Registered Plans

To ensure and enjoy a retirement free of financial worries, you cannot rely solely on government pension plans; you need careful planning. Eterna Trust offers plans such as RRSP, RRIF, LIRA, LIF, TFSA and other corporate retirement plans. We also provide information on tax benefits relating to various tax-deferral plans and investment focus within these plans.


The Registered Retirement Savings Plan (RRSP) is a personal savings plan offered by the federal government that allows you to save money, tax-free. The income you earn in an RRSP is taxed only when you make a withdrawal, which normally occurs upon retirement. Unlike traditional saving methods which require you to pay taxes before investing, all RRSP contributions are tax deductible, allowing you to save money using pre-tax dollars. With an RRSP, you may accumulate money tax-free as long as you don’t make any withdrawals. Any amounts withdrawn will be fully taxable to you in the year of withdrawal. There are plans that allow you to repurchase an RRSP, such as the Home Buyers Plan, or HBP, and the Lifelong Learning Plan, or LLP. With these, you may withdraw amounts from an RRSP when buying a property or returning to school. You may contribute to an RRSP until December 31 of the year you turn 71.


The Registered Retirement Income Fund (RRIF) is an extension of the Registered Retirement Savings Plan (RRSP). This plan allows you to receive an income once you retire. Amounts withdrawn are taxable and added to your annual taxable income. Like an RRSP, a RRIF lets you accumulate tax-free earnings. However, you are not allowed to contribute to a RRIF. In addition, the Canada Revenue Agency requires a minimum annual withdrawal, the amount of which is calculated based on age and market value of assets held in the RRIF on December 31 of the previous year. Furthermore, at any time you may request withdrawal of lump sums or the total amount of this fund.


The locked-in retirement account (LIRA) is a savings product similar to the RRSP, but it comes from a supplemental pension plan, such as a pension fund. You may not withdraw funds from a LIRA, since funds are locked to provide you with an income during retirement. To do so, you must transfer money from the LIRA to a Life Income Fund (LIF), or purchase a life annuity. The LIRA must be converted to a LIF or a life annuity at the end of the year in which you turn 71.


The Life Income Fund (LIF) is a Registered Retirement Income Fund (RRIF) which comes from the conversion of a Locked-in Retirement Account (LIRA). The annual minimum withdrawal amount is the same as for the RRIF. Since a LIF must provide income for life, holders must respect an annual maximum withdrawal amount.


The Tax-free Savings Account (TFSA) came into force in 2009. It provides the same benefits as the Registered Retirement Savings Plans (RRSP), except that you may not contribute more than $6,000 per year. However, contributions to this account are not deductible in computing your annual income. Furthermore, any amounts accumulated in or withdrawn from a TFSA are not taxable. You may carry unused TFSA contributions forward indefinitely. Finally, you must be 18 years or older to open a Tax-free Savings Account.


Estate Planning

Eterna’s financial planning experts will analyze your overall financial situation for a better overview. They will propose a coherent action plan to optimize your financial, legal and tax situation and will determine strategies to achieve your objectives and reduce your tax bill.

Moreover, our experts will also inform you regarding the benefits of setting up living or testamentary trusts. All stages and matters relating to your life, assets and patrimony are considered throughout this process: creation and preservation of patrimony, purchase and sale of real estate, relocation of home, marriage and separation, cessation of activities, retirement or inheritance. We will guide and advise you throughout all these important stages of your life.


Living and Testamentary Trusts

Trusts are usually set up to ensure controlled transmission of patrimony. Among their benefits, living and testamentary trusts protect those for whom they have been set up, such as spouses, children or grandchildren, and ensure an orderly transfer of assets. Moreover, the judicious use of trusts provides interesting tax benefits. Our Eterna managers, with their experience in trust administration, will be able to properly advise you.


Estate Settlement

The increasing complexity of estate liquidation often requires special expertise in the fields of law, accounting, investment and taxation. Our team has such expertise and will ensure that your will is fully carried out in a fair and equitable manner, without influence by family or business pressures.


Mandate in case of incapacity and Curator for property

Sickness or accident may render a person unable to manage his or her assets for a certain period of time. Whether for yourself or someone close to you, it is prudent to foresee such an event while still fully capable of exercising your rights. If one of your relatives becomes permanently incapacitated and unable to manage their property, and has not signed a mandate for such situation, Eterna Trust may act as their property guardian.


Asset Administration and Custody

Eterna Trust offers asset administration and custody services. It subcontracts asset custody to an important Canadian bank.