By Stephen Pate
NJN News
The Registered Disability Savings Plans (RDSP’S) implemented by the government are useless for most Islanders with disabilities.
Social Services and Seniors Minister Doug Currie, solution disconnected from the problem for disabled
A benefit cited in the press release that follows says, “Families of people with disabilities will be able to take advantage of new Registered Disability Savings Plans (RDSPs) while also receiving support from the Department of Social Services and Seniors.”
The likelihood that someone will be able to save money and receive social assistance and the same time is pretty slim, since social assistance usually puts the disabled person at less than 60% of the poverty line (LICO). Survival, not saving, is the main concern of the person living with the disability at that income level.
The program may be of some benefit to upper middle class parents and or relatives of the disabled but is no benefit to those most in need today.
Minister Doug Currie is, as usual, totally disconnected from the problem and his statement in the press release is pure puffery.
Islanders living with disabilities need real solutions not worthless programs that benefit the richest members of our society.
PRINCE EDWARD ISLAND GOVERNMENT HELPS FAMILIES SAVE FOR PEOPLE WITH DISABILITIES
December 4, 2008
CHARLOTTETOWN, PEI — Families of people with disabilities will be able to take advantage of new Registered Disability Savings Plans (RDSPs) while also receiving support from the Department of Social Services and Seniors.
Similar in structure to Registered Education Savings Plans, RDSPs enable family members and friends to save money tax-free for people with disabilities, so they can better plan for the future. The federal government says the plans should be available in financial institutions beginning next month.
The Department of Social Services and Seniors will fully exempt RDSPs when calculating clients’ eligibility for income-tested social programs, including social assistance, disability support services, child care subsidies, social housing, pharmacy programs and children’s dental programs. Assets in RDSPs will be exempt as long as the client’s total income does not exceed the low-income level defined by the National Council of Welfare.
“Today’s announcement will make it easier for families of children and adults with disabilities to prepare for the future and enjoy longer, fuller and more productive lives,” said Doug Currie, Minister of Social Services and Seniors.
The announcement comes during the week of the UN’s International Day for Persons with Disabilities.
Doug Brodhead
It’s a shame that PEI restricted the RDSP up to the LICO as a most provincial social assistance programs across the country have exempted the RDSP as an asset and income. Currently, if you live in BC, Alberta, Saskatchewan, Manitoba, Ontario, Nova Scotia, Newfoundland, Yukon or Nortwest Territories you can have an RDSP, save as much as you want, spend as much as you want, and it will not impact social assistance. Quebec and New Brunswick also exempted the RDSP as an asset. PEI and Nunavut are the only ones left who have not done anything substantial around this program. With the opportunity for $1,000 in Bond every year (no contributions necessary), and the significant matching grant, this could be really useful for people if the PEI government did what the rest of the country has done and fully exempted the RDSP from social assistance.