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RRSPs: in your early career years

This is a great time to start an RRSP because you have many years to make your money grow through compoundingYou can consider taking more risk when you invest, to try to grow your money faster since you have a longer time horizon.
 
You can use up to $20,000 from your RRSP for a down payment on your first home through the RRSP Home Buyer's Plan. You may also be able to use money from your RRSP to refinance an existing mortgage.  And, you can use up to $20,000 to help you or your spouse go back to school.
 
You can build up your RRSP savings with monthly contributions or lump-sum contributions from bonuses or tax returns, or a combination of the two. Even if you can only save a little each year, you may still come out ahead.
 
Example: Let’s say you put $6,000 in your RRSP each year from age 30 to 39. You earn, on average, 6% a year over those 10 years. At age 65, your investments would be worth as much as someone who invested $6,000 a year from age 40 to 65  that is, for 25 years! And, if you continued to invest up to the age of 65, you would have almost twice as much as someone who started at age 40.
How saving early in your RRSP helps: Amy and Amanda's story
Amy started saving for retirement 10 years earlier than her twin sister, Amanda. Who will have the most money when they reach age 65? Read Amy and Amanda's story.

Remember: Saving early can really work in your favour.

It can even help you reach other goals, like buying your first home, if you build up your RRSP savings now.
 
Learn more
Learn more about the RRSP Home Buyers’ Plan and the Lifelong Learning Plan.