With just one week to go until the March 2 deadline, a CIBC poll finds 54% of Canadians won’t be making a contribution to their RRSPs for the 2014 tax year.
Thirty-two percent of Canadians expect to add to their retirement funds, and of those who may still make a contribution, 42% have the money to do so.
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Key findings of the poll include the following:
- 54% of Canadians say they aren’t making a contribution to their RRSPs for the 2014 tax year;
- 32% of Canadians intend to contribute for the 2014 tax year;
- 16% have already made their entire RRSP contribution for 2014;
- 16% say they still plan to contribute or make an additional contribution toward their 2014 RRSPs; and
- 14% say they are not sure yet whether they will contribute or not.
“With the deadline fast approaching, many Canadians could miss the opportunity to contribute to their retirement through an RRSP before the March 2 deadline,” says Christina Kramer, executive vice-president, retail and business banking, with CIBC. “Among those who intend to contribute but don’t have any money set aside, there is a chance that some of them will miss out on contributing this year as well.”
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Of those Canadians who said they were still planning on contributing, most of them don’t have the money for their contributions set aside. Half say they planned to get the money for their contributions by taking it from their earnings.
“It’s very challenging to save up a year’s worth of your RRSP contribution in the few weeks before the deadline,” says Kramer. “At this time of year, some families are still focused on paying off their holiday purchases or planning spring getaways, which makes pulling an RRSP contribution together at the last minute even more challenging.”
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