Contributing to Your RRSP, Right Up Until Retirement?

If you have room to contribute, should you buy RRSPs right up until age 69, even though you are in a low income bracket?? Are the tax savings (and potential investment growth) worthwhile, even though at retirement, you will be forced to withdraw and the tax on RRIF and pensions will be as significant? (possibly putting oneself in a higher tax bracket?) Don't know how to plan this out...

Thanks!

depending on the time to retirement you might also want to factor the new TFSA's into your mix.

The great thing about them is any money you withdraw from them will not factor into clawback calculations of the old age supplement.

It should be noted though that RRSPs are tax-deductions whereas TFSAs do not offer tax deductions against current income.

You need to consider how much you'll save on taxes NOW, by contributing to your RRSP, and letting that money grow tax-free, vs how much you'll pay in taxes when you withdraw the money at retirement. An RRSP is not always the best retirement vehicle for everyone. If you will have significant income at retirement due to pensions, then it may be best to invest the money outside of an RRSP

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