Retirement Compensation Arrangements

Retirement Compensation Arrangements

Does your organization need to shelter significant financial assets for a key employee or group as well as their future generations?

In certain circumstances, high-income employers and individuals should consider putting in place strategies for executives that go beyond a standard RRSP or pension. If you have ongoing income that exceeds small business status, for example, expect to receive or provide a golden handshake windfall, or plan to eventually relocate outside of Canada, a Retirement Compensation Agreement (RCA) may be right for you.

Retirement Compensation Arrangements


An RCA is a trust registered with the Canada Revenue Agency that allows your organization to make tax deductible contributions for the future benefit of individuals you designate. RCAs are commonly used to retain key employees or as an executive termination compensation package. They have the highest level of contributions to a tax sheltered plan allowable, and do not affect RRSP or RPP contribution limits. RCAs offer:

  • No age limit
  • Creditor protection
  • Participation by multiple individuals in a single plan
  • Large deductions that reduce/eliminate tax
  • Supplemental pension plan

Retirement Compensation Arrangements


At BlueRock, we partner with one of Canada’s most trusted RCA solution providers to offer customized RCA review and planning, including a free quotation. In order to help maximize the value and benefit of this multi-generational solution, we take care to assess the big picture as well as examine all the small details, from both short and long-term perspectives.

Ensures a secure financial future for yourself, your family, or another key employee or group.

Find out more with our free quotation.

At BlueRock Wealth Management, we can assist with retirement compensation arrangements in the Southern Georgian Bay Region, including Collingwood, Creemore, Thornbury, and Wasaga Beach. We also serve most of South and Central Ontario, including Toronto, Oakville, Burlington, Kitchener, Waterloo, Guelph, Caledon, Barrie, Orangeville, Newmarket, Saugeen Shores, and Owen Sound.

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