If you’re like many Canadians, paying down your mortgage and contributing to your RRSPs are two top financial planning priorities.
TFSA balances are often low due to a lack of contributions and other financial priorities. Another reason why TFSA balances are low is underfunding. Sadly, many Canadians are using High-Interest accounts within their TFSA rather than choosing equities.
The need to Hack Your TFSA is due to an income gap at retirement. Many people retire before receiving their Canadian government benefits such as CPP and OAS. This creates a retirement income deficiency and without having adequate TFSA balances to bridge this gap, retirees may be forced to use their RRIF much earlier than expected.
This strategy is for people who are at least 10 years or more from retirement and have equity in their home. Before considering this Retirement Hack to Maximize Your TFSA, you should determine your TFSA contribution room.
To find your TFSA contribution room visit these CRA Government websites:
Visit My Account: https://www.canada.ca/en/revenue-agen…
My CRA: https://www.canada.ca/en/revenue-agen…
Phone: 1-800-267-6999
Check out these videos: Will I Have Enough Money To Retire:
How Much Money Do I Need To Retire In Canada https://youtu.be/17iIHBd6Gu4
Learn the Best Time to Start Receiving your CPP Benefits https://youtu.be/UCmxvNrn-hA
How much money do I need to retire in Canada comfortably https://youtu.be/1nFlaprSGz8
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