A registered retirement savings plan (RRSP) is in essence a personal savings plan with tax-saving characteristics which allow you to save for after retirement. Essentially, it is a personal pension plan.
This type of RRSP is an individualistic type where only one person is the account holder. Subsequently, the account holder is also usually the only contributor.
This type of RRSP is for individuals with a spouse. The spouse that is the higher earner amongst the two is consequently called the spousal contributor and is also the account holder. Income after retirement from an RRSP account is however equally split between the spouses.
This type of RRSP is mainly for employers who coordinate for employees to contribute through a regular arrangedpayroll subtraction. The contributions are then deposited into employees’ account
RRSP itself is a very wise investment with a bundle of benefits.