Tax-Free Savings Account (TFSA): A Guide to Maximizing Your Savings
The Tax-Free Savings Account (TFSA) is one of the most powerful investment tools available to Canadians. Whether you're saving for a short-term goal like a vacation or a long-term objective like retirement, the TFSA allows your money to grow completely tax-free—making it an essential part of any financial strategy.
What is a TFSA?
Introduced in 2009, the Tax-Free Savings Account (TFSA) is a registered investment account that allows Canadians to grow their savings without paying taxes on investment income or withdrawals. Unlike an RRSP, contributions are made with after-tax income, meaning you won't receive a tax deduction, but any future earnings and withdrawals remain completely tax-free.
Contribution Limits
TFSA Contribution Details
Historical TFSA Limits
Investment Options
Available Investments
- Stocks (Canadian and international)
- Mutual funds
- Exchange-Traded Funds (ETFs)
- Guaranteed Investment Certificates (GICs)
- Bonds
- Cash savings
Growth Strategies
- Invest for Growth
- Use it for Retirement
- Save for Major Purchases
- Reinvest Withdrawals
Key Features
- Tax-free investment growth and withdrawals
- Flexible contribution options
- No tax deduction for contributions
- Withdrawals can be made any time
- Withdrawn amounts restore contribution room the following year
Need Help with Your TFSA Strategy?
At Altiora Wealth Management, we help individuals and families in Fredericton, New Brunswick, and across Atlantic Canada build personalized financial strategies. Whether you need help maximizing your TFSA, RRSP, or investment portfolio, our experts provide the insights and planning you need to grow and protect your wealth.
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