The maximum amount you may invest in your RRSP this year is determined on the basis of the income you earned last year. You may contribute up to 18% of that income, up to a maximum of $19,000, less the pension adjustment (PA)—which is equal to your contributions to your employer’s retirement plan. The amount you may invest is indicated on the notice of assessment provided to you by the Canada Customs and Revenue Agency.
If your spouse does not have any income from employment or if your spouse’s income is lower than yours, your contribution may result in a more advantageous tax deduction. When the funds are withdrawn, income tax will be deducted from your spouse’s income, but since that income will be lower than yours, the taxation rate will be lower, too.