Should clients contribute to RRSP or TFSA?

TFSAs offer tax-free growth, while RRSPs offer tax-deferral and a present-day rebate. So where should clients who are keen to save put their money first?

Read: Almost half of boomers don’t retire when planned

As a general rule, those earning over $50,000 should prioritize RRSPs, reports MoneySense. But for those earning between $35,000 and $50,000, the difference between an RRSP and a TFSA are negligible.

Read more here.

Also read:

When to use spousal RRSPs

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Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.