On disability assistance through the BC ministry. I have a redeemable RRSP through my employer. As it states on their website:
Redeemable RRSPs – Unless an RRSP is locked-in pursuant to BC’s Pension Benefits Standards Act or similar federal or provincial legislation, it is redeemable. Money can be withdrawn from a redeemable RRSP before retirement but may be subject to a withholding tax and income tax. Redeemable RRSPs are considered assets for eligibility purposes and may impact eligibility.
Do I need to report employer contributions to my RRSP, even though I haven’t taken anything out, or do I only need to report it IF I do take money out? My plan is to transfer the amount in there to an RDSP.
On your taxes? Yes.
To the insurance company? I don’t think so because it is not income from working.
It’s disability assistance through the ministry of social development in BC. Not insurance. It says it’s considered income yet I’m not going to be touching it.
If you are eligible for PWD, that is, you meet the income and asset thresholds, that would mean that this RRSP is part of your assets, but under the threshold. Thus, you should not have to be required to cash in (withdraw) this RRSP. I “think” the asset threshold is $200,000, meaning if you have less than $200,000 in assets which are not exempt (not considered) and this forms part of that $200,000, then you are okay. If you have more than $200,000 then they will even allow you to put the excess into a trust.