Family Tax Cut - not being calculated properly?

I made $75,000 , my spouse made $35,000 in 2014. We have children. We both meet all other requirements for the Family Tax Cut (including residency status etc). Then when TurboTax calculates the family tax cut for us, it comes up with $0.01. This doesn't sound right... are there other factors we need to consider?

Answer

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Yes it does. FTC is based on Taxable Income, so any deduction such as RRSP will have an effect.
In your case, you and your spouse have been moved into the same federal basic tax bracket, so FTC is not effective.  
This is a large RRSP contribution. If you wanted more FTC in future years, you might instead look at putting some into TFSAs. Such contributions are not deductible, therefore don't reduce your taxable income.

On another note, a deduction will always beat FTC as it stands.
RRSP deductions always act to reduce marginal income  for both Federal and Provincial taxes, whereas FTC is merely a Federal-only non-refundable credit of tax . It is not really income splitting.
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