News Room

This week we continue our theme on budgeting and making sound financial plans for the New Year. Our focus will now shift to retirement, have you made adequate preparation for a comfortable retirement? If you haven’t, then now is a better time than any to start preparing. This week’s term is: Registered Retirement Investment Account 

A Registered Retirement Investment Account is a special type of account which as the name suggests allows the accountholder to save for retirement. Accountholders have the option of deciding how much they would like to deposit monthly towards this account. It is also structured in such a way that the accountholder can only withdraw funds upon retirement. 

What does this mean for you? 

The Registered Retirement investment Account offers the depositor a number of benefits. Firstly, since the account is an approved pension scheme registered under Saint Lucia’s income tax act, accountholders benefit from tax relief of up to $8,000. Another benefit is that when you open the account, you are required to name a beneficiary so in the event of your death before retirement, this person receives all funds plus interest accrued on this account. In addition, it is important to note that the earlier you start saving the more money you would have saved and have available to you upon retirement.  The type of life you enjoy after retirement is dependent on how well you prepare, so investing in a retirement account today can make your golden years that much easier. For more information on opening a registered retirement account, please visit your nearest Bank of Saint Lucia branch, call us at 456-6000.