<b>Question:</b> An employee has requested that we transfer amounts from his retiring allowance to his spousal Registered Retirement Savings Plan (RRSP). Can we do this?
Answer: You can only transfer the "non-eligible" (T4A Box (27)) portion of a retiring allowance to an employee's spousal or common-law partner's RRSP. The employer must have reasonable grounds to believe the amount being transferred will not exceed the employee's deduction limit through either confirmation from the employee or a copy of the employee's Notice of Assessment.
The "eligible" (T4A box (26)) portion of the retiring allowance can be transferred to the employee's RRSP.
The "eligible" (T4A box (26)) portion of the retiring allowance can be transferred to the employee's RRSP.
