VRSP: The plan

Plan details

The London Life VRSP is hassle-free and features:

  • Simplified setup
  • Easy maintenance
  • Minimal administration

While you’re not required to contribute to your employees’ VRSPs, doing so has its advantages. Your contributions are:

  • Not subject to payroll taxes
  • Tax deductible – federally
  • Tax deductible – provincially

A VRSP is a win-win for you and your employees. You attract and retain valuable employees and help them save for retirement.

Is a VRSP right for you?

The Quebec government has mandated a VRSP be implemented for small and medium-sized businesses that don’t have a workplace savings plan in place. The good news is you can choose from a number of group retirement plan options, including the VRSP, to find a retirement savings plan you want to offer.

While the VRSP is a new group retirement plan type, it may not be the right fit for your business. Compared to other plans it’s not as flexible and customizable because of its limited plan features and investment choices.

We offer other group retirement plan solutions. If you’re looking for a more active role in your workplace retirement savings plan, then check this detailed group retirement and savings plan comparison chart PDF.

No matter your choice, you can be confident you’ve chosen a group retirement plan backed by years of experience servicing small and medium-sized businesses.

 

Why choose a VRSP?

The VRSP gives you the opportunity to help your employees proactively save for their retirement without taking your attention away from your business.

Quebec workers have more opportunities than ever before to save for their retirement through their workplace. Workplace retirement savings plans are important in two ways:

  1. They make it easier for employees to save through payroll deductions.
  2. They give employees access to lower investment management fees than if investing on their own.

And while having a workplace retirement savings plan is important, there are some key factors in the VRSP that make them work even better for Quebec workers:

  • Every eligible employee is automatically enrolled in the plan. Automatic enrolment is a great way to increase participation.
  • The investment selection is streamlined so employees don’t get overwhelmed by investment choice. Employees can save in risk-appropriate default investments or make their own decisions about their long-term savings.

The VRSP will give many Quebec workers their first opportunity to save for retirement at their workplace. And if you’re reading this, you’re probably an employer wondering how you can provide employees with access to a VRSP – and how much work that will mean for you.

Thanks to the way the Quebec government has set up the VRSP and our experience with small and medium-sized businesses, you can leave most of the administration and governance responsibility to us. This gives you more time to spend on what really matters: your business.

It allows you to:

  • Help your employees save for retirement without taking your attention away from your business
  • Make contributions, if you choose, to help your employees save even more

Employee benefits are often the one feature that makes one employer stand out from the rest as the best place to work.

With a VRSP, you:

  • Increase employee morale and productivity by showing you care about your employees’ financial well-being
  • Provide an affordable group retirement savings plan solution for your employees
  • Attract and retain talent by differentiating your VRSP with employer contributions
  • Help employees take advantage of the lower investment management costs that large, pooled savings plans can offer
  • Access world-class plan administration from London Life

Your employees will thank you for investing in their future and in return they’ll reward you with their commitment to your company.

Sign up today for a London Life VRSP.