Registered Maternity Savings Plan

1004 WordsJul 29, 20095 Pages
The Registered Maternity Savings Plan (RMSP) is an innovative new service that will be offered by our financial institution, Plan Ahead Group. It is a service that will specifically be targeting young working women who want to start their families sooner rather than later, but whose financial situation may not allow them to do so until further in their careers and lives. Plan Ahead’s new financial service will allow women and their families to save for the upcoming pregnancies on a tax-free basis, not unlike Registered Retirement Savings Plans currently offered for other purposes, and to gain significant interest on this amount. This money will then be used if and when the woman becomes pregnant, to help pay for doctor’s bills, new cribs and to prepare for the inevitable deluge of happy visiting relatives. Therefore, our financial project is two pronged: we must first convince the government to allow these women to save their money tax-free by illustrating the numerous social and economic benefits this will reap. Once the government policies have been successfully amended, then we can proceed with targeting young women and helping them achieve their dreams a couple of years earlier than they’d otherwise been able to. Firstly, the Canadian government faces the growing problem of an aging population. As the baby boomer generation retires, more working age people will be needed to take their place and to pump money into the economy to support the retirees. Appendix 1 shows that while the population of Canadians over 65 has increased by almost 9%, while the amount of working age Canadians (15-64) has increased by a more moderate 5.53%, however the amount of young Canadians aged 14 and under has actually decreased by 2.21%. It is not unexpected to discover that the birth rate in Canada has fallen more than 10% in the past 5 years, and has been decreasing

More about Registered Maternity Savings Plan

Open Document