Skip to main content

Featured

RRSP vs TFSA vs FHSA — Which Should You Prioritize in 2026?

  Published: April 2026 | Reading time: 11 min | Category: Investing, Personal Finance, Tax Savings Three registered accounts. Three sets of rules. And most Canadians are using at least one of them wrong. The RRSP, TFSA, and FHSA each offer powerful tax advantages — but they work in completely different ways, and the right priority order depends entirely on your income, your goals, and your timeline. Picking the wrong one first can cost you thousands in taxes over your lifetime. This guide breaks down exactly how each account works, who it's best for, and the optimal contribution strategy for 2026 based on your situation. A Quick Overview of All Three Accounts Before diving into strategy, here's how each account actually works: RRSP TFSA FHSA Contribution deductible? Yes No Yes Growth taxed? No No No Withdrawals taxed? Yes (as income) No No (if for a first home) 2026 annual limit 18% of income, max $32,490 $7,000 $8,000 Lifetime li...
Post a Comment
Read more

article

Labels

Bank of Canada Slashes Rates by 50 Basis Points as Inflation Stabilizes

The Bank of Canada (BoC) has made a significant move by cutting its key interest rate by 50 basis points, bringing the overnight rate down to 3.75%. This decision, announced on October 23, 2024, marks the central bank’s fourth consecutive rate cut since June.

The BoC’s aggressive rate cuts come as inflation has returned to target levels, providing the central bank with the confidence to ease monetary policy further. Governor Tiff Macklem emphasized that the rate cut aims to support economic growth and ensure that inflation remains within the desired range.

Economists had widely anticipated this move, given the recent trends in economic data and the central bank’s commitment to maintaining price stability. The BoC’s decision reflects its proactive approach to managing the economy amid global uncertainties and domestic challenges.

With this latest rate cut, the Bank of Canada continues to navigate the delicate balance between fostering economic growth and keeping inflation in check. The central bank’s actions will be closely watched as they impact borrowing costs, consumer spending, and overall economic activity in the coming months.


Labels:

Comments

Post a Comment