GROUP SAVINGS PLAN

CUSTOMIZED SAVINGS PLANS FOR YOUR EMPLOYEES' FUTURE
Group Saving Plans provide investment options for your employees to create a sustainable retirement, increased equity, and improved value all while providing a tax-sheltered opportunity for business owners.
Group Saving Plans formulate a long-term plan, working to build towards an employees retirement working with their already existing individual investment portfolio. Group Saving Plans are programs implemented by a company, organization or association to provide benefit to its members and/or employees. 
 
GROUP RETIREMENT PLANS

GROUP SAVING PLAN ADVANTAGES

  1. Contributions to the Group Savings Plan are tax-deductible and invested on a pre-tax basis.
  2. Able to set contribution levels as high or as low as you need, to start investing sooner.
  3. Group Saving Plans are investments that are handled by professionals.
  4. Group Saving Plans usually have higher purchasing power because they have higher numbers.
  5. Group contributions improve personal contributions.

GROUP SAVING PLAN INVESTMENTS

  1. Guaranteed Investment Funds
  2. Segregated Investment Funds
  3. International Equity Investments
  4. Canadian Equity Investments
  5. Canadian Bonds
  6. Canadian Balanced Funds

GROUP RETIREMENT SAVING PLANS (GRSP)

Group Retirement Saving Plans allow a business to establish retirement saving funds for employees. Providing a retirement fund for the employee as payroll deductions that act as a tax-saving benefit. An employee & employer should consider the following when considering a GRSP.

  1. What are the plan contribution levels and how much is contributed by the employer and how much by the employee
  2. Does the plan have investment or contribution flexibility
  3. What are the plan direct costs and associated costs
  4. Does the plan have administration and who is managing the plan.
  5. Where are investment funds allocated
  6. Who and when are employees eligible for the GRSP plan.
  7. How much will be vested into the GRSP

GROUP INVESTMENT ACCOUNTS

Group Investment Accounts are Group Saving Plans that allow an employee to invest as a group, providing expert financial services, investment advice and pooled equity to generate a higher return. Group Investment Accounts help employees to save for personal, spousal or dependent education, save for a home or purchase their dream car. 

Group Investment Accounts allow your employees to save and earn money as a collective whole.

DEFERRED PROFIT SHARING PLANS

Deferred Profit Sharing allow a company to transfer profits to the organizations employees, tax-free. Deferred Profit Sharing plans empower employees by providing them a share of the companies earnings establishing a shared success with mutual benefit, sharing in the growth and success of the organization.

The money that is generated is invested and provides for the employees retirement. Deferred Profit Sharing Plans are:

  1. Easy to setup and administrate
  2. The contribution investment is tax-free for the employer and employee
  3. Provides stability and planned contributions
  4. Employees have shared and mutual interest in the companies success
  5. Employee contributions are not permitted
  6. Plan can be suspended or canceled at anytime
  7. Benefits are not guaranteed

BENEFIT PENSION PLANS

Benefits Pension Plans are a predefined pension plan that ensures employees have a guaranteed retirement plan, with a preset monthly retirement plan. Employees contribute to the plan through the duration of their employment, and the benefits are guaranteed. Benefit Pension Plans are often:

  1. Funded by the employer
  2. Employer contributions are tax-deductible
  3. Earnings are not taxable on the plan owner (employee)
  4. Employee contributions can be made from payroll deductions
  5. Employee participation is limited
  6. Plan deficits must be funded by employer

CONTRIBUTION PLANS

Defined Contribution Pension Plan require investment from plan member (employee) and plan sponsor (employer) the funds invested are put towards a retirement plan to create a retirement income. The contributions are often known by both parties but the return is not known. The contributions made by the employer are tax deductible, and the amount generated is based on:

  1. Where the funds are invested
  2. The return on investment
  3. Future salary or wage levels
  4. Increased contributions
  5. Annuity and/or interest rates when employee retires