- Income Tax/CCRA
- Canada Pension Plan
- Employment Insurance
- Permitted CCRA Withdrawals from an RRSP
- TFSA (Tax-Free Savings Account)
- RESP (Registered Education Savings Plan)
2015/2016 tax brackets, combined British Columbia and Federal rates:
|2017 Taxable Income||Tax Rate||2016 Taxable Income||Tax Rate|
|First $38,898||20.06%||first $38,210||20.06%|
|over $38,898 up to $45,916||22.70%||over $38,211 up to $45,282||22.70%|
|over $45,916 up to $77,797||28.20%||over $45,282 up to $76,421||28.20%|
|over $77,797 up to $89,320||31.00%||over $76,421 up to $87,741||31.00%|
|over $89,320 up to $91,831||32.79%||over $87,741 up to $90,563||32.79%|
|over $91,831 up to $108,460||38.29%||over $90,563 up to $106,543||38.29%|
|over $108,460 up to $142,353||40.70%||over $106,543 up to $140,388||40.70%|
|over $142,353 up to $202,800||43.70%||over $140,388 up to $200,000||43.70%|
|over $202,800||47.70%||over $200,000||47.70%|
|BC Basic Personal Amount||Tax Rate||BC Basic Personal Amount||Tax Rate|
|Federal Basic Personal Amount||Tax Rate||Federal Basic Personal Amount||Tax Rate|
The maximum pensionable CPP earnings level for 2017 has increased to $55,300. Contributors who earn more than the $55,300 ceiling on pensionable earnings in the year 2017 are not required or allowed to contribute more to the CPP.
Employee contribution rates for the year 2017 remain at 4.95% and the basic exemption remains at $3,500. The maximum employee contribution to the plan in 2017 is $2,564.10.
Self-employed maximum contributions increase to $5,128.20.
The maximum EI earnings for 2017 have increased to $51,300. Contributors who earn more than the $51,300 ceiling on insurable earnings in the year 2016 are not required to contribute more to EI.
Employee contribution rates for the year 2017 will decrease from 1.88% to 1.63%. The maximum employee contribution to the plan in 2017 is now $836.19, down from $955.04 in 2016.
How much can you contribute?
The historical limits and increases for registered retirement savings plans (RRSPs) and Defined Contribution (also known as Money Purchase) Registered Pension Plans (RPPs) are as follows:
|Year||RRSP||Defined Contribution RPP|
- Home Buyers’ Plan (HBP)
- Limits: $25,000 per participant
- Eligibility: ‘First time home owners’
- Repayment: Within a period of no more than 15 years following the withdrawal
- Lifelong Learning Plan (LLP)
- Limits: $10,000 per year to a maximum of $20,000 over four years
- Eligibility: either you or your partner must be enrolled in a qualifying educational program, minimum of three months duration
- Repayment: Within a period of no more than 10 years following the withdrawal
- Limits: Under proposed legislation, starting January 1, 2016, the annual TFSA dollar limit for 2016 will decrease from $10,000 to $5,500 and will be subject to indexation.
- Any unused contribution room can be carried forward. There is no lifetime limit on total contributions.
- TFSA contribution room is tracked by CRA and reported on your Notice of Assessment. An income tax return MUST be filed each year to qualify for your annual amount. Even in years without report income a tax return should be filed to qualify for your annual TFSA contribution entitlement.
- Contributions can be made by made by Canadian residents aged 18 and over.
- Contributions can also be made by a spouse or common-law partner, with no applicable attribution rules to either spouse.
- Limits: No annual limits; Lifetime contribution limit of $50,000
- CESG (Canadian Education Savings Grant) will contribute 20% on the first $2,500 of annual RESP contributions per beneficiary; lifetime maximum of $7,200
- An RESP terminates after year 35 of inception