Canada Disability Savings Bond
The bond is an amount paid by the Government of Canada directly into an RDSP. The Government will pay bonds of up to $1,000 a year to low-income Canadians with disabilities. No contributions have to be made to get the bond. The lifetime bond limit is $20,000. A bond can be paid into an RDSP until the year in which the beneficiary turns 49.
The amount of the bond is based on the beneficiary’s adjusted family net income as follows: *The beneficiary family income thresholds are indexed each year to inflation. The income thresholds shown are for 2020. Beneficiary's adjusted family net income:
$32,022 or less (or if the holder is a public institution)—Bond $1,000
between $32,022 and $49,011—Part of the $1,000 is based on the formula in the Canada Disability Savings Act
more than $49,011—No bond is paid
Canada Disability Savings Grant
The grant is an amount that the Government of Canada pays into a registered disability savings plan (RDSP). The Government will pay matching grants of 300%, 200%, or 100%, depending on the beneficiary’s adjusted family net income and the amount contributed.
An RDSP can get a maximum of $3,500 in matching grants in one year, and up to $70,000 over the beneficiary’s lifetime. A beneficiary's RDSP can receive a grant on contributions made until December 31 of the year in which the beneficiary turns 49.
The amount of the grant is based on the beneficiary’s adjusted family net income as follows: *The beneficiary adjusted family net income thresholds are indexed each year to inflation. The income thresholds shown are for 2020.
Amount of CDSG grant when family income is $97,069 or less:
on the first $500 contribution—$3 grant for every 1 dollar contributed, up to $1,500 a year.
on the next $1,000 contribution—$2 grant for every 1 dollar contributed, up to $2,000 a year.
Amount of CDSG grant when family income is more than $97,069:
on the first $1,000 contribution—$1 grant for every 1 dollar contributed, up to $1,000 a year.
Non-taxable mileage allowance rates
Employers can provide a non-taxable mileage allowance up to the following amount.
2020 Rates BC – $ 0.59 per KM first 5,000 km after $ 0.53 per KM
Maximum Wage Amounts for 2020
Each year there is a limit for RRSP room increases for the year. This is based on 18% of earned income in the year. To hit this limit $ 151,278 of earned income would be needed for 2020. This will create a maximum RRSP limit contribution of $27,230 for the year.
The limit for BC WCB coverage for 2020 is $ 87,100.
The limit for CPP is 58,700 for 2020.
The limit for EI is 54,200 in 2020.
For each of these items limit indicates the maximum coverage under the plan for the year, earnings above this amount do not attract additional premiums but they also do not provide any additional coverage.