TFSA

The Tax-Free Savings Account (TFSA) is a flexible, tax-free investment account available to Canadians aged 18 and older. Contributions to a TFSA are not tax-deductible, but all investment income—including interest, dividends, and capital gains—grows tax-free, and withdrawals can be made at any time without penalty or tax.

The annual contribution limit is set by the government (e.g., $7,000), and unused room carries forward indefinitely. TFSAs can hold a wide range of investments, including stocks, ETFs, mutual funds, and GICs, making them ideal for both short-term and long-term wealth building.