Canada's First Home Savings Account is the best deal in Canadian personal finance: you get a tax deduction when money goes in, like an RRSP, and the money comes out completely tax-free for a qualifying home purchase, like a TFSA. It is the only account that gives you both. But it comes with a clock. And the clock is the trap. What the FHSA Is The FHSA launched in … [Read more...] about The FHSA 15-Year Trap (and the 3 Moves That Beat It)
Canada taxes
TFSA vs RRSP: The $50,000 Rule That Picks the Winner for You
If you earn around $50,000 a year in Canada, you have probably heard the same advice from everyone: "just contribute to your RRSP" or "just use your TFSA." The truth is less exciting but far more useful. Neither account is the automatic winner. The winner is decided by one number: your marginal tax rate today versus your marginal tax rate when you withdraw the money. Get that … [Read more...] about TFSA vs RRSP: The $50,000 Rule That Picks the Winner for You