To open an RDSP for yourself, you will need to take:
- your social insurance number
- one piece of valid photo ID.
You do not need to bring a copy of your Disability Tax Credit or income tax returns - the financial institution and government will take care of this. If you are a legal representative for a beneficiary, you will need to bring proof of your position.
The financial institution will also ask you to fill out a form to apply to:
- open an RDSP account
- receive government grants and bonds.
Once you have opened your RDSP and have put money in the account, you will need to decide how to invest your savings.
How do I invest my RDSP savings?
RDSP investments can include savings accounts, GICs, stocks and mutual funds. These 7 questions will help guide your investment choices:
- How old are you?
- What will you use the money for?
- When will you need to withdraw money from your plan?
- What is your family income?
- How much are you planning on contributing to the RDSP each year?
- Is anyone else planning to contribute as well? (parents, grandparent, family friends, etc)
- What difference will an RDSP make to your life?
Investing is about choices. In most cases, to make more money when you invest, you have to take more risk. Learn more now about investing.
What if I am opening an RDSP on behalf of a family member?
These 7 questions will help guide your investment decisions:
- How old is the beneficiary?
- What will they use the money for?
- When will they need to withdraw money from the plan?
- What is your family income?
- How much are you planning on contributing to the RDSP each year?
- Is anyone else planning to contribute as well? (grandparent, family friends, etc)
- What difference will an RDSP make to the beneficiary’s life?
Remember: An RDSP is a long-term savings plan.
You will likely live with it for many years. Take time to shop around for investments that will work best for you. Choose with care and make sure you fully understand how the plan works before you sign any papers.
Content in this section is provided in partnership with the Investor Education Fund, a non-profit organization promoting financial literacy to Canadians. To find out more go to GetSmarterAboutMoney.ca.
