CRA: 3 TFSA Mistakes to Avoid With Your New $75,500 Limit

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The Tax-Free Savings Account (TFSA) is a unique investment tool that helps Canadians meet their financial goals, short-term and long-term. It has been around since 2009, and the contribution room keeps accumulating every year.

With the new $6,000 contribution limit in 2021, anyone who hasn’t opened one but is eligible, the available contribution room is now $75,500. If you have that much to invest, all interest, gains or investment income you generate are tax-free. Users who maxed out their limits in 2020 can contribute again to earn more tax-free money.

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Original Article Source Credits:   The Motley Fool ,

Article Written By:  Christopher Liew, CFA

Original Article Posted on:  January 12, 2021 

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