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@mst86 That website was why I undertook this exercise lol, I wanted to calculate an algebraic proof to support that statement.

@kkamagwi The part that I've been trying to solve is whether to defer the RRSP deduction vs. to defer the RRSP contribution entirely. I wanted to find an analytic solution in terms of the five variables (g, g*, m, tm, tn), but I couldn't reduce the expressions any further. Still stuck with...

@stormannorman Totally fair, I realize this will be skipped over by most people. I mainly wrote this because I've been using snippets of these equations all over, so I wanted to put them together in a single post for future reference.

@mj82 I'd use the first two expressions from the post, and add a multiple for $A in the RRSP expression: TFSA only with no matching = A × (1 + g)^n RRSP with employer match = A × (1 + c) × (1 + g)^n × (1 - tn + t0) Where c = the percentage matched by the employer. For example $1 from you...

@joerob40 Given the income tax brackets move up every year with CPI, I'd rewrite those according to the marginal tax bracket: 3rd marginal bracket, contribute to an RRSP 2nd marginal bracket, contribute to either RRSP/TFSA depending on other income-tested benefits 1st marginal bracket...

@leafis You can be part of today's lucky 10,000!

Given it's already March 1, this probably comes too late to help people calculate their optimal TFSA/RRSP usage for the 2022 tax year. However, understanding these equations will be helpful toward planning your future registered account contributions. First, assumptions and definitions: You...

@boanerges1989 The basic principle behind dividend irrelevance is your total wealth would have remained constant: If you invested in those companies and they paid the regular monthly/quarterly dividend, which you reinvested into more shares, or If you invested in those SAME companies and they...