Assets

In Step 2, you must determine when you wish to retire, which will allow you to project what your current registered retirement assets and future contributions will be worth at retirement.

If you are very close to retirement and will most likely not be making any more contributions, you may choose to set your contribution amounts to zero and use only your current assets to perform the illustration. You may also wish to set your retirement date to the current date.

To ensure an accurate picture of your retirement income, you should include all registered assets that you have by clicking on the Add/Modify other registered plans button.

Also, the results of any modifications you make will only appear once you click the Recalculate button or proceed to a subsequent step.

Add/modify other registered plans
To ensure an accurate picture of your retirement income, you should include all registered assets that you have.

To add other registered plans, click on the Add/Modify other registered plans button and specify the Plan type (the type of plan from which the assets are derived), the Jurisdiction and the value of your Assets ($) as at the current date. You may also want to indicate the name of the financial Institution so as to allow you to keep track of which assets you've included, any monthly contributions you are making and the expected rate of return. The system allows you to enter up to 4 other plans. Once you have correctly entered all the required information, click Submit. Your other registered assets will appear in your list of assets.

To further modify this information, click on the Add/modify other registered plans button, enter your change and submit. Should you wish to delete a specific line, simply click on the appropriate Delete button associated to the plan.

See Financial institution.

Assets
The value of the registered retirement assets of your Manulife' Group Retirement Plan(s) and/or Other Registered Plan(s) as at today's date.

See Group retirement plan(s).

Expected rate of return
The percentage gain that your investment is expected to generate.

We have used an expected return of 6% to estimate the long-term rate of return of a moderate portfolio. You may want to modify your expected return to be more in line with your investment strategy or to see the impact of the expected return on the value of your assets. Please exercise caution when selecting a rate of return and ensure that the rate is realistic. Our system does not allow you to enter a rate of return greater than 20%.

Important -
Rates of return vary by asset class and the asset allocation of a portfolio will largely determine the long-term results achieved. Long-term rates of return for a conservative portfolio might be in the range of 4% to 6% while an aggressive portfolio might produce returns of 8% to 10%. A moderate portfolio's return would likely fall somewhere in between - that is, from 6% to 8%.

Institution
The financial institution where your retirement assets are held. This field is optional.

See Financial institution.

Jurisdiction
In relation to retirement plans, this is the pension regulation under which pension benefits/assets, or a retirement plan, falls under. With regard to pension benefits/assets, applicable jurisdiction is based on your province of employment rather than your province of residence.

Monthly contributions
The amount of money you contribute to each plan on a monthly basis.

If you are still contributing to any plans, you may want to include your monthly contributions. The system assumes that you will contribute this amount for each month between the asset date and your retirement date.

You may also want to modify this amount and determine how an increase or decrease in your monthly contributions will affect the value of your assets at retirement.

The monthly contribution amount must be entered in the following format: 99999.99.

Other registered plans
Other plans from which assets are derived, either from an individual policy with Manulife or from a policy with another financial institution.

See Financial institution

Plan type
The type of plan from which the assets are derived, such as:

- Deferred Profit Sharing Plan (DPSP)
- Life Income Fund (LIF)
- Locked-in Retirement Account (LIRA)
- Locked-in RRSP (LI - RRSP)
- Registered Pension Plan (RPP)
- Registered Retirement Income Fund (RRIF)
- Registered Retirement Savings Plan (RRSP)
- Spousal RRSP (RRSPS)

Projected assets
An estimate of the amount of registered assets you will have accumulated at your retirement date. The system takes the value of your registered assets and future contributions and adds the investment gain derived from your expected return.

Retirement date (or age)
The date/age at which the person on behalf of whom the Retirement Income Illustration is produced (the "owner") retired or plans to retire.

The system has set your default retirement age to 65 and your default retirement date will be the date of your 65th birthday. If you do not plan to retire at age 65, you can change the retirement age or retirement date. You may also want to try different values and see the effect that retiring earlier or later has on the value of your assets. Although you may choose to retire at any age, you are legally required to convert your registered savings assets by December 31st of the year you turn age 69, at the very latest.

You can either enter the retirement age at which you want to retire in the following format: 99, or you can specify your retirement date (yyyy/mm/dd). The system assumes that this is the date upon which you will convert your assets.

Recalculate
The results of any changes you make to the information in Step 2 will only appear once you click the Recalculate button or proceed to a subsequent step.

Source of assets
Includes the asset type (ex: RRSP, RPP, LIRA, DPSP), the jurisdiction and the institution from which the assets are derived.

Your source of assets can be your Manulife' Group Retirement Plan(s) and/or Other Registered Plan(s).

See Group retirement plan(s).

Manulife Group Plan registered assets
If you have decided to project your retirement income with your current group registered assets (if applicable), the system will automatically include the current value of your assets under the Group Registered Plan section of the Source of assets column. Only registered assets and those assets that have not yet been converted to retirement income are taken into consideration. These values cannot be modified.

See Group retirement plan(s).