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Canadian Retirement Planning - Understand Your Options Like several other Canadian policies, its retirement plan is also people-oriented and aims at giving maximum benefits to the country's residents. In fact, Canadian Retirement Planning is one of the most important platforms on which the financial freedom of its people depend. Hence the options which the retirement plan offer, is in the best interest of its people. Understanding the Pros and Cons of 401(k) Retirement Planning When people think about their retirement planning, one of the most prominent things that comes into their minds if the 401(k) Retirement Plan. This plan is applicable in the USA and in some other developed countries of the world that have a close financial pattern as America has. The plan was introduced in 1978 by the IRC (Internal Revenue Code). The main premise of the plan is to provide tax benefits to employees on the income that they are not withdrawing in the regular monthly manner as salary, but are deferring it to get it after their retirement. Today, this plan is administered by the Employee Benefits Security Administration (ESBA) of the Department of Labor.

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