RRSPs

The deadline for contributing to your own or a spousal RRSP, to use the contribution as a deduction on your 2023 tax return, is February 29, 2024. Your allowable contribution limit for the year can be found on your 2022 Notice of Assessment, on the CRA website using the My Account service or by calling our office.

The 2023 maximum RRSP deduction is 18% of income earned in 2022 to a maximum of $30,780, plus any unused deduction room from prior years, less any pension adjustment amount on your 2022 T4 slip(s). Occasionally adjustments to a company pension plan can affect your RRSP limit. Such adjustments are reported on T10 or PAR slips. These slips are for information purposes only and are not filed with your tax return, but they can affect your RRSP deduction limit. Best to submit them to our office with your tax materials so that we can provide accurate amounts for RRSP contribution limits.

Contributions you make in the RRSP year (March 2 to March 1, or March 2 to February 29 in the case of a leap year) may be used as deductions or carried forward to use in a future period. In some circumstances it may make sense to carry forward a deduction – it’s best to seek advice. Likewise, if you do not make contributions up to the maximum allowed, your deduction is not lost. The unused ‘contribution room’ will carry forward for your use in future years.

Please be sure to include in your 2023 filing all RRSP receipts for contributions made between March 2nd, 2023, and February 29, 2024. Even if you intend to carry over the contributions made in the first 60 days of 2024 you MUST report them on your 2023 return, where we will indicate they are to be used later.