RRSP over-contribution calculator
Enter your deduction limit, what you actually contributed, and how long it has been sitting there. This applies the $2,000 lifetime cushion, prices the 1% monthly tax, and checks whether next January's room clears the excess on its own.
Worked example — Penalty tax so far: $250. $20,000 deduction limit, $27,000 contributed, 5 months outstanding
Over by a lot, several months: A real, moderate over-contribution accruing real monthly tax.
Do you know next year's income? 3
The 2026 RRSP dollar limit is $33,810, but your own deduction limit is the number that matters here and it is printed on your latest notice of assessment. It is 18% of last year's earned income capped at that dollar limit, less any pension adjustment, plus every dollar of room you did not use in earlier years.
RRSP over-contribution penalty by excess amount and month
The $2,000 lifetime cushion is netted out first, which is why a $500 or $2,000 excess owes nothing at all: the surprising, genuinely useful answer this table leads with.
| Excess | 1 mo | 3 mo | 6 mo | 12 mo |
|---|---|---|---|---|
| $500 | $0 | $0 | $0 | $0 |
| $2,000 | $0 | $0 | $0 | $0 |
| $5,000 | $30 | $90 | $180 | $360 |
| $10,000 | $80 | $240 | $480 | $960 |
Does the $2,000 RRSP cushion refill every year?
No. The $2,000 cushion is a lifetime cumulative total, not an annual allowance, and it buys no deduction at all. It only shields that much excess from the 1% monthly penalty tax. Use it once and it is used for good.
How many days do I have to file a T1-OVP?
90 days after the calendar year ends. It is a separate return from your T1, and it is required for any year in which contributions exceeded your limit plus the cushion at any point, even a year you corrected within a month or two.
Withdraw now or wait for January's room?
A worked example: a $5,000 excess against a $20,000 limit, with $65,000 of next year's earned income accruing $11,700 of fresh room on 1 January, enough to clear the whole excess without a withdrawal. Timing still matters: it decides how much penalty accrues before that relief arrives.
| When discovered | Months of penalty before January | Penalty paid before relief |
|---|---|---|
| Discovered in November | 2 | $60 |
| Discovered in February | 11 | $330 |
Your deduction limit is taken as given rather than derived: the authoritative figure is on your notice of assessment. This does not model withholding on withdrawal, the T3012A waiver, or spousal plan rules. Next: check the wrapper decision itself in the RRSP versus TFSA calculator.
Where these numbers come from
These official sources govern the figures and rules used on this page. They were re-verified on 9 August 2026. Registered-account and tax rules can change, so re-check the linked government guidance before acting.
- CRA — MP, DB, RRSP, DPSP, ALDA, TFSA limits, YMPE and YAMPE RRSP dollar limit by year
This is general publishing, not tax advice, and it does not know your circumstances. Your own contribution room is on your CRA notice of assessment and in My Account, which is the number that governs.
The next question after this one
RRSP vs TFSA calculatorCalculatorOnce the excess is cleared, the question underneath it: whether the RRSP was the right wrapper for that money.Open nextOther questions
- TFSA contribution room calculatorCalculatorTFSA room is the usual home for contributions that overflow an RRSP limit, and it carries no cushion at all.
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All 130 calculatorsHow JMM sources and checks its numbersWhat stays free, and what early access would add
What Pro adds here
A month-by-month penalty ledger, the withdraw-versus-wait comparison priced with withholding, and deduction room derived from your own assessment. The launch list sends one email at launch.