Money Talks
The amount of money you get charged (if borrowed) or earned (if invested).
Interest
If you owe the government money for income tax and have overdue amounts; the rate is 6% per year compounded daily.
A mandatory payment to the government.
Tax
Tax can be taken from your income ( Income tax) or from your purchases ( HST)
You must file this every year if you are employed legally in Canada.
Tax Return
This card is used when you have money in your account.
Debit card
Gross pay/income
Canada Revenue Agency ( CRA)
Provides you with pensions and benefits if you retire, become disabled or die.
It is deducted from every employees paycheck.
Canada Pension Plan ( CPP)
Every person who is 18-70 and works in Canada must contribute ( Quebec QPP) and earn more than $3500/year.
A card that can get with a bank account charging you high interest to buy now and pay later.
Credit card
Net pay/income
Most provinces combined their provincial tax with Goods and Services Tax to form:
Harmonized Sales Tax ( HST 13%)
Can provide you with financial assistance if you lose your job through no fault of your own, while you look for work or upgrade your skills.
It is deducted from every employees paycheck.
Employment Insurance ( EI)
Employers are responsible for EI deductions regardless of employees age or amount of pay.
Savings you put away for retirement and can be used to get a tax break when filing income tax. March 1st is the deadline for contribution.
Registered Retirement Saving Plan ( RRSP)
You gave a tax break when investing into RRSP's but when you retire and cash them out the government taxes you then and considers it as a form of income.
This is used to keep track of your income and spending.
Budget
You must apply for this number in order to work in Canada.
Social Insurance Number (SIN)
This slip is a summary of your earnings and deductions for the year. You need this information to complete your tax return.
T4 slip
Your employer must give you your T4 slip by the end of February.
Savings you put away for your children's future education.
Registered Education Savings Plan ( RESP)
The government will give a grant up to $500 per beneficiary per year (20% on first $2500), up to a maximum of $7200 up to the age of 18.
This statement shows you how much you earned during a certain pay period and deductions taken.
PAY STUB
Your employer must deduct amounts for Canada Pension Plan, Employment Insurance and income tax
You must complete this form when you start a new job.
Form TD1
Your employer uses the information from your completed form to determine how much tax they must deduct from your pay.
This slip is given to you by your financial institutions for income tax purposes when you earn interest on your investments.
T5 slip
You must claim all money earned to the government as an income including interest you earned.
The government allows you to save and invest money up to a certain amount yearly, tax free.
Tax Free Savings ( TFSA)
Since the beginning, Canadians are allowed to have invested up to $81500 tax free. 2022's allotment is $6000