TFSAs: A way to invest your money and earn tax-free income
Whether you are saving for a new home or for your retirement, CIBC can help you reach your goal with a Tax-Free Savings Account (TFSA). A TFSA is a flexible Canadian savings plan that lets you earn tax free income on your investment in the account.
As a Canadian resident, you can put up to $5,500 a year into a TFSA. If you do not invest the full $5,500 one year, you can carry the unused amount forward to the following year. For example, if you only invest $4,500 in a TFSA this year, next year you will be able to invest the $5,500 year maximum plus the unused $1,000, for a total of $6,500.
CIBC offers many TFSA options:
TFSA Tax Advantage Savings Accounts
With a CIBC TFSA Tax Advantage Savings Account®, tax-free interest is calculated every day and added to your account monthly. You can set up regular deposits to grow your savings faster. If something happens and you need your money, you can take it out anytime, without paying tax. You do not pay any fees on this account unless you move some or all of your TFSA savings to another financial institution.
TFSA Guaranteed Income Certificates (GIC)
A Guaranteed Investment Certificate (GIC) is a type of Canadian investment that offers you a fixed rate of interest on your investment. CIBC offers a variety of TFSA GICS that enable you to earn competitive interest on your money, tax-free.
TFSA Mutual Funds
When you put mutual funds in your TFSA, you don’t pay tax on the income you earn. CIBC offers a variety of mutual funds ranging from low risk to high risk– for all investor types1. We can help you find the right mutual fund for your TFSA.