The INTEGRIS Plan is based on the premise that our clients work hard for their money and want to ensure they will have enough stocked away when it is time to retire. To achieve that end, the INTEGRIS Plan has established a number of protective barriers around the pension plan.
Firstly, we often recommend saving through GICs (Guaranteed Income Certificate) inside the plan, to make use of the non-inclusion of capital gains for stocks available outside the pension plan. GICs do not lose their value in times of market corrections.
Secondly, all pension assets are protected from the claims of trade-creditors, thanks to pension laws. This protection is often not available to assets held inside an RRSP.
Thirdly, additional protection is derived by the fact that fees are paid by and deductible to the sponsor corporation. This allows your pension plan to grow at a higher rate compared to a typical RRSP where management fees are charged within the account, thus leading to a larger retirement pension.
Fourthly, the INTEGRIS Plan is registered and regulated by two levels of government: in Ontario, the Financial Services Commission and the Canada Revenue Agency. INTEGRIS’ role is to provide these regulators with periodic reports on the health of your pension plan, and INTEGRIS is subject to fines or imprisonment if it fails to keep your plan in full compliance with pension and tax laws. No one else in Canada provides this level of service to private sector companies in the retail market.
Finally, if your investment portfolio were to suffer setbacks and did not meet the minimum 7.5% rate of return assumption mandated by tax laws, the INTEGRIS Plan gives you the ability to make ‘top up’ payments which are also tax deductible, to ensure your pension plan is fully funded for your retirement. This ability to ensure you have enough pension assets to retire on is not available with RRSPs.