Personal Finance

Effect of DC pension on RRSP

  • Last Updated:
  • Apr 4th, 2016 9:18 am
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[OP]
Jr. Member
Mar 30, 2010
146 posts
197 upvotes
Toronto

Effect of DC pension on RRSP

Hi everyone. In June I become eligible to join my company's DC pension plan. I know this will impact my RRSP room, but is there any way I can calculate in advance what the impact will be so that I don't over-contribute to my RRSP?
2 replies
Jr. Member
Oct 6, 2010
131 posts
22 upvotes
Your DC contributions (both employee and employer) will create a pension adjustment which will be reported on your 2016 T4 and will reduce your 2017 rrsp contribution room. Follow what your notice of assessment says (2016 and onwards) and you'll be fine.
[OP]
Jr. Member
Mar 30, 2010
146 posts
197 upvotes
Toronto
I feel pretty stupid now. In retrospect of course this would affect 2017, but here I was worrying that it would cut into my 2016 room...

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