Fewer Canadians made RRSP contributions this year and of those who did choose to invest, nearly a third "parked" their money in a low-risk, low-return investment vehicle.

A poll conducted by Investors Group suggests just 37 per cent of eligible Canadians made RRSP contributions during the 2007 tax year, down five per cent from 2006.

"Many Canadians seem to have taken a wait-and-see approach due to current volatility in the stock market," says Debbie Ammeter, vice-president of advanced financial planning support at Investors Group. "Delaying your RRSP contribution while you wait for more favourable conditions may seem logical at the time, but it actually costs you money in terms of lot investment days."

While many chose not to make contributions, of those who did, 83 per cent invested the same amount or more than a year ago. But 26 per cent parked this year's contribution in vehicles such as bonds and money market funds.

"Parked funds are like an idling car -- they're in neutral and not earning the return they should," says Ammeter.

"Left unattended for even a short period of time, they're a missed opportunity, one that underscores the importance of working with a financial planner to develop a longer-term investment strategy."

Ammeter says many who didn't make contributions simply couldn't afford it.

"I think this is indicative of, perhaps, a lack of planning," she says. "If you work with a financial planner you can sort out the competing priorities for your money, enrol in a regular contribution program that sees money going into an RRSP on a monthly basis.

"That's so much easier than scrambling at the last minute for a larger lump sum."

As for parking your money, you're likely hurting your finances over the long-term, especially if you don't revisit the investment in a timely fashion, she says.

"Some people are in a hurry because they don't want to miss the deadline, so they do what they think is safest. If you consult with an adviser on asset allocation you may make better choices that are more right for you -- choices that will see a greater return on your investment."

Ammeter says your portfolio might have some bonds and money market investments, but it should also have higher-return investments, such as an equity component.

"If you don't, you'll miss out on an opportunity to have higher RRSP growth over the longer term."

And working with a financial planner is often better for the average investor because experts can sort through all the information available.

"The average person might find all the information a little overwhelming," Ammeter says. "Working with an expert will help you focus in on what you need to know and on what works best for you."

P.J. Harston is Sun Media national business editor.