Effective April 1, 2003
REGISTERED RETIREMENT SAVINGS PLAN (RRSP) AND TAX PAID TRUST
A Member may contribute up to 7% of his or her total pay to one or more RRSPs of the Member's choice, including a spousal RRSP. A matching contribution is made by the Crown. Total pay includes the Member's basic indemnity and any additional indemnities paid to the Member.
A Member may not be able to contribute fully to a RRSP because he or she has insufficient RRSP contribution room as determined by Canada Customs and Revenue Agency. If a Member is not able to contribute the full 7% and matching 7% to a RRSP, the Member may elect to contribute to the Tax Paid Trust.
Members are eligible for the transition allowance, only when defeated in a general election. Members who retire, resign, die or cease to be Members for any reason other than defeat in a general election are not eligible for the transition allowance.
Transition allowance is calculated at one month's current basic indemnity for each year of service and prorated for part of a year of service. Minimum transition allowance is one month's pay and the lifetime maximum is six months' pay.