TFSA Tips for young families
(NC) Still wondering how to use a Tax-Free Savings Account to your best advantage?
“When you're starting a family, setting financial priorities can be a challenge,” said Tannis Dawson, a tax and financial planning expert with Investors Group. “A TFSA is a flexible way to save and minimize your taxes at the same time.”
Dawson offers these TFSA tips for young families:
Save for emergencies and large short term expenses like a vehicle, vacation or home down payment without having to liquidate investments and paying taxes on the income.
Save for a home in addition to or instead of the RRSP Home Buyers Plan.
Save for education in addition to or instead of non-registered savings, the RRSP Lifelong Learning Plan or RESPs.
Save for your children: as a parent, you retain control of TFSA funds and when to disburse them.
Save to start a business: TFSAs are a tax-effective way to save the initial equity you need and can be used as security for bank financing.
Save for retirement in addition to your RRSP contributions.
Word count: 234
Source: This column, written and published by Investors Group Financial Services Inc. (in Quebec – a Financial Services Firm), presents general information only and is not a solicitation to buy or sell any investments. Contacta financial advisor for specific advice about your circumstances. More information on this topic can be obtained from your Investors Group Consultant.
Articles are provided free of charge. Articles appearing on web sites, must credit www.newscanada.com. Articles appearing in Print, must credit News Canada with (NC) at beginning of an article or – News Canada at the end. Any source/sponsor of the information quoted in the text must also be identified as presented. Images are only to be used with corresponding editorial copy. Usage of News Canada articles constitutes your acceptance of these terms and an agreement between you and News Canada.
Image Instructions - Note: Illegal to use without News Canada editorial.
To open/download image(s) used in this article, please click the following links:Click here for image file: «80307H.jpg»