Simplified pension plan

Available in Quebec only. An SPP is a defined-contribution plan that’s set up for your company but administered by a financial institution.

Advantages

For employers	For employees
Straightforward administration, handled by Desjardins Insurance Easy to set up Beneficial tax rules	Contribution amounts predictable Immediate tax savings, since contributions deducted at source Contributions accumulate tax-free

Employer	Employee
Minimum contributions required, and additional contributions an option Locked in until retirement	Permitted May or may not be locked in until retirement (at employer’s discretion) Spousal contributions not permitted

Administration	Investments
Plan needs to be registered with province and Canada Revenue Agency Regulatory fees paid via Desjardins Insurance No annual meeting required	Employees responsible for their investment choices No investment policy required

Note

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