Voluntary Retirement Savings Plan (VRSP) Will You Be Affected By The Introduction Of The VRSP?
In December 2013, the Quebec government adopted the Voluntary Retirement Savings Plans Act to offer all Quebecers access to a private pension plan. Under the Act, which will come into effect on July 1, 2014, companies with five or more employees who do not already offer a group pension plan1 to all their employees will be required to set up a Voluntary Retirement Savings Plan (VRSP) in the coming years.
When Will The VRSP Become Mandatory?
If you are subject to the VRSP Act, you will have a deadline for setting up a VRSP for your business. The date by which you will need to comply depends on the number of company employees concerned:
|En date du :||Un employeur
qui compte :
|Devra mettre en place un RVER et y inscrire
ses employés visés au plus tard le :
|June 30th, 2016
||20 or more employees
|December 31, 2016|
|June 30th, 2016
||10 to 19 employees
|December 31, 2017|
|Date to be determined by the
|5 to 9 employees concerned
||A date determined by the government,
but not before January 1, 2018
If you fall into any of these categories and wish to learn more about the VRSP, please contact your benefit advisor and read the attached brochure.
If you are not subject to the requirement to offer your employees a VRSP but are interested in this new savings instrument, you can set one up too and enjoy its many benefits. Contact your benefit advisor or your Industrial Alliance group account executive to learn more.
1Employers who already offer all their employees a group RRSP or group TFSA with payroll deductions or a RegisteredPension Plan (RPP) are not subject to the requirement to set up a VRSP.