My organization currently has a defined contribution pension plan.

Given: information

To find: the difference in the T

information slip.

Explanation:

A T

slip is a formal tax document given out by employers in Canada. It outlines all the money an employee earned and any deductions taken out during a particular tax year.

Step $2$

The difference in the T

information slip reporting for these two groups of employees will be based on the nature of the plans and the contributions made.

Defined Contribution Pension Plan:

Contributions: Employees contribute up to

of their income to the pension plan.

Company match is the employer adds money to the employee's retirement savings account, often up to a certain percentage of what the employee contributes to themselves.

Reporting on T

Slip: The employee's contributions to the pension plan are reported in Box

of the T

slip, while the employer's contributions $($including the company match$)$ are reported in Box

$.$

Group Registered Retirement Savings Plan $($RRSP$)$:

Contributions: Employees contribute to their RRSP based on the same options as the defined contribution pension plan, typically up to

of their income.

Company Match: Similar to the pension plan, the company may match the employee contributions up to a certain limit$.$

Reporting on T

Slip: The employee's contributions to the RRSP are not reported on the T

slip, as they are made on a pre$-$tax basis and are not subject to income tax in the year they are contributed. The employer's contributions $($including the company match$)$ are not reported on the T

slip either, as they are not considered taxable income for the employee.

Explanation:

The key difference in T

information slip reporting between the two groups of employees lies in how the contributions to the pension plan or RRSP are treated for tax purposes. Contributions to the pension plan are reported on the T

slip, while contributions to the RRSP are not reported, as they are made on a pre$-$tax basis.