Tax Time is Quickly Approaching
That’s right everyone, tax time is rapidly approaching. How do I know this? Because I am being bombarded by a ton of advertising for RRSPs (that’s a registered retirement savings plan for you non-Canadians out there, our version of the 401K). We’re allowed to apply contributions to the previous year all the way till the 60th day of the new year. That means that I could make a contribution for 2007 all the way till the end of February 2008.
Of course the thing I am looking forward to is this: because I changed jobs last year, that means I will have overpaid all the various taxes withheld from my paycheck, which means the government owes me money! So my refund will be better than previous years, especially because I did not make any RRSP contributions last year (I figured it was better to pay down my debt rather than contribute to retirement savings.) I will definitely be starting up the contributions again after March 1st, because:
- I want to make sure I have enough money to retire on.
- I want to reduce my taxable income amount.
I will be taking any refund I get this year and dividing it in two: half to my RRSP, and half to my debt repayment. A good compromise, don’t you think?
I just got my last T4 slip today at work as well, so I’ll be able to do my taxes this weekend and get them in super early. Of course I won’t do that, as I don’t want to be too much of a keener. I will let everything marinate & percolate for a few weeks and then do them. Besides, I have a busy weekend planned out, so I don’t think there will be time to do them anyways.
