Updated with 2009 rates! This applies to you if you have a regular job with a salary over about $40,000 per year. We all have to pay CPP and EI, these are deducted at source by your payroll. Both CPP and EI have a maximum annual amount, and that payroll does not spread out the amount throughout the year. The net effect is your take home pay is less at the start of the year, until you reach your maximums.
This applies to you if you are investing in an RRSP or have plans to each year. I was comparing the relative costs of contributing monthly into a plan or using an RRSP loan during RRSP season (January - February).
Updated with 2009 rates!
This applies to you if you are investing in an RRSP or have plans to each year. I was comparing the relative costs of contributing monthly into a plan or using an RRSP loan during RRSP season (January - February).