Calculate your RRSP contribution room, estimated tax refund, and retirement savings projections — then choose the best account to hold your RRSP.
📊 2025 Limits Updated 💰 Tax Refund Calculator 📈 Retirement Projections| Year | Contribution | Return | Balance |
|---|
| Factor | RRSP | TFSA | Better Choice |
|---|---|---|---|
| Contributions | Tax-deductible (reduces income) | After-tax (no deduction) | RRSP if high income |
| Withdrawals | Taxed as income | 100% tax-free | TFSA for flexibility |
| Contribution room | 18% of prior year income | $7,000/year (2025) | RRSP for high earners |
| Best for income under $55K | Less optimal (low tax savings) | Better (maximize tax-free room) | TFSA |
| Best for income over $100K | Best (30–53% tax refund) | Good supplement | RRSP first, then TFSA |
| Early withdrawal penalty | Yes (taxed + withholding) | None | TFSA for short-term |
| First Home Buyer (HBP) | Yes — borrow up to $60K | Via FHSA instead | RRSP for home purchase |
| 2025 limit | $31,560 (or 18% of income) | $7,000 | RRSP has higher limit |
Income under $55K: Max out TFSA first — tax savings from RRSP are modest at lower rates
Income $55K–$90K: Both RRSP and TFSA; RRSP deductions are meaningful
Income over $90K: Prioritize RRSP for the 40–50%+ tax refund, then fill TFSA
| Institution | RRSP Savings Rate | RRSP GIC (1-yr) | Fee | Investment Options |
|---|---|---|---|---|
| EQ Bank | 3.75% | 4.75% | $0 | Savings + GICs |
| Questrade | 2.50% | Varies | $0 trades (ETFs) | Full (ETFs, stocks, bonds) |
| Wealthsimple | 3.00% | N/A | $0 | Robo + self-directed |
| TD | 0.01% | 3.50% | $0 (RRSP account) | Full suite |
| RBC | 0.01% | 3.45% | $0 (RRSP account) | Full suite |
For RRSP savings accounts (cash component): EQ Bank 3.75% is best-in-class. For RRSP investing, Questrade (free ETF trades) or Wealthsimple are better options. Keep the cash portion of your RRSP at EQ Bank while invested assets go elsewhere.
The 2025 RRSP contribution limit is 18% of your 2024 earned income, up to a maximum of $31,560. Plus any unused room carried forward from previous years. Check your most recent CRA Notice of Assessment for your exact room.
To claim RRSP contributions on your 2024 tax return, contributions must be made on or before March 3, 2025 (60 days after December 31, 2024). This is the first 60 days of 2025 rule.
You can contribute to your RRSP until December 31 of the year you turn 71. At 71, you must convert your RRSP to a RRIF (Registered Retirement Income Fund) and begin withdrawals. There's no minimum age for RRSP contributions.
KOHO's primary account is not an RRSP. For RRSP savings at a high rate, EQ Bank (3.75%) is the best digital-first option. Use KOHO to eliminate banking fees — every dollar saved on fees can go toward your RRSP contribution.
As a general rule, contribute enough to bring you down to the next lower tax bracket. For example, if you earn $100,000 in Ontario, contributing $17,000 to your RRSP can reduce your taxable income to $83,000 — saving approximately $6,000–$7,000 in federal and provincial taxes (a ~38–42% effective return on that contribution).
The $300–$400/year you save on bank fees by switching to KOHO can be redirected to your RRSP — potentially generating $2,000–$4,000 in additional retirement savings over 20 years.
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