TFSAs
Tax Free Savings Accounts (TFSAs) were introduced by the Government of Canada in 2009 as an alternative savings product. If you are 18 years of age or older, have a valid Canadian social insurance number and are a resident of Canada you are qualified to contribute to a TFSA.There is an annual limit which is set by the CRA for contributions. Unused TFSA contribution room can be carried forward and accumulates in future years. Withdrawals from a TFSA are tax-free and you can put funds back into your TFSA in future years. Over contributions or re-contributing too soon after withdrawing can trigger over contribution penalties. Open variable rate plans are available – if you have ongoing deposits throughout the year this is perfect for you
• Available GIC terms from 1 to 5 years
• $1,000.00 minimum for this investment
• Interest is compounded annually
TFSA CONTRIBUTIONS FROM 2009 THROUGH TO AND INCLUDING 2020
| CONTRIBUTION YEAR | CONTRIBUTION AMOUNT |
|
| 2009 | 5,000.00 | |
| 2010 | 5,000.00 | |
| 2011 | 5,000.00 | |
| 2012 | 5,000.00 | |
| 2013 | 5,500.00 | |
| 2014 | 5,500.00 | |
| 2015 | 10,000.00 | |
| 2016 | 5,500.00 | |
| 2017 | 5,500.00 | |
| 2018 | 5,500.00 | |
| 2019 | 6,000.00 | |
| 2020 | 6,000.00 | |
| TOTAL: |
69,500.00 | maximum 2009-2020 |
Contribution for 2015 has been increased to $10,000 (retroactive to
January 1, 2015). For 2016 the limit has been reduced back to $5,500.00.
DICO insures all eligible deposits (no maximum limit) held in each registered savings plan or contract at a DICO insured institution. Registered savings plans include registered retirement savings plans (RRSP), registered retirement income funds (RRIF), Tax Free Savings Accounts (TFSA). RCU is a DICO insured institution http://www.dico.com/design/1_1_Eng.html.
For more information visit www.cra-arc.gc.ca/tfsa/