Estimate how much your registered retirement savings plan (RRSP) will be worth at retirement and how much income it will provide each year.

As you get closer to full retirement, your priorities usually shift from growing your money to spending your money. In response, you will need to shift your investment mix from higher- to lower-risk investments to preserve your money and provide income. This will mean there is less chance that your investments will lose money, but they may also yield a lower expected investment return.

When you’re working

When you’re still working, you can take more risk with your money because your income can be used to make up investment losses. As you get closer to retirement, you may want to reduce your risk to protect your savings, so it’s there when you need it.

Enter what you think your average annual rate of return will be while you’re working. This rate of return may change as you approach retirement and your risk tolerance changes. Consider this in your average.

Enter the dollar amount you plan to contribute each period to your RRSP. Learn more about contributing to an RRSP from the Canada Revenue Agency. The contribution frequency is assumed to equal the compounding period, even if you do not make regular contributions

When you’re retired

Once you have fully retired, you can take less risk with your money because you no longer have an income to rely on if your investments lose money.

Enter the number of years you expect to need your retirement income.

Enter what you think your average annual rate of return will be in retirement. When you depend on your savings for income, reducing risks can protect your money, but results in lower average returns.