Cash withdrawals from RRSPs have never been recognized as eligible for the pension credit. So, the only solution is to convert all or part of your RRSP to a RRIF in order to obtain the $2,000 credit. It's certainly worth doing, even partially in order to get the credit.
Kirk Polson, Fee-Based Financial Planner, Markham, ON, kpolson@pbfinancial.com.
The Pension Credit
Cash withdrawals from RRSPs have never been recognized as eligible for the pension credit. So, the only solution is to convert all or part of your RRSP to a RRIF in order to obtain the $2,000 credit. It's certainly worth doing, even partially in order to get the credit.
Kirk Polson, Fee-Based Financial Planner, Markham, ON, kpolson@pbfinancial.com.