In a tight Quebec labor market, offering a competitive salary is no longer enough. Talent is looking for security, flexibility, and, above all, a long-term vision for their savings. For you, as an entrepreneur, the challenge is significant: how can you enhance your overall offer without causing fixed costs to skyrocket or making administration more complex?

The answer lies in the strategic use of collective savings and value-sharing tools.

1. The RVER: An obligation turned into an opportunity

Remember that the Voluntary Retirement Savings Plan (RVER) is mandatory in Quebec for any company with 10 or more covered employees, if it does not already offer a group pension plan.

• The opportunity: Instead of seeing it as an administrative burden, use it as a foundation. The company is not required to contribute, but simply offering the structure (with often low management fees) shows that you care about your employees' future.

• The Finelis Conseil tip: If your cash flow allows it, a small employer contribution (for example, 1% or 2% of matched salary) has a huge psychological impact on retention for a controlled cost.

2. Group RRSP vs DPSP: The optimization showdown

If you want to go further than the RVER, two options are available to you:

The Group RRSP

• How it works: Employees contribute through payroll deductions. The employer can also contribute.

• Advantage: Easy for employees to understand (immediate tax deduction).

• Disadvantage: Employer contributions are considered a taxable benefit for the employee (they are subject to payroll taxes, such as RRQ and RQAP).

The DPSP (Deferred Profit Sharing Plan)

• How it works: Only the employer contributes to the DPSP, based on the company's profits.

• Major advantage (tax treatment): Employer contributions to the DPSP are not considered a taxable benefit for the employee. They are deductible for the company and exempt from payroll taxes (RRQ, RQAP, FSS, CSST). It is the most tax-efficient tool in Quebec for paying money to your employees.

• The retention angle: You can put in place a vesting clause of up to two years. If the employee leaves before then, they lose the employer contributions.

3. Non-taxable benefits: The "little things" that matter

Sometimes the best optimization is not to give money, but to cover expenses. In Quebec, certain benefits are non-taxable if structured correctly:

• Health Spending Account (HSA): A fixed annual amount to cover dental care, glasses, or therapies not covered by the basic group insurance plan. It is very flexible and highly appreciated.

• Training and professional development fees: Directly related to the job.

• Technology tools: Provide a quality phone or laptop for remote work.

The Finelis Conseil tip: > “The money you do not send in payroll taxes (such as through a DPSP) is money you can reinvest directly in enhancing the offer to your employees. A well-designed structure often costs less than an equivalent gross salary increase, while being more attractive.”

Why consult us?

The choice between RVER, RRSP, DPSP or HSA depends on your payroll, your profitability, and the demographics of your employees. A mistake in the structure can lead to costly tax reassessments.

Contact our firm Finelis Conseil to simulate the real cost of your next employee benefits strategy.