I'm in the same boat.mcewen wrote: ↑Apr 12th, 2017 12:05 pmI believe (not 100% certain), that the $22k part can be transferred to an RRSP whether you have room or not. I don't believe you will get a deduction on it. It was the "non-vested" part of your pension. Essentially you just move it from a sheltered Benefit Plan to your sheltered RRSP.
If you remove it from the shelter (IE, spend it) there will be tax implications.
Not 100%, but 95% sure.
I understand that there is a portion of the immediate settlement that ca be transferred to a locked-in retirement vehicle (ex. LIRA). However, just to clarify, for the remainder amount that must be take in cash less applicable withholding taxes, can this remainder amount be transferred to a RRSP (if I have contribution room) to avoid taxes?