Although the government doesn’t provide any financial incentives like in Tax Free Savings Account (TFSA), Registered Retirement Savings Program (RRSP) or Registered Education Savings Plan (RESP), non- registered savings plan make sense if you’re looking for flexibility for saving for a short, medium or long term goal such as a car, home or retirement.

What’s the difference Registered and Non Registered Investments?


  • Registered plans such as TFSA, RRSP, RESP and Registered Disability Savings Plan let you grow your savings tax-free until withdrawal.
  • Non- registered investment income is taxed but withdrawals are not.

Contribution limit

  • All registered plans have a contribution limit. For 2020, RRSPs have a contribution limit of up to 18% of your annual income or $27,230. TFSA contribution limit is $6,000, a total of $50,000 can be placed into your RESP and a total of $200,000 can be placed into your RDSP
  • There’s no contribution limit for non-registered savings, therefore you can save as much as you would like.

Age limit

  • For TFSA, you must be over age 18 to contribute and for an RRSP, you need to be under age 71.
  • There’s no age limit on non-registered savings, therefore you can deposit money into your account at any time. It’s also a great option if you’re over age 71 and you have maximized your TFSA or RRSP contribution.

Non registered investments can be used to save for a vacation, new car, down payment for a house, supplement your retirement savings or starting a new business.

Contact us today to see what makes the most sense for your financial goals.