RRSP Contribution Deadline 2025 in Canada: When to Contribute

RRSP season is underway—have you made your contribution yet? Canadians can contribute to a registered retirement savings plan (RRSP) at any time, but the final opportunity to count a contribution for a given tax year is the 60-day window after year-end. For the 2024 tax year that deadline falls on a weekend, so the RRSP contribution deadline has been adjusted to Monday, March 3, 2025.

If you’re opening an RRSP for the first time, take time to compare account types. Some RRSPs hold cash and pay interest or offer guaranteed investment certificates (GICs), while others let you invest in stocks, bonds, exchange-traded funds (ETFs) and other qualifying securities. Choose the structure that fits your timeline, risk tolerance and savings goals.

What are your 2024 and 2025 RRSP contribution limits?

Your available RRSP contribution room for any year equals:

• Your unused RRSP contribution room carried forward from past years, plus
• 18% of your earned income from the previous tax year (as reported on your notice of assessment from the Canada Revenue Agency) or the annual dollar maximum set by the government, whichever is lower. The annual maximums are $31,560 for 2024 and $32,490 for 2025.

If you don’t know your current contribution room, check your CRA My Account or contact the CRA at 1-800-959-8281.

Keep in mind that participation in an employer pension plan—defined contribution (DC) or defined benefit (DB)—can reduce your RRSP room. Your T4 slip will show any “pension adjustment” for the year, which affects the amount you may contribute to an RRSP in the following year.

How does an RRSP work?

RRSPs are designed to encourage retirement savings by offering tax advantages and flexibility. Key features include:

• Tax-deferred growth: Investments held inside an RRSP grow without immediate income tax; you pay tax only when you withdraw funds, typically in retirement when your marginal tax rate may be lower.
• Tax-deductible contributions: Contributions are deductible from taxable income for the year they’re made, which can lower your tax bill or increase your refund. If it makes sense, you can also carry forward unused deductions to future years when your income might be higher.
• Wide range of eligible holdings: RRSPs can hold cash, GICs, stocks, bonds, ETFs and other qualifying investments, depending on the financial institution and account type.
• Interest-bearing options: Some RRSP savings accounts pay interest on cash balances; check current rates with providers and confirm terms and availability for your province.
• Age limit and conversion: You may contribute to an RRSP until December 31 of the year you turn 71. By the end of that year you must convert the RRSP to a registered retirement income fund (RRIF), purchase an annuity, or withdraw the funds.

More benefits of RRSPs

• Home Buyers’ Plan (HBP): You may withdraw up to $60,000 from your RRSP to buy your first home without immediate tax, provided you repay the amount to your RRSP according to the repayment schedule.
• Lifelong Learning Plan (LLP): You can also borrow from your RRSP to finance education or training, with a lifetime limit of up to $20,000 under the LLP and repayment terms that apply.

Plan carefully to avoid contributing too much

Be cautious about overcontributing. The Canada Revenue Agency allows a $2,000 lifetime overcontribution buffer without penalty, but amounts that exceed that buffer are subject to a penalty tax—generally 1% per month on the excess contribution for as long as it remains in the account. If you suspect you’ve overcontributed, take action quickly to avoid accumulating penalties.

How to open an EQ Bank RSP Savings Account

EQ Bank’s account opening is fully digital and straightforward:

1. Sign in to the EQ Bank website or register for an account.
2. Go to the Products section, select RSP and open the savings account.
3. Fund the account and begin earning the provider’s posted interest on eligible cash balances.

EQ Bank also lists registered GIC options for RSPs with terms that vary from short to long durations. If you already have an RRSP with another institution, you can hold multiple RRSP accounts across providers—just make sure your total contributions stay within your allowed limit.

More about saving:

• TFSAs, RRSPs and FHSAs: 10 things you might not know
• Should you get that promo rate? Check the fine print first
• What is the TFSA contribution limit in 2025?
• An alternative to GICs: a savings account that pays high interest on cash holdings