How do deposit and withdrawal priorities work?
Where to find it: PRIORITIES
Open PRIORITIES. Drag the rows into the order you want, set their percentage limits and click Submit. Complete the separate tables for each spouse and the CCPC where applicable. Review any future-year tables required for accounts or loans opening later.
Priorities are applied after incomes, expenses, taxes, required withdrawals and automatic savings. Deposit priorities place any money left over. Withdrawal priorities raise money for a remaining deficit. Putting an account first does not request a withdrawal when no money is needed.
A percentage limit applies to the cash still to be handled at that point, not to the account’s balance. For example, with $10,000 excess, a first deposit priority limited to 50% can receive $5,000. A second priority limited to 50% can receive $2,500 of the remaining $5,000. A final 100% priority can receive the rest, subject to account limits.
The Spending row spends its permitted share of excess instead of saving it.
Contribution room, locked-in withdrawal rules and loan prepayment limits still apply. New or changed accounts can require the PRIORITIES tables to be reviewed and submitted again.
See the PRIORITIES video for details.