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The Great-West Life Assurance Company, London Life Insurance Company and The Canada Life Assurance Company have become one company – The Canada Life Assurance Company. Learn more

The Great-West Life Assurance Company, London Life Insurance Company and The Canada Life Assurance Company have become one company – The Canada Life Assurance Company. Learn more

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Freedom 55 Financial is a division of The Canada Life Assurance Company and the information you requested can be found here.

An RPP is a plan your employer or plan sponsor sets up to provide you with retirement income. They’re required to contribute to it, and depending on your plan, you may be able to as well.

There are 2 different types of RPPs in Canada: defined contribution and defined benefit. Both types are registered with the Canada Revenue Agency (CRA) to provide you with tax advantages on both the money you contribute and the money your investments earn.

Manage your pension or workplace savings plan using your online account. Check your balance, make account changes, create a retirement plan and more.

There are 2 types of plans that you may have: defined contribution plans, and defined benefit plans. Canada Life offers only defined contribution plans. 
  • Your retirement income will depend on how much you and your employer contribute and how well it performs in the market 
  • Usually a percentage of your current income 
  • You and your employer or sponsor may both contribute
  • Guarantees you a specific income at retirement 
  • Your retirement income is determined by a formula 
  • You and your employer or sponsor may both contribute
How is an RPP different from other group retirement savings plans?

Registered pension plan (RPP)

Registered retirement savings plan (RRSP)

Tax-free savings account (TFSA)

What is it for?

Retirement savings

Retirement savings or other long-term expenses

Anything

Who contributes?

Employer is required to contribute

Employee  can choose to contribute

Employer can choose to contribute

Employee contributions can be voluntary or required

Only the employee can choose to contribute
How do taxes work?

Contributions are tax-deductible

Employer contributions are exempt from payroll taxes

Money is sheltered from taxes until payout

Employer contributions are treated as taxable income
Money isn’t subject to taxes going in or coming out

What if you leave the company?

You keep all contributions, depending on your province's legislation

You keep all contributions

You keep all your contributions, and employer contributions aren't usually a factor

When can you withdraw your money?

Depending on your plan, you might be able to withdraw from the amount you’ve voluntarily contributed, but ont from your required contributions

Employer might have restrictions in place

Anytime

Learn more about RRSPs

Learn more about TFSAs

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