Before, I didn't understand the relationship between annual contribution limits and the lifetime limit. This TFSA presentation was a huge help. Thank you very much.
Wow. Thx. Im paying my mortgage off and im taking a substantial amount of money to do so from my TFSA. I was so upset because i thought I would lose the amount in regards to contribution towards my TFSA. This is awsome. Im excited to pay it off now especially because the mutual fund the money is in reboubound and its a good time to pull it. Thanks again.
Thanks for the video! My TFSA plan (a year away from retirement) is that I have maxed contribution room, and focused on dividend paying ETFs to a point where it generates over $1000 a month…I just keep reinvesting for now. In retirement, I will withdraw $1000 per month and then in January move in kind, $$19,000 of investments from my Cash account into my TFSA, $12,000 previous year withdrawals plus the $7000 per year added contribution room. Thanks for the video
My life changed too when I started doing this and putting money in stocks. The first few years it as really great, but this year I haven't felt like my portfolio is doing well. I have lost more than $40,000 from my portfolio the past four months, and it's now very worrisome.
The year has been really rough for everybody. But I've been able to cushion the effect though. Have you thought of using an investment advisor? They can make you good money especially during uncertain times like this.
Yes, I agree. I use a financial advisor too. Same person since 2020. I don't worry about whether the economy is going up or down or sideways. I always ride through.
My CFA NICOLE ANASTASIA PLUMLEE a renowned figure in her line of work. I recommend researching her credentials further... She has many years of experience and is a valuable resource for anyone looking to navigate the financial market..
Thank you. Nicely explained. I suppose another scenario (perhaps in an alternate universe) is that the investments in the TFSA were all Mag 7 and perhaps a few early investments in Canopy or what-have-you, and completely exploded in value since 2009. What I get from this is that withdrawing from ones TFSA should not be viewed as a bad-thing. I'm not sure why I have or had that impression, but there you go. The house down-sizing scenario is most likely, but in my case, I was cajoled out of retirement and working ~ 3days per week. That income is going straight to a Non-Reg account into some basic ETF's. Based on your video, I guess I could use the TFSA for any purchases (car, Black Swan event) and top up with this retirement income. Thanks again.
Well explained thanks! But...I'm guessing that person is eluding the guy from the Canadian Armed Forces that already has $1.8 million in his TFSA. Which, if you followed it, he lucked put on some good stock picks...mainly shopify and a few other picks & etf's. So I think your viewer doesn't realize it's an investment account...not savings. As such, it can grow & you keep the dividends etc...as long as you're not day trading.
Great stuff. Question about RRSPs. I'm a very low income earner and selling a rental property. The plan is MAX out my RRSP (currently $0, have $100,000 room), then in later years take it back out of RRSP as i have low income again. If i contribute to RRSP before dec. 31, 2024, can i take it back out in Jan 1, 2025? or does it have to stay in there a minimum # of days? (basically splitting my cap gains income over 2 years)
In 2024 would you contribute back the $10k from a regular savings or a TFSA savings. My thought is TFSA as then you keep contributing and gaining tax free $.
The biggest thing I struggle with is what stocks to buy in my tax-free and what stocks to buy in RSP that is my next research item. The other thing I struggle with is some experts recommend withdrawing from my RSP and move it over to tax-free. I definitely have lots of room in my tax free and I know over the long term I would probably benefit because of the tax savings. I would appreciate someone’s advice over this.
Thank you. May I ask, is mutual fund or segraegated fund good to invest TFSA contribution? I’m 40yo and just starting, my goal is to contribute 7k yearly. What’s the best investment I should go to maximize income for the next 25 years?
Thanks for the detailed explanation! Have a question, if I have a 10k contribution room and have put this amount in an income etf where I receive $250 in dividends every month, would withdrawal of just this dividend amount every month without touching the original 10k be counted towards withdrawal amount of the TFSA?
Aaron. Lets say you contributed 95000. Portfolio dropped to only 10000. End of year someone decides to bail out and withdraw the remaining 10k the current calander year. Is it correct the next year contribution is 10000 plus next years contribution only
Clarification. Ex) If you have $95 room, invest $95k, the market drops and you loose $25k and you panic and sell, would you not now loose that portion of loses as contribution room?
Market fluctuations of your portfolio do not affect your TFSA deposit limits. There's a difference between selling and making a withdrawal. By contributing $95K you've used up your TFSA room. By selling you've simply exited a position. Now let's say you decide to withdrawal $10K, you would have to wait until next year to redeposit the $10K in addition to your annual TFSA deposit limit of $7K.
@@AaronWealthManagement Thanks. I understand all of the TFSA, except the loss due to selling position in a down economy. Not withdrawing, just losing due to fluctuation. I thought one would lose the room, as they already maxed out. A loss would not create more room due to negative fluctuation. Thanks
Your lifetime TFSA contribution limit increases each year by the annual contribution limit. If we’re the same age and you live 2 years longer than me your limit was more than mine was it not? Right now the maximum is $95K but that will increase next year and every year you live. There are other programs that have limits such as RESP, Fires-time time home buyers, RDSP, and IPP to name a few.
@@AaronWealthManagement INCORRECT! You have a lifetime maximum contribution limit for TFSA set by CRA, it is $95,000. Once you already reached this limit, you do NOT get further contribution room with age, you can increase in age but there will be no more contribution room given after reaching $95,000
So SAID differently .. You cannot cannot cannot deposit into a TFSA over and beyond 95,000 from 2009 to 2024 that’s it. You can grow it from there of course but you cannot you cannot you cannot deposit into a TSA willy-nilly more than 95 up to 2024 most likely January 25 add 7500 as most likely the limit for next year .. ~ 102,500. PERIOD. OR MAYBE NOT and im confused 🥸
Before, I didn't understand the relationship between annual contribution limits and the lifetime limit. This TFSA presentation was a huge help. Thank you very much.
This is the most detailed explanation I've seen yet about TFSAs and I actually understood it. Thanks David!
Wow. Thx. Im paying my mortgage off and im taking a substantial amount of money to do so from my TFSA. I was so upset because i thought I would lose the amount in regards to contribution towards my TFSA. This is awsome. Im excited to pay it off now especially because the mutual fund the money is in reboubound and its a good time to pull it. Thanks again.
Thanks for the video!
My TFSA plan (a year away from retirement) is that I have maxed contribution room, and focused on dividend paying ETFs to a point where it generates over $1000 a month…I just keep reinvesting for now.
In retirement, I will withdraw $1000 per month and then in January move in kind, $$19,000 of investments from my Cash account into my TFSA, $12,000 previous year withdrawals plus the $7000 per year added contribution room.
Thanks for the video
My life changed too when I started doing this and putting money in stocks. The first few years it as really great, but this year I haven't felt like my portfolio is doing well. I have lost more than $40,000 from my portfolio the past four months, and it's now very worrisome.
The year has been really rough for everybody. But I've been able to cushion the effect though. Have you thought of using an investment advisor? They can make you good money especially during uncertain times like this.
Yes, I agree. I use a financial advisor too. Same person since 2020. I don't worry about whether the economy is going up or down or sideways. I always ride through.
Oh, really? I have never thought of that as an option. Can I ask who it is you've been working with? I bet I could use some help myself.
My CFA NICOLE ANASTASIA PLUMLEE a renowned figure in her line of work. I recommend researching her credentials further... She has many years of experience and is a valuable resource for anyone looking to navigate the financial market..
Thank you for the lead. I searched her up, and I have sent her an email. I hope she gets back to me soon.
Outstanding TFSA presentation! 👍 ✅
Thank you. Nicely explained. I suppose another scenario (perhaps in an alternate universe) is that the investments in the TFSA were all Mag 7 and perhaps a few early investments in Canopy or what-have-you, and completely exploded in value since 2009.
What I get from this is that withdrawing from ones TFSA should not be viewed as a bad-thing. I'm not sure why I have or had that impression, but there you go. The house down-sizing scenario is most likely, but in my case, I was cajoled out of retirement and working ~ 3days per week. That income is going straight to a Non-Reg account into some basic ETF's. Based on your video, I guess I could use the TFSA for any purchases (car, Black Swan event) and top up with this retirement income.
Thanks again.
Great explanation
Well explained thanks!
But...I'm guessing that person is eluding the guy from the Canadian Armed Forces that already has $1.8 million in his TFSA.
Which, if you followed it, he lucked put on some good stock picks...mainly shopify and a few other picks & etf's.
So I think your viewer doesn't realize it's an investment account...not savings. As such, it can grow & you keep the dividends etc...as long as you're not day trading.
Great stuff. Question about RRSPs. I'm a very low income earner and selling a rental property. The plan is MAX out my RRSP (currently $0, have $100,000 room), then in later years take it back out of RRSP as i have low income again. If i contribute to RRSP before dec. 31, 2024, can i take it back out in Jan 1, 2025? or does it have to stay in there a minimum # of days? (basically splitting my cap gains income over 2 years)
U can but have to pay a monthly penalty percentage i think its 1% per month on the over contributions
In 2024 would you contribute back the $10k from a regular savings or a TFSA savings.
My thought is TFSA as then you keep contributing and gaining tax free $.
How can I make withdrawal if I never put money in my account but I have 54k in contributions room ?
The biggest thing I struggle with is what stocks to buy in my tax-free and what stocks to buy in RSP that is my next research item. The other thing I struggle with is some experts recommend withdrawing from my RSP and move it over to tax-free. I definitely have lots of room in my tax free and I know over the long term I would probably benefit because of the tax savings. I would appreciate someone’s advice over this.
Keep US dividend paying stocks in the RSP, otherwise you lose a certain percentage in withholding tax.
Thank you. May I ask, is mutual fund or segraegated fund good to invest TFSA contribution? I’m 40yo and just starting, my goal is to contribute 7k yearly. What’s the best investment I should go to maximize income for the next 25 years?
Index fund of s and p 500 it's hard to beat the market and segregated funds have higher fees usually and lower returns but less volitile
Thanks for the detailed explanation! Have a question, if I have a 10k contribution room and have put this amount in an income etf where I receive $250 in dividends every month, would withdrawal of just this dividend amount every month without touching the original 10k be counted towards withdrawal amount of the TFSA?
Yes, absolutely
Aaron. Lets say you contributed 95000. Portfolio dropped to only 10000. End of year someone decides to bail out and withdraw the remaining 10k the current calander year. Is it correct the next year contribution is 10000 plus next years contribution only
Yes, the 10k withdrawn cannot be put back the same year but can be deposited back into TFSA after January 1st plus the new year's contribution amount
Like your videos, how do I get this tool please. Thank you
Thanks for watching. It’s a software program called Snap Projection
Clarification. Ex) If you have $95 room, invest $95k, the market drops and you loose $25k and you panic and sell, would you not now loose that portion of loses as contribution room?
Market fluctuations of your portfolio do not affect your TFSA deposit limits. There's a difference between selling and making a withdrawal. By contributing $95K you've used up your TFSA room. By selling you've simply exited a position. Now let's say you decide to withdrawal $10K, you would have to wait until next year to redeposit the $10K in addition to your annual TFSA deposit limit of $7K.
@@AaronWealthManagement Thanks. I understand all of the TFSA, except the loss due to selling position in a down economy. Not withdrawing, just losing due to fluctuation. I thought one would lose the room, as they already maxed out. A loss would not create more room due to negative fluctuation. Thanks
NOT true! You shouldn’t say there is no maximum limit. There is a lifetime TFSA contribution room.
Your lifetime TFSA contribution limit increases each year by the annual contribution limit. If we’re the same age and you live 2 years longer than me your limit was more than mine was it not? Right now the maximum is $95K but that will increase next year and every year you live. There are other programs that have limits such as RESP, Fires-time time home buyers, RDSP, and IPP to name a few.
@@AaronWealthManagement INCORRECT! You have a lifetime maximum contribution limit for TFSA set by CRA, it is $95,000. Once you already reached this limit, you do NOT get further contribution room with age, you can increase in age but there will be no more contribution room given after reaching $95,000
what happens when you die?
@@gobbeldy1 the balance on that day goes to your beneficiaries tax free 😀
So SAID differently .. You cannot cannot cannot deposit into a TFSA over and beyond 95,000 from 2009 to 2024 that’s it. You can grow it from there of course but you cannot you cannot you cannot deposit into a TSA willy-nilly more than 95 up to 2024 most likely January 25 add 7500 as most likely the limit for next year .. ~ 102,500. PERIOD. OR MAYBE NOT and im confused 🥸