#PersonalFinance #Investing #TFSA
Hey everyone! 👋 I could really use some advice here. I’m 21, working full time in construction, and have about $50k in my savings account. My TFSA currently has $3500 in it. Should I max out my TFSA or continue investing weekly like I have been doing? Here’s a bit more context:
– I have zero debt and only a few monthly payments.
– What would you do in my situation? Max out TFSA, keep investing weekly, or something else?
I’m open to any suggestions and would love to hear from you all! Your feedback could really help me out. Thanks in advance! 💸📈
why arent you investing through a tfsa??
Dude, always max your TFSA. Also set up an FHSA and invest in that account once your TFSA is maxed.
Max the TFSA.
You can hold it in a high interest ISA (Interest Savings Account) or Money Market fund that will pay 4-5% at very low risk. Tax free. Then Reallocate within the account to equities (ETFs, or whatever you invest in) if you want periodically. (You may be choosing to keep a certain risk free target balance as Emergency savings).
And your non-TFSA savings should be earning 4-5% as well.
!stepstrigger
Max out the TFSA then your FHSA.
Yes.
Max your TFSA you don’t need to be paying extra taxes on the interest. If you don’t want to invest all of it, some can be locked into TFSS GIC’s which are risk free.
Even if you bought some sort of GIC in your tfsa, you would be better off than sitting in your savings account. (wont recommend any particular ETF/S&P answer .. as that is not my place 😉 )
Move the 50k to max out your TFSA and open a FHSA and max contribute 8k to it
pay off debt. max out tfsa. max out rrsp.
Don’t let cash just sit in a savings account. You need to invest that cash. You have to be in the market to make your money work for you. Get it invested.
Advice
– people have to eat…. Costco
– people have to shit….waste management
– people have financial needs….. Mastercard
– & investing in an engineering firm is a rock solid investment
Definitely put it in a TFSA. Invest through the TFSA and all the gains are tax-free upon withdrawal.
The nice thing about a TFSA is that, unlike an RRSP, you aren’t penalized for early withdrawals. If ever you need access to that money, you can have it without penalty – and if you don’t need it, it accumulates tax-free.
You should absolutely max out your TFSA every year when you’re young and likely in a much lower tax bracket than you will be later in life.
Whether you do it in lump sums or through dollar cost averaging through the year is up to you, just make sure you use up all your room.
Obviously max that thing if you can. Is it just me or is this like the new Canadian dream?
If I had to do it all again, I would take some of that money and treat myself to something nice, live a little! But for your question and this is just my personal preference, but I’d just continue investing weekly, or maybe you could comprise by investing some larger sums (say 3k every month or so) if you prefer that. I don’t think there’s a “right” answer here. Just comes down to preference.
did you have to get an education/go through some college program to get that construction job? I’m 21 too and honestly won’t mind working a construction job rn
Max that shit out bro, then afterwards max out yearly limit $7000
Dear OP,
Max the TFSA
Take care.
Yes. Max that out in an index fund. Then RRSPs