Simplified pension plan (SPP)

What is an SPP?

An SPP is a defined-contribution plan that's set up for your company but administered by a financial institution.

Advantages

For employers

Straightforward administration handled by Desjardins Insurance
Easy to set up
Beneficial tax rules

For employees

Contribution amounts predictable
Immediate tax savings, since contributions deducted at source
Contributions accumulate tax-free

Contributions

Employer

Minimum contributions required, and additional contributions an option
Locked in until retirement

Employee

Permitted
May or may not be locked in until retirement (at employer's discretion)
Spousal contributions not permitted

Details

Administration

Plan needs to be registered with Retraite Québec and Canada Revenue Agency
Regulatory fees paid via Desjardins Insurance
No annual meeting required

Investments

Employees responsible for their investment choices
No investment policy required

Set up a plan for your business

Looking to set up a group plan for your employees? Call us to talk about what you need.

1-800-361-2189 This link opens your phone app.

Call business customer service

Already have a group plan for your business? Call us for answers to your questions.

1-888-510-4762 This link opens your phone app.

Discover other group savings plans

Group RRSP

A group registered retirement savings plan (RRSP) is a collection of individual RRSPs offered to a group of employees.

Group TFSA

A group tax-free savings account (TFSA) is a type of savings plan in which contributions aren't tax-deductible, but the income they generate is tax-free.

Desjardins Financial Security Life Assurance Company acts as an issuer, service provider or administrator, as the case may be, of the group retirement savings plans.

This text is for information purposes only. Refer to the policy for all conditions, exclusions and restrictions.