When an employee leaves their job prior to retirement, their group RRSP can be cashed out (but the proceeds will be taxable), or transferred to another RRSP (tax-free). The RRSP will not be locked-in, as it would with transfers from a registered pension plan.
Okay, I understand employer contributions are reported as income on the T4, but can i still claim them as "RRSP contributions" since they are in fact contributions into RRSP and not as income.
This money is being deposited by the employer into a group RRSP account and therefore it is not income, just as the money i choose to deposit into an RRSP is not considered income?
My question is can I claim this amount, deposited by my employer as a deposit into my RRSPs?
Where do I mention these amounts while filing tax. Currently when I am just adding this in "RRSP contribution" its recalculating and showing extra tax refund which I assume I should not get as Employee contribution has already been tax deducted at source.
In general, employer's contribution to employees' group RRSP is taxable income, and therefore Tax, CPP and EI should also be deducted at source. The employee can deduct employer's contribution as RRSP (if there is RRSP room available) contribution.
However, if the employees can not withdraw the employer's contribution until their retirement or they leave the job, then it is considered non-cash benefit and EI and tax should not be deducted.
A group Registered Retirement Savings Plan (group RRSP) is a retirement savings plan sponsored by your employer.
You open an individual RRSP but pay into it through your employer. You contribute through regular deductions from your paycheque. Your employer may also contribute to your RRSP on your behalf.
The details of group RRSPs vary by employer.
PalpatablePalpatine
Returning Member
EdW
New Member
bretts99
Returning Member
ayolawal1
New Member
duchesstax1111
New Member
You have clicked a link to a site outside of the TurboTax Community. By clicking "Continue", you will leave the Community and be taken to that site instead.