Costco Flyer - 05/01-06/30/2021 (Page 16)

according to the 2016 census holds contributed to at least one of three major types of registered savings accounts financial connection by lana sanichar rrsp or tfsa? understanding which savings account to contribute to and when hile many of us have heard the pros and cons of tax-free and registered retirement receive questions from readers asking which government registered savings account they should contribute to first understanding that every financial things to take into consideration when you are deciding whether to contribute money to your tfsa or your rrsp timeline when contributing to your you just starting out in your adult life and is cash flow is a little tight? do you know whether you'll have a major expense in the near future? do you earn starting to think about life after work and whether you will be able to maintain the same standard of living in retirement for short-term saving and they're flexible that means that when you decide to deferred accounts that are geared for dends are taxed at the time of withdrawal usually tends to be lower in retirement courtesy of lana sanichar lana sanichar is president and editor- in-chief of canadian moneysaver magazine the second advantage of rrsps is that the tax credits you receive when you contribute to the plan reduce your tax- able income for the year you contribute any withdrawals from your rrsp will need to be reported as income on your you be penalized via a withholding tax you will also lose valuable contribution space which could impact the future different advantages are associated should have a clear view of where your allowable investment across both retirement is better earlier than later visit the canada revenue agency and in-depth rules on tfsa and rrsp savings vehicles for your financial situa- through an exclusive moneysaver's experts partner with the costco connection to share advice about relevant financial topics email topic suggestions to moneyinfo@canadian costco members are offered a one-year special introductory price with online canadianmoneysaver.ca and click on "subscribe," for the discount code at the bottom of the page check canada.ca not sure how much space you have left in either of these savings vehicles? canada.ca is a valuable source of information for everyone who pays income it contain your notices of assessment and tax slips from previous years' tax returns it also contains information about any contributions you have made to your tfsa and rrsp accounts and includes available space for more information visit canada.ca and search "cra login services."-ls