May 1st, 2008

Full Flexibility to Withdraw and Re-contribute

• Bob is able to save $4,000 a year for 10 years in a TFSA.
• After 10 years of working he comes across a business opportunity and decides to invest.
• Bob withdraws $40,000 of his TFSA savings, tax-free.
• Later, Bob receives a great return on his business investment and decides to re-contribute the $40,000 to his TFSA. He may do so without reducing his other available contribution room.

April 25th, 2008

Meeting Unforeseen Needs

• Michael and Diane, who earn a single-income as a couple, have been saving in their TFSA’s for seven years. Together, they have saved $53,000.
• Recently a thunderstorm has caused major damage and extensive repairs to the foundation of their house. In order to cover the costs of the repairs they withdraw $50,000 tax-free. They will be able to re-contribute this amount in the future.
• Using a TFSA Michael and Diane are able to cover the unforeseen emergency repairs and do so without reducing their available contribution room.
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March 21st, 2008

Savings for Post-Retirement Needs