For a retirement without compromise!

Financial planning for your retirement means giving yourself the means to continue doing what you love.

Plan your retirement: one step at a time

Like all your projects, your retirement needs to be planned. Even if conditions are not always perfect for taking action, it is worth doing so.

Think about your project and your needs

Do you like going to restaurants, going on trips or spoiling your loved ones? When you retire, you will surely still want to do so! You must therefore take into account and plan your savings accordingly.

Examples of the cost per year for retirement projects

spends her winters in an upscale apartment in Florida. $20 000

lives for her grandchildren and spoils them a lot. $3000

decided to enroll in a course at university. $500

Suzanne et Jack
bought a camping car and plan on driving across the country. $200 000

enjoys painting and knitting.

is an avid outdoorsman and travels every year.
$10 000

Determine the income necessary to carry out your project

You must determine the income you will need to live the retirement you dream of.

Do you want to maintain your standard of living in retirement? You will need between 60% and 80% of the income you obtained during the last years you worked. The percentage varies according to your needs and retirement projects. Your income also varies according to the age at which you retire. For example, persons who want to retire early must save more.

Calculate your savings needs with SimulR Cet hyperlien s'ouvrira dans une nouvelle fenêtre.

Make your budget and determine your savings goals

Make a personal budget. You will therefore be able to determine how much you can save. You will then be able to determine your saving goals.

If you can put a lot of money aside, aim for around 10% of your net annual income each year.

To best assess your situation, use SimulR. The simulation tool will help you:

You would like to save more but you do not know how? Discover 99 trucs pour économiser sans trop se priver Cet hyperlien s'ouvrira dans une nouvelle fenêtre. (French only).

Implement your savings strategy

Here are five tips to help you achieve your goals:

The earlier you save, the more your investments will yield. That is thanks to compound interest. This means that interest is calculated from both your investments and the interest accrued. Saving money has never been easier. See what it is like for Stephanie and Fred.

Savings period (duration)Amount invested per yearTotal investedAverage annual interest rateAmount accrued at age 65
Stephanie's caseFrom age 25 to 34 (10 years) $1000$10 0005% $57 080
Fred's caseFrom age 45 to 64 (20 years) $1000$20 0005% $34 700
Graphique représentant le cas de Stéphanie Graphique représentant le cas de Frédéric

Plan your savings according to your situation and your goals. If needed, ask a financial planning specialist for help.

Consult your Statement of Participation under the Québec Pension Plan (QPP) in My Account. The essential tool informs you of the amount of your contributions under the QPP. It also allows you to obtain an estimate of your pension amount based on the age at which you plan to apply for it. It provides a wealth of information and your financial planner will need it to assess your situation.

Do the same if you are a member of a public-sector pension plan or a workplace pension plan. Be sure to know the provisions well.

In the long term, registered investments such as an RRSP or TFSA deliver greater returns because of their tax benefits. Choose the best type of investment (RRSP or TFSA) for your situation.

Think about the rising cost of living, the expected length of your life and other financial risks related to retirement. You may be retired longer than you think. Prices for goods and services will be higher than they are today.

Develop your withdrawal strategy

Planning for the future continues as you approach retirement! Plan your withdrawal strategy. You will therefore make better decisions regarding:

  • the withdrawal of your investments;
  • the age at which you will apply for your retirement pension under the QPP;
  • your Old Age Security pension;
  • your benefits from your workplace pension plan.

Plan the withdrawal of your money as you planned your savings. It is an important step not to be ignored!

Useful tips

How much will you receive from public programs?

The Old Age Security pension from the Government of Canada Cet hyperlien s'ouvrira dans une nouvelle fenêtre. and the Québec Pension Plan (QPP) offer basic income income in retirement. The retirement pension under the QPP varies according to your salary, the number of years during which you contributed and your age when you apply for it. However, you must have additional income to ensure you have an adequate standard of living in retirement. This additional income may come from a workplace pension plan and/or your personal savings.