Quantcast
How much willl I get back if I do RRSP? - Beyond.ca - Car Forums
Results 1 to 16 of 16

Thread: How much willl I get back if I do RRSP?

  1. #1
    Join Date
    Mar 2004
    Location
    Calgary AB
    My Ride
    2020 Subaru Forester Sport
    Posts
    2,969
    Rep Power
    41

    Default How much willl I get back if I do RRSP?

    Hello,

    I was hoping to get my damn T4 before the RRSP deadline so I can calculate how much money I would get back, but my stupid ass company always waits till the end of the fucking month to send it out, and they did like 2 days ago....so waiting for it...maybe it will come monday. Is the deadline March 2nd Midnight or is there a different time?

    Anyways, since I can't really calculate much myself, maybe someone can give me a ballpark figure.

    Say I make 60k per year, and have NEVER contributed to RRSP but have about 23K that I can contribute according to the government. I will be buying a house this year and want to take advantage of their "First Time Home Buyer" program which allows me to take 20g out interest free from my RRSP. If I contribute 20G into my RRSP right now...assuming no other deductions or anything....how much should I get back as tax return approximately?

  2. #2
    Join Date
    Dec 2003
    Location
    In the dark
    Posts
    683
    Rep Power
    22

  3. #3
    Join Date
    Jul 2008
    Location
    Calgary
    Posts
    0
    Rep Power
    0

    Default Tax refund on RRSP

    Assuming you are living in Alberta,

    At 60k, you are at the 32% tax bracket, (22 fed & 10 Ab.) so for every dollar of your rrsp contribution, it reduces your income by that amount and you should get 32% of your rrsp back as tax refund.

    cheers

  4. #4
    Join Date
    May 2007
    Location
    Winnipeg/Saint John
    My Ride
    18 Model S, 20 Macan S, 67 Camaro & 11 SLS
    Posts
    2,264
    Rep Power
    21

    Default

    great link!

  5. #5
    Join Date
    Mar 2004
    Location
    Calgary AB
    My Ride
    2020 Subaru Forester Sport
    Posts
    2,969
    Rep Power
    41

    Default

    wow awesome link! So I am looking at about 6k back, not bad not bad. Thanks everyone for the info

  6. #6
    Join Date
    Jun 2007
    Location
    Calgary
    Posts
    97
    Rep Power
    0

    Default Re: Tax refund on RRSP

    Originally posted by jigten
    Assuming you are living in Alberta,

    At 60k, you are at the 32% tax bracket, (22 fed & 10 Ab.) so for every dollar of your rrsp contribution, it reduces your income by that amount and you should get 32% of your rrsp back as tax refund.

    cheers
    Not entirely true. At some point your RRSP ded will bring your tax bracket down and you will not get 32% anymore. Than you will finally get to your personal exemption level.

  7. #7
    Join Date
    Mar 2003
    Location
    Calgary
    Posts
    5,497
    Rep Power
    27

    Default

    Originally posted by eblend


    wow awesome link! So I am looking at about 6k back, not bad not bad. Thanks everyone for the info
    The number in that link is the tax savings not the return amount. You could see less than (or more than) 6k depending on the deductions your company made on your paychecks in 2008.

  8. #8
    Join Date
    Feb 2003
    Location
    Calgary
    My Ride
    '11 Acura RDX Tech/'15 Ram 1500 Sport
    Posts
    757
    Rep Power
    22

    Default

    I wish that companies were required to have the T4's out at least a week before the RSP deadline.

    Or wish the Government could extend the RSP deadline a week past the time required for companies to have the T4 slips out.


  9. #9
    Join Date
    Jun 2007
    Location
    Calgary
    Posts
    97
    Rep Power
    0

    Default

    Originally posted by redevil
    I wish that companies were required to have the T4's out at least a week before the RSP deadline.

    Or wish the Government could extend the RSP deadline a week past the time required for companies to have the T4 slips out.

    Its not hard to figure out your current RRSP con limit. Take your 2007 NOA which has last years than your last pay stub at year end and times the gross by 18%. Added that to last years and give you a close idea going forward.

    ps - minus any contributions you might have made monthly or as part of your employment (if they match, etc).

  10. #10
    Join Date
    May 2008
    Location
    Wildflower Ranch
    My Ride
    Neo-Liberal Anarchist Mobile
    Posts
    2,245
    Rep Power
    38

    Default Re: How much willl I get back if I do RRSP?

    Originally posted by eblend
    I will be buying a house this year and want to take advantage of their "First Time Home Buyer" program which allows me to take 20g out interest free from my RRSP. If I contribute 20G into my RRSP right now...assuming no other deductions or anything....how much should I get back as tax return approximately?
    You can take out 25,000 now. Keep that in mind. Also, there is a lifetime overcontribution limit of 2,000 if you need to top up.
    Quote Originally Posted by 89coupe View Post
    This quote is hidden because you are ignoring this member. Show Quote
    Beyond, bunch of creme puffs on this board.
    Everything I say is satire.

  11. #11
    Join Date
    Mar 2004
    Location
    Calgary AB
    My Ride
    2020 Subaru Forester Sport
    Posts
    2,969
    Rep Power
    41

    Default Re: Re: How much willl I get back if I do RRSP?

    Originally posted by The_Rural_Juror


    You can take out 25,000 now. Keep that in mind. Also, there is a lifetime overcontribution limit of 2,000 if you need to top up.
    F

    25k for the home buyer program?

    Can you expain the 2000 overcontirbution limit?

    If I can do 25k I will do another 5K for the 2009 tax year and will be golden

  12. #12
    Join Date
    May 2008
    Location
    Wildflower Ranch
    My Ride
    Neo-Liberal Anarchist Mobile
    Posts
    2,245
    Rep Power
    38

    Default

    $2,000 lifetime over-contribution limit

    If after receiving your statement from CRA, you find that you've made contributions in excess of your contribution limit, there is a "safety net". Over-contributions can remain in your plan without penalty as long as the excess balance is $2,000 or less. (If your over-contribution exceeds $2,000, you may be assessed a penalty of 1% per month on the excess amount.) While you won't get a tax deduction for any over-contribution in the year it is made, you can claim it as part of your contribution limit in subsequent years.
    Source: http://www.tdcanadatrust.com/rsp/regs.jsp


    Home Buyers' Plan (HBP)

    The Home Buyers' Plan (HBP) is a program that allows you to withdraw up to $20,000 from your registered retirement savings plan (RRSPs) to buy or build a qualifying home for yourself or for a related person with a disability .

    Under proposed changes, for 2009 and subsequent years, withdrawals made after January 27, 2009, the maximum is increased to $25,000.
    I was under the impression that it was finalized, but it still says proposed.

    Source:http://www.cra-arc.gc.ca/tx/ndvdls/t.../menu-eng.html
    Quote Originally Posted by 89coupe View Post
    This quote is hidden because you are ignoring this member. Show Quote
    Beyond, bunch of creme puffs on this board.
    Everything I say is satire.

  13. #13
    Join Date
    May 2004
    Location
    Calgary, AB
    My Ride
    FAT tires
    Posts
    636
    Rep Power
    20

    Default

    My understanding is that your current contribution limit is based on the previous years taxable income. IE. 2008 contributions are based off 2007 income, and that the contribution year is march-feb. In other words everyone is still currently making 2008 contributions based on 2007 income, which is shown on your last notice of assesment ( 2007 tax year). Therefore income made in 2008 has no bearing on what your currently allowed to contribute.

  14. #14
    Join Date
    Oct 2008
    Location
    Calgary / AB
    Posts
    110
    Rep Power
    0

    Default Re: Re: Re: How much willl I get back if I do RRSP?

    Originally posted by eblend

    F

    25k for the home buyer program?

    Can you expain the 2000 overcontirbution limit?

    If I can do 25k I will do another 5K for the 2009 tax year and will be golden
    ... and I am sure you are aware that you have to repay back the $ you take out of RRSP under the Home Buyer plan ...

  15. #15
    Join Date
    Mar 2004
    Location
    Calgary AB
    My Ride
    2020 Subaru Forester Sport
    Posts
    2,969
    Rep Power
    41

    Default Re: Re: Re: Re: How much willl I get back if I do RRSP?

    Originally posted by ee2k


    ... and I am sure you are aware that you have to repay back the $ you take out of RRSP under the Home Buyer plan ...
    ofcourse, but over a 10 year period in equal payments without any interest I can't compain. Something like 166 bucks a month is not a big deal

  16. #16
    Join Date
    May 2008
    Location
    Wildflower Ranch
    My Ride
    Neo-Liberal Anarchist Mobile
    Posts
    2,245
    Rep Power
    38

    Default

    Actually it's 15 years.

    Chapter 2 - Repaying your withdrawals

    Over a period of no more than 15 years, you have to repay to your RRSPs the amounts you withdrew under the HBP. Generally, for each year of your repayment period, you have to repay 1/15 of the total amount you withdrew, until the full amount is repaid to your RRSPs. Your repayment period starts the second year following the year you made your withdrawals.
    Source:http://www.cra-arc.gc.ca/E/pub/tg/rc...tml#P323_32321
    Quote Originally Posted by 89coupe View Post
    This quote is hidden because you are ignoring this member. Show Quote
    Beyond, bunch of creme puffs on this board.
    Everything I say is satire.

Similar Threads

  1. Group RRSP question

    By gggunit in forum Real Estate / Finance
    Replies: 19
    Latest Threads: 03-21-2018, 11:33 AM
  2. How to get out of RRSP GIC?

    By e36bmw/// in forum Real Estate / Finance
    Replies: 4
    Latest Threads: 12-31-2007, 02:13 PM
  3. benefits of Group RRSP

    By Gorilla in forum General
    Replies: 3
    Latest Threads: 02-28-2006, 09:38 AM
  4. RRSP Contribution Question

    By max_boost in forum General
    Replies: 8
    Latest Threads: 01-25-2006, 01:03 AM
  5. Lets talk about RRSP's

    By sxtasy in forum Society / Law / Current Events / Politics
    Replies: 22
    Latest Threads: 02-22-2005, 12:45 PM

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •