Tax Free Saving Account (TFSA)

The Tax-Free Savings Account (TFSA) program began in 2009. It is a way for individuals who are 18 and older to set money aside tax-free throughout their lifetime. Contributions to a TFSA are not deductible for income tax purposes. Any amount contributed as well as any income earned in the account is generally tax-free, even when it is withdrawn.  Administrative or other fees in relation to TFSA and any interest or money borrowed to contribute to a TFSA are not deductible. For 2018, total contribution room since 2009 is $57,500

Benefits

TFSA is a highly recommended because of several benefits:

• Flexible withdrawals
• Tax-free investment
• No income required
• No limit to lifetime contribution
• No credit or impact on Federal Benefits
• Eligible for life
• Indefinite carry-forwards
• Perfect choice for quick investment growth