Take Advantage of a Tax-Free Savings Account
At Quantum Financial Planning, our multi-lingual GTA investment specialists are always looking for ways to help you prepare for the future. With that goal in mind, we encourage you to take advantage of the Tax-Free Savings Account (TFSA) offered to Canadians. In this registered savings plan, your investment income, including capital gains and dividends, is not taxed – even when you withdraw.
Tax-Free Savings Account (TFSA) General Information
- Open to Canadian residents age 18 or older
- Allows you to contribute up to $5,500 per year
- Contributions to your TFSA are not tax deductible
- Investment income earned in your TFSA is not taxed, even at withdrawal
- If you do not contribute the max amount per year, the contribution room is carried over to future years
- Funds may be withdrawn at any time, for any purpose
- Full amount of withdrawals may be put back into your TFSA in future years
- When putting withdrawal amounts back into your TFSA, it’s important not to over contribute. Any amount over the $5,500 yearly max is subject to a penalty tax
- Your TFSA earnings and withdrawals do not affect your eligibility for federal income-tested benefits and credits
- You may supply funds for your spouse’s or common-law partner’s TFSA
- Assets of your TFSA can be transferred to your spouse or common-low partner upon death
As with all of the plans offered by Quantum Financial Planning, you have a wide range of investment options. Our skilled Mississauga financial advisors are here to discuss them with you. We take pride in our ability to customize financial plans to your unique situation. Book your appointment today.