Transfers into an RRSP

Because Registered retirement savings plans (RRSPs) are registered with the CRA and come with tax benefits & limitations, internal transfers of either cash or investments into these types of accounts have special considerations. This does not apply for transfers from an RRSP to another RRSP however.

Any transfers of cash or investments into an RRSP account are considered contributions by the CRA, and Questrade will issue a contribution slip for tax season. Generally speaking, contributions into an RRSP account decrease your overall taxable income for the year by the amount of the contribution.

RRSP contribution limits are based on your gross income, and any unused, previously accumulated contribution room from previous years. You can contribute up to 18% of your gross income for the previous year, up to the maximum of $30,780 (for 2023).

Please note: If you have a company sponsored pension plan, or RRSP matching program, these may impact your RRSP contribution room.

If you’d like an accurate figure for your contribution limit, please check out the following resources:

• CRA form T1028 or your most recent ‘Notice of Assessment/Reassessment’
• CRA myAccount online
• Tax information Phone Service (TIPS)

Transfers of cash into an RRSP account can be made in either Canadian or U.S. dollars since all Questrade accounts support dual-currencies. However, the contribution will be treated as “CAD-equivalent” if it’s in USD for tax-reporting purposes. 

Before you request a transfer of USD cash into an RRSP, please double check that you are not over-contributing by multiplying the dollar amount with the exchange rate on the date of the request.

You can also directly transfer investments into an RRSP account, however these transfers are also considered contributions.

The contribution amount is represented by the market value of the investment on the date of the transfer request, and you have different options as to which price is considered the “market value” depending on the type of investment.

Note: for Available prices, the closing price will reflect the day in which the funds settle, and not always the day in which the request is made.

To indicate which price you’d like Questrade to use for determining your transfer amount, you can leave a comment on the request after it has been placed.

Simply click the “Request history” tab, and click “Add comment” for the request indicating which price you’re using.

Note: The information in this blog is for educational purposes only and should not be used or construed as financial or investment advice by any individual. Information obtained from third parties is believed to be reliable, but no representations or warranty, expressed or implied, is made by Questrade, Inc., its affiliates or any other person to its accuracy.