n December, 2021 Susan Solitaire turned 64 years old and retired from her job at Patience Inc., where she had been employed since 1973. Because Patience Inc. had no pension plan for its employees, Susan had saved and invested much of her prior annual earnings. Susan received a $52,000 retiring allowance from Patience Inc., in recognition of her long service. Susans income for 2020 and 2021 is as follows:

2020 2021

Salary.................................................................................................... $77,000 $82,000

Interest.................................................................................................. 6,500 8,800

Dividend from Canadian public corporation.......................................... 3,400 5,200

Rent (loss) income................................................................................ (5,000) 2,900

C.P.P. Disability pension........................................................................ 4,500 4,500

Retiring allowance................................................................................ n/a 52,000

86,400 155,400

Susan has unused RRSP deduction room of $2,000 carried forward to 2021.

REQUIRED:

Determine the maximum contribution that Susan can make to her RRSP in 2021. (20 marks)