Illustration by Sam Island
Oh, hi again. Another RRSP season is here, though for many of you, that might not mean much any more. Let’s get into it.
Is this thing on?
Last year, I reported on how the traditional idea of RRSP season – the mad dash in the two months before the March 2 deadline to make a contribution that counts for your 2025 taxes – is slowly fading. Fewer people are scrambling to make one big, last-minute deposit.
Instead, more Canadians are contributing steadily throughout the year. That shift has its upsides. Regular, year-round investing can reduce the risk of bad market timing and give your money more time to grow.
Still, January and February remain a time when money is top of mind. People are setting New Year’s resolutions, digging out from holiday spending and getting ready for tax season.
The problem is that registered retirement savings plans have become something of an ugly duckling. Shinier, newer accounts, such as the tax-free savings account, launched in 2009, and the first-home savings account, introduced in 2023, tend to steal the spotlight.
And it’s easy to see why. Canadians love the idea of investing in an account where growth, and withdrawals, aren’t taxed, which is what makes TFSAs so appealing. And FHSAs have the best of both worlds, with contributions that are tax-deductible and tax-free withdrawals for a qualifying home purchase. RRSPs offer a tax deduction upfront and tax-sheltered growth, but withdrawals are taxed later at your regular rate. And many Canadians, especially retirees, really don’t like that part.
So, I want to hear from you. What’s stopping you from contributing to your RRSP? And if you do contribute regularly or in a big way, what motivates you to do it?
Share your thoughts here. I’ll round up some of your responses with your first name and location and feature them in next week’s newsletter.
Subscribe to the Retire Rich newsletter
Are you reading this newsletter on the web or did someone forward the e-mail version to you? If so, you can sign up for Retire Rich here.The Calculator 67%
The share of Canadians who say they’ve made progress toward their ambitions in the past year, down just 1 per cent from the previous year, according to the CIBC Ambitions Index. These ambitions cover all areas of life, such as health, wellness, personal finances and relationships.
My take: It’s nice to see a positive survey number, despite the current economic uncertainties. Canadians are resilient in pursuing in their ambitions, and it may take much more to discourage that.
Have Your Say
Are you in your 40s or 50s and thinking ahead to potential work during retirement, or have you already done it successfully? How did you prepare (through skills, networking, side projects or other steps) to stay busy and earn later? I want to hear your experience for a story I’m working on. Send me an e-mail at mraman@globeandmail.com.
The Retirement Receipt Open this photo in gallery:
Eyre Purkin Bien in Toronto.Sammy Kogan/The Globe and Mail
The situation: Eyre Purkin Bien retired in December, 2023, at age 69 after more than 30 years working in philanthropy. She had hoped to transition into part-time work, but chose to retire fully to make room for younger workers. The first stretch of retirement was difficult, marked by grief after her sister’s death and her own health concerns. Things improved after she moved to Kingston, Ont., got remarried, reconnected with friends, and began spending more time with her children and five grandchildren.
The numbers: A late saver, Purkin Bien gained control of her finances with the help of a financial adviser after divorcing at 50. She began taking CPP at 60 and OAS at 65, has a workplace pension, and now earns part-time income through a small philanthropic consulting business. She and her husband work to fund extras (what they call their “margarita money”) such as travel and treating their grandchildren.
Her advice: Approach retirement like a career decision: have a plan, seek guidance and look for work or activities that give you purpose.
Best of the Rest
🏌️ The Globe’s updated list for 20 most livable cities for retirement is here. Unsurprisingly, many of the cities on the list are coastal, which lends itself to a pleasant climate. We also peeped Parksville, B.C. on this list, which we did a deep dive on in 2025.
⏱️ Gen Z isn’t waiting to think about retirement. Some are already saving aggressively and investing early, not for a traditional retirement, but for financial independence and flexibility. Experts say their financial smarts are fuelled by economic uncertainty, a desire for freedom and a willingness to learn from social media.
🏡 A must-read heartwarming story about Tom, a 96-year-old who never charged rent. When Becka moved to Toronto for work, she ended up staying with Tom, an actuary with a lifetime of stories to share. From snowshoeing across frozen lakes to collecting squash trophies, Tom’s house became a space for friendship, laughter and intergenerational connection – with no rent required.
💰 You’ve probably seen Spotify Wrapped… but what about a Money Wrapped? I came across a video of a young woman who tracked her Amex spending month by month, turned it into a fun PowerPoint and shared it with her family… and her followers. I love the transparency: The more data we have, the more we can learn. But no one will be seeing my credit card bill any time soon.
Try This
📊We’ve (almost) made it to the end of the first month of 2026. It’s budget time. Start the year off strong and do an audit at the end of each month. List all your expenses and income for January. Over time, you will be able to see patterns, and areas where you can cut spending.