Tax Benefits for Seniors | Mar 16, 2020
We delivered a number of tax-saving initiatives to help seniors keep more of their hard-earned money in their pockets.
Here are a few tax benefits that you can claim:
Increasing the Age Limit for Converting RRSPs to RRIFs
Registered Retirement Savings Plans (RRSPs) provide one of the best opportunities for Canadians to save for the future. Since RRSP contributions are not taxable below your RRSP deduction limit, they are an ideal way to plan for retirement. However, some Canadians have been restricted by the way RRSPs are structured. Even though they chose to work past 69 years of age, it was a requirement to convert their RRSP into a Registered Retirement Income Fund (RRIF) and begin making withdrawals.
The previous Conservative government increased the age limit for converting RRSPs to RRIFs from 69 to 71. Now, more Canadians have the freedom to choose when they convert their RRSPs.