TFSA

Question 1

Age restrictions of TFSA

Answer 1

18+

Question 2

Tax advantages/disadvantages of TFSA

Answer 2

Adv
-Money grows tax-free
-You pay no tax on withdrawals

Dis
-Contributions are not tax deductible

Question 3

TFSA Yearly Contribution Limits

Answer 3

2009-2012 $ 5 000
2013-2014 $ 5 500
2015 $10 000
2016-2018 $ 5 500
2019-2022 $ 6 000
2023 $ 6 500
2024 -2025 $ 7 000

Question 4

Total TFSA Contribution Limit
(For those who were 18 or turned 18 in 2009)

Answer 4

$ 102 000

Question 5

Who can contribute to TFSA?
How are contribution limits determined?

Answer 5

-Only account holder can contribute, withdrawal and determine how funds are invested.
-Must be 18 years old, with a SIN and be a resident of Canada.
-You start building contribution room in 2009, the year you turn 18, or the year you became a Canadian citizen. The most recent of the three.

Question 6

Taxes on TFSA Overcontribution

Answer 6

1% per month on amount overcontributed until it is removed.