RRSP Loan advice
Hi All,
When i went to taxtips.ca calculators and entered all the numbers i owe around 3600$ tax. I need to contribute 8k in RRSP to not pay that.
I have 3k emergency fund, i can use it. Was wondering is it a good idea to take 5k RRSP loan in Feb 2016 and contribute, so that i can defer my taxes.
Back ground Info:
I am working two jobs, make mid 80's ( Full time mid 70's, Part time varies min 7k max 10k) a year. I also participate in my company pension plan ( paying roughly 6% of my salary,company matches 3%, Immediate vesting). I am paying off $541 to loans and 1100$ to credit cards each month to pay off debts faster.
Debts:
MBNA - $18000 (19% , Min Payment 500$, I pay 1100$ at least).
TD Personal Loan - $13,900 ( 11%,476$ monthly).
OSAP - $1000 ( 5.5% , 65$ monthly).
Expenses:
Rent + Utilities : $1100 . Travel - $80 . Food : $400 (for two people). Cell Phones and Internet : $170. Entertainment: $30;Life Insurance: $125;Misc : $100.
Assets:
RRSP : $11k ; RPP : $13k; Savings Emergency fund: $3k.
I tried for consolidation loan, got interest rate 17%, didn't feel like taking it. My credit score is between 675 to 700 in both Equifax and Transunion.
When i went to taxtips.ca calculators and entered all the numbers i owe around 3600$ tax. I need to contribute 8k in RRSP to not pay that.
I have 3k emergency fund, i can use it. Was wondering is it a good idea to take 5k RRSP loan in Feb 2016 and contribute, so that i can defer my taxes.
Back ground Info:
I am working two jobs, make mid 80's ( Full time mid 70's, Part time varies min 7k max 10k) a year. I also participate in my company pension plan ( paying roughly 6% of my salary,company matches 3%, Immediate vesting). I am paying off $541 to loans and 1100$ to credit cards each month to pay off debts faster.
Debts:
MBNA - $18000 (19% , Min Payment 500$, I pay 1100$ at least).
TD Personal Loan - $13,900 ( 11%,476$ monthly).
OSAP - $1000 ( 5.5% , 65$ monthly).
Expenses:
Rent + Utilities : $1100 . Travel - $80 . Food : $400 (for two people). Cell Phones and Internet : $170. Entertainment: $30;Life Insurance: $125;Misc : $100.
Assets:
RRSP : $11k ; RPP : $13k; Savings Emergency fund: $3k.
I tried for consolidation loan, got interest rate 17%, didn't feel like taking it. My credit score is between 675 to 700 in both Equifax and Transunion.