Which plan allows for voluntary contributions after age 65?

The Canada Pension Plan (CPP) allows individuals to make voluntary contributions after age 65 under certain conditions. The CPP is designed to provide retirement, disability, and survivor benefits to contributors and their families. Once a person reaches the age of 65, they have the option to continue contributing to the plan if they are still working and earning income.

Voluntary contributions can be made to increase future pension benefits. This is particularly beneficial for those who may have gaps in their contribution history or for individuals who wish to enhance their retirement income. The structure of the CPP reflects a social insurance model that encourages saving for retirement while providing flexibility for continued participation in the workforce.

In contrast, while the RRSP (Registered Retirement Savings Plan) allows contributions until the end of the year in which the individual turns 71, it does not permit voluntary contributions specifically for enhancing pension benefits after age 65. The DPSP (Deferred Profit Sharing Plan) and the GRRSP (Group Registered Retirement Savings Plan) are geared towards employer-sponsored plans, with specific rules around contributions that differ from voluntary personal contributions as seen in CPP.

Thus, the CPP stands out as the correct answer since it specifically accommodates voluntary contributions after the age of 65, allowing individuals to bolster their retirement savings