A solution for every stage of life
At TD Waterhouse, our entire approach is based on understanding your goals and providing comprehensive and integrated solutions at every stage of your life. One of the positive aspects of a TFSA is that it can fit into your financial strategy no matter what your age or stage.
We see life as divided into four life stages –
- Starting Out
- Saving for the Future
- Planning for Retirement
- Enjoying Retirement
Starting Out
In your early adult saving years, a TFSA fits naturally as an all-purpose savings vehicle. Whatever your savings goals – a house, a car, a home renovation, travel or rainy day savings – the tax-free growth provided by a TFSA can help you reach them faster.
Saving for the Future
In your prime working years, when your main focus is on accumulating wealth, a TFSA can be an excellent way to complement your investment strategy. You can shelter your investments and maximize your investment growth with a TFSA. As well, a TFSA is a convenient place to put surplus savings or to move non-registered investments because it turns taxable income into tax-free income.
Planning for Retirement
The pre-retirement years are a time when you have probably made almost all your major purchases and now want to make sure you have everything in place to have the kind of retirement you’ve dreamed of. If you are making your maximum RSP contribution each year, a TFSA enables you to accumulate additional tax-advantaged assets.
Enjoying Retirement
In your retirement years, a TFSA provides you with the ability to shelter your non-registered investments from tax. Neither the income you earn in a TFSA nor the withdrawals you make from it affect your eligibility for federal income-tested benefits and credits such as Old Age Security (OAS), and they don’t trigger an OAS clawback. And because there is no upper age limit on a TFSA, you can continue contributing to it and getting the benefits of tax-free growth throughout your retirement.
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