That is all correct unless an individual, who for example, has been hurt at work while in his 30s and winds up on disability and a) does not have sufficient income to load up on rrsps and 2) will not have an income or pension of any size to rely on upon retirement. In this case I would advise to use the rrsps in the hopes of increasing them. When it comes time to cash them in your tax will be significantly less.

To be required to pay capital gains is a yardstick to how well you are doing in the market...:) ...Don