one company depending on the products or services provided. NFC is responsible only for business licensed under the Provincial Securities Act & Regulations. It does not supervise or review any other business. All other services are the responsibility of another licensed entity and not the responsibility of NFC.