RRSP Deadline Poll: One-third of eligible Canadians still planning an RRSP contribution with time running out
With the deadline looming on March 1, more Canadians say they will be contributing at the last minute this year
TORONTO, Feb. 25, 2013 /CNW/ - A new CIBC (CM: TSX; NYSE) Poll conducted by Harris/Decima reveals nearly one-third of eligible Canadians (32 per cent) say they still have to make an RRSP contribution for the 2012 tax year before the deadline on March 1, 2013. The poll, which concluded just last week, also revealed that among those Canadians still planning to make a contribution before the deadline, more than half say they are going to put it off until the last 48 hours.
Highlights of the poll, which concluded on February 18th, include:
- 32 per cent of Canadians say they still have to make a contribution toward their RRSP, an increase compared to 25 per cent of eligible Canadians at the same time last year
- Among those that say they still need to make a contribution this week, 13 per cent haven't made any RRSP contributions for the 2012 tax year yet, while the other 19 per cent say they have made part of their contribution over the last 12 months
- Among those Canadians planning to make a contribution before the deadline, more than half (51 per cent) say they are likely to wait until the last 48 hours
"Everyone's busy, but the time you spend assessing your savings options is an investment in your future and this is the week to make it a priority if you haven't yet made your contribution," said Christina Kramer, Executive Vice President, Retail Distribution and Channel Strategy, CIBC. "There is still time left before the deadline to sit down with an advisor and talk about which retirement savings option is right for you."
Younger Canadians more likely to procrastinate
Among those most likely to leave their RRSP contribution to the last minute are Canadians aged 25 - 44, with 40 per cent saying they still need to make a contribution before the March 1st deadline. With so many Canadians in this age group leaving their contribution to the last minute, some may simply run out of time and miss the deadline at the end of this week.
"Canadians balancing debt and savings need to consider both sides of their finances when making decisions about retirement savings, which is what makes it even more important to spend some time evaluating their options before the deadline," added Ms. Kramer.
For those Canadians leaving their RRSP contributions to this week, there are options available to help make that last minute deposit. Clients can visit cibc.com to find a branch close to their home or work, or find out how to contribute online or by phone, 24 hours a day.
To help manage your last minute RRSP contributions, CIBC offers the following tips:
Visit your nearest CIBC branch to meet with an Advisor: An advisor can also help to identify opportunities to build savings and structure a repayment plan that allows for debt reduction, both key elements of a long term retirement strategy. You can locate your nearest CIBC branch through the branch locator tool at www.cibc.com simply by entering your postal code.
Contribute by Phone: 24 hours a day, you can call 1-800-465-CIBC (2422) to discuss your RRSP options over the phone and make a contribution from an existing CIBC account.
Make your Contribution Online: CIBC clients can log into CIBC Online Banking at www.cibc.com to deposit funds to an RRSP from an existing CIBC account before the deadline.
Contribute regularly: Even if you find yourself short on funds this year, now is the time to start making regular contributions to your retirement plan. Contributing smaller amounts more often is easier than coming up with one lump sum, so that you don't find yourself in the same position before next year's RRSP deadline.
KEY POLL FINDINGS
Percentage of Canadians who still have to make an RRSP contribution before the March 1, 2013 deadline for the 2012 tax year, by region:
|Manitoba and Saskatchewan||31%|
Percentage of Canadians who still have to make an RRSP contribution before the March 1, 2013 deadline for the 2012 tax year, by age:
|18-24 years old||38%|
|25-34 years old||45%|
|35-44 years old||34%|
|45-54 years old||36%|
|55-64 years old||21%|
Percentage of Canadians (under 72 years of age) who have contributed to a TFSA so far in 2013, by region:
|Manitoba and Saskatchewan||23%|
*Each week, Harris/Decima interviews just over 1000 Canadians through teleVox, the company's national telephone omnibus survey. These data were gathered in a sample of 855 RRSP eligible Canadians between February 14 - 17, 2013. A sample of this size has a margin of error of +/-3.4%, 19 times out of 20.
CIBC is a leading North American financial institution with nearly 11 million personal banking and business clients. CIBC offers a full range of products and services through its comprehensive electronic banking network, branches and offices across Canada, and has offices in the United States and around the world. You can find other news releases and information about CIBC in our Press Centre on our corporate website at www.cibc.com.