Pension adjustment question

[zeroburn]

Quick question.

I have 5k of RRSP room.

I wanted to invest in an RRSP now instead of waiting till March etc, however I only ave just over 5k of RRSP room.

I already know that my pension adjustment will be 8-9k for 2009.

I imagine I cannot invest the 5k now into the RRSP? Are there any consequences for having a pension adjustment higher than my RRSP room?

Thanks

[asdfvcx]

The pension adjustment for money paid into your pension this year affects how much will be added to your RRSP limit next year. You can make the $5k contribution this year without any problem.

[zeroburn]

I mean the amount that will appear on my T4 for tax year 2009. I believe it is my, and my employer's contributions to the company pension plan?

[audit13]

I mean the amount that will appear on my T4 for tax year 2009. I believe it is my, and my employer's contributions to the company pension plan?

Pension Adjustments are calculated differently for money-purchased and defined benefit registered pension plans. Money-purchase plans would be the dollar value of contributions to the RPP.

[TopTaxGuy]

You can invest in 2009 up to your contribution limit reported on your 2008 notice of assessment.

You can have an overcontribution of $2,000 at any given time withhout attracing the penalty tax.