Tax Free Savings Accounts

Do all this plus more with the help of a Tax Free Savings Accounts.

TFSA Eligibility Requirements:

A TFSA is versatile and can be used for various financial planning purposes:

It’s abundantly clear there are many advantages to owning a TFSA:

Tax free growth on all interest, dividends & capital gains
Unused contribution room accumulates indefinitely
Withdrawals are not taxed
You can withdraw funds at any time without penalty*
Withdrawn funds can be used without restrictions
You can redeposit withdrawn amount in a future year
No requirement to re-contribute funds
Contribution limit is indexed to inflation ($500 increments)
Has no clawback affect on government income based benefits like Old Age Security, Guaranteed Income Supplement, Child Tax Benefit
No effect on GST and Age Credits
Wide selection of investment choices…daily interest, guaranteed interest, variable interest investment funds
Potential income splitting tool for couples and for parents of adult children, as attribution rules do not apply
Possibility to assign TFSA assets for collateral
Tax Free Spousal Rollover upon death with no contribution room requirements
Proceeds not considered income at time of death
An ideal complement to RRSPs, RESPs and Non-registered accounts
Suitable for any type of investor from conservative to speculator

Some special considerations:

TFSA contributions are not tax deductible
You must use after tax dollars to fund a TFSA
Interest paid on money borrowed for TFSA contribution is NOT tax deductible
Excess contributions subject to 1% per month penalty
If you become a non-resident the TFSA account can continue tax free but additional contributions are not permitted

You should consider contributing to a TFSA if you are/have:

Mortgage free
Non-registered savings
Self-employed
Starting your career
Someone who will be in a higher tax bracket in the future
Retired and over age 71
Maximized your RRSP contributions
Maximized your RESP contributions
Looking to avoid tax on investments
Looking for other income sources at retirement
A spouse not earning much income whereby you can save in their name
Someone who wants to save for charity or your children without the hassle of making formal trust arrangements

Not all TFSA accounts are created equal, so why not invest with us.

Exceptional guarantees of up to 100% on deposits made to a segregated funds contract
Wide range of products and investment fund options
Ability to protect savings from creditors*
Protect deposit values from a market downturn
Protect deposit values for your estate upon death
Avoid probate fees with named beneficiary designations

Also available for Mutual Funds Accounts, Guaranteed Interest Accounts and High Interest Rate Savings Accounts.

* certain conditions apply