Gordon E. Hughes CFP
Smart Choice Life
Work (506) 454-3346 or 4LIFE INsurance or Cell 261-2125
Email: gordon@smartchoicelife.com

   
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Definitions
 
AcronymDefinition
DPSPDeferred Profit Sharing Plan. Used by employers to encourage company loyalty and . productivity by sharing some of the profits of that company with employees.
GICGuaranteed Income Certificate – pays a set interest amount for a set length of time.
GIS Guaranteed Income Supplement. A benefit for low income seniors to help bring . . . . . them up to a minimum standard of living – recipients also qualify for a medical card
OASOld Age Security. A resident of Canada for over 40 years at age 65 qualifies for the
RDSPRegistered Disability Savings Plan. Introduced in 2008 to help save for the long . Term financial security of severely disabled individuals
RESPRegistered Education Savings Plan. The 2008 budget extended the saving time from 21 years to 31 years and the length of time it can stay in place is now 35 years
RRSPRegistered Retirement Savings Plan. You get an income tax deduction when you deposit to it, but you pay taxes on withdrawals. Withdrawals also affect other government benefits such as GIC and OAS
RRZRetirement Risk Zone - This is the serious impact a drop in investment value up to 5 years prior to retirement and for at least 5 years after
TFSATax Free Savings Account. You can deposit up to $5,000 a year (regardless ofincome) into investments similar to RRSPs but there
 

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Gordon Hughes @ Smart Choice Life 454-3346 4LIFE INsurance
440 York St. Fredericton, NB. E3B 3P7