TheRRSP contribution limitis 18% of your earned income from the previous year, up to a maximum set by the CRA each year, plus any unused contributions from past years. For the 2025 tax year, the RRSP contributio
To receive the maximum CPP payment, you need to have made the max CPP contribution each year for at least 39 years. This maximum contribution changes each year. In 2025, it’s either$4,034.10or 5.95% of your salary (minus $3,500) — whichever is lower. For self-employed people, who ...
That being said, many Canadians consider RRSP employer matching plans to be ‘free’ retirement money worth taking advantage of. Your decision may also depend on whether you have RRSP contribution room in a given year, which is built up during the previous year. For example, if you’ve only...
Important: CPP and EI deductions (if applicable) must still be withheld before the bonus is transferred to the RRSP. To do this: The employee must have sufficient RRSP contribution room They must provide written confirmation (e.g. a Notice of Assessment or MyCRA printout) The employee must ...
Investing in the TSP versus an IRA is not an either/or proposition—you can have both a TSP and an IRA at the same time. One primary difference between them is their respective contribution limits. Contributions As mentioned above, for 2024, the annual employee contribution limit is $23,000...
Similarly, you will want to keep youremergency fundin a savings account. It can accumulate interest until you need it, but it stays safe and is easily accessible should you suddenly need to dip into it. For long-term savings, such as retirement, consider investing in anRRSP or TFSA, which...