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Rrsp & Osap

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Does anyone know the amount of RRSPs you can have, before they start to affect your OSAP eligibility? I have heard $2000 per year out of high school, but cannot find that number written anywhere official. In addition, when I used the OSAP estimator, the limit seemed to be a little higher than that (closer to $2400).

 

Thanks for your help.

Elaine

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Does anyone know the amount of RRSPs you can have, before they start to affect your OSAP eligibility? I have heard $2000 per year out of high school, but cannot find that number written anywhere official. In addition, when I used the OSAP estimator, the limit seemed to be a little higher than that (closer to $2400).

 

Thanks for your help.

Elaine

 

I do not know if it is written anywhere, but both an MDM consultant and U of T's financial aid officer have both told me that $2000/year amount... so I would think it is safe to go with at least that value. Maybe OSAP increased the amount without notifying anyone?

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This might be a stupid question, but could someone clarify for me: Are you still eligible for OSAP if, being an Ontario resident, you are attending a OOP medical school? Or do you have to seek financial assistance in the province where you study.

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Does anyone know the amount of RRSPs you can have, before they start to affect your OSAP eligibility? I have heard $2000 per year out of high school, but cannot find that number written anywhere official. In addition, when I used the OSAP estimator, the limit seemed to be a little higher than that (closer to $2400).

 

Thanks for your help.

Elaine

 

Had the same problem, and found the same thing with their estimator. I am actually brushing up against the limit before OSAP would be clawed back against me, which is not good!

 

They are strangely silent on giving details about the limits anywhere....

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Had the same problem, and found the same thing with their estimator. I am actually brushing up against the limit before OSAP would be clawed back against me, which is not good!

 

They are strangely silent on giving details about the limits anywhere....

 

Did you end up getting OSAP for this year? Was the estimator accurate, or was the $2000/year accurate? I have to make a decision on how much to withdraw by the end of this month (which I will apply toward my LOC), or it will affect me for next year. Obviously, I want to withdraw as much as is needed to make me OSAP-eligible; however, I don't want to withdraw any more than is necessary.

 

Thanks,

Elaine

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Did you end up getting OSAP for this year? Was the estimator accurate, or was the $2000/year accurate? I have to make a decision on how much to withdraw by the end of this month (which I will apply toward my LOC), or it will affect me for next year. Obviously, I want to withdraw as much as is needed to make me OSAP-eligible; however, I don't want to withdraw any more than is necessary.

 

Thanks,

Elaine

 

The 2000 per year in the end was accurate. I also just contacted the awards office, and they confirmed (after looking it up) that the official documentation they have for the 2008/2009 year has the deduction at 2000 dollars per year.

 

Thats all I could find :)

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This might be a stupid question, but could someone clarify for me: Are you still eligible for OSAP if, being an Ontario resident, you are attending a OOP medical school? Or do you have to seek financial assistance in the province where you study.

 

https://osap.gov.on.ca/eng/not_secure/Student_Groups_outside_ontario_12.htm

 

Depends on the school.

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On 4/24/2009 at 2:24 PM, rmorelan said:

The 2000 per year in the end was accurate. I also just contacted the awards office, and they confirmed (after looking it up) that the official documentation they have for the 2008/2009 year has the deduction at 2000 dollars per year.

Thats all I could find :)

Reviving this old thread. 

I currently have some excess cash and would like to contribute to my RRSP. I plan on claiming the actual deduction later on when I am at a higher income bracket (aka attending physician). 

Reason I am thinking of doing is.. technically I still have some TFSA room left, but I think it is advantageous to contribute to RRSP because these assets do not impact the OSAP output as compared to TFSAs? If this thread still holds true then $2K x # of years after age 18 = amount permitted by OSAP that doesn't affect the $ of your aid. Is this still safe to assume? 

Should I just shunt the excess cash into TFSA or contribute to my RRSP.. thoughts?

My worry is that RRSPs are much less flexible so taking money out later on in life for the HBP would still be somewhat punitive? Should I just max out my TFSA and report TFSA as assets to OSAP or should I take advantage of the $2k x # of years after age 18 and then claim the actual RRSP deductions when I am an attending?

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16 minutes ago, la marzocco said:

Reviving this old thread. 

I currently have some excess cash and would like to contribute to my RRSP. I plan on claiming the actual deduction later on when I am at a higher income bracket (aka attending physician). 

Reason I am thinking of doing is.. technically I still have some TFSA room left, but I think it is advantageous to contribute to RRSP because these assets do not impact the OSAP output as compared to TFSAs? If this thread still holds true then $2K x # of years after age 18 = amount permitted by OSAP that doesn't affect the $ of your aid. Is this still safe to assume? 

Should I just shunt the excess cash into TFSA or contribute to my RRSP.. thoughts?

I believe it still does hold true - except I don't think there is any limit to the amount of RRSP you can hold now. 

you will have to do the math as to when you should take the cash benefit if you are really picky about maximizing things. It can be a bit complex - will you have salary as staff? or just dividends from your corp? if you take salary then you have to deal with CPP contributions etc - double the normal rate as you are both employee and employer. You also are holding money owed to you for potentially a long time - money that in theory could be invested etc. 

Now unless this is a lot of money you probably don't have to worry too much about this :) You can go a bit nuts overthinking everything. 

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10 minutes ago, rmorelan said:

I believe it still does hold true - except I don't think there is any limit to the amount of RRSP you can hold now. 

you will have to do the math as to when you should take the cash benefit if you are really picky about maximizing things. It can be a bit complex - will you have salary as staff? or just dividends from your corp? if you take salary then you have to deal with CPP contributions etc - double the normal rate as you are both employee and employer. You also are holding money owed to you for potentially a long time - money that in theory could be invested etc. 

Now unless this is a lot of money you probably don't have to worry too much about this :) You can go a bit nuts overthinking everything. 

Fair point. My worry is that I don't want to further grow my TFSA and have it negatively affect my OSAP aid lol If I can shunt it to my RRSPs and not compromise OSAP aid, then I am willing to do that. Right now it's just chilling in my HISA.. acting somewhat awkwardly as an emergency fund-ish? lol interest fully taxable and it's also reported to OSAP as assets lol 

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2 minutes ago, la marzocco said:

Fair point. My worry is that I don't want to further grow my TFSA and have it negatively affect my OSAP aid lol If I can shunt it to my RRSPs and not compromise OSAP aid, then I am willing to do that. Right now it's just chilling in my HISA.. lol interest fully taxable and it's also reported to OSAP as assets lol 

sure the rrsp route is a safe holding area at least

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