Let's Start A Conversation!
Podium Prosperity Group Logo

Product allows retirees to keep more savings tax-free

Defer Retirement Income

There are two main challenges in retirement planning: the first is achieving the necessary risk sensitive return on retirement assets; the second is establishing a retirement income that doesn’t overshoot or undershoot the retirement asset.

There was good news, on both fronts, in the last federal budget.

The federal government is amending the rules to permit seniors to purchase an Advanced Life Deferred Annuity (ALDA) for certain registered plans. The ALDA allows retirees to move some savings out of their registered retirement funds to an annuity with commencement of income deferred until age 85. Purchased in early retirement, an ALDA provides guaranteed income at a fraction of the cost of a traditional annuity freeing up early retirement spending and preserving estate assets.

The ALDA is expected to be available in 2020.

Let’s start a conversation about your retirement plans and whether the ALDA is right for you.

Written by Jim Pelot, B.Comm, CPA, CA; CFO and Co-founder of p|w|m Advisory Group.

This article is provided for information purposes only. Although the content is believed to be reliable when posted, p|w|m Advisory Group cannot guarantee this information is current, accurate or complete and does not assume any liability. The information is not intended to provide any insurance, financial, legal, accounting or taxation advice and should not under any circumstances be relied upon without consultation about your specific situation. The information is subject to modification and updating from time to time without notice. 


© Podium Prosperity Group | Website By MediaSuite Inc.