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Old 04-26-2021, 07:42 PM   #179
GGG
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Quote:
Originally Posted by Mr.Coffee View Post
You can have an RRSP but it’s pre-tax. I wonder if OP is indicating the pre or post tax number?
With 2.5mm it’s unlikely to be just RSPs so it would be a combination of pre and post tax. You would assumed maxed out TFSAs and RRSPs and a healthy after tax account.

If you are married you can reduce taxes to almost 0.

With 80k per year and 10% of your total in TFSAs you’d have 72k income split between two earns is 36k. The personal deduction is 13.3k plus another 7600 for the age amount leaving paying tax on only 15k of income which is $2250. For provincial tax the combined age and persona is 25k leaving paying $900 of provincial tax.

So combined on an 80k income you only pay about $6300. We do not tax old people enough. So at numbers in the 1MM range it doesn’t make too big of a difference.
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