Setting Up Your Tax Free Savings Account (TFSA)
The idea here is to PAY YOURSELF FIRST! As Canadians, our best financial tool is a TFSA, everyone should have it, no matter how old you are, how much money you make or how much you know about finance!
Contributions made to TFSA and any income you earn through interest, dividends or capital gains are generally tax-free, even when you make a withdrawal
(To find out more about the benefits/details of this savings vessel click here)
1
Choose Your Provider
Begin by selecting a “Self Directed” TFSA either Wealthsimple or Questrade (these two are the most user friendly options) to open your TFSA account, laying the groundwork for your tax-free savings journey.
2
Open Your Account
Complete the simple online application process, providing necessary information to activate your TFSA and start investing with confidence.
3
Automate Savings
Set up automatic monthly deposits to consistently build your savings, ensuring you prioritize your financial security effortlessly.
If you are starting with less than 100,000CAD, use Wealthsimple it is the most user friendly
( if you prefer to use Questrade then scroll to bottom)
| Step-by-Step TFSA Setup Guide WealthSimple |
| 1. Sign up at www.wealthsimple.com/invite/ |
2. Once logged in, select “Open an Account.” – Choose “Tax-Free Savings Account (TFSA).”  Make sure to choose Self Directed, this allows you to pick the stocks you like and manage the portfolio yourself. – Follow the prompts and provide your personal details, including your SIN. 3: Fund Your TFSA – Click “Add Money” Link your bank account and transfer funds. – E-transfers usually take a few minutes, while bank transfers may take a day or two.  -Make sure to click “Recurring Deposit” and set a recurring deposit that you can afford! Some suggest 20% of your monthly income. It can be as much as 50-100$, JUST GET STARTED NOTE: MAKE SURE TO NOT GO OVER CONTRIBUTION LIMIT WHEN SETTING UP FUNDING for more information on limit visit: https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/tax-free-savings-account/contributing/calculate-room.html For now, choose what you feel comfortable with to GET THE BALL ROLLING and to get used to having money accumulate automatically in this account. here is a youtube video if you prefer: https://www.youtube.com/watch?v=O09_q306-Tg |
THERE YOU HAVE IT, YOU HAVE COMPLETED STEP 1!
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Questrade here are the steps:
1. Sign up at https://start.questrade.com/
2. Step 2: Provide personal and financial information
3. Choose your account and sign agreements
Make sure to choose Self Directed, this allows you to pick the stocks you like and manage the portfolio yourself. 
4. Make sure to click yes on trading options
– Follow the prompts and provide your personal details, including your SIN.
5. Fund Your TFSA – Click “Bill Payment” Link your bank account and set Questrade up as a payee. If there is any confusion then watch the youtube in the LINK video below
-You can also set up “Recurring Deposit” and deposit that you can afford every month! Some suggest 20% of your monthly income. It can be as much as 50-100$, JUST GET STARTED
NOTE: MAKE SURE TO NOT GO OVER CONTRIBUTION LIMIT WHEN SETTING UP FUNDING for more information on limit visit: https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/tax-free-savings-account/contributing/calculate-room.html
For now, choose what you feel comfortable with to GET THE BALL ROLLING and to get used to having money accumulate automatically in this account.
here is a youtube video:
https://www.youtube.com/watch?v=HVNmfU-rUTM
and this one for funding: https://www.youtube.com/watch?v=3laYH1IRAS8
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