Spousal RRSPs are similar to individual RRSPs except that designated contributions go into a spousal plan in your spouse’s name instead of your own. This is an excellent strategy when one spouse earns more than the other or anticipates a higher retirement income stream.

With a spousal RRSP, you get the tax deduction for your contributions (as long as the funds are not withdrawn during the first three years). These contributions do not affect your spouse's contribution limit to his or her own plan.

When your spouse reaches retirement and withdraws the funds, the amount will be taxed at your spouse’s lower tax rate.

Want to learn more about RRSPs? See Are RRSPs Right for You? or speak to your Member Service Advisor.