Transcript Diapositive 1 - Desjardins Life Insurance

Retirement Savings Plan
for Garda Canada
Security Corporation
Teena Dawson
Education Advisor
September 2011
Today’s Topics
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Your retirement, your way
Benefits of your plan
Where should you invest?
Staying on target
Next steps
Let's talk about ...
your retirement, your way
When should
you think about retirement?
$150 invested over 25 years = $45,000
$100 invested over 25 years = $30,000
4% average annual return
For illustration purposes only - does not promise any guarantees or rights to the benefits
How much
should you save?
How much
should you save?
How much will you need for a
comfortable retirement?
Income before
retirement
 
$35,000
$24,500
Income needed
at retirement
x 70%
(in today's dollars)
John
Income before
retirement
$35,000
How much
should you save?
What kind of lifestyle is most like you?
Retirement
income
Personal Savings
Required
JOANNE
SAM
NICK AND
KAREN
MICHAEL
AND SOPHIE
STEPHEN
$30,000
$40,000
$50,000
$60,000
$70,000
$225,000*
$375,000*
$500,000**
$675,000**
$850,000*
*Based on a single life only annuity guaranteed 10 years
**Assumes a joint life 60% survivior annuity guaranteed 10 years
All assume CPP/QPP and OAS benefits, an interest rate of 4.5% and pension amounts are indexed with inflation at 2%.
For illustration purposes only - does not promise any guarantees or rights to the benefits.
Where
will your money come from?
Where
will your money come from?
Government
programs
 Canada Pension Plan
(CPP)
 Old Age Security
Your company
retirement plan
 Group Registered
Retirement Savings
Plan (Group RRSP)
Your personal
savings
 Individual RRSP
 Non-Registered Plan
(OAS)
Government plans only replace
between 20% and 40% of your average annual income.
Where
will your money come from?
Government plans
ELIGIBILITY
AVERAGE
MONTHLY
BENEFIT
MAXIMUM
MONTHLY
BENEFIT
Canada
Pension Plan
(CPP)
 Based on your contributions to the plan
 100% of your entitlement at age 65
 Reduced benefit if between ages of
60 to 64
$505
$960
Old Age Security
(OAS)
 Based on your residency in Canada
 Must be age 65 or older
$490
$524
Your group retirement
savings program
Your group retirement
savings program
Your group retirement
savings program
 Eligible to join after one year of service
 Garda: $0.40 per hour contributed on a
monthly basis
 You: PAC or cheques
 Withdrawals not permitted
 Home Buyers' Plan and Lifelong Learning
Program
 Lower fees
 Management: 1.50%
 Investment: 0.20% - 0.80%
Your group retirement
savings program
Contribution to your RRSP
Limit set by Canada Revenue Agency (CRA)
18%
Previous
year’s earned
income
Maximum of
$22,450 (2011)
+
Unused
contribution
room
=
RRSP
contribution
limit
Check your Notice of Assessment
Visit: www.cra-arc.gc.ca or call: 1-800-959-8281
Where should
you invest?
Where should
you invest?
Investor profile
questionnaire
 Reflects your
retirement goals,
personal situation
and risk tolerance
Where should
you invest?
Investor profiles
Fixed income funds
Canadian equity funds
Foreign equity funds
Where should
you invest?
Risk versus return
Where should
you invest?
Your investment funds,
your way
Where should
you invest?
Two options:
1. Diapason Portfolios
2. Select your own combination of
funds
Where should
you invest?
Two options:
1. Diapason Portfolios
 Choose the one that matches your
investor profile
 Portfolio rebalanced on a regular
basis
2. Select your own combination of
funds
Where should
you invest?
Diapason Portfolios
*
* Default fund
Where should
you invest?
Two options:
1. Diapason Portfolios
2. Select your own combination of
funds
 Various investment options
 Requires more investment knowledge
and regular monitoring
Where should
you invest?
Select your own combination of funds:
Where should
you invest?
Fund information
www.dfs.ca
Where should
you invest?
One page fund summaries
 Information on manager
 Objective, style of fund
 Top 10 holdings
 Portfolio composition
 Gross rates of return
How to stay
on target?
How to stay
on target?
Participant services website
www.dfs.ca/participant
On Target Retirement
On Target Retirement
How to stay
on target?
Participant statements
 Summary and detailed
information
 Mailed to your home
 Available online
How to stay
on target?
Participant Services Centre
 Investment information and
guidance
 Information about your
account and plan
 Interfund transfers
 Completing forms
 Available from 8 a.m. to 8
p.m. EST, Monday to Friday
1-800-968-3587
What are
your next steps?
What are
your next steps?
1. Read through the material
2. Complete Investor Profile
Questionnaire
3. Choose your investments
4. Ask questions
5. Complete the enrolment form and
return to Harry Mesman at UFCW
What are
the next steps?
Enrolment and Investment Instruction forms
1. Complete your personal
information
2. Appoint your beneficiaries
3. Appoint a trustee
(if beneficiary is a minor)
5. Determine your investment
option
1. Option 1 – Diapason
Portfolios
2. Option 2 – Build your own
4. Determine your contribution 6. Sign your forms
amount
Questions and Answers