Tax-Free Savings Account (TFSA)
Save Money. Save Tax!
"It's the single most important personal savings vehicle since the introduction of the Registered Retirement Savings Plan (RRSP)." - Federal Budget 2008
A new tax shelter for Canadian Christians at every income level
Now, all Canadians aged 18 and older can save up to $5,000 a year in a TFSA where the interest or investment income earned will not be taxed - even when withdrawn.
Withdrawals
Withdraw funds at any time for any purpose, whether it's to buy a car, take a vacation, or start a small business. It's your money to use however you want. Withdrawals won't be taxed and won't reduce your accumulated contribution room. Withdraw and re contribute as often as you want.*
TFSA Details
- Unused TFSA contribution room can be carried forward to future years when you may have more opportunity to save or acquire lump sums from an inheritance, selling a house or other means.
- Neither income earned in a TFSA nor withdrawals will affect your eligibility for federal income-tested benefits, such the Canada Child Tax Benefit or Guaranteed Income Supplement. It provides tax deferral benefits without clawbacks.
- The TFSA's ability to tax shelter investment income is comparable to an RRSP - but unlike an RRSP, money withdrawn is tax free.
- If you've maximized contributions to your pension plan and RRSP, you can still contribute to the TFSA.
- The $5,000 limit will rise in future years, in $500 increments, to keep pace with inflation.
- Open a TFSA with a minimum contribution of $50/month or $500 lump sum
- Your FaithLife Financial TFSA is invested in an Individual Savings Annuity (ISA) which provides bonus interest for accounts over $50,000. (Ask to see our ISA product information card for more details.)
*Charges may apply if you surrender funds before the end of the term.
Benefits of Membership
When you purchase an SPIA you also receive the benefits of membership - people who care, information to help throughout life, and a means for you to be of help to others. Talk to your FaithLife Financial Representative today or contact our Head Office for more information.
