Sorry, folks, there's no free money with RRSPs despite what you've been told

Banks and financial advisers have done such a thorough job of marketing registered retirement savings plans (RRSPs) that they have completely pulled the wool over the eyes of investors, and even the advisers themselves may not fully understand the nuances.

They have most of us believing that if you make an RRSP deposit, you get rewarded with an instant tax refund of new free money that you can fritter away on whatever you please. For example, a taxpayer in a 50-per-cent tax bracket can expect to get a $10,000 tax refund after an RRSP deposit of $20,000. On top of that, you still have your $20,000 invested, tax deferred, for your long-term future or retirement.

Read the full article by Paul Rastas,  Special to Financial Post   Posted Feb 21, 2023) -

https://financialpost.com/personal-finance/retirement/rrsp/no-free-money-rrsps