Thanks for your question. In essence, the amount of money you invest into your future by using RRSPs offers an immediate tax break. This is because RRSP contributions are entered on line 20800 of your return – the section of the return used for applying deductions to determine your net income. The lower your net income, the less income tax you have to pay (lower the taxable income). Your plan provider will send you RRSP invoices that summarize the total contribution made in the tax year. Please click here to learn about how to enter RRSP contribution in TurboTax.