RDSP Calculator Canada 2026 — Grants & Bonds

Estimate Disability Tax Credit-eligible grants and bonds for your RDSP. Calculate Canada Disability Savings Grant and Bond amounts by income.

Key Takeaways

  • The government contributes up to $4,500/year in matching grants and bonds — up to $90,000 lifetime.
  • The Canada Disability Savings Bond requires no personal contributions for low-income beneficiaries.
  • Unused grant and bond entitlements carry forward up to 10 years, allowing catch-up contributions.
  • The 10-year rule requires repayment of recent grants/bonds if withdrawals are made too early.

Understanding the Registered Disability Savings Plan

The Registered Disability Savings Plan (RDSP) is a long-term savings plan designed to help Canadians with disabilities and their families build financial security. To open an RDSP, the beneficiary must be eligible for the Disability Tax Credit (DTC) and be a Canadian resident with a valid Social Insurance Number. Like other registered accounts, investment growth inside the RDSP is tax-sheltered until withdrawal.

What makes the RDSP exceptionally valuable is the generous government matching through the Canada Disability Savings Grant (CDSG) and the Canada Disability Savings Bond (CDSB). Depending on family income and contribution amounts, the government can contribute up to $4,500 per year in combined grants and bonds — and up to $70,000 and $20,000 respectively over the beneficiary's lifetime. For low-income families, the CDSB requires no personal contributions at all, making the RDSP accessible regardless of financial circumstances.

How It Works

This calculator estimates your RDSP grant and bond entitlements based on the beneficiary's age, family net income, and your planned contributions. Enter the relevant details and the calculator applies the CDSG matching formula: for lower-income families, the first $500 is matched at 300% and the next $1,000 at 200%, for a maximum of $3,500 per year. Higher-income families receive a 100% match on the first $1,000, for a maximum of $1,000 per year. Check the CRA for current income thresholds.

The calculator also determines eligibility for the CDSB, which provides up to $1,000 per year to low-income beneficiaries with no contribution required. It tracks the $200,000 lifetime contribution limit, the $70,000 lifetime CDSG cap, and the $20,000 lifetime CDSB cap. The projection shows how grants, bonds, and investment growth accumulate over time, and flags the 10-year holding rule that applies to government contributions.

Maximizing RDSP Government Matching

The CDSG matching rate depends on family net income. For lower-income families, the first $500 contributed is matched at 300% ($1,500 grant) and the next $1,000 at 200% ($2,000 grant) — a total of $3,500 in grants on $1,500 contributed. For higher-income families, the first $1,000 is matched at 100% ($1,000 grant).

Since unused entitlements carry forward up to 10 years, you can receive up to $10,500 in CDSG in a single year when catching up. The optimal strategy is to contribute at least the amount needed to maximize the current year's grant plus any carried-forward entitlements. Even small contributions can trigger significant government matching at the lower-income tier.

RDSP Withdrawal Rules and Planning

RDSP withdrawals are split into a taxable portion (grants, bonds, and investment income) and a non-taxable portion (your original contributions). The 10-year Assistance Holdback Amount (AHA) rule means that any grants and bonds received in the 10 years prior to a withdrawal may need to be repaid — up to $3 for every $1 withdrawn, capped at the grants and bonds received in that period.

Mandatory Lifetime Disability Assistance Payments (LDAPs) must begin by the end of the year the beneficiary turns 60. The maximum annual LDAP amount is determined by a formula based on the plan's fair market value and the beneficiary's age. Planning withdrawals carefully — ideally waiting until the 10-year window has passed on accumulated grants — preserves the maximum government contributions.

Key Facts

  • The beneficiary must be eligible for the Disability Tax Credit (DTC) and be a Canadian resident to open an RDSP.
  • The lifetime contribution limit is $200,000 per beneficiary. There is no annual contribution limit.
  • The Canada Disability Savings Grant (CDSG) provides matching of up to $3,500 per year (lower income) or $1,000 per year (higher income), with a $70,000 lifetime maximum.
  • The Canada Disability Savings Bond (CDSB) provides up to $1,000 per year for low-income beneficiaries with no personal contributions required, up to a $20,000 lifetime maximum.
  • Grant and bond entitlements are available until the end of the year the beneficiary turns 49. Contributions can continue after that, but without government matching.
  • The 10-year rule requires that any grants and bonds received in the previous 10 years must be repaid to the government if a withdrawal is made (known as the Assistance Holdback Amount).
  • RDSP withdrawals are split into a taxable portion (grants, bonds, and investment income) and a non-taxable portion (the original contributions).

FAQ

Who can open an RDSP?

The beneficiary must be a Canadian resident, have a valid Social Insurance Number, be eligible for the Disability Tax Credit (DTC), and be under 60 years of age when the plan is opened. A parent, guardian, or legal representative can open the plan on behalf of the beneficiary. In some provinces, a qualifying family member can also open a plan for an adult beneficiary who may not be able to enter into a contract.

What is the 10-year rule and how does it affect withdrawals?

When you make a withdrawal from an RDSP, any Canada Disability Savings Grants and Bonds received in the 10 years prior to the withdrawal must be repaid to the government (up to $3 for every $1 withdrawn, capped at the grants and bonds received in that period). This is called the Assistance Holdback Amount (AHA). The rule is designed to encourage long-term saving. Once a grant or bond has been in the account for more than 10 years, it is no longer subject to repayment.

Can unused CDSG or CDSB entitlements be carried forward?

Yes. If you don't claim your full CDSG or CDSB entitlement in a year, the unused portion carries forward for up to 10 years. You can receive up to $10,500 in CDSG and $11,000 in CDSB in a single year when catching up on unused entitlements. This carry-forward makes it possible to recover missed years of grants and bonds.

What happens to the RDSP if the beneficiary loses DTC eligibility?

If the beneficiary is no longer eligible for the DTC, the RDSP can remain open but a portion of grants and bonds received in the previous 10 years may need to be repaid. The plan holder has until the end of the year following the year of DTC ineligibility to either close the plan or elect to keep it open. A medical practitioner can certify that the condition is likely to re-qualify, which allows the plan to stay open.

How are RDSP withdrawals taxed?

Each RDSP withdrawal includes a proportional mix of contributions (non-taxable) and accumulated income, grants, and bonds (taxable). The taxable portion is included in the beneficiary's income for the year. Since many RDSP beneficiaries have modest income, the effective tax rate on withdrawals is often low. Mandatory Lifetime Disability Assistance Payments (LDAPs) must begin by the end of the year the beneficiary turns 60.

Updated March 2026. Information on this page is provided for educational purposes only. Tax rules, rates, and government programs may change — verify details with the CRA or a qualified financial advisor.