Scenario 1: Extra EarningsWhat if you earned an extra $$5,000? See how it affects your tax.
Total income: $65,000 + $5,000 = $70,000
Scenario 2: RRSP ContributionWhat if you contributed $$5,000 to an RRSP? See your tax refund.
Without RRSP
Taxable income$70,000
Total tax$17,451
Net income$52,549
With RRSP
Taxable income$65,000
Total tax$14,278
Net income$45,722
💡 Key insight: You get a $$3,173 refund, plus the $$5,000 grows tax-deferred in your RRSP.