WHAT IS A SPOUSAL RRSP? RRSP vs Spousal RRSP Explained.

What are Spousal RRSPs, how do they work and who should use them? The Basics - Explained.

RRSP and Spousal RRSP are both examples of investment accounts used for retirement.

Some benefits of depositing money into a Spousal RRSP are the tax deductions you receive and the ability to grow your money tax free until retirement.

When you deposit money into an RRSP or Spousal RRSP, the “Contributor” receives the tax deduction.

Some benefits to using a Spousal RRSP are:

1. The higher income earner can benefit from the tax deduction
2. It helps to equalize retirement income
3. The funds withdrawn from the Spousal RRSP will be taxed at the lower income level of the annuitant, usually...
4. The contributor can deposit into the Spousal RRSP up until the year in which the annuitant turns 71, even if the contributor is older than 71.

This video will answer common questions such as: What are the benefits of a Spousal RRSP? How does a Spousal RRSP work? How much can I contribute to a Spousal RRSP? and Who claims the Spousal RRSP?

Topics Include:

1. Annuitant and Contributor
2. Tax deduction in Spousal RRSPs vs tax deduction in an RRSP
3. Withdrawals from a Spousal RRSP
4. Benefits of a Spousal RRSP
5. RRSP vs Spousal RRSP
6. Examples showing the tax savings with a Spousal RRSP vs an RRSP
7. Examples showing Spousal RRSP Withdrawals

#SpousalRRSP #RRSPvsSpousalRRSP #RRSP



Useful links:

Contributing to a spouse or common-law partner's RRSP
https://www.canada.ca/en/revenue-agen...

Withdrawing from a spouse or common-law partner's RRSP
https://www.canada.ca/en/revenue-agen...

Qualified investments for Spousal RRSPs
https://www.canada.ca/en/revenue-agen...

Contributing to a Spousal RRSP after you turn 71
https://www.canada.ca/en/revenue-agen...




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