Five Ways to Boost Your Retirement Savings

2 min read

By investing regularly, you can move steadily towards your financial goals and the retirement lifestyle you want.

Here are five ways to better save for your retirement:

1. Understand how tax sheltering works

Your investments grow tax-free within your RRSP, providing the potential for increased growth opportunities. You can enjoy immediate tax savings because an RRSP allows you to deduct the amount of contribution from your income on your tax return.

Read these articles to understand more about the key differences between registered and non-registered accounts.


2. Start early

It may not seem like much now, but starting to invest 10 or 20 years earlier can have a dramatic impact on your long-term returns.

Hypothetical example:
Investors A, B and C all invest $500 a month in an investment that grows at 5% each year. By starting earlier, Investor A accumulated 50% more than Investor B – and nearly 3 times more than Investor C. All because of compounding returns.

This chart represents the growth of a hypothetical investment, assuming a 5% annual nominal rate of return compounded monthly, over a specific time period. This example does not take inflation or applicable fees/deferred sales charges into account and should not be considered to be representative of the performance of any specific investment product or investment strategy. The chart is used only to illustrate the effects of the compound growth rate and is not intended to reflect future values of a specific investment or returns on investment in a specific investment. This chart is a hypothetical example to be used for illustrative purposes only.

3. Set up a pre-authorized purchase plan. 

Setting up a PAC, i.e., a regularly scheduled contribution to your RRSP that comes right off your paycheque or out of your bank account, can help build your savings with minimal effort. 


Source: AGF Investments Inc. The table above is for illustrative purposes only. All of the rates and values referenced above are hypothetical and do not reflect actual investment or past performance, nor do they guarantee future performance. Based on hypothetical returns of 3%, 5%, and 7% and monthly PAC contributions every year over the period. Every other year shown for illustrative purposes only.

4. Consider increasing your contribution each year. 

Don’t just automate your contribution – auto-escalate them – look at automatically increasing your contribution.

For example, if you increase your contribution by 5% each year:

  • $100/month becomes $105/month in year 2, $110.25/month in year 3
  • $200/month becomes $210/month in year 2, $220.50/month in year 3
As you can see in the chart below, this “little” difference – through the power of compounding – 20 years later would have added $50,000 to your investment’s value.



Source: AGF Investments Inc. 2021 The chart above is for illustrative purposes only. All of the rates and values referenced above are hypothetical and do not reflect actual investment or past performance, nor do they guarantee future performance. Based on a hypothetical returns of 5% and monthly PAC contributions every year over the period.


5. Make use of your company benefits

Many companies offer employee savings or contribution matching plans. Check with your Human Resources department to see if you can take advantage of any employee programs that will help you build RRSP savings faster.

RRSPs are one of the best ways to save for your retirement and a financial advisor can help you choose the right investments for yours.

To learn more about RRSPs and saving for retirement, visit

If you want to know how to find the right advisor for you, visit Working With a Financial Advisor.


Commissions, trailing commissions, management fees and expenses all may be associated with investment fund investments. Please read the prospectus before investing. Investment funds are not guaranteed, their values change frequently and past performance may not be repeated.
This content is provided as a general source of information and is not intended to be comprehensive investment advice applicable to the circumstances of the individual. Every effort has been made to ensure accuracy at the time of publication, however, accuracy cannot be guaranteed. Market conditions may change and AGF Investments accepts no responsibility for individual investment decisions arising from the use or reliance on the information contained here.
The contents of this website are provided for informational and educational purposes and are not intended to provide specific individual advice including, without limitation, investment, financial, legal, accounting or tax. Please consult with your own professional advisor on your particular circumstances.
AGF Investments is a group of wholly owned subsidiaries of AGF Management Limited, a Canadian reporting issuer. The subsidiaries included in AGF Investments are AGF Investments Inc. (AGFI), AGF Investments America Inc. (AGFA), AGF Investments LLC (AGFUS) and AGF International Advisors Company Limited (AGFIA). AGFA and AGFUS are registered advisors in the U.S. AGFI is a registered as a portfolio manager across Canadian securities commissions. AGFIA is regulated by the Central Bank of Ireland and registered with the Australian Securities & Investments Commission. The subsidiaries that form AGF Investments manage a variety of mandates comprised of equity, fixed income and balanced assets.
® The “AGF” logo and “Sound Choices” are registered trademarks of AGF Management Limited and used under licence.
RO 2016771 
February 7, 2022
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