Can members withdraw their funds out of the plan, even while they are still active employees?

Yes. Members can withdraw funds from their plan, either in part or in full, while they are still an active employee. Some restrictions may apply if an employer has RRSP or DPSP withdrawal restrictions, or if there are DPSP vesting requirements. A transaction fee would be applied, unless members are in the drawdown period in retirement.

It’s important to remember that withdrawing from RRSPs before retirement can result in negative tax implications, while withdrawing from a TFSA before retirement does not.