Any Tax Experts out there? ... halp?
Ok, I'll try to generalize.
Yearly income approx $98,000
Taxes taken as 'single' but I have 3 dependants under 18 and 1 spouse with $0 income <-- could change in the next few months, prospective job 80% in the bag.
Usual refund is around $3000
2011 received a bonus from work. $18,000. Requested $10,000 no tax witheld. Was going to use the $10,000 to purchase RRSPs to offset, and avoid taxes altogether.
Problem is this, didn't receive the $18,000 until January (couple of weeks ago) so it looks like this income will be on my 2012 T4. So, I can take the $10,000, buy the RRSPs, enjoy the tax savings off my 2011 income (bonus!), but I'm guessing I'll be screwed in 2012.
My question; What do you suggest I do? Apply the RRSPs to 2011, or wait until March - April and buy them for 2012? Or, increase my tax deductions for the rest of the year to make up for the $10,000 payment. If I go that route, how much approx will I need to take off of each cheque?
Any help would be appreciated!
TIA
Yearly income approx $98,000
Taxes taken as 'single' but I have 3 dependants under 18 and 1 spouse with $0 income <-- could change in the next few months, prospective job 80% in the bag.
Usual refund is around $3000
2011 received a bonus from work. $18,000. Requested $10,000 no tax witheld. Was going to use the $10,000 to purchase RRSPs to offset, and avoid taxes altogether.
Problem is this, didn't receive the $18,000 until January (couple of weeks ago) so it looks like this income will be on my 2012 T4. So, I can take the $10,000, buy the RRSPs, enjoy the tax savings off my 2011 income (bonus!), but I'm guessing I'll be screwed in 2012.
My question; What do you suggest I do? Apply the RRSPs to 2011, or wait until March - April and buy them for 2012? Or, increase my tax deductions for the rest of the year to make up for the $10,000 payment. If I go that route, how much approx will I need to take off of each cheque?
Any help would be appreciated!
TIA
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