RRSP Contribution Limit 2026 Canada: $33,810 Maximum

The RRSP contribution limit changes every year based on inflation. For 2026, the maximum you can contribute is $33,810 - but that's only if you earned at least $187,833 in 2025. Most of us have a different number, and that's where people get confused.

Let me break down exactly how RRSP contribution room works, how to find your personal limit, and how to make the most of it.

2026 RRSP Limit: The Numbers

How to Calculate Your RRSP Room

Your actual RRSP contribution room is personal. Here's the formula:

What Counts as "Earned Income"?

• Employment income (salary, wages, bonuses)
• Self-employment income (net business income)
• Rental income (net)
• Alimony/support payments received
• Disability payments from CPP/QPP

What Doesn't Count?

• Investment income (dividends, interest, capital gains)
• Pension income
• RRSP/RRIF withdrawals
• Old Age Security or EI benefits

RRSP Contribution Limits by Year

How to Find Your Exact RRSP Room

Don't guess - check your actual number. Here are three ways:

1. CRA My Account: Log in and look for "RRSP and TFSA contribution room" - this is the most up-to-date source
2. Notice of Assessment: Check the "RRSP Deduction Limit Statement" section of your most recent NOA
3. Call CRA: 1-800-959-8281 - they can tell you your room over the phone

Pension Adjustments: The Hidden Factor

If you have a workplace pension (defined benefit or defined contribution), your RRSP room is reduced by a Pension Adjustment (PA). This prevents "double-dipping" on retirement tax benefits.

Unused RRSP Room Carries Forward

This is the good news: if you don't use your RRSP room, you don't lose it. Unused contribution room accumulates indefinitely from 1991 onwards.

Many Canadians have tens of thousands in unused room they've built up over the years. This can be a great opportunity if you have a high-income year or receive a windfall.

RRSP vs TFSA: Which First?

The classic question. Here's my rule of thumb:

Over-Contribution: What Happens?

The CRA gives you a $2,000 lifetime over-contribution buffer. Beyond that, you pay 1% per month on the excess amount until you withdraw it. Not worth it.

If you accidentally over-contribute:

1. Withdraw the excess immediately
2. Fill out Form T1-OVP to report and pay the penalty
3. Request a waiver (Form RC2503) if it was an honest mistake - CRA sometimes forgives

The Bottom Line

The 2026 RRSP contribution limit of $33,810 is the maximum, but your personal room depends on your income, pension adjustments, and unused room from previous years. Always check your actual number before contributing.

RRSPs are powerful for tax savings, but they're not always the best choice. Consider your full financial picture - income, tax bracket, retirement plans, and other savings goals - before maxing out.