Fondaction helps Québec workers save for their retirement while contributing to the positive transformation
of the economy. These savers are Fondaction’s shareholders. As at November 30, 2023, Fondaction had more than
217,000 shareholders from all over Québec, a historic high.
Accessible and beneficial retirement savings
Unionized or not, anyone can contribute to Fondaction and take advantage of the same benefits. Fondaction’s shareholders enjoy exclusive tax credits amounting to 30%* of their investment (15% provincial, 15% federal), in addition to the tax advantages of an RRSP. Fondaction provides retirement savings in the form of shares. Several contribution methods are available, systematic savings by payroll deduction being the most commonly chosen by contributors. Generally, savers choose to transfer their shares into an RRSP. Non-registered accounts and spousal RRSPs are also available
* A maximum of $5,000 in subscribed shares may be taken into account per taxation year, subject to eligibility. Check your eligibility below:
What are the main eligibility criteria for income tax credits?
Eligibility criteria for tax credits are set out in the tax laws of Quebec and Canada 1.
|To reside in Quebec
|Be under 65 years of age on December 31st of that year
|The first $5,000 subscribed annually, for all labour-sponsored funds, may qualify for tax credits.
|For credits claimed for the 2024 taxation year, your taxable income in 2022 (line 299 of your Revenu Québec notice of assessment) must not exceed $112,655.
Criteria applicable to share purchases on or after January 1, 2024
|Credits reduce the income tax to be paid, so you must have tax to pay.
If you receive retirement income, you must also have employment or business income of more than $3,500.
|Retirement or early retirement
|Not having redeemed shares in a labour-sponsored fund for retirement or early retirement purposes
|Not having redeemed shares in a labour-sponsored fund due to severe and prolonged disability
|Redemption within 60 days
|If the right to redeem shares is exercised within 60 days of their subscription, the tax credits relating to the shares subscribed will be lost.
For spousal RRSPs, certain eligibility criteria apply to the situation of the beneficiary spouse.
1The above table provides a summary of certain eligibility criteria and does not constitute tax or legal advice. The tax effects may vary depending on your situation. It is your responsibility to check whether or not you are eligible for tax credits.
See the prospectus for more information.