How does the Pension Splitting Optimizer work?

If either you or your spouse or common-law partner received eligible pension income and are in a higher tax bracket, it might be advantageous to split the pension income with the lower-income spouse or common-law partner.

The TurboTax Pension Splitting Optimizer automatically finds the best split of the pension income, which can help you and your spouse pay less in taxes. TurboTax uses all the information entered into your tax returns to determine the amount (up to one half) that can be split.

You're also shown a comprehensive view of the different ways you can split your pension income, and TurboTax will recommend the best option to optimize your return. You can accept the recommendation or pick a different split.

Note: TurboTax's Pension Splitting Optimizer is available only if you're preparing your return and your spouse's return at the same time.