One of the most common investment questions Canadians ask themselves today is, “Which is better, TFSA or RRSP”?
Here’s the good news – it doesn’t have to be an either or choice. Why not do both? Below are the features of both plans to help you understand the differences.
Tax Free Savings Account (TFSA)
Registered Retirement Savings Plan (RRSP)
The advantages and disadvantages of both
The bottom line?
Unless the tax savings from the RRSP are routinely reinvested, at the end of the day, there is little or no difference between the results of a TFSA or an RRSP.
Want maximum results? Take your RRSP tax savings and reinvest it to have great impact on your retirement savings.
Please call me if you want to discuss how you can optimize the use of both of these retirement vehicles. As always, feel free to use the share button to share this article with a friend or family member.
Ong Financial Planning Services Ltd.
John Ong, CFP, CHS, CPCA, CCS
Tel: (604) 676-1088
1275 West 6th Avenue 3rd floor