What COVID-19 Has Taught Us About Insurance & Preparedness + MORE Aug 15th
Before you buy, here’s how to compare home insurance Aug 8th
These are the most expensive postal codes for auto insurance in the city. Here’s how you can save if you live in one + MORE Mar 16th
Canada’s best credit cards for travel insurance 2022 May 19th
Tenant Insurance: How much is your stuff worth? + MORE Nov 11th
What’s your RRSP contribution limit?
– moneysense.ca
If you’re like many Canadians, you’re hoping you’ve paid enough tax for 2017 and may even be looking forward to a hefty tax refund cheque. You can help ensure that happens by knowing the details of your Registered Retirement Savings Plan (RRSP), what sets them apart, your contribution limit and a whole slew of other things. Here are the basics:
What’s an RRSP
An RRSP is a retirement savings plan that you open at a bank or other financial institution near you. It’s registered by the federal government of Canada, and you can contribute to it up to an annual maximum amount.
What’s special about RRSPs
Contributions to RRSPs are deductible, meaning they can be used to reduce your taxes. Any income you earn in the RRSP is usually exempt from tax as long as the funds remain in the plan; you generally have to pay tax when you withdraw money from the account.
Ten RRSP questions answered »
Who can open an RRSP
If you have earned income, have a social insurance number and have filed a tax return, you can contribute to an RRSP up until December 31 of the year your spouse turns 71…
