TFSA Explained For BEGINNERS (EVERYTHING YOU NEED TO KNOW)

[@beaviswealth]

📈📚 As always, if you're a beginner to the Stock Market in Canada and you're looking for a step-by-step blueprint on how to get started... Find out more about our Investing Academy here - bit.ly/theinvestingacademy As requested here is the TFSA version! :) If you haven't checked out the video that I did on RRSPs you can watch that here - kzbin.info/www/bejne/o4OVm3RmqMlmmac

[@brianletterman3531]

Brandon Beavis Investing I got ask if I make TFSA account can use it to invest in S&P500 Index Fund an is it good to do by bank

[@dhirajjagota2859]

I have a doubt...While searching for TFSAs online...a lot of banks show that an account owner can get, let's say 2% interest. I couldn't understand what that means. Can I assume that the money that's just lying there in the account in the form of 'cash' (i.e. not in the form of stocks, MFs etc.) is earning an interest?

[@mariefran9232]

Oh my, the "After-Tax Dollars" drained my brain cells. haha I still don't get it. I'm a beginner down to the core and so, I'm not understanding this very well. But don't get me wrong, you made things so much clearer for me Brandon.

[@god9614]

I see this on my cra account but don't know what to do with it

[@kimberlybucasas5757]

Hi Brandon. Can TFSA be used as proof of funds? Is it considered as a liquid asset?

[@simpleplan829]

Finally a channel to explain all of this stuff that’s all about Canada!!!

[@travelingrandom3106]

Try also HumbledTrader

[@travelingrandom3106]

kzbin.info/www/bejne/q5ezpZyMedxrns0

[@burberryclaretred6676]

✅

[@ladiiyb]

Right!

[@jaychah2563]

How to keep your money out of treaudeus pocket 101

[@xo_kryptoknight4147]

Thank you so much for this video! I'm trying to learn more about finances and investing but most videos on KZbin talk about finances in the US. So glad to finally find someone that explains finances in Canada

[@solitudehour]

xo_kryptoknight that’s true! I’m glad as well!

[@Hazara26]

Because Canada is still behind.

[@UrbanMatts]

Robin Lee the or the US has 300 million more people than Canada

[@SimonSkittleFace]

This is exactly what I wanted to say

[@tomgeorge9461]

hey, hows it going? can u give us an update

[@reroyals4206]

Just turned 18 today opening a tfsa tomorrow thank you!

[@samosa5925]

You are way ahead!

[@RawDogTV]

Wealthsimple?

[@hydershariff5737]

Nice.

[@navsaimbi1565]

@@RawDogTV nah u need to be 19 in bc

[@datkiduzii8668]

damn ur 23 now

[@nininanaaa]

I would love a video where you explain how to invest money in TFSA! Now that I clearly understand what it is, I would like to start. Great vid, thanks!!

[@deseancarter9643]

A idea on this topic would be great.

[@SydneyFrohlick]

Yes this would be very helpful!!

[@northinvestor]

I've just made one on it if you're interest!

[@uyaracalinsky1976]

Thank you so much for speaking in easy terms, I’m new to investing, and having someone speaking out with knowledge but in a easy manner, make me believe that I too can learn. Thank you

[@beaviswealth]

:)

[@erikaalejandra1230]

i turned 18 last year and im only now discovering what a TFSA is. its so unfortunate that they dont teach this in school. thank you for this video, i will be opening up a TFSA very soon !!

[@yukonice-cream8623]

Great explanation. Important to remember that while the gains made in a TFSA are free from tax that it works the other way as well: you cannot deduct capital losses on investments in your TFSA.

[@momaey24]

More simpler that means?

[@mikedriscoll5689]

Good point! I hadn’t considered that. Certainly something to consider.

[@matthewrigby6089]

@@momaey24 I think it means that if you lose money on your investments, you can't deduct the losses from your taxable income (ie. If I lost 5000$ on my investments and I made 80000$ that year, I wouldn't be able to claim that my total income was 75000$). Maybe somebody who knows more can confirm if this is the correct idea.

[@r0zzey]

One thing to keep in mind and that I have learned the hard way, is that if you leave Canada for a few years and you have scheduled contributions to your TFSA while you are not subject to Canadian taxes, whatever profit you made from the contributions in your TFSA that were made at the time you were outside Canada will be taxed, EVEN AFTER you have returned to Canada 😓

[@CodPast]

That's some bullshit..

[@Dodo-gc3iw]

Wait what? For real?

[@stevejeffrey11]

Oh really?? Damn that's greedy Time to open a Swiss bank account then ;)

[@christinethompson2582]

Less than 3 minutes in and I’m already learning a lot from you Brandon! Thanks for Canadian content!

[@christinethompson2582]

Hi Brandon, I just opened a TFSA account with WealthSimple! Thanks for the videos!

[@NamuBang]

Omg the last tidbit was helpful. I have three TFSA accounts and I have been waiting for CRA to come and handcuff me lol. Your videos are always so helpful. Always grateful

[@beaviswealth]

HAHAH you're in the clear! And I'm grateful for your support :) Thanks for the comment!

[@cdr_902]

Out of curiosity, if there is an annual limit what is the point of having multiple TFSA's? More options to diversify? I can understand why both spouses would have one, each can contribute their annual limit essentially doubling the contribution room for the household, but one person having multiple accounts what's the benefit?

[@TheHybridlogic]

@@moontides7220 Hey since you have 3 TFSAs, is you combined limit 6000 or 6000 for each account?

[@nefefe4045]

Lmaoo!!!!!

[@marilynchau4108]

TheHybridlogic the combined limit is 6000 for all accounts

[@nickb4344]

Very good explanation! Glad you are exposing more people to TFSAs. One note that I think shouldn't be ignored however is that if you are a non-resident and penalties for over-contribution. CRA will penalize you 1% every month for the amount that is over-contributed, and 1% every month for any amount that is contributed while being a non-resident. CRA is really cool and doesn't tell you either until at least 6 months after the fact so you will have a very hefty penalty to be paying!! Also, if you are a US person, but living in Canada, the CRA doesn't mind if you have a TFSA, but the IRS in the US will be sure to collect their taxes from you as they do not recognize it as a viable tax shelter. These may seem like a small detail, and it is in the sense that it won't apply to most Canadians, but I've seen some unfortunate situations that should've been avoided. Once again, very great video and overall explanation of TFSAs! Just thought that this needed to be addressed also :)

[@abuji9429]

Out here it is specifically mention that the person should be a Canadian citizen so as to hold a TFSA A/c.

[@sgurjeet99]

@@abuji9429 Not really. They just mention that the individual has to be a "resident", ie: living in Canada full-time.

[@LizzyBieber]

I would like to add that if you withdraw money one year you have to wait the next calendar year to contribute the money withdrawn, any money contributed to the TFSA will be considered a over contribution and tax at a rate of 1%per month the over-contribution is in the account and any earned income from the over-contribution may be taxed at 100%. For example, say Peter contributed 6000$ in January 2019. He withdrew the 6000$ in June 2019. In September Peter re-contributed the 6000$ to the account. This is considered a over-contribution to the TFSA to the CRA and will be taxed at 1% per month the over-contribution is left in the account. Every month the over-contribution is left in the account it costs 60$. While any profits earned from the over-contribution may be taxed at 100% meaning you will not be making profits from your money. Please be careful when contributing to your TFSA. Make sure to wait till the next year to re-contribute and make sure you do not over-contribute to your account as it can override the benefits of having and using the plan.

[@trippz5611]

Brandon, I have now watched about 15+ videos, and I just wanted to say how thankful I am for your helpful insight in navigating the world as a DIY beginner investor. You're doing great things man. Cheers ~

[@anierajraj]

@7:20 Is it different in B.C.? Because in Ontario the interest you earn within the TFSA doesn't increase your overall contribution limit, it only serves to grow the balance tax free while it's sheltered. Using your example: if you initially deposit 10 grand to your TFSA and it grows to 100 grand and you withdraw the entire thing all within one year, you will only get back the contribution space of the 10 grand (or however much you withdrew that didn't exceed your total TFSA contributions to begin with, even if you had multiple TFSAs), plus new contribution limits for the following years, and any unused space from previous years if you were eligible. ...You could however move just 10 grand plus the new contribution space per year to get around being unable to re-add the interest growth amount, OR you could pay for a TFSA transfer to another institution if you can justify the fee for this transaction type. Where there's a will there's a way.

[@OGKidSyn]

I was thinking the same exact thing. The contribution limit will remain the same, but the withdrawn money won't be taxed.

[@anierajraj]

@@OGKidSyn Thanks for the feedback. It increases the space, but not the overall limit. However within reason you could still remove whatever your total contributions had been up until that point (careful not to remove more than your contributions, because this is another way to lose your tfsa growth space) and redeposit in the next calendar if you wanted to move it and avoid those obnoxious transfer fees, as I've done in the past. Looops.

[@gordn1584]

If you withdraw 100K, the next year you get that whole 100K added back to your limit + that year's limit. This is a Canadian account, nothing to do with provincial tax laws.

[@OGKidSyn]

@@gordn1584 Just to make sure I understand this. So if I invested in my first year (At 18 years old) $6000 and it grows by $12,000 then I withdrew it (Now totalling $18,000), and my next year’s contribution is 6000. I could then invest in $24,000 the following year?

[@trafalgar6087]

thank you! you actually explains things. everyone else talks in circles :/

[@samramos1470]

thanks g I turned 18 in april and opened an account recently. hoping to make some gains in the upcoming years

[@Amzeeel]

Thank you Brandon. You are talking to beginners in Advanced words. I don't have stats, but a lot of Canadians don't know what that is because this really requires great knowledge of financial market. My advise to beginners is do not just head to your bank and open a TFSA Savings account, you might get surprised as to why your money is going down. Check with a professional first because your bank will never give you the best advise as they have to make money as well and do not expect to cancel your TFSA anytime you want without any pinalities, I've never heard someone talk about this in videos. Thanks

[@breezybre2670]

There is no penalty for cacnelling a TFSA account. I have cancelled 2. Yes he is using jargon in this video that 17 and 18 year olds won't understand.

[@Kevin_Street]

You can open as many TFSAs as you want, but your contribution limit will be split between them. Thanks! I didn't know that. Excellent video.

[@beaviswealth]

I actually have 2 open :P don't ask why LOL Thanks Kevin :)

[@kara6900]

There is a piece of mis-leading information from 7:12 to 7:30. You can withdraw all $100,000 without paying tax but when you recontribute, you can only contribute up to the limit dollars that you have in your TFSA. Let's say you withdraw all your money there in 2019, the next year you would have (from 2009 to 2020) contribution room of $69,500 (assuming limit for 2020 is $6000) MAX. If you put back all $100,000, you would have an excess TFSA of $30,500 subject to 1% tax per month until you withdraw this $30,500. You may confirm this information with CRA otherwise a lot of your viewers will get a penalty on this excess TFSA amount.

[@breezybre2670]

This is not true . Contribution room for ANY withdrawal you make from a TFSA is restored the following year. If you make a TFSA withdrawal one year, you’ll regain that exact amount of room - in addition to the new annual limit - the following year.

[@lindabarnum8989]

I am a person that likes the ability to withdraw money when I need it. So if I have $10000. and I give $6000 for TFSA. What does this mean for?? My account will now be $4000. I don't do stocks etc. Where is my $6000. Will it be under an account that says TFSA?? and will I be able to withdraw from that TFSA???

[@breezybre2670]

Your $6000 would be in a TFSA account and yes at most banks or investment firms you can log in online and see your account which would likely be labeled ' TFSA'. ( I have one at Tangerine )That money can be withdrawn at any time yes. When you withdraw there are no taxes and no penalties other than that it affects how much money you can put back in a TFSA in the future.

[@tinzatinza7589]

How much rate if return can we expect in our tfsa account monthly!?

[@Outdoor_headquarters101]

@@breezybre2670 so lets say you make an investment through a tfsa account. You gain money from the stock and you eventually withdrawl. Do you loose that room to reinvest more?

[@DeMar_amar]

​@GMan-t1s Hi can you explain to me how works TFSA

[@julesbailey3026]

By far the best explanation of the TFSA I've found online. Thanks, Brandon!

[@SimonSkittleFace]

Finally some good Canadian finance advice

[@brybry111]

I'm just curious because I've been reading online that if you haven't invested yet after age 18 until the year you start after 2009 all the years adding up will essentially increase your account limit? If this is true I'm 27 and haven't invested until this year.. does that mean the 6,000 limit this year will actually be way more? Can someone help me with that?

[@acmaiden5236]

Look at his chart at 6:00 Start adding up from the year you turned 18 and you get your limit contribution. Say, it is 64,500$ and you put 50,000$ in it, next year you will be allowed to add 20,500$ and then only 6,000$ per next years. Just make sure to never exceed it, the penalty is pretty hefty!

[@bokjoowangso947]

Loving what you're doing for us. I've been wanting to learn how to invest in stock market and as an immigrant I have no idea what are these TFSA etc. Thank you so much.

[@nolannernberg4627]

Finally a channel that is about Canada! And not just the US

[@bo840]

Thanks for that wonderful explanation of the TFSA. One question though. I've heard that some people did so well with their investments in the TFSA that were actually penalized heavily by the CRA. I think they used certain options strategies that the CRA frowned upon. Would you be able to examine that? Thanks!

[@allanholder1018]

At 7:36 you mentioned that you get $100000 of space the following year plus the contribution limit. My question is this: Who cares about a $5000-6000 contribution limit growth if you can grow your space by $100000? Also, do you have to withdraw $$ in order to grow your contribution limit aside from the annual growth of $6000 or so?

[@ericlefrancois3922]

Hi Brandon, Great video. The only thing missing is..... We can't do daytrading or short term swing trading (like 50 trades a month) in your TFSA account. You will be tax by the CRA. You can in margin or RRSP account because you will have to paid tx at he end. In the TFSA you will never paid tx (only if you daytrade and you get cought by CRA). Sorry for my poor english, I'm French from Quebec so..... But for dividends investing in canadian stocks like REIT or any other TFSA is great. Personnaly I max out my RRSP and reinvest my tax return in TFSA..... best strategy I found yet ;-)

[@joniescott8]

I so glad that I found this video! I'm going to open a tsfa very soon, I should have already. They should be talking about this in high school to inform teens on how to save.

[@iflynina]

Great videos. We need stuff like this in Canada. One argument that I've heard when it comes to CAD vs US products and Dividends is that the growth of the US product historically out performs the CAD products therefore the 15% on the Dividend is negligible.

[@HolySpirit7771000]

Buddy you are great, easy to listen to, easy to understand, and your communication skills is off the charts. God bless you. I hit the like button and subscribed.

[@aminay3264]

I'm in my early twenties & I defiantly want to start investing & growing financially so that I can be more comfortable later in life

[@afolajuwon]

Thank you! Your explanations are so simple for beginners! So many youtube videos say 'Investing For Beginners' then you click on it and it is ABSOLUTELY NOT beginner friendly. I really appreciate these videos.

[@groovybofficial1635]

This video cleared a bunch of questions I had. You get a sub my friend.

[@beaviswealth]

Cheers man :D

[@gsingh180]

hi great video but I've a question, can I buy and sell a stock the same day before market closing from my wealthsimple trading account which is TFSA?

[@JesusOurKing]

So you're saying for someone who hasn't contributed to their TFSA ever since 2009 have $69,500 contribution room in 2020 and if they make $100k and withdrawal it all. The following year they're not tied to only $69,500 + whatever it will be again i.e., $5,500 they can go ahead and contribute what they withdrew original say $100k + the new $5500 .. total $105,500 without being penalized??

[@vacciniumaugustifolium1420]

I think it would be the original 69,500 + the new 5500.

[@Randall56789]

That was my understanding as well plus valtra.... He is wrong about that in the video you're not allowed to recontribute your gains back in - only the dictated contribution limit space that you have

[@vacciniumaugustifolium1420]

@@Randall56789 yeah it show how the tfsa even if small, could be extremely powerfull when you leave it alone whit 0 whitdraw during 30-40 years

[@TheMrawesome04]

great job explaining the TFSA i thinking abut opening one up and invest a little money into. you do make it sound easy

[@yupyup710]

Solid video man. Glad someone is here teaching people what stuff really is. Without knowledge, one could never hop to achieve financial freedom!

[@beaviswealth]

Thanks Branden :)

[@seanballantine7997]

Like many here, i am new to investing and am finding your info very helpful. You make it easy for us beginners without overwhelming with info. Subscribed.

[@AmandaJ__]

Thank you so much for this video. I really really appreciate this! I'm learning about investments and savings and this was very helpful

[@kabbie884]

At 7:30 you mention that you'll get the 100000 space back, plus the limit if you take it out the year before. I thought it was just the limit you get back?

[@gordn1584]

Nope. He's correct.

[@davidwindcadon583]

Hi Brendon! Thank you very much for the detailed information about TFSA. TFSA seems like a nice gift for CanEhdians. Are reinvested dividence considered as contributions in the TFSA?

[@ChiragPatel-yn9dd]

Hey buddy thanks for the great videos!!I’m still trying to find out 1. how to open up the TFSA account or RRSP account? 2. is there any charges for opening up account or deposit or withdrawals ? 3. If we don’t want to invest in stocks or mutual funds , can we still earn interest as a normal savings account?

[@ChiragPatel-yn9dd]

william do thanks buddy!!

[@OctaneStreet]

Damn i just realized while rubbing my eyes that if you closely listen to him speak you can clearly hear a deep pure Canadian northern accent! Haha also thanks a hell of a lot for this video, I've been doing my research and when trying to open an account with Questrade the beginning had me instantly stumped lol I had no idea what a margin account was and didn't know that the TFSA's are what is most commonly used. All makes sense now, thank you!

[@DannyHype]

Thanks for another great video! You mentioned how If you get dividends from a US stock you have to pay a 15% withholding tax. Do you also get taxed from your capital gains from a US stock. Example. If I bought a stock of Coke for $50 in my TSFA and sold it when it was worth $100 would i be taxed that capital gain of $50?? Hope that made sense. Thanks again!

[@harshilbhanderi8823]

Hey brandon , as an international student I am thinking of investing through quest trade but i dont know how the tax system will work how they will charge and all could you throw in some light please?

[@yupyup710]

Hey Harshil. Really glad you want to invest to make a better future for yourself. Couple of things. Number one, in order to open a TFSA you will need to hold a valid SIN number. Without one, you cannot open a valid TFSA. Secondly, any funds you decide to invest ( hopefully good old CDN dollars! ) that are of a foreign currency will automatically be transferred into CDN dollars. This is important to note because of currency values. The USD dollar is worth more then ours ( CDN ) meaning that if someone was to bring over 6000.00 USD and deposit into a TFSA they would be over contributing and thus, subject to a penalty. Lastly, here is a direct quote from the CRA "A person determined to be a non-resident of Canada for income tax purposes can hold a valid SIN and be allowed to open a TFSA, however, any contributions made while a non-resident will be subject to a 1% tax for each month the contribution stays in the account. For more information, see Non-residents of Canada." Meaning, that yes with a valid SIN and a proper TFSA, as an international student you could invest money. However as stated above, you will be taxed at 1%. Please also keep in mind that most of the time, if you were to invest here, withdraw the money and return to your home country, you would almost certainly have to declare it to your home government. In such a case, Id assume you would pay taxes to them. Also, please keep in mind that as a student, your VISA ( if you have one ) may cause this to be different as many of them hold limitations on working hours ect. If you have any other questions, Id call the CRA

[@xxChacaronXX]

What does he mean when he said " you can re invest that 100K back into the TFSA"? There's a 5,500 limit or w/e about 7:00

[@dearjasmineeee]

Hi Brandon! Your videos are awesome and have been so helpful :) just one question, I'm a little confused about withdrawing money from your TFSA. You said if we took out 100k one year, then next year we can contribute the 100k + the next year's contribution limit. What if the total limit for my age is only like 60k though? How much can I contribute the next year if I take out more from my dividends?

[@TheKenzhang]

That's my question also. Does that mean my contribution space will grow with my stocks holding. that is too good to be true

[@yupyup710]

@@TheKenzhang Contribution room does not grow with your capital gains. Its like it simply rather ignores it. your limit is not affected by gains earned within the account. You may have a maximum limit of 65K and have the TFSA worth over 100K. That still leaves NO CONTRIBUTION room ( as you have maxed out all years of contribution to get the initial 65K ) but you still have the 100K in the account. ( this could be due to rising stock prices within your portfolio.) Should you decide to withdraw all the 100K then yes, the next year you would be able to put back the 100K. But thats essentially the same as before which is why the government allows it. so the following year you would be able to put in the 100K plus the limit for that year. Say 6K. So 106K total. The following year you would only be able to contribute the maximum set out for that year. Withdrawing money from the TFSA open contribution room until that money is repaid back into the account. Once it has been, its back to the limits set year by year.

[@deopatel4453]

Proud to see Vancouverite give details on TFSA. You got sold..Subscribed

[@TheMonkWay]

I got the S&P 500 VFV and Aurora Cannabis in my maxed out TFSA

[@scottmills524]

The Monk Way - Stock Market Videos you like aurora eh

[@scottmills524]

I as well have aurora, facebook and tesla.

[@NamuBang]

I wish I hadn’t gotten aurora. Buyers remorse

[@TheMonkWay]

Gotta just think 10 years ahead for these marijuana stocks, could dip 50% before going up 100% though

[@pierredsouza46]

Can you make a video on options once you have maxed out your TFSA?

[@sheldonpetrie3706]

It would have been good to mention unrecoverable contributions. If you buy high risk assets ( penny stocks, junk bonds, etc) and they go to zero, you have no funds to withdraw so you have lost that contribution room forever so they are safer in taxable accounts that you can harvest those losses.

[@beaviswealth]

Great point. I actually had the jotted down as a point to cover but didn't realize til after the video that I was missed over it. Good input Sheldon thanks

[@emyeu6286]

Brandon Beavis Investing could you further explain this with examples thank u

[@shesnickyhouse7393]

@sheldon can you explain more?

[@tarvinder91]

Looking for TFSa and this video was soo helpful

[@AnalyticalExplorer1]

Why doesn't everyone just use TFSA account instead of a Savings account??

[@phissure3081]

It is by far a better choice than a savings account for short term savings. The only reason to go with a savings account over a TFSA is if you want to protect your investment from market fluctuations and just receive a steady (but very low) interest rate. The other advantage to a savings account is that there is no yearly investment limit. Also, often TFSAs have a minimum initial investment, so starting with a savings account (or bond or GIC) might be preferable to grow the initial investment to reach that minimum.

[@AnalyticalExplorer1]

@@phissure3081 But cash deposits in TFSA would be protected from market fluctuations, right?

[@chilenozo]

@@AnalyticalExplorer1 yes but not against inflation. My experience is that a passive (non-investing) TFSAs, like the ones offered by banks, are as dire as regular savings account, both lose against inflation. If you open a TFSA you better select investing options, like ETFs, direct purchase of stocks, GICs, etc, anything that helps you beating inflation (e.g, making your savings less valuable). There is always a risk, but for mid to long term, you can invest in ETFs or buying robust stocks during COVID (like banks) so you can bet you will beat inflation and if lucky, make some extra tax-free money along the way.

[@ARCSTREAMS]

@@chilenozo they give you the option of where to put your money in tfsa? but this sounds like being in the stock market ,,only without the hassle of paying a broker etc? what risk are you talking about,aint your principal still guaranteed though? please tell me what would be good safe options during this time or down the road from this covid,you said banks and etfs?

[@breezybre2670]

@@ARCSTREAMS Please understand the TFSA is a type of account for tax purposes. It is an umbrella term. A TFSA can be self managed or actively managed . It can be one where principle is guaranteed because you choose to only put funds in GIC's within TFSA or it can be one where you have all your funds in aggressive growth mutual funds . You choose.

[@Glori3379]

How does this work with capital gains from real estate? For example, using tfsa as a down payment on a house then later selling at a profit of $100k. Does this make the profit tax-free?

[@breezybre2670]

No. First of all...if you live in the house as your primary residence and sell it at a profit it is not considered capital gains so their is no tax. If you used money from your TFSA and then bought a house as an investment property to rent out, then yes when you sell it for a profit you pay capital gains tax.

[@MajidSeifi]

Hey, Im an international student here in Canada. Can I have a TFSA account and start my investing ?!

[@yupyup710]

Hey Majid! Really glad you want to invest to make a better future for yourself. Couple of things. Number one, in order to open a TFSA you will need to hold a valid SIN number. Without one, you cannot open a valid TFSA. Secondly, any funds you decide to invest ( hopefully good old CDN dollars! ) that are of a foreign currency will automatically be transferred into CDN dollars. This is important to note because of currency values. The USD dollar is worth more then ours ( CDN ) meaning that if someone was to bring over 6000.00 USD and deposit into a TFSA they would be over contributing and thus, subject to a penalty. Lastly, here is a direct quote from the CRA "A person determined to be a non-resident of Canada for income tax purposes can hold a valid SIN and be allowed to open a TFSA, however, any contributions made while a non-resident will be subject to a 1% tax for each month the contribution stays in the account. For more information, see Non-residents of Canada." Meaning, that yes with a valid SIN and a proper TFSA, as an international student you could invest money. However as stated above, you will be taxed at 1%. Please also keep in mind that most of the time, if you were to invest here, withdraw the money and return to your home country, you would almost certainly have to declare it to your home government. In such a case, Id assume you would pay taxes to them. Also, please keep in mind that as a student, your VISA ( if you have one ) may cause this to be different as many of them hold limitations on working hours ect. If you have any other questions, Id call the CRA

[@HelloItsMe726]

@@yupyup710 Hi!! Where should I open my TFSA Account? Which financial institution is better and safe?

[@martingosselin6698]

You have to watch out about trading with TSFA, because if you buy anything(bond,stocks,options)and sell them a few months later then buy new one and sell again.There's a big chance they will audit you and if they label you a trader,those gains will be considered has Capital gain .Even worst they have 5 ways to considered this and 2 options for wich kind of trader you are will influence the amount you will have to pay.

[@alessandrosirro4986]

Hi Brandon Lets say i have $10,000 in my TFSA. If I withdrew that for a purchase, do i HAVE to put that money back in the account? Thanks Alex

[@beaviswealth]

Alessandro Sirro hey man no you don’t have to.

[@janeelizabxth]

Wowww I learned SO much from one video!! And he explains it so much better than other people who have tried explaining!!

[@jamesbrock1883]

So If after time you end up with 500,000 dollars in your TFSA you can withdraw let's say a 5% dividend tax-free?

[@beaviswealth]

Absolutely! If you build up your account to 500,000 you can take as much out as you want completely tax-free!

[@holidayblack9579]

So I'm curious //just to clarify I can grow my investments then remove them from the tfsa without consequence, as long as I'm within my investment growth range// then I will once again have room to grow my investments in my tfsa, tax-free.. When is the best month to pull out your investment? And what technically would get carried over or would it just be the limit within that year?

[@CanadianDividendInvesting]

I would argue it's best to keep your money invested then taking it out and putting it back in

[@breezybre2670]

There is no investment growth range Keep them in and let them grow as high as they can go . The limit is on cash you put in.

[@eydrisse]

I've recently been exploring and trying to learn more about investing so sorry if this sounds stupid lol but is the 15% withholding tax for US dividends something you have to take action to pay or is it automatically deducted? Great videos btw they're super helpful!

[@rajanbhanot3885]

great information. would you be able to put a video for a beginner who has little to knowledge about trading?

[@ronisworld2916]

You lost me on the AFTER TAX thing!

[@thastunna]

He's basically saying that any money you contribute from your earnings i.e. salary, is after tax since taxes already came out of it and you're contributing the net.

[@breezybre2670]

You work, you earn money but before it hits your bank account you pay taxes on it as your employer takes the taxes out before giving you the money. So once you get your pay check.. that is the money you got after tax. To explain more....in an RRSP ( Registered Retirement Savings Plan) you put your money in but then at tax time in April the government says...oh look...ypu put 10,000 in an RRSP ok....we charged ypu tax on 100,000 ( your imaginary income), but since you put the 10 in n RRSP we will only charge you tax on 90,000 so you would get a tax refund. So before tax= save money on taxes now. After tax= save money on taxes later. When you are elderly and you withdraw from your RRSP you will have to pay tax where as when you withdraw from your TFSA you will not.

[@nonamechannellara4746]

Very good and clear even for a Newcomer. Thanks

[@bftoption7760]

Investing in bitcoin is really nice

[@rafaczachor8151]

A friend of mine told me that the one downside to TFSA’s is that once you withdraw from your TFSA you cannot deposit that amount until the following year. So maybe not the best for adding/withdrawing funds regularly as you do when doing short-term stock trading. Does that make sense? Help! I’m a finance newb.

[@twosensefinance8473]

Hi Rafael, if you still have available contribution room in your TFSA you may recontribute the amount that same year. Otherwise, your friend is correct: you would have to wait until January 1st of the following year!

[@shaheensiddiqui2237]

Thanks for sharing your knowledge. I have one question. I am senior 77 yrs of age. I have never opened a TFSA . Now if i want to open how much can i contribute from my savings?

[@CanadianDividendInvesting]

You should be able to contribute about 75,000$

[@jattonh1]

Really helpful being new to Canada. Thank you :)

[@MikeSauss]

I'm sorry if it seems like a dumb question, just to clarify say my contribution limit ever since I tuned 18 was $30, 000, if I maxed that out using my own money and bought stocks, $30, 000/$30, 000, and my money grows in there with my investments $35, 000, and I decide to sell it, I won't get taxed for any of that? EDIT: I've done my research, I'll leave it up here for anyone who has the same question, but to answer As hinted by the name 'contribution limit' only the amount you put in is what matters, whatever grows inside the account is yours to keep, even if it goes over the 'contribution limit' as long as it grew within the account, tax will not apply.

[@andryhrakotoniaina7437]

Since you've done some research already I just have a question that may really seem basic but if I opened an account at say 20, would I still have the limit set accumulation from when I was 18? Like for example I was 18 in 2018 and if the limit for 2018 was 5k and the one from 2019 was 5k too, if I opened an account at 20 in 2020 would my limit be 10k or is it only from the year I opened the account

[@andryhrakotoniaina7437]

@@MikeSauss Thank you for the fast answer that was one of my biggest concern

[@MikeSauss]

@@andryhrakotoniaina7437 that's an excellent question! to answer your question simply, you will still have all the contribution limits for those years, so in your example 2018 contribution limit is 5k, 2019 is also 5k, and let's say for 2020 it's also 5k, add those all up and you have total contribution limit of 15k if you've never contributed before. Hope that helps answer your question!

[@MikeSauss]

@@andryhrakotoniaina7437 yah sorry I re-commented coz I wanted to make my answer more simple, but no worries :) my friend had the same exact question

[@jaterzon4]

Great video! Question about TFSA. How long are you suppose to hold stocks until you can trade them so that the CRA won't consider it day trading and you get penalized for it?

[@Dodo-gc3iw]

Same question 🙋🏼‍♀️

[@susantoffelmire7485]

Yes, it was helpful because I want to day trade within my TFSA - so I must use dollars from my RIF (I'm 79) so I can tell the CRA that I"m using money that I've paid taxes on. Would this satisfy them? Day trading seems to be a mystery within the TFSA that I haven't found a satisfactory answer. Thanks for you video

[@H0CK3YB0YZ]

Can’t day trade CRA will be on your ass and can fine you for all your gains....can’t do to many will be flaghedt

[@susantoffelmire7485]

@@H0CK3YB0YZ Thanks for that info -gratefully received

[@H0CK3YB0YZ]

Susan Toffelmire check CRA’s website for more details

[@brentaquino1903]

Thank you for the video, Very informative, straightforward, and crystal clear explanation! I shared it with my FB news feed if you don`t mind.

[@beaviswealth]

Appreciate it Jimmy

[@brentaquino1903]

Brandon Beavis Investing i started mu Wealth simple trade account! When i watched your video about what stock to invest for 1k! You have this convincing power! Thank you i learned something!!!!

[@Zenbeau]

dude i was confused on what pre-tax and after-tax (for RRSP and TFSA) meant but you explained it very nicely with examples and i just wanna say thank you so much

[@mariefran9232]

can you enlighten me about the After-Tax? I still don't get it

[@omnichumber6378]

Can u explain it to me also coz I am still confused🥴

[@kurts3779]

Question: if have a contribution limit of 69K for this year and deposit 69k this year and purchase stocks that double in one year from now, what effect, if any, do those gains have on my contribution room? Also, lets say that my investment does indeed double to about 138k next year 2021, and I decide next year to withdraw the entire amount of 138k, is my contribution room then for 2022 the 69k + 2021's eligible contribution room minus the gains that was made? Your video confused me a bit at 7:10 when you mentioned that you can take the entire amount out, tax free, and that entire amount would give you that same amount in contribution room.

[@breezybre2670]

You could recontribute the exact amount you took put plus that years new limit of 6000.

[@breezybre2670]

Contribution room for any withdrawal you make from a TFSA is restored the following year. If you make a TFSA withdrawal one year, you’ll regain that exact amount of room - in addition to the new annual limit - the following year.

[@agendatwentythirty8244]

When you say, " Next year," are you saying the next Fiscal year? or one year from the date that you took the money out of TFSA?

[@StoicBarbarian]

What happens when I've maxed out that investing account? Would I have to open a different account to continue buying dividend stocks for example?

[@CanadianDividendInvesting]

You would have to open a personal account

[@breezybre2670]

If your TFSA was maxed out you could open an RRSP or you could open a non registered investment account ..aka a personal account.

[@mahams8954]

Hey just stumbled upon your channel. I am new to investing and was having trouble what other may seem is quite simple- TFSA. Your video has really helped. Subscribed already 🤗👍🏻.

[@canjay4033]

Great explanation, thanks man 👊🏼

[@cgg200980]

If you don't have a tfsa in wealthsimple but you have stocks in wealthsimple, can you then open a tfsa in wealthsimple and put those previously bought stocks into that tfsa or do you have to already have a tfsa opened with money in it and utilize that money in order to purchase stocks?

[@nelisivhey]

Great video! Question: Can I use the platform quest trade for my tfsa investments, even though I make a tfsa account at CIBC?

[@CanadianDividendInvesting]

Yes 100%!

[@fredocrown658]

You are my favourite teacher.

[@lungchuencheng4246]

can I use TFSA aconut to Day Trade Stock, please make one KZbin to explain that thank you

[@l.d.tjonathan5101]

its illegal to day trade with a TFSA account CRA will come for u

[@분할매수분할매도]

Does below apply to Canadian? The tax rate on most net capital gain is no higher than 15% for most individuals. Some or all net capital gain may be taxed at 0% if your taxable income is less than $80,000.

[@JayPatel-iv7dj]

Thank you for you help. I have question. If i keep USA stock in tfsa do i need to pay tax on those gain?

[@twosensefinance8473]

You wouldn’t have to pay any capital gains taxes. In other words, if you bought a US stock for $100 and sold for $200, you don’t have to pay any taxes on those gains! However, you do have to pay a 15% withholding tax on any dividends the US stock pays you.

[@acmaiden5236]

You forgot to talk about day trading in stock market apparently not allowed in TFSA. I hoped to find more information about it!

[@vbarry]

Thank you for the great videos! Would you recommend opening a TFSA myself as a newb or using my financial advisor to arrange it all? Since I would expect my advisor to do the actual investing / or buy GICs with it.

[@imankay]

Thank you for the clear and concise info!

[@arik5742]

Thank you for this awesome video! Could you please make a video on a topic that no one previously discussed on their channels, investing in stocks corporately vs. personally? Pros and cons, tax advantages, etc.

[@briannguyen1134]

Question is it possible to buy/sell the same stock every 1-2 months or would that set red flags with cra?

[@ebiamini2886]

Hi, thanks for the information you provided. My question is if tsfa has no penalties and rrsp has, why some people open respect account? Thanks

[@breezybre2670]

The reasons are many. For example...some people max put both accounts . Some people put money in their RRSP and then use the tax refund that is generated to contribute to their TFSA.

[@WsFood]

You explain very well. You have a nice voice.😄👍👍💙

[@remusomega]

I'm so glad I started using my TFSA when I was 20 without even knowing what it was.

[@blsignaturehomes6792]

Hey Brandon, great video man. Glad to see other fellow Canadians making financial videos.

[@mathieulacas188]

Thanks for the clear explanations!

[@Jacob-gi8ww]

for quest trade, what would be the advantages/disadvantages with opening a margin account vs. a TFSA aside from the tax-free earnings?

[@matthewl9836]

Iv had a TFSA acount for years and usec it like a savings account not knowing what its for 😅 Thanks for enlightening me!

[@nicolesitu5078]

Thanks for the video! Just have a question, if I put let's say $5000 into TFSA account, I buy a stock for $5000 and have a capital gain of $2000, I sold it and ended up having $7000 in my TFSA account, and I use these money to buy another stock for $7000, and have the capital gain of $3000. let's say I did not withdraw any gain or principle from TSFA, I am wondering if my contribution is still be considered $5000 or $12000(5000+7000)? Thank you

[@RandomKuriboh]

I'm wondering the same thing, I think also it's still 5000$, because that's the original "contribution", the rest is profits, not contribution in the account. But there again I'm not sure either....

[@ElectiverBFF]

if i make american dividends in my non registered account then move that dividends to my tfsa is that better than having that American dividend stock in my tfsa and taking that 15 percent withholding fee?

[@Jfm2021]

Love your videos bro! Really learning a lot. You have a great talent in delivering clear and concise explanations. Planning to move to Canada soon. See you there