Costs
Setting up and running a pension plan involves fees and professional support.
Individual Pension Plans
A pension, built by you.
Explore corporate-funded retirement planning through Individual Pension Plans, an option for incorporated owners and professionals.
Book a ConsultationWhat is an Individual Pension Plan?
An Individual Pension Plan, or IPP, is a registered pension plan set up by your corporation for you as the plan member. It is designed to provide a defined pension in retirement.
It's an option some incorporated business owners and professionals consider, and it isn't right for everyone. We help you understand it and decide whether it fits.
How an IPP works
- 01
Your corporation sponsors it
The company sets up the plan and makes the contributions.
- 02
You are the member
You take part as an employee earning salary from the corporation.
- 03
An actuary sets the funding
Contributions are calculated using set rules and your circumstances.
- 04
The plan pays your pension
In retirement, the plan provides income to you.
Is an IPP right for you?
It may be worth exploring if
- You own an incorporated business or practice
- You pay yourself a salary from your corporation
- You're looking for more ways to save for retirement
- Your corporation can commit to funding over time
It may not be the right fit if
- You need full flexibility in how much you save each year
- You don't draw a salary from your corporation
- You'd prefer a simpler setup with fewer ongoing requirements
- Your business income is uncertain
What to weigh before you decide
Ongoing funding
Contributions are set each year, so your corporation needs to be ready for them.
Rules and reporting
A registered plan comes with its own rules, filings and limits.
Actuarial review
An actuary reviews the plan regularly, and funding can change over time.
Flexibility
It's less flexible than a personal savings account, so timing and goals matter.
Your wider plan
How an IPP fits with your RRSP, your corporation and your retirement goals.
Common questions
How is an IPP different from an RRSP?
An RRSP is a personal savings plan with an annual limit. An IPP is a pension plan sponsored by your corporation, with contributions calculated by an actuary. Each has different rules, costs and features.
Do I need to pay myself a salary?
Generally, yes. An IPP is built around employment income from your corporation, so it usually suits owners who draw a salary.
Who sets up and runs an IPP?
An actuary and a plan administrator are typically involved, along with your accountant. We help you work through the decision and coordinate with them.
Are the results guaranteed?
No. An IPP promises a pension formula, but investments carry risk, and your corporation is responsible for funding the plan. Outcomes can't be guaranteed.
Is an IPP only for people close to retirement?
Not necessarily, but suitability often depends on your age, income and history with your corporation. That's exactly what we look at together.
Can an IPP be combined with other planning?
Yes. It's usually one piece of a broader plan alongside your other savings, your corporation and your retirement goals.
Interested in this service?
Tell us a little about yourself and we'll be in touch about the best next step.
Please don't include sensitive financial details in this form. Content on this page is general information and not tax, legal or personal financial advice.