Investing in yourself is one of the most impactful decisions you can make, and education is often the gateway to new opportunities. If you’ve been thinking about exploring a proven coaching program, you may wonder how to fund this next step without straining your finances. One option you might not have considered is using your RRSP withdrawal for education through Canada’s Lifelong Learning Plan.
At Canada Coach Academy, we meet many students who want to move forward in their careers, expand their skill set, start a coaching practice, or just discover how the coach approach can enhance their lives, and funding the journey can feel like a barrier. If you’re exploring how to invest in your growth, here is what you need to know about using your RRSP to support your education goals.
Can You Withdraw From Your RRSP to Fund Education?
In Canada, the Lifelong Learning Plan (LLP) allows you to withdraw up to $10,000 per year, up to a total of $20,000, from your RRSP to fund your education or your spouse’s education. The LLP lets you use your existing savings to invest in programs like coaching certification without taking on new debt, giving you flexibility while you grow your career.
You must repay the amount you withdraw over a 10-year period, so it is not a grant, but it is a way to use your savings to create momentum in your life while staying on track for your long-term financial goals.
Understanding the Lifelong Learning Plan (LLP) in Canada
The Lifelong Learning Plan is designed to support Canadian adults who want to return to school to upgrade their skills or train for a new career. Here are some key points about the LLP:
- You can withdraw up to $10,000 per calendar year, with a lifetime maximum of $20,000.
- The funds are not taxed when you withdraw them, provided you repay according to the schedule.
- You can participate in the LLP as long as you are enrolled in a qualifying program.
If you plan to use the LLP, it is important to understand your repayment responsibilities to avoid penalties. The Government of Canada’s website provides a full overview to help you plan this step confidently.
Why Coaching Certification Is a Smart Education Investment
Investing in coaching certification is not just about earning a credential. It is about developing skills that help you lead, communicate, and guide others in meaningful ways. Whether you plan to start a coaching practice, lead a team, or bring coaching skills into your current role, certification is a pathway to personal and professional growth.
At an individual level, coaching certification helps you:
- Build deep listening and powerful questioning skills.
- Learn frameworks to support people through change.
- Develop your confidence and presence as a leader.
For businesses and organizations, having certified leadership coaches on your team can:
- Improve employee engagement and retention.
- Strengthen leadership pipelines.
- Foster a culture of accountability and growth.
It’s always important to choose programs that are aligned with ICF core competencies, to give you tools you can use immediately while preparing you for a professional practice. If you want to learn some new mindset tools and explore how coaching can align with your personal and professional goals, reach out to us today.
How to Withdraw from Your RRSP for Education Without Penalty
To use the LLP to fund your education, you will need to:
- Check your RRSP balance and ensure you have sufficient funds.
- Confirm your program qualifies under LLP guidelines.
- Complete the necessary forms (Form RC96) and submit them to your RRSP issuer before withdrawing funds.
Your program must be a qualifying educational program, which typically includes full-time enrollment, but part-time studies may also qualify under certain conditions. At Canada Coach Academy, we can provide you with information about our coach certification programs or intensive coach training programs to help confirm your eligibility as you plan your next steps.
Is an RRSP Withdrawal the Right Move for Your Education?
Using your RRSP withdrawal for education can be a practical option if:
- You have RRSP savings that you can allocate to your growth.
- You want to avoid high-interest loans.
- You have a plan for repayment that aligns with your long-term financial goals.
It is important to consider how the withdrawal fits into your broader financial picture, including retirement planning and other savings goals. Speaking with a financial advisor can help you map out the best approach for your situation.
Don’t Forget the Canada Training Credit
Alongside the LLP, the Canada Training Credit (CTC) can further support your investment in education.
The CTC is available to Canadians who:
- Are between 26 and 65 years old.
- Have filed a tax return for the previous year.
- Have a Canada Training Credit Limit (CTCL) greater than zero.
Eligible Canadians can receive up to $5,000 over their lifetime to help cover up to 50% of tuition and fees. To claim the CTC:
- Take the lesser amount between 50% of your eligible tuition fees for the year and your CTCL from your previous Notice of Assessment.
- Complete Schedule 11 on your tax return when you file.
Combining the CTC with the LLP can reduce your out-of-pocket costs while allowing you to pursue certification that will open doors to new opportunities.
Take the Next Step Toward Your Coaching Goals
Using your RRSP withdrawal for education through the Lifelong Learning Plan can make coach training accessible while aligning with your financial goals. Summer is a great time to consider this step as you reflect on your goals and prepare for the next season in your career.
At Canada Coach Academy, we support your journey with programs that are practical, interactive, and aligned with professional standards. Whether you’re interested in becoming a certified life coach, performance coach, or you want to improve your leadership skills for another reason, we have a program that fits.
If you’re ready to take the next step or need guidance on how to align your funding options with your education plans, contact an Admission Coach today. We’re here to help you turn your goals into action while investing in your future with purpose.