Canadians not taking advantage of disability savings
The Registered Disability Savings Plan, a gem in the crown of the Harper government’s social policies, has been a failure in helping Canadians with Disabilities.
If Prime Minister Harper wanted to help Canadians with disabilities he could implement many of the well researched proposals to end poverty and provide disability supports. Complicated schemes like the RDSP that target the ultra rich are of little value.
Recent survey sponsored by the Bank of Montreal shows only 5% of Canadians with disabilities have a tax sheltered savings plan for people with disabilities.
RDSP’s are focused on the upper income parents of children with disabilities who have disposable income available for savings after their own RRSP savings.
Most Canadians with a disabled dependent are spending their money on disability supports and medical costs. 95% of them don’t have any additional money for RDSP savings.
A recent Caledon study found a high percentage of Canadians with disabilities are living in poverty. Anyone living on the $9,000 annual income from CP Disability is not a potential saver. Continue reading