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What is the difference between an IRA and an RRSP?
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The main difference between an IRA and an RRSP is the way they are taxed. An IRA is a retirement savings account that offers tax-deferred growth, meaning any earnings within the account are not subject to taxes until you withdraw them at retirement age. An RRSP, on the other hand, is a registered retirement savings plan which allows for tax deductions while contributing to it. Contributions to an RRSP are made with pre-tax dollars, but withdrawals are taxed when taken out.