The Tax-Free Savings Account (TFSA) is a great way to save money and invest for the future. One of the easiest ways to stay on top of your TFSA contribution limit and avoid an overcontribution penalty is to keep track of your contributions and withdrawals throughout the year. The contribution limit for 2021 is $6,000, and any unused contribution room can be carried forward to future years.
It could be called the 'Tax-Free Investing Account.' Let's look at the best exchange-traded funds (ETFs) to add to your TFSA. ETFs are a popular investment option because they offer diversification, low costs, and easy trading. Some of the best ETFs for a TFSA include the iShares Core S&P/TSX Capped Composite Index ETF (XIC), the BMO Low Volatility Canadian Equity ETF (ZLB), and the Vanguard FTSE Canada All Cap Index ETF (VCN).
TD Bank stock is one of three top TFSA stocks that have strong financial positions, growing cash flow, and growing dividends. Other top TFSA stocks include Canadian National Railway Company (CNR) and Brookfield Asset Management (BAM).
Do you want your savings to grow while you're sleeping? Try a high-interest savings account. Forbes Advisor found the top ten in Canada, including EQ Bank, Alterna Bank, and Motive Financial.
A gold mine is a source of wealth. When miners discover a mine, they exploit the land to extract the world's most popular precious metal. Investing in gold can be a great way to diversify your portfolio and protect against inflation. Some of the best gold ETFs for a TFSA include the iShares Gold Bullion ETF (CGL) and the SPDR Gold MiniShares Trust (GLDM).
Written by Kay Ng at The Motley Fool Canada, if you have a diversified portfolio of quality dividend stocks in your TFSA, you can earn passive income and grow your savings over time. Some of the best dividend stocks for a TFSA include Fortis Inc. (FTS), Enbridge Inc. (ENB), and BCE Inc. (BCE).
If you're looking for stable growth and monthly passive income, consider this ETF that can load up your TFSA over the next decade. The iShares Canadian Select Dividend Index ETF (XDV) invests in Canadian companies with a history of high dividends and strong financials.
These two stocks may have high share prices, but that price is well worth the wealth you'll see in your TFSA by retirement. Shopify Inc. (SHOP) and Brookfield Renewable Partners (BEP) are both great growth stocks with a bright future ahead.
Written by Adam Othman at The Motley Fool Canada, the TFSA has become a valuable investment tool for many Canadians. It allows you to invest tax-free and withdraw your money at any time without penalty. By maximizing your contributions and investing wisely, you can grow your savings and achieve your financial goals.
