Whether you're a pensioner, retiree, or pre-retiree,
it's never too early to begin preparing your taxes and take
full advantage of the deductions available to you. In addition to
contributing to a Registered Retired Savings Plan (RRSP), the
following are other means in preparing for retirement.
Income Splitting in Canada
There may be an opportunity to income-split with your
spouse through spousal RRSP contribution, or through pension income
splitting.
Spousal RRSP
A spousal RRSP is a special RRSP where you make the
contributions and get the tax deduction on your tax return, but
your spouse is entitled to the future withdrawals from the plan,
and hence they pay the tax on future withdrawals.
