Your pension and RRSPs

February 09, 2017

Your Ontario Teachers' pension benefit is linked to your RRSP contribution room.

The greater the value of your pension benefit, the less room you will have available to contribute to an RRSP.  

Every member of a registered pension plan receives an annual pension adjustment (PA). A PA, which appears on your T4, reflects the value of the pension benefits you earned in a year. This is the Canada Revenue Agency's (CRA) way of levelling the playing field between those who are members of a defined benefit pension plan and those who must rely solely on RRSPs for retirement income.

You can find your RRSP contribution room on the Notice of Assessment provided by the CRA each year.