May 3, 2013
Tax free savings accounts were introduced by the government in 2009 as a one-size-fits-all savings solution. Despite their flexible nature – they’re a savings vehicle, investment and tax haven in one handy account – consumers remain confused about how to use TFSAs.
Considering making a TFSA part of your savings strategy? Read on for the basics of how they work, how to combine them with other savings products and, most importantly, how to see the highest return on your savings.
Understanding Tax Free Savings Accounts
Tax Free Savings Accounts may be a great all-in-one option, but would-be users just can’t seem to get past the whole “savings account” concept. The truth is, a TFSA can make a big difference to your tax bill – and your savings goals.
Learn more about how TFSAs work, and whether they’re a good fit for you, with this breakdown of the basics.
Allan’s Blog | Understanding Tax Free Savings Accounts
What Is A TFSA GIC?
Did you know that your TFSA and GIC can join forces for high-interest earning, tax free savings? While using a GIC means locking your funds away for the term, the upside is guaranteed return on your investment and growth for your savings!
Check out these great tips for maximizing your money with a TFSA GIC.
Read Diane’s Blog | What is a TFSA GIC?
Which Savings Tool Is Right For You?
One is meant to boost retirement savings, the other is a great flexible savings option – and both offer a great tax break. The trick to choosing between an RRSP and TFSA is the timing of taxation on your savings.
Still can’t decide? Check out the 5 main differences between these savings vehicles.
Read Melanie’s Blog | TFSA or RRSP?
and in this week’s finance headlines…
The Real Cost of Moving Out? $5,397.50
What’s the real cost of moving out of your parents’ home? RateSupermarket.ca crunched the numbers and found it was $5,397.50! No wonder new grads are choosing to live with their parents for longer, as these steep financial hurdles make it challenging to gain independence.
Read Kelvin’s Blog | The Real Cost Of Moving Out?
How To Protect Yourself From a Rent Increase
A legal loophole has been discovered that leaves Ontario tenants vulnerable to steep rent increases – particularly in Toronto’s hot condo market. Here’s how to protect yourself from an increase – and how to fight back if they happen to you.
Read Rubina’s Post | How To Protect Yourself From a Rent Increase
Get Ahead In The Job and Housing Markets – Guest Judge Sean Cooper
Meet our next Get Out Of My House guest judge – Sean Cooper! In addition to writing regularly for Money Wise, Sean works in the finance industry and has some impressive financial achievements of his own. Here, he shares words of wisdom for 20-somethings to get ahead in the job and housing markets.
Read Sean’s Post | Get Ahead In The Job and Housing Market
Majority of First Time Home Buyers Make At Least One Mistake
Buying your first home can be such an overwhelming experience. With so many Ps and Qs to keep track of, it’s no surprise that a recent RBC poll found 60% of first time buyers made at least one mistake during the purchase of their home.
Read Andrew’s Post | Majority of First Time Buyers Make One Mistake
Would You Swap Your Credit Card To Save?
Could your credit card be doing more for you? Everyone loves a good perk – but the truth is, rewards credit cards aren’t always the best fit. Read on to learn more about your credit card options and how to pick your best plastic.
Read Penelope’s Blog | Would You Swap Your Credit Card?
Prepare Kids For The Big Bad World: Guest Judge Daniel Fathers
Meet our first Get Out Of My House celebrity guest judge – Daniel Fathers, host of Canada’s Greatest Know It All! Check out his take on the financial literacy challenges facing today’s young adults, and why independence starts with proper parenting.
Read Penelope’s Blog | Prepare Kids For the Big Bad World
5 Reasons To Feel Good About Paying Your Taxes
Tax season 2013 has come and gone – and we know parting ways with your hard earned cash can be a drag – but your financial contribution goes a long way. Cheer up with these 5 reasons to feel good about paying your taxes.
Read Andrew’s Blog | 5 Reasons To Feel Good About Paying Your Taxes
This week on Money Wise, we asked Canadians:
What’s your preferred method to save money?
55.6% of poll takers say they like to keep their money safe and sound from the taxman, and keep their funds in a tax free savings account.
38.9% are looking to grow their money, and are putting their savings to work in a high interest savings account.
5.6% of respondents are willing to lock their money up in a GIC, despite the interest earning potential.
Want the chance to win sweet prizes? Head on over and answer this week’s poll: