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Is pension income earned income

RRSP deduction room is calculated on 'earned income'

is pension income considered 'earned income'?

is investment income considered 'earned income?

is rental income considered 'earned income?

1 Best answer

Accepted Solutions
fuzzy
New Member

Is pension income earned income

Pension income and investment income are not considered earned income for RRSP purposes.  Net rental income may be considered in calculating earned income.   For the definition of earned income and calculation, please see http://www.cra-arc.gc.ca/E/pub/tg/t4040/t4040-e.html#stp_2chrt_3  In any case, your RRSP contribution limit for the current year is based on the assessment of your prior year's return and is indicated on your Notice of Assessment for that year.  It is also available through My Account on CRA website.

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1 Reply
fuzzy
New Member

Is pension income earned income

Pension income and investment income are not considered earned income for RRSP purposes.  Net rental income may be considered in calculating earned income.   For the definition of earned income and calculation, please see http://www.cra-arc.gc.ca/E/pub/tg/t4040/t4040-e.html#stp_2chrt_3  In any case, your RRSP contribution limit for the current year is based on the assessment of your prior year's return and is indicated on your Notice of Assessment for that year.  It is also available through My Account on CRA website.