How to Receive Payments
How Does a Beneficiary Receive Payments?
There are two types of payments received from an RDSP.
Lifetime Disability Assistance Payments
Lifetime Disability Assistance Payments (LDAPs) are recurring annual payments that, once started, must continue until the death of the beneficiary or until the termination of the RDSP. LDAPs can start at any age, but must begin by the end of the year in which the beneficiary turns 60.
Disability Assistance Payments
Disability Assistance Payments (DAPs) are lump sum payments made to the beneficiary or the beneficiary’s estate. DAPs can be requested by a beneficiary when he or she turns 27, subject to certain restrictions.
Each payment from the RDSP is comprised of plan holder contributions, income growth and grants and bonds. The plan holder portion of payments is not taxable. The income growth, grants and bonds portions are subject to income tax and taxable in the hands of the beneficiary.
- 1-800-665-7700
- Locate an Investment Advisor
- Open an RDSP
- BMO Step by Step Process
- BMO Application Form
- Government CDSG & CDSB Application - for individuals under 18
- Government CDSG & CDSB Application - for individuals 18 Years or Older
- Government RDSP Transfer Form
- Government Rollover to a RDSP Form
- Disability Tax Credit Guide
- RDSP Brochure
- RDSP Presentation
