How Do Spousal Rrsps Work? 🧐🤷

With RRSPs, they withhold based on the percentage of how much you're taking out. If you're taking out more than 15,000, they're withholding 30% of it. And so that doesn't matter really, at the end of the year. What really matters is when the tax calculations are all done, because you can actually get refunded part of that if your income was low enough to support a lower income. So we used that. That was an option. And people may not think about that because it does take planning. I go back to the tree analogy. Like, if you want something, you have to think about it and start putting in pieces in place to be able to do it. And we did that purposefully, just supported spousal RSPs and then stopped paying for three years. So my significant other, my dear wife, could take out income and be taxed at her level.