Tax information for active members

Learn about your pension and income taxes, including what you need to know about pension adjustment amounts and your RRSP contribution limit.

1. Changes to your pension adjustment

3. Pension adjustments and RRSP contribution limits

2. Buying or transferring service and RRSP contribution room

Changes to your pension adjustment

Changes in your pension benefit may result in a change to your pension adjustment amount. The plan will report any changes to the CRA. Your tax records will be updated in one of the following ways:

As an amended pension adjustment
As a past service pension adjustment
As a pension adjustment reversal

An amended pension adjustment occurs when new information about your account is received. Your pension adjustment is recalculated and the CRA adjusts your RRSP contribution room.

A past service pension adjustment occurs if you transferred service from another pension plan or bought service, which results in an increase in your pension benefit for a prior year. The past service pension adjustment is the difference between the previously reported pension adjustment and the recalculated amount for the same period. This may result in an adjustment to your RRSP contribution room.

A pension adjustment reversal happens if you stopped contributing to your pension and removed your funds out of the plan. The pension adjustment reversal restores your RRSP contribution room. The value will be reported on a T10 slip.

An amended pension adjustment or past service pension adjustment will be reported on a T4 or T4A slip.