Tax-Free Savings Account (TFSA)

A Tax-Free Savings Account (TFSA) is a registered investment where income and withdrawals are not taxable. You can access the money in your TFSA anytime¹ and make withdrawals to cover unexpected or major expenses. TFSAs are flexible tools that will help you build your savings and save on taxes.

While RRSPs are designed to help you retire more comfortably, a TFSA will help you grow your savings tax-free to cover occasional expenses like a new car, trips or renovations. Compare TFSAs and RRSPs

Features

• Eligibility: all persons who are 18 years and over. There is no age limit.
• Maximum annual contribution of $5,000 in 2009; then, indexed to the inflation rate and rounded to the nearest $500 on a yearly basis.
• Income generated is not taxable (interest, dividends and capital gains).
• Withdrawals are not taxable.
• The amounts withdrawn will generate new contribution room for the following year.
• Unused contribution room carried over to the following year.
• The following are not deductible for tax purposes: contributions to the account, capital losses, interest on amounts borrowed to invest in the account.
• The government will notify you of your maximum contribution room for the next year, after you have filed your income tax return.

Advantages

• Vast choice of eligible investments:
• Certain Guaranteed fixed-rate investments: Redeemable Term Savings (which can be redeemed at any time), Climbing-Rate Term Savings, etc.
• Market-linked Guaranteed Investments, including Profile Guaranteed Investment Portfolios
• Desjardins Funds, including Diapason Portfolios²
• Helios guaranteed investment fund contract³
• Market-traded products⁴
• Entitles you to member dividends from your caisse

Open a Desjardins TFSA today and call your advisor or financial planner⁵ at your caisse.

	Online	Visit the Canada Revenue Agency site.
	By phone	Montreal area: 514-522-2373 Elsewhere in Canada and the US: 1-800-CAISSES (1-800-224-7737)
	At the caisse	Make an appointment with a caisse advisor: online by phone

1. Certain restrictions apply on some investments.

2. Desjardins Funds are offered by Desjardins Financial Services Firm Inc., a Desjardins Group company. The Desjardins Funds are not guaranteed, their value fluctuates frequently and their past performance is not indicative of their future returns. Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing.

3. The Helios Contract is offered by a financial security advisor from Desjardins Financial Security. Desjardins Financial Security Guaranteed Investment Funds are managed by Desjardins Financial Security Life Assurance Company.

4. Available through Desjardins Securities investment advisors or Disnat Online Brokerage.

5. Financial planners act on behalf of Desjardins Financial Services Firm Inc.