RRSP Withholding Tax Calculator 2025
See how much tax will be withheld when you withdraw from your RRSP early.
Withdrawal Details
Quebec has additional provincial withholding
Federal Withholding Rates
Enter a withdrawal amount to calculate withholding tax
Ways to Minimize RRSP Withdrawal Tax
- Withdraw in years with low income (retirement, sabbatical)
- Make multiple smaller withdrawals to stay in lower withholding brackets
- Consider RRSP meltdown strategies in retirement
- Use Home Buyers' Plan (up to $60,000 tax-free)
- Use Lifelong Learning Plan (up to $20,000 tax-free)
RRSP Withholding Tax Explained
When you withdraw from your RRSP before retirement (or convert it to a RRIF), your financial institution must withhold tax at source. The withholding rate depends on the withdrawal amount and whether you live in Quebec.
Federal Withholding Rates
- 10% on withdrawals up to $5,000
- 20% on withdrawals from $5,001 to $15,000
- 30% on withdrawals over $15,000
Quebec Residents
Quebec residents pay additional provincial withholding tax of 5%, 10%, or 15% depending on the withdrawal amount.
Home Buyers' Plan (HBP)
First-time home buyers can withdraw up to $60,000 from their RRSP tax-free to buy a home. You have 15 years to repay the amount, starting 2 years after withdrawal.
Important: Withholding tax is not your final tax. The withdrawal is added to your income and may push you into a higher tax bracket. Consider consulting a tax professional before making large RRSP withdrawals.