Yukie has net employment income of $35,000. During the year, she received spousal support payments of $8,000, child support payments for her 10 year old daughter of $12,000 and an inheritance consisting of a $50,000 term deposit that paid interest of $2,000 in the year. Her Earned Income for RRSP purposes is:

Question

Quizplus · Accepted Answer

Yukie's total employment income is $35,000. Her spousal and child support payments do not count as earned income for RRSP purposes. However, her inheritance income of $2,000 is considered earned income for RRSP purposes. Therefore, her earned income for RRSP purposes is $35,000 (employment income) + $2,000 (inheritance income) = $37,000.

Yukie Has Net Employment Income of $35,000