Pension income splitting calculator
A couple can move up to half of one spouse’s eligible pension income onto the other’s return. Done well it drops the higher earner a bracket, can restore some Old Age Security, and lets both of you claim the pension income credit. This works out the split that saves the most — which is often not 50%.
The two of you
Every split, side by side
What counts as eligible
At any age: payments from a registered pension plan — an employer defined-benefit or defined-contribution pension.
From age 65: RRIF withdrawals, RRSP annuity payments, and the taxable part of most annuities. RRSP lump-sum withdrawals before 65 do not qualify.
Never: CPP and QPP (they have their own sharing arrangement), Old Age Security, and TFSA withdrawals. Both spouses sign form T1032 with the return each year; the choice can be different every year.
The best split changes every year.
The full planner re-optimizes it annually across the whole retirement — as pensions start, RRIF minimums rise, and one of you turns 65 — alongside OAS clawback and the age credits.