More Canadians using RRSPs for non-retirement reasons

One-third of Canadians report having dipped into their RRSPs.

A recent Scotiabank poll found that more Canadians are using their RRSPs for more than just sheltered retirement savings.

The top reason cited for withdrawing the money from an RRSP was to buy a first home (40%), but 14% of Canadians took money out of their RRSPs to cover day-to-day living expenses, and 6% took money out to pay for a vacation.

“Investing in a home and investing in retirement are both important parts of life, and finding a way to balance both is key,” said Bev Moir, ScotiaMcLeod wealth advisor. “If Canadians are going to take money out of their RSP for a major purchase like a house, they need to have a plan in place to return that money as soon as they can so they don’t limit their options in the future.”