pension funds – surplus income

March 27th, 2009 by Questions

I understand that RRSP`s as long as they are not `locked in` are added to income for calculating surplus income. What if I am contributing to a company pension outside an RRSP. Can those funds be added to the surplus income?

Posted from: Ontario


One Response to “pension funds – surplus income”

, Barton Goth - Goth & Company Inc. -Trustee in Bankruptcy said:

You may want to consider consulting with a local trustee as it sounds as if you have been given some incorrect information. For example, RRSP’s are an exempt asset that are protected (i.e. you keep) if you file for bankruptcy, with the exception of contributions made in the 12 months prior to the filing of the bankruptcy. Therefore they have nothing to do with your surplus income.

In a similar vien pensions are consider exempt and therefore protected as well. Although, the money you are contributing to the pension is considered income and does apply to the surplus calculation, but your pension is something you are entitled to keep.

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