• Kelsenellenelvial@lemmy.ca
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    5 months ago

    There’s also methods to potentially shelter some of that too. If a person has RRSP room and doesn’t actually need the whole amount available you can use that to delay paying the tax and hopefully reduce the rate paid. You can also make some investments within a TFSA, which means no taxes owed on the growth. Both of those options have caps on contributions so they’re a great for low-moderate income earners to minimize their taxes, while higher income earners can only shelter a portion of their income.