Retirement Savings Plans

Aceti & Associates - Monday, February 09, 2015

Invest Now, Every Day Counts

Today, more than ever, you must save wisely to ensure a worry-free future for you and your family.

By contributing to a Retirement Savings Plan every year, you can pay less tax now and build a larger retirement income for the future.

March 2, 2015, is the deadline for contributing to an RRSP for the 2014 tax year. December 31 of the year you turn 71 years of age is the last day you can contribute to your own RRSP.

Feel free to contact our office to request your Contribution Limit or for any other questions or concerns. 

 

What's new for RRSPs and related plans:

Registered pension plan (RPP) contribution errors

Under proposed changes, an administrator of an RPP can correct a reasonable contribution error made on or after the later of January 1, 2014, and the date the legislation reaches Royal Assent, without getting prior authorization from us. The administrator must refund the amount from the plan to the member, or participating employer, no later than December 31st of the year following the year in which the contribution error was made and must report the transaction to the CRA. If an administrator wants to correct a contribution error after this deadline, prior CRA authorization will be required. If the member or participating employer receives the refunded RPP contribution, and they had already deducted it in a previous year, they must include that amount as income on their income tax and benefit return in the year it is received.