TFSA

[cottonpicken]

Hope everybodys taking advantage of the new tsfa thing.

Whats everybody buying for that account?

[SASKFARMER3]

Great account Husband and Wife its a great way to put $10,000.00 away annually.

[silverback]

Brewery and distillery shares.

[wilagro]

Maybe what my banker suggests.

[sumdumguy]

What hypocrasy, the Tax Free Savings Account. Encourage me to save so the banks can use my money for nothing. B.S.
The savers are entirely paying the price now for the financial lunacy and governments want to give banks more of my money. Take my hard earned money and that of every pensioner and then give it to "banks" who will fritter it away to people who are not credit-worthy to buy $400,000 houses that they know and we know they won't pay for- now lets do it again.

[agstar77]

This account works best with a true interest savings , which is the lowest return.

[cottonpicken]

Sumdum,although i agree with most of what you say you can self direct this investment.

Do the only things that qualify for the account the same as what qualifies for an rrsp?I'm ASSuming so but not sure.

[TOM4CWB]

C.P.;

I cannot get excited about this plan... as it is an investment of after tax income... an RRSP makes much more sense for most folks... as it reduces tax payable in the first instance.

You can tell I don't have cash savings... no doubt if I did... I would look at it differently!

[charliep]

Got offered 3% interest on effectively is a daily savings account that I can withdraw at any time. I looked at the spread on my line of credit interest and as a my cushion for unexpected happenings/liquidity. Pretty interesting the amount flexibility in this account to withdraw money at any time and replentish again (at least as explained to me). Realize the money is not big (3 % of $5000 is $150 and a 40 % tax bracket is $60 saving). Assuming $5,000 every year and 10 years is $50,000 savings and potentially a lot tax saved depending on where you put your money.

[agstar77]

This all assumes you pay income tax. If you are like most farmers your tax avoidance would minimize the benefit of this program.