(November 22 – 11:50 ET) –
There was a slump in RRSP
contributions in 1998, says
Statistics Canada. Its most current
information from tax files shows
that in 1998 both the number of
RRSP contributors and the size
of their contributions declined
for the first time since 1991.
According to StatsCan 6.1
million taxfilers contributed
to an RRSP – down 0.6% from 1997.
Their aggregate contributions
amounted to $26.6 billion, down
3.8% from 1997 after adjusting for
inflation. These contributions only
accounted for 11.0% of the total
allowable limit, the sum of unused
RRSP room carried forward from
previous years plus new room
accrued for 1998. Between 1991
and 1997, RRSP contributions
increased at an average annual
rate of 5.7%.
Overall RRSP contributions
dropped in every province in 1998,
and the number of contributors
fell everywhere except for Ontario,
Manitoba and Alberta. The average
RRSP contributor was 42 years old;
44% of taxfilers in the group age
45 to 54 contributed to an RRSP,
the highest rate of any age group.
Average contributions increased
progressively by age
group, with the highest
contributions coming from those
aged 65 or older – $6,706.
-IE Staff
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