2015 Last Minute Reminders

Smart Money Moves

December 18, 2015

With the holidays around the corner we know your schedule is probably packed right now. There are some smart money moves we want to tell you about that you can make before the end of the year depending on your own personal situation.

1) Tax Free Savings Account: Clarity on TFSA Contribution Limits

The Federal Government has announced that the annual $10,000 contribution limit will be rolled back to $5500 in 2016. Going forward, the limit will be indexed to inflation.The $10,000 limit for 2015 will remain in place indefinitely so if you don’t make the maximum contribution this year don’t worry about it, as you can carry over any unused contribution room. TFSAs are a great investment program our government has provided for us and will pay off smartly over time. We encourage you to take advantage of it.

2) Give Well: Charitable Causes

Consider making contributions to your favorite charities. You can deduct from your taxes whatever you give to charity; appreciated investments or cash. Keep in mind that donating appreciated securities is a very effective way to lower your own tax obligation, while at the same time making a difference to the causes that you feel passionate about.

3) Education Plan: RESP

Putting your kids or grandkids through University is not cheap. Government grants available through the RESP program are capped each calendar year. This is an easy way to earn a quick 20 percent return on your money, as long as you make the contribution.