Exam 14: Retirement and Estate Planning - Retirement Planning

Old Age Security is funded by general tax revenues.

What does Shelley need to save monthly to make sure she is on track to reach her retirement goal of having $440 000 saved by the time she reaches age 65? She is 48 years old,has been contributing $400 per month and has $180 000 in her RRSP.Assume she will make an annual return of seven percent.

Payments made to you by Old Age Security are based on

Saving $100 per month from age 20 to age 70 with an eight percent return will give you over three quarter million dollars.

All of your contributions to RPPs and RRSPs are tax deductible dollar for dollar against gross earned income.

For retirees,the most important difference between CPP and OAS is that

Once a pensioner reaches age 71,he will be able begin withdrawing RRSP funds tax free.

In an employer-sponsored retirement plan,you should contribute at least

In the last 10 years many employers have shifted from

What was the approximate maximum annual CPP when applying at retirement age in 2014?

To be eligible for Old Age Security retirement benefits,you will need to have worked in Canada for at least 10 years since turning 18.

If,at regular retirement age,you would have qualified for $1000 CPP income and $500 OAS income,what monthly income would you receive if you deferred them both by five years?

A financial contract that provides guaranteed payments until one's death is

A TFSA is not as good for retirement funding as an RRSP.

Paul starts saving $1000 per year from age 25,while Harper starts saving $5000 per year at age 45.At a moderate rate of return of 7 percent,how much will each have at age 65?

Danielle is 40 years old and has saved $150 000 in her RRSP.Her goal was to reach ?$1 000 000 by the time she turns 60.How much more will she have to save each year if she maintains a nine percent annual return on her investments?

The Old Age Security system allows you to receive reduced benefits if you retire up to five years early.

RRSP contribution room

Tax-free withdrawals can be made from an RRSP under which of the following circumstances?

If you are age 65 and were in a defined-benefit pension plan for 22 years which was based on earning a benefit of 1.8 percent of your best three years earnings,you would receive around 39.6 percent of your salary from your pension.