New Year, New Contribution Room!

2018 reminders

Registered Retirement Savings Plan (RRSP) 
•    Make sure to confirm with CRA how much room you have available. The contribution limit is whichever is less of $26,010 or 18% of last year's income (minus any pension adjustments), plus any unused contribution room from previous years. The contribution deadline for the 2017 tax year is March 1, 2018.

Registered Education Savings Plan (RESP) 
•    $2500 a year contribution gets you the maximum grant of $500, and you can go back up to one year in catch up. So, missed last year’s contribution? Contribute $5000 to receive $1000 from the government.

Tax-Free Savings Accounts (TFSA) 
•    Everyone 18 and older has another $5500 more contribution room January 1, 2018. The cumulative contribution total for 2018 is $57,500 if you have been eligible to contribute to a TFSA every year. See the breakdown below:

Years                     TFSA Annual Limit                     Cumulative Total

2009–2012            $5,000                                         $20,000

2013–2014             $5,500                                         $31,000

2015                        $10,000                                       $41,000

2016–2018             $5,500                                          $57,500

Maxed out all your accounts and still have spare change? Remember you can always save and invest in a non-registered investment account.


Sometimes it can be challenging to come up with money after the holidays to contribute to your registered accounts. Consider setting up monthly contributions to a non-registered investment account, after you have maxed out your registered accounts. By doing this you can build up funds, so that in the new year you already have a pile of dough ready that can be moved to your TFSA, RRSP or wherever. 

If anything doesn’t make sense, give us a call at 1-604-371-0530