Eligibility for Program Membership: You may join the OHHA retirement program at any time if you are an Ontario Standardbred industry participant.
Criteria for the OHHA Contribution to Your Account:
Termination of Program Membership: The sole purpose of the program is to provide income for retirement. If you should terminate membership in the program within the first two years of joining, you will receive only your own contributions with accumulated income.
The withdrawal of any funds from the program will constitute a termination from the program. You must wait four calendar years and meet eligibility requirements before you may rejoin the plan as a new member. A second termination means that you are no longer permitted any future participation.
Only members who withdraw funds for a Home Buyer’s Plan or Lifelong Learning Plan are permitted uninterrupted participation in the plan.
You must contribute $100 at the time of enrollment and at each annual renewal of your OHHA/RRSP membership to be eligible for the OHHA contribution. If you do not contribute the $100 fee in a given year, you will not receive the up to $1,200* OHHA contribution. However, you will remain a current plan member and may make your own contribution to the plan, and you will be allowed to continue to participate in subsequent years.
The OHHA contributions to the program will be made on your behalf after 24 months of enrollment. The first OHHA contribution will reflect two years of regular association contributions (maximum $2,400*). Contributions for the third and subsequent years will be the annual contribution of up to $1,200* Contributions to the members’ accounts by OHHA will be made on December 31st of each year.
Yes, you may make additional voluntary contributions for the purpose of increasing your retirement benefits. You must be sure that these additional contributions do not exceed the maximum amount permitted by the Income Tax Act (Canada). These contributions will not be matched by OHHA.
The Income Tax Act (Canada) currently permits you to contribute up to the lesser of 18% of your previous year’s earned income, or the current year’s legislated maximum. The part of your RRSP deduction limit for 1991 and later years, which you do not use for those years, is called your “unused deduction room”. The unused deduction room may be carried forward and used in future years. If you belong to a registered pension plan, the amount you can contribute to your RRSP will be reduced by your Pension Adjustment for the previous year.
The Income Tax Act (Canada) establishes a lifetime over contribution limit, which at the time of printing of this booklet is $2,000. The amount can be left in the plan and a deduction taken in some future year, or never. If never claimed it will be fully taxed on withdrawal. Excess contributions over this limit will be subject to a 1% per month tax until withdrawn.
You will be issued two income tax receipts in each calendar year: one in January covering program deposits from March to December, and one in March covering deposits made in the first sixty days of the year.