TFSAs….save taxes on the income, no taxes on withdrawals

[jeff2]

For people in low income tax brackets, TFSAs and Canadian dividend stocks in non registered portfolios are the way to go.
If you do have an RRSP, even though I have not done it with mine but should, they are best for U.S. dividend stocks.
Put your highest conviction risky stocks(along with some safer stuff, of course) in the TFSA. Lower conviction risky stocks in the non registered account.

 

[NotADcotor]

Might be tough politically to stop it, but it will be interesting to see how it pans out.

Politically impossible and kinda weird to implement. Do you force people to close out positions and sell, that would be annoying.

Also more and more old people as we aren't shitting out sprog like we used to and those maternal fornicators vote. Also almost nobody actually gives a shit about anything if it impacts them. People who love taxes do so as long as you tax someone else. Exceptions, rules proving.

 

[barnacler]

Politically impossible and kinda weird to implement. Do you force people to close out positions and sell, that would be annoying.

Also more and more old people as we aren't shitting out sprog like we used to and those maternal fornicators vote. Also almost nobody actually gives a shit about anything if it impacts them. People who love taxes do so as long as you tax someone else. Exceptions, rules proving.

To implement, just instruct securities firms to begin deducting taxes once the amount is over the limit, no-one said anything about selling anything.

The rest of your post I can't comment on.

 

[NotADcotor]

To implement, just instruct securities firms to begin deducting taxes once the amount is over the limit, no-one said anything about selling anything.

Rather than pay the tax one would just start closing out positions to avoid paying for it. So yeah, you are actually talking about forcing people to sell something, just indirectly.

Also I said it would be weird, not impossible.

 

[richaceg]

It's dumb to put money on RRSPs...those money you put there....are already taxed...then when you withdraw it, you will be taxed again. get a safe.

 

[Burldude]

It's dumb to put money on RRSPs...those money you put there....are already taxed...then when you withdraw it, you will be taxed again. get a safe.

Hope you are not a financial adviser.

 

[NotADcotor]

It's dumb to put money on RRSPs...those money you put there....are already taxed...then when you withdraw it, you will be taxed again. get a safe.

You know you get a tax rebate when you put money into an RRSP right.

Registered Retirement Savings Plan (RRSP) - Canada.ca

How to set up and contribute to an RRSP, transferring funds, making withdrawals, receiving income, death of an RRSP annuitant, RRSP tax-free withdrawal schemes.

www.canada.ca

.

If you are a real baller, you put in money when you are at the highest tax bracket and take it out when post retirement your tax rate is hopefully lower.

There are people for whom the RRSP isn't for, but not for the reason you stated. If for example your are in a low tax bracket now, perhaps the TFSA is a better choise, but if your income is that low, I doubt you are saving much of anything. Or if you plan on collecting OAS or GIS as well as having a high tax bracket income in retirement, but you can get around that by taking the money before you qualify for OAS and again if you are collecting GIS, you probably don't have much income anyways.

Not a financial planner but any adult who saves money should know this shit.

 

[richaceg]

You know you get a tax rebate when you put money into an RRSP right.

Registered Retirement Savings Plan (RRSP) - Canada.ca

How to set up and contribute to an RRSP, transferring funds, making withdrawals, receiving income, death of an RRSP annuitant, RRSP tax-free withdrawal schemes.

www.canada.ca

.

If you are a real baller, you put in money when you are at the highest tax bracket and take it out when post retirement your tax rate is hopefully lower.

There are people for whom the RRSP isn't for, but not for the reason you stated. If for example your are in a low tax bracket now, perhaps the TFSA is a better choise, but if your income is that low, I doubt you are saving much of anything. Or if you plan on collecting OAS or GIS as well as having a high tax bracket income in retirement, but you can get around that by taking the money before you qualify for OAS and again if you are collecting GIS, you probably don't have much income anyways.

Not a financial planner but any adult who saves money should know this shit.

I get it...I had responded still but now has switched to tfsa and bought gic...resp is the thing of the past....

 

[barnacler]

Rather than pay the tax one would just start closing out positions to avoid paying for it. So yeah, you are actually talking about forcing people to sell something, just indirectly.

Also I said it would be weird, not impossible.

You DID say it would be politically impossible, so , yes, you did say it would be impossible, since it would be a political initiative to do it.

And , no, I am most assuredly NOT talking about anyone being required to sell anything. One could merely transfer the position to a non-registered account. No forced selling whatsoever. People do it all the time with their minimum RIF payments, they transfer assets to a non-registered account. They do not sell anything.

 

[barnacler]

I get it...I had responded still but now has switched to tfsa and bought gic...resp is the thing of the past....

Your answers are all over the place. You need to be precise. I believe you mean RSP, not RESP.

But in any case, I love you , because THAT IS ONE HELL OF A HOT PICTURE!

 

[barnacler]

You know you get a tax rebate when you put money into an RRSP right.

AS I said, and I believe this is not a small point, it is NOT a rebate, it is a payment for a stake in your RRSP. It is a government investment in your RRSP.

It is not something that REDUCES YOUR COST. It REDUCES YOUR STAKE.

 

[NotADcotor]

You DID say it would be politically impossible, so , yes, you did say it would be impossible, since it would be a political initiative to do it.

And , no, I am most assuredly NOT talking about anyone being required to sell anything. One could merely transfer the position to a non-registered account. No forced selling whatsoever. People do it all the time with their minimum RIF payments, they transfer assets to a non-registered account. They do not sell anything.

I meant it's politically impossible, not administratively impossible, they are two different things.

Ok you got me on that point, I'll concede my objection.

Wait a minute, this is the internet, I can't admit I am wrong on something. Fuck fuck fuck. Oh I know, I'll call you a fag. Yeah, that was close, I almost got banned from the internet.

 

[NotADcotor]

AS I said, and I believe this is not a small point, it is NOT a rebate, it is a payment for a stake in your RRSP. It is a government investment in your RRSP.

It is not something that REDUCES YOUR COST. It REDUCES YOUR STAKE.

How to claim your RRSP, PRPP or SPP contributions on your tax return - Canada.ca

Montants excédentaires

www.canada.ca

MyTaxHub Tax Tips

www.mytaxhub.ca

You get a bigger tax rebate/smaller tax bill. It's like every other tax rebate/refund. You put in the money, you do your taxes and get some of it back, they don't top up your RRSP with more money.

 

[barnacler]

How to claim your RRSP, PRPP or SPP contributions on your tax return - Canada.ca

Montants excédentaires

www.canada.ca

MyTaxHub Tax Tips

www.mytaxhub.ca

You get a bigger tax rebate/smaller tax bill. It's like every other tax rebate/refund. You put in the money, you do your taxes and get some of it back, they don't top up your RRSP with more money.

It most certainly is not.

Other tax rebates do NOT henceforth make what was previously an after-taxed asset (your contribution) into an un-taxed asset. (your RRSP)

 

[Jubee]

Funny how the TFSA was introduced as some great thing to save us from getting taxed and here we are 15 years later and we're getting taxed to death on everything and nothing (carbon).
Poof!

 

[Enonymouse]

It's dumb to put money on RRSPs...those money you put there....are already taxed...then when you withdraw it, you will be taxed again. get a safe.

Clueless.

 

[NotADcotor]

Funny how the TFSA was introduced as some great thing to save us from getting taxed and here we are 15 years later and we're getting taxed to death on everything and nothing (carbon).
Poof!

It was never introduced as some great thing to save us from getting taxed. It was introduced to allow people to avoid paying taxes on the the gains of their investments to a pretty good degree [at least for those who came of age when or after it was introduced] and to provide an option for those for whom the RRSP wasn't such a good idea because taking money out after retirement was clawback the OAS and GIS to the point where the tax rebate when you put money in isn't worth it.

Also we are not being taxed to death on everything. Taxes as a share of GDP isn't much different than 15 years ago and the carbon tax as part of the whole pie... hmmm pie is pretty small.

Your comment isn't the dumbest thing I've ever read on terb, but that is only because it has so much competition. “What you've just posted is idiotic. At no point in your rambling, incoherent post were you even close to anything that could be considered a rational thought. Everyone on this forum is now dumber for having read it. I award you no points, and may God have mercy on your soul.”

 

[Not getting younger]

Some accredited and qualified professionals will simply argue 6 of one, half dozen of another. There are also vehicles you can hold in TFSAs, but RSPs you can’t.

You also need to be able to calculate the PV and FWD of $$

etc etc etc.
Amazes me how many people will spend hours and hours researching where to spend $800 bucks on a new TV but won’t spend 2hours finding and talking with a professional.

Without getting into too much, or too many nitty gritties. If your disposable income is such that you have a hard time deciding where to allocate some spare $$, between a TFSA, RSP or paying down a mortgage/Car loan/Credit line visa. Spend some time finding a good professional…

All that said, without getting into nitty gritties that vary for each unique individual and their unique situation, goals etc.

TFSA>>>RSP
If for no other reason than shit ( life) happens to almost everyone. Car write offs, lay offs, major illness or injuries, divorce and more. Some skate through life relatively unscathed, others don’t.

A TFSA is like cash under the bed with benefits for a rainy day. Especially for those who don’t have much disposable income

 

[Jubee]

It was never introduced as some great thing to save us from getting taxed. It was introduced to allow people to avoid paying taxes on the the gains of their investments to a pretty good degree [at least for those who came of age when or after it was introduced] and to provide an option for those for whom the RRSP wasn't such a good idea because taking money out after retirement was clawback the OAS and GIS to the point where the tax rebate when you put money in isn't worth it.

Also we are not being taxed to death on everything. Taxes as a share of GDP isn't much different than 15 years ago and the carbon tax as part of the whole pie... hmmm pie is pretty small.

Your comment isn't the dumbest thing I've ever read on terb, but that is only because it has so much competition. “What you've just posted is idiotic. At no point in your rambling, incoherent post were you even close to anything that could be considered a rational thought. Everyone on this forum is now dumber for having read it. I award you no points, and may God have mercy on your soul.”

....and 15 years later, POOF! All that money is going real fast to more taxes.

 

[superstar_88]

whoever suggested putting money in a safe is just very bad advice.
Inflation will just erode it's value.
If you have money make it work for you.