Frequently asked question

<b>Question:</b> An employee has requested that we transfer amounts from his retiring allowance to his spousal Registered Retirement Savings Plan (RRSP). Can we do this?

Answer: You can only transfer the "non-eligible" (T4A Box (27)) portion of a retiring allowance to an employee's spousal or common-law partner's RRSP. The employer must have reasonable grounds to believe the amount being transferred will not exceed the employee's deduction limit through either confirmation from the employee or a copy of the employee's Notice of Assessment.

The "eligible" (T4A box (26)) portion of the retiring allowance can be transferred to the employee's RRSP.

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