A registered pension plan (RPP) is a plan set up by your employer to help you save money for retirement. You can contribute to this plan through payroll deductions. When you do this, your employer may match your contributions by a specific amount. For example, if you contribute up to 3% of every paycheque to an RPP, in most cases your employer will match that 3% — essentially giving you free money.
You and your employer can contribute to an RPP only until you leave the company or retire .
You can access or withdraw funds from your RPP only when you reach a certain age – for most provinces and territories, this is age 55.
There are two different types of RPPs in Canada: defined contribution pension plans (DCPP) and defined benefit pension plans (DB). At Sun Life, we only offer defined contribution pension plans.
You’ll get:
You’ll get:
Your employer is required to match all your contributions, up to a certain percentage.
You won’t have to pay taxes on your pension until you withdraw funds.
You can deduct your contributions from your taxable income. This lowers your overall tax bill.
Plan for your future
A Sun Life advisor can help you figure out how an RPP can impact your overall retirement plan. They can also answer any questions you have.
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Sun Life Choices offers exclusive investments and retirement savings when you change jobs or retire.
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For most Canadian provinces and territories, the earliest you can withdraw money from your pension plan is usually age 55. Some provinces and territories only allow you to withdraw a certain amount. Some pension regulators allow a one-time withdrawal of up to 50% of the RPP's commuted value, if you're at least age 55, and qualify under the plan's rules for a hardship withdrawal.
Please note you’ll have to pay tax anytime you make an RPP withdrawal. Connect with an advisor for more detailed information.
Pensions funds, like the ones in an RPP, are usually “locked-in” meaning you can’t take money out of it until you reach a specific age (usually age 55). There are also certain rules involved depending on the province or territory your pension is registered in or whether your employer is federally regulated (e.g. banks, airlines, railways).
However, you may be able to withdraw funds (before age 55) from an RPP if you’ve transferred those funds into a LIRA or a locked-in RRSP. In which case, depending on your province or territory, you may withdraw funds early if you find yourself in any of these circumstances. or a
Please note you’ll have to pay tax every time you make an RPP withdrawal.
Connect with an advisor for more detailed information.
Last updated: August 14th, 2026
