RRSP vs' NonRRSP

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RRSP vs. Non-RRSP
The RRSP vs. Non-RRSP is an ideal way of
educating your clients on the advantages of tax
sheltered RRSP over other non-sheltered
investments.
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RRSP vs. Non-RRSP

• Comparing investing in a RRSP versus investing in
  Non-RRSP account is as easy as 1-2-3
• 1. Enter the client data
• 2. Analyze the results
• 3. Print the results

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Step 1 Enter Client Data
When the RRSP vs. Non-RRSP first opens, click the
New button at the top of the Client Selector
window.
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Step 1 Enter Client Data
Enter your clients personal information then
click Spouse tab to enter a spouse.
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Step 1 Enter Client Data
Enter the spouses name and date of birth and
then click the OK button.
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Step 1 Enter Client Data
Highlight the clients record and then click
Open.
A new client record for both the client and
spouse now appears in the Client Selector
window.
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Step 1 Enter Client Data
Once opened, the clients name appears in the
title bar of the program.
To begin entering your clients data, click the
Current Data button on the toolbar.
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Step 1 Enter Client Data
The data entry screen in the RRSP vs. Non-RRSP
has 6 tabs.
On the Contact Information tab begin by
entering your name, planning firm and your
investment sponsor (if required).
Click the Next gt button to continue entering
data.
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Step 1 Enter Client Data
On the Return Assumptions tab enter the rates
that are used to project the future value of the
investments.
The Canadian and Foreign returns on cash and
fixed income investments are entered directly in
the fields provided.
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Step 1 Enter Client Data
For equity investments the return is calculated
as the sum of the Dividend Income and Capital
Gain fields.
Click the Next gt button to continue entering
data.
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Step 1 Enter Client Data
The Tax Assumptions tab is used to set up the
tax rates and some assumption for the RRSP
investment.
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Step 1 Enter Client Data
The clients current RRSP contribution room,
annual maximum and marginal tax rates during the
deposit and withdrawal period are entered on this
tab.
Click the Next gt button to continue entering
data.
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Step 1 Enter Client Data
The Plan Allocation tab is where you can set up
the portfolio allocations.
Both the current and retirement portfolios can be
allocated into the 3 investment types and then by
Canadian and Foreign content.
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Step 1 Enter Client Data
Enter both the current and retirement
allocations, a table outlining some suggested
portfolios is provided. Here we will us the
growth and balanced portfolios.
Click the Next gt button to continue entering
data.
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Step 1 Enter Client Data
The Plan Deposits tab allows you to enter up to
4 different deposit streams.
For each deposit stream enter the amount and the
age range for those deposits. Other options that
can be set for the deposits include frequency,
timing and inflation.
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Step 1 Enter Client Data
Here we are entering a 500 deposit at the end of
each month from age 37 to 65. This same deposit
will be made to both a RRSP and a non-RRSP
account.
Click the Next gt button to continue entering
data.
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Step 1 Enter Client Data
The Plan Withdrawals tab allows you to enter up
to 3 different withdrawal streams or set the
minimum RRSP withdrawal options.
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Step 1 Enter Client Data
The withdrawal amounts and options are set on
this screen. When comparing the RRSP to non-RRSP
the same withdrawal amounts will be made.
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Step 1 Enter Client Data
The withdraw 1, 2 3 button can be used to solve
for a withdrawal amount. This feature will
determine how much can be withdrawn based on an
account balance goal that you enter.
When all of the data has been entered, click the
Close button to analyze the results.
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Step 2 Analyze the results
After entering the data, the results of the RRSP
versus non-RRSP are displayed on these 5 tabs.
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Step 2 Analyze the results
The first tab summarizes the results both
graphically and numerically.
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Step 2 Analyze the results
The summary page shows both the RRSP and non-RRSP
account using the same deposits, withdrawals and
investment allocation for both.
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Step 2 Analyze the results
The top graph shows the deposits, withdrawals and
account value of the RRSP.
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Step 2 Analyze the results
While the second graph shows how the same
deposits and withdrawals would perform if made
to a non-RRSP account.
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Step 2 Analyze the results
Use the scroll bar to see more of the summary
page.
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Step 2 Analyze the results
The graph at the bottom of the page shows the
value of the RRSP and non-RRSP accounts, also the
change in this value is graphed.
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Step 2 Analyze the results
Also at the bottom of the summary page a
numerical comparison of the RRSP and non-RRSP
accounts is provided. This area show the change
in value as both a dollar amount and a
percentage.
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Step 3 Print the results
After analyzing the results of the RRSP versus
non-RRSP tool, a report can be produced by
clicking the Print button.
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Step 3 Print the results
There are 8 printable pages in the RRSP vs.
non-RRSP tool, click on the page name to select
individual pages.
Or click the Select All button to print all of
the pages.
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Step 3 Print the results
Only the pages with a checkmark are printed when
the Print button is clicked.
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RRSP vs. Non-RRSP

• Thank you for choosing the RRSP vs. Non-RRSP from
  FinancialPlanAdvantage.ca.
• For additional information on using this program,
  please refer to the help files or post a question
  to the Discussion Board.