HOW IT WORKS
In each RCF plan, the corporation funds a supplemental pension through an RCA trust, with benefits designed to provide structured retirement income to the plan member.
Corporate Contribution
Tax Deductible
Funds Held in Trust
Assets held outside the corporation
Creditor protection
Investment + refundable tax account
Retirement Income
Paid as income to plan member in retirement
Taxed as income
The Result
A structured, long-term supplemental pension funded with corporate dollars.
WHY USE THIS STRUCTURE
Extends beyond registered plan limits
Uses corporate cash efficiently
Creates predictable retirement income