# Difference between RSP & RRSP



## dilbert789 (Apr 20, 2010)

I've seen some stuff that says there is a difference and other things says they are exactly the same. Is there any actual difference? Does the plan RSP have any tax advantages?


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## Four Pillars (Apr 5, 2009)

dilbert789 said:


> I've seen some stuff that says there is a difference and other things says they are exactly the same. Is there any actual difference? Does the plan RSP have any tax advantages?


I'm going to go out on a limb and suggest that "RSP" is just a short form for "RRSP". You save one letter and it's easier to spell out.


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## CanadianCapitalist (Mar 31, 2009)

RSP. RRSP. Same thing, AFAIK.


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## HaroldCrump (Jun 10, 2009)

dilbert789 said:


> I've seen some stuff that says there is a difference and other things says they are exactly the same. Is there any actual difference? Does the plan RSP have any tax advantages?


The first *R* is for Registered.
Therefore, *R*RSP explicitly flags it as a true, registered plan subject to all the RRSP rules and regulations.
On the other hand, RSP could theoretically be any retirement savings plan, not necessarily registered.
I know that's a weak distinction, but that's all I can think of.
I'd imagine 99.99% of the time, RSP and RRSP are the same thing.
But for the other 0.01% time, some TLA challenged dude might use the term RSP loosely.


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## m3s (Apr 3, 2010)

What's the difference between a mortgage and an "unmortgage"? Nothing really

ING likes to make up their own names to be special



> Please note that when we say "RSP" - we do mean "RRSP". What's the difference you ask? We eliminated one of the R's since that's the way most people say it - RSP. Just another little way we keep things simple. So don't worry, our RSP is indeed a Registered Retirement Savings Plan once it's registered with the Canada Revenue Agency (CRA). And it really does grow.


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## Four Pillars (Apr 5, 2009)

mode3sour said:


> What's the difference between a mortgage and an "unmortgage"? Nothing really
> 
> ING likes to make up their own names to be special


On a faintly related note - my mother likes to call RESPs "resps" (one word) rather than spell it out. I keep telling her that's not how to say it, but she doesn't listen.


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## MoneyGal (Apr 24, 2009)

Depends on what the "R" stands for. 

If it's "registered," there are a couple of different options: RESP, RRSP, RDSP, RPP (and TFSAs are also "registered," but don't include the magic R). These are all "registered savings plans."

"Registered" implies registered for tax-deferral purposes with CRA. (This is why TFSAs don't have an "R" in their name - there's no tax deferral.)

If the R stands for "Retirement," there are many different "Retirement savings plans," from buying a condo in Florida to investing in anything from horses to uranium to purchasing GICs. This just implies saving for retirement, no matter how you do it.


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## dilbert789 (Apr 20, 2010)

These are the exact responses that I pretty much expected... most say they are the same, others say they may not be. I ask as I received my statement from Investors Group the other day that said I have a small RSP account plan that I was thinking of transferring to my Questtrade TFSA so I could play around with it myself. However if its actually an RRSP I'll probably just leave it alone... I guess I should make a phone call!


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## arc (May 19, 2012)

For capital losses incurred in a RSP account can that be taxed as a captial loss? as I know RRSP you can't tax any losses?


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## Spudd (Oct 11, 2011)

arc said:


> For capital losses incurred in a RSP account can that be taxed as a captial loss? as I know RRSP you can't tax any losses?


RSP = RRSP. You can't claim any capital losses in an RSP/RRSP.


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## Beaver101 (Nov 14, 2011)

^ + 1 ... just as any "gains" can't be taxed. Gains= +, Loss= - but in RRSP=0 (tax-wise) until cash-out that is. :wink:


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## arc (May 19, 2012)

What do you guys think about doing this to get around the capital loss: http://www.taxtips.ca/personaltax/investing/transfersharestorrsp.htm


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## Beaver101 (Nov 14, 2011)

arc said:


> What do you guys think about doing this to get around the capital loss: http://www.taxtips.ca/personaltax/investing/transfersharestorrsp.htm


 ... ? getting around the capital loss in what? RRSP still? Or Non-RRSP or a non-registered account? 

Last sentence in the link you gave says:

* Tax Tip: If you have a loss on shares, don't transfer them to your registered account!*


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## Spudd (Oct 11, 2011)

arc said:


> What do you guys think about doing this to get around the capital loss: http://www.taxtips.ca/personaltax/investing/transfersharestorrsp.htm


This doesn't do anything for capital losses in an RRSP.


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