Wealth Building for Retirement

Government of Canada TFSA Calculator

Tax-Free Saving Account (TFSA)

The Tax-Free Savings Account (TFSA) is the most exciting innovation in personal savings since the creation of the Registered Retirement Savings Plan (RRSP) by the government of Canada.

The TFSA is a unique tax-free savings program (non-RRSP) now offered by Industrial Alliance to help you:

	Accumulate more savings to earn money tax free to finance personal projects,
	Make income generated by investments (existing investments, investment income, inheritances, and other cash proceeds grow tax free during your lifetime.
	Maximize your savings with retirement in mind

	Advantages of the TFSA
	Advantages of the Industrial Alliance TFSA
	For Further Information

Advantages of the TFSA

If you’re a Canadian resident age 18 or older, you can benefit from a savings account that offers the following advantages:

	Simple and accessible You can contribute up to $5,000 annually in a tax-free account, regardless of your income.
	Tax free Any earnings generated (interest, capital gains or dividends) in the TFSA, as well as sums withdrawn, are not taxable.
	Cumulative contribution room Unused annual contribution room accumulates indefinitely.
	Ease of withdrawals You can withdraw any amount at any time without penalty. *There is no restriction as to the use of withdrawals.
	Ideal complement to an RRSP The TFSA investment instrument complements an RRSP as an efficient way to save and put more money toward your retirement.
	No affect on income-based government benefits Neither TFSA contributions nor its earnings affect eligibility for the Guaranteed Income Supplement, Old Age Security, the Canada Child Tax Benefit or other government benefits based on income.
	Wide range of investments You have the freedom to choose the funds—daily interest, guaranteed interest and a wide range of segregated funds—that reflect your needs.
	Practical income-splitting tool A couple can contribute to two TFSAs even if one of them has no income.
	Collateral assignment It’s possible to assign the assets of a TFSA as collateral for a loan.

Advantages of the Industrial Alliance TFSA

	Exceptional guarantees on sums invested and generated by investments in your Ecoflex and Ecoflextra contracts (segregated funds)
	Wide range of innovative products (daily interest funds, guaranteed interest funds and segregated funds)
	Possibility of protecting your savings from creditors*
	Estate value is protected upon death thanks to the designation of a beneficiary (no probate fees)
	Continuity of your contributions in case of disability*
	Professional financial advisors.

*Certain conditions apply.

For Further Information

	Government of Canada FAQ on TFSA
	Government of Canada TFSA Calculator
	Industrial Alliance’s brochure about the TFSA (PDF – 229 KB)