Registered disability savings plan contribution limits

There is no annual limit on amounts that can be contributed to an RDSP of a particular beneficiary in a given year. However, the overall lifetime limit for a particular beneficiary is $200,000. Contributions are permitted until the end of the year in which the beneficiary turns 59 years of age.

Note
Amounts directly transferred from a beneficiary's RDSP to another RDSP for the same beneficiary are not included in calculating the $200,000 overall contribution limit.

Specified year

A specified year is the year in which a qualified medical practitioner certifies in writing that the beneficiary will not live longer than five years. A specified year will also include each of the five calendar years following the year of certification. A year will not qualify as a specified year unless the medical certificate has been provided to the issuer in or before the year in question. There will then be no maximum limits on the amount of disability assistance payments that can be made to the beneficiary in a specified year.

Transfers

A transfer from one RDSP to another may only be conducted under the following conditions:

• the transfer must be made from a beneficiary’s RDSP to another RDSP for the same beneficiary;
• a transfer may only be completed if all holders of the current RDSP agree to the transfer; and
• all funds must be transferred from the current RDSP to the new RDSP.

If the transfer to the new RDSP is not completed within 120 days from the date the new RDSP contract is signed, the new RDSP will be considered invalid and the prior RDSP will continue as the ongoing plan.