Right for you if:
You have a spouse and want to take full advantage of RSP features
You want to allow your spouse to make contributions to your plan
- How it Works
A Spousal RSP gives you the following benefits:
Ability to contribute to your spouse's RSP
Income splitting opportunities
As well, spousal RSPs are an effective tool in planning for a couple's retirement. Typically, a couple with one wage earner is best suited for a Spousal RSP.
Spousal RSPs potentially reduces a couple's overall tax bill by shifting the income from the spouse that earns a higher income to the spouse who earns a lower income.
If a withdrawal is made from the account within three calendar years*, it will be taxed in the hands of the contributing spouse.
Spousal vs. non-spousal RSP
Depending on the circumstances, it may be more appropriate for spouses to have two accounts. So, if you need to make a withdrawal before retirement, you can make it from the account that will benefit more from a tax perspective.
Attribution rule: three calendar years from the contributor's last contribution to any spousal RSP.