Since my contract says that employer will equal to my contribution up to 4%.
So I contribute 4% and my employer contribute 4% as well.
When I compare the Contribution made by me (besides my employer) to RPP (Per Great-West Life, 2018 report) it is not correlated to T4 [box 20, line 207] amount (almost double difference).
Does all this information contain in my T4 [box 20] slip or should I fill my contribution part to RRSP/PRPP form page?
Or maybe I can input my total contribution to T4 [box 20] from Great-West Life, 2018 report (instead of T4 slip information)?
Cause based on: CRA web site: Line 207 – Registered pension plan (RPP) deduction
Here's a couple links that may help understand the Pension Adjustment - Box 52. Many people are confused about the affect of this Box 52 on the actual tax return itself, of which there is none.
"You are required to report this amount on line 206 of your income tax return. This amount does not affect your income, either as earnings or as a deduction, but it can lower how much you can contribute to your Registered Retirement Savings Plan in the following year."
Your pension adjustment is calculated using a formula set by the federal government, and reported in TurboTax in the same way as any tax software would. The pension adjustment represents the value of the pension benefit earned in your pension plan for a given year.
Here's a couple links that may help understand the Pension Adjustment - Box 52. Many people are confused about the affect of this Box 52 on the actual tax return itself, of which there is none.
"You are required to report this amount on line 206 of your income tax return. This amount does not affect your income, either as earnings or as a deduction, but it can lower how much you can contribute to your Registered Retirement Savings Plan in the following year."
Your pension adjustment is calculated using a formula set by the federal government, and reported in TurboTax in the same way as any tax software would. The pension adjustment represents the value of the pension benefit earned in your pension plan for a given year.
@steven_van_eyk When your employer contributes to your RPP, these contributions are indeed shown, however they are reflected in Box 52 which has no effect on your actual tax refund or tax payable.
Total contributions to your RPP, if you’re lucky enough to have one, appear in box 52. The amount your employer paid for your pension is equal to box 52 minus box 20. RPP contributions lower the amount you can put into your own Registered Retirement Savings Plan (RRSP). Box 52, then, also reflects the amount by which your RRSP contribution room is reduced.
Registered Retirement Savings Plans (RRSP) and Registered Pension Plans (RPP) are both retirement savings plans that are registered with the Canada Revenue Agency. RRSPs are individual retirement plans, while RPPs are plans established by companies to provide pensions to their employees.
The amount in Box 20 of your T4 - RPP, is only reported once, on the T4 screen in TurboTax. This amount is NOT your RRSP contributions, so do not confuse the two.
If your employer contributes to an RRSP on your behalf, you will receive a separate RRSP Contribution slip and need to report it in the RRSP section. You may see something on your T4 in regards to this RRSP, however, it will be in Box 40 of the T4 and is already included in your income. The tax deduction for your RRSPs which are deducted from your pay and "matched" by your employer will be totalled and shown on the RRSP Contribution slip. Also when you contribute to an RRSP through work, you should receive "two" RRSP Contribution slips, one from March to December, and one for the First 60 Days of this year.
It is not just "TurboTax" that isn't using the amount from Box 52, CRA only allows the portion the employee contributes to the RPP as shown in Box 20 to be used as a deduction. On the T1 General Tax Return, Box 52 is a box that is a "side box", not included in the calculation to reduce your Net Income.
I've attached an example of a T1 General Tax Form that shows a 50/50 contribution between the employee/employer, and you can see that only the "employee paid portion" is used to arrive at Net Income.
Here's the CRA information on Line 206 - Pension Adjustment: https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/tax-re...
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