Whether retirement is five years or 25 years away, the best strategy for reaching
any goal is to have a plan-and these important RRSP strategies can help you get started.
File a T1213 form to the Canada Revenue Agency (CRA), and you could potentially reduce the amount of income your employer withholds from your paycheques, putting more money in your pocket for your immediate use – like your RRSP.
Tax planning for two through spousal RRSP’s A spousal RRSP is an RRSP for the benefit of one spouse,but contributions are made, and deducted, by the other spouse. Spousal RRSPs are a good strategy if you expect one spouse to be in a lower tax bracket in retirement because they provide the benefit of balancing retirement income.
Make tax-efficient deduction decision. Although it may seem counter-intuitive, if you expect to have a significantly higher income in coming years, you can defer taking the tax deduction this year. You can make an RRSP contribution now and not claim the deduction until you’re in a higher tax bracket.