Should you pay your tax instalment payments? + MORE May 13th

It’s a familiar story: a family builds their life in Vancouver, does all the right things, opens a registered education savings plan (RESP), contributes diligently, and collects the Canada Education Savings Grant (CESG). Then, an opportunity arises south of the border—a job offer, a lifestyle shift, a new chapter in California.

But as with most cross-border moves, what worked perfectly in Canada can quickly become complicated once you cross into the U.S. tax system. Let’s walk through a real scenario.

The case of Rhodes and the California move

Meet Rhodes, a Canadian-born child whose parents set up an RESP while living in Vancouver. Over the years, they contributed regularly and received CESG matching from the government.

In May 2025, Rhodes’ family relocated to California. Before leaving, they updated the RESP to reflect his mother as the subscriber to help simplify administration. Now settled in the U.S., Rhodes’ grandmother, still living in Canada, wants to continue contributing to the RESP to support his future education…

The Saskatchewan Pension Plan (SPP) was introduced in 1986 and was originally intended to help part-time workers, the self-employed, or others without access to a pension to save for retirement. Over time, it has evolved and become more appealing to both individuals and businesses. 

Who can join the Saskatchewan Pension Plan?

Despite being a provincial initiative, the SPP is available to all Canadians. It is now the country’s 21st-largest defined contribution pension with over $800 million of investment assets and more than 33,000 members. 

You can open an account online if you’re between the ages of 18 and 71. There are no minimum contributions, so deposits are entirely voluntary. You can contribute with automated withdrawals or lump sum deposits. 

Contribution limits were originally quite low but in 2023, the SPP removed the annual contribution limit. Now, contributions are based on an accountholder’s registered retirement savings plan (RRSP) room, just like an RRSP account…

Savings comparison tool

Find the best and most up-to-date savings rates in Canada using the comparison tool below. Plus, use the filters to assess your estimated return based on the size of your balance.

Advertisement

Why trust us
MoneySense is an award-winning magazine, helping Canadians navigate money matters since 1999. Our editorial team of trained journalists works closely with leading personal finance experts in Canada. To help you find the best financial products, we compare the offerings of major institutions, including banks, credit unions and card issuers. Learn more about our advertising and trusted partners.

Best high-interest savings account rates in Canada

Generally, savings accounts offer very low interest rates. So, if you want to earn on your deposits (rather than simply using your account as a temporary “holding tank” or directing to longer-term saving and investing vehicles), a savings account with a high interest rate is a no-brainer…

If you generally owe when you file your tax return, you are probably accustomed to paying quarterly income tax instalments. These are requests to pay some of your estimated tax for the current tax year in advance, even though it is not due until the following April.

Everywhere but Québec, the trigger is owing $3,000 or more tax in two consecutive years. In Québec, it is a lower $1,800 threshold because taxpayers in that province file tax returns with Revenu Québec in addition to the Canada Revenue Agency.

Depending on the time of year, there are different considerations for whether to pay, play catch up, or skip a payment. After all, instalments are suggested payments, not balances owing, though there are interest and penalties at play, as well. 

March 15 instalment

If you are considering a March 15 instalment payment, keep in mind that the CRA bases your March and June instalment reminders on the tax owing from two years earlier, because your previous year’s return may not yet have been filed and assessed…