3 factors that can affect your contribution limit
Unused contribution room
If you haven’t contributed the maximum to your RRSP in previous years, this unused contribution room will be added to your maximum contribution amount. You can find your unused contribution room on your most recent notice of assessment from the Canada Revenue Agency.
Pension plan contributions
If you contributed to a pension plan or deferred profit sharing plan (DPSP) through your employer during the previous year, your RRSP contribution room is reduced. The Canada Revenue Agency calculates this reduction for you. You can find it on your notice of assessment.
Excess contributions
If you go over your contribution limit by $2,000 or less, the CRA allows you to keep the money in your RRSP without penalty. If you over-contribute by more than $2,000, you will have to pay a tax of 1% for each month that the excess amount remains in your RRSP.
Tip
Looking for an easy way to save? Automate your savings with asystematic savings plan.
Little details that matter
| Year | Contribution limits |
|---|---|
| 2018 | $26,230 |
| 2019 | $26,500 |
| 2020 | $27,230 |
| 2021 | $27,830 |
| 2022 | $29,210 |
| 2023 | $30,780 |
| 2024 | $31,560 |
- Income earned includes salaries and commissions, rental income and income from some other sources, but notably excludes investment income.
The elements presented in this text are given for information purposes only. These elements do not create any legal or contractual obligation for the National Bank and/or the entities of its group. You agree to validate the applicability and the advantageous nature of these elements with your advisor, accountant, tax specialist, or other tax planner, as the case may be.
Adapted savings and investment solutions
Cash Advantage Solution
Undecided about your next move? Put your money in savings and invest when the right opportunity presents itself.
See theCash Advantage Solution
Ready to start?
Sign in to make your contribution online today, or make an appointment with an advisor.
1-888-270-3941
Monday to Thursday,
8 a.m. to 6 p.m. (ET)
Friday, 8a.m. to 5 p.m. (ET)
