{"id":6930,"date":"2018-02-07T12:46:10","date_gmt":"2018-02-07T16:46:10","guid":{"rendered":"https:\/\/finvest.ca\/?p=6930"},"modified":"2018-02-07T12:46:10","modified_gmt":"2018-02-07T16:46:10","slug":"rrsp-or-tfsa","status":"publish","type":"post","link":"https:\/\/finvest.ca\/en\/rrsp-or-tfsa\/","title":{"rendered":"RRSP or TFSA"},"content":{"rendered":"

January 31st 2018<\/p>\n

RRSP or TFSA Contribution<\/strong><\/p>\n

As we approach the RRSP period, we can certainly ask ourselves: \u00ab\u00a0Is it better to invest in a TFSA or continue to grow your RRSP?\u00a0\u00bb The answer is not simple. If your marginal tax rate at retirement will be lower than when you work, the RRSP is preferred for retirement and vice versa. Here is a comparative chart of the two investment vehicles.<\/p>\n\n\n\n\n\n\n\n\n
RRSP \u2013 TSFA comparison<\/strong><\/td>\nRRSP<\/strong><\/td>\nTSFA<\/strong><\/td>\n<\/tr>\n
Contributions are tax deductible<\/td>\nYes<\/td>\nNo<\/td>\n<\/tr>\n
Deposits and growth taxable at withdrawal<\/td>\nYes<\/td>\nNo<\/td>\n<\/tr>\n
Carryover of unused deductions is allowed<\/td>\nYes<\/td>\nYes<\/td>\n<\/tr>\n
There is an age limit for contributing<\/td>\n71<\/td>\nNo<\/td>\n<\/tr>\n
Withdrawals at any time<\/td>\nYes<\/td>\nYes<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

When you retire, the most important thing to remember is that withdrawals from the RRSP are added to the amount used to calculate the old age security pension and the guaranteed income supplement, not the case for withdrawals from the TFSA. In other words, it is beneficial to plan the balance between RRSPs and TFSAs to avoid being penalized in retirement. The revenue cap before seeing the OAS clawback is $75,910 for 2018.
\nTFSA Ceiling\u00a0<\/strong>
\nIf you have never contributed to a TFSA the maximum lifetime contribution stands at $57,500. In 2018 the maximum contribution is at $5,500.
\nMy role as a financial planner is to help you make the best use of the various income accumulation vehicles for retirement.<\/p>\n

Mauro Di Cesare,\u00a0 Fin.Pl.<\/p>","protected":false},"excerpt":{"rendered":"

January 31st 2018 RRSP or TFSA Contribution As we approach the RRSP period, we can certainly ask ourselves: \u00ab\u00a0Is it better to invest in a TFSA or continue to grow your RRSP?\u00a0\u00bb The answer is not simple. If your marginal tax rate at retirement will be lower than when you work, the RRSP is preferred […]<\/p>\n","protected":false},"author":7,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[68],"tags":[],"class_list":["post-6930","post","type-post","status-publish","format-standard","hentry","category-non-classe-en"],"yoast_head":"\nRRSP or TFSA - Finvest<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/finvest.ca\/en\/rrsp-or-tfsa\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"RRSP or TFSA - Finvest\" \/>\n<meta property=\"og:description\" content=\"January 31st 2018 RRSP or TFSA Contribution As we approach the RRSP period, we can certainly ask ourselves: \u00ab\u00a0Is it better to invest in a TFSA or continue to grow your RRSP?\u00a0\u00bb The answer is not simple. If your marginal tax rate at retirement will be lower than when you work, the RRSP is preferred […]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/finvest.ca\/en\/rrsp-or-tfsa\/\" \/>\n<meta property=\"og:site_name\" content=\"Finvest\" \/>\n<meta property=\"article:published_time\" content=\"2018-02-07T16:46:10+00:00\" \/>\n<meta name=\"author\" content=\"Finvest\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Finvest\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"1 minute\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/finvest.ca\\\/rrsp-or-tfsa\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/finvest.ca\\\/rrsp-or-tfsa\\\/\"},\"author\":{\"name\":\"Finvest\",\"@id\":\"https:\\\/\\\/finvest.ca\\\/#\\\/schema\\\/person\\\/d9697696301ac54510f0da1d14005ec8\"},\"headline\":\"RRSP or TFSA\",\"datePublished\":\"2018-02-07T16:46:10+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/finvest.ca\\\/rrsp-or-tfsa\\\/\"},\"wordCount\":233,\"commentCount\":0,\"articleSection\":[\"Non class\u00e9 @en\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/finvest.ca\\\/rrsp-or-tfsa\\\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/finvest.ca\\\/rrsp-or-tfsa\\\/\",\"url\":\"https:\\\/\\\/finvest.ca\\\/rrsp-or-tfsa\\\/\",\"name\":\"RRSP or TFSA - Finvest\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/finvest.ca\\\/#website\"},\"datePublished\":\"2018-02-07T16:46:10+00:00\",\"author\":{\"@id\":\"https:\\\/\\\/finvest.ca\\\/#\\\/schema\\\/person\\\/d9697696301ac54510f0da1d14005ec8\"},\"breadcrumb\":{\"@id\":\"https:\\\/\\\/finvest.ca\\\/rrsp-or-tfsa\\\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/finvest.ca\\\/rrsp-or-tfsa\\\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/finvest.ca\\\/rrsp-or-tfsa\\\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/finvest.ca\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"RRSP or TFSA\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/finvest.ca\\\/#website\",\"url\":\"https:\\\/\\\/finvest.ca\\\/\",\"name\":\"Finvest\",\"description\":\"\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/finvest.ca\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\\\/\\\/finvest.ca\\\/#\\\/schema\\\/person\\\/d9697696301ac54510f0da1d14005ec8\",\"name\":\"Finvest\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/2cf66dc67542179696c84ad56012869a8b41e0745625a8a58b38d05997835365?s=96&d=mm&r=g\",\"url\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/2cf66dc67542179696c84ad56012869a8b41e0745625a8a58b38d05997835365?s=96&d=mm&r=g\",\"contentUrl\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/2cf66dc67542179696c84ad56012869a8b41e0745625a8a58b38d05997835365?s=96&d=mm&r=g\",\"caption\":\"Finvest\"},\"sameAs\":[\"http:\\\/\\\/www.hostingbros.ca\"],\"url\":\"https:\\\/\\\/finvest.ca\\\/en\\\/author\\\/finvest\\\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"RRSP or TFSA - Finvest","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/finvest.ca\/en\/rrsp-or-tfsa\/","og_locale":"en_US","og_type":"article","og_title":"RRSP or TFSA - Finvest","og_description":"January 31st 2018 RRSP or TFSA Contribution As we approach the RRSP period, we can certainly ask ourselves: \u00ab\u00a0Is it better to invest in a TFSA or continue to grow your RRSP?\u00a0\u00bb The answer is not simple. If your marginal tax rate at retirement will be lower than when you work, the RRSP is preferred […]","og_url":"https:\/\/finvest.ca\/en\/rrsp-or-tfsa\/","og_site_name":"Finvest","article_published_time":"2018-02-07T16:46:10+00:00","author":"Finvest","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Finvest","Est. reading time":"1 minute"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/finvest.ca\/rrsp-or-tfsa\/#article","isPartOf":{"@id":"https:\/\/finvest.ca\/rrsp-or-tfsa\/"},"author":{"name":"Finvest","@id":"https:\/\/finvest.ca\/#\/schema\/person\/d9697696301ac54510f0da1d14005ec8"},"headline":"RRSP or TFSA","datePublished":"2018-02-07T16:46:10+00:00","mainEntityOfPage":{"@id":"https:\/\/finvest.ca\/rrsp-or-tfsa\/"},"wordCount":233,"commentCount":0,"articleSection":["Non class\u00e9 @en"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/finvest.ca\/rrsp-or-tfsa\/#respond"]}]},{"@type":"WebPage","@id":"https:\/\/finvest.ca\/rrsp-or-tfsa\/","url":"https:\/\/finvest.ca\/rrsp-or-tfsa\/","name":"RRSP or TFSA - Finvest","isPartOf":{"@id":"https:\/\/finvest.ca\/#website"},"datePublished":"2018-02-07T16:46:10+00:00","author":{"@id":"https:\/\/finvest.ca\/#\/schema\/person\/d9697696301ac54510f0da1d14005ec8"},"breadcrumb":{"@id":"https:\/\/finvest.ca\/rrsp-or-tfsa\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/finvest.ca\/rrsp-or-tfsa\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/finvest.ca\/rrsp-or-tfsa\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/finvest.ca\/"},{"@type":"ListItem","position":2,"name":"RRSP or TFSA"}]},{"@type":"WebSite","@id":"https:\/\/finvest.ca\/#website","url":"https:\/\/finvest.ca\/","name":"Finvest","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/finvest.ca\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/finvest.ca\/#\/schema\/person\/d9697696301ac54510f0da1d14005ec8","name":"Finvest","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/secure.gravatar.com\/avatar\/2cf66dc67542179696c84ad56012869a8b41e0745625a8a58b38d05997835365?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/2cf66dc67542179696c84ad56012869a8b41e0745625a8a58b38d05997835365?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/2cf66dc67542179696c84ad56012869a8b41e0745625a8a58b38d05997835365?s=96&d=mm&r=g","caption":"Finvest"},"sameAs":["http:\/\/www.hostingbros.ca"],"url":"https:\/\/finvest.ca\/en\/author\/finvest\/"}]}},"_links":{"self":[{"href":"https:\/\/finvest.ca\/en\/wp-json\/wp\/v2\/posts\/6930","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/finvest.ca\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/finvest.ca\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/finvest.ca\/en\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/finvest.ca\/en\/wp-json\/wp\/v2\/comments?post=6930"}],"version-history":[{"count":1,"href":"https:\/\/finvest.ca\/en\/wp-json\/wp\/v2\/posts\/6930\/revisions"}],"predecessor-version":[{"id":6931,"href":"https:\/\/finvest.ca\/en\/wp-json\/wp\/v2\/posts\/6930\/revisions\/6931"}],"wp:attachment":[{"href":"https:\/\/finvest.ca\/en\/wp-json\/wp\/v2\/media?parent=6930"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/finvest.ca\/en\/wp-json\/wp\/v2\/categories?post=6930"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/finvest.ca\/en\/wp-json\/wp\/v2\/tags?post=6930"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}