Oaken Update – January, 2015

It’s that time of the year—your TFSA is calling

January is the time for New Year’s resolutions: make contributing to a Tax-Free Savings Account (TFSA) one of yours. After all, TFSAs are one of the best savings vehicles Canadians have—and for many people are even better than RSPs.

The basic rules are simple. This year you have $5,500 of additional contribution room. That brings your total lifetime contribution room to $36,500. If you made withdrawals in previous years, you can add that amount to your current contribution room. As long as the total amount you have contributed to your TFSA doesn’t exceed $36,500 level for 2015, you’re safe.

Most important of all, though, is the financial benefit. Whatever you earn in your TFSA—whether it’s dividends, interest or capital gains—is tax-free.

A special note for snowbirds

If you’re thinking of declaring your permanent residence outside of Canada, you can still hold on to your TFSA. That means that whatever you earn or withdraw will remain tax-free. However, as a non-resident you will no longer be eligible to generate new contribution room every year. In addition, you will not be able to recontribute in years following a withdrawal.

For more information on residency requirements for a TFSA, click here.


It’s also that time of the year—your taxes are coming

Yes, much as we don’t want to, it’s time to start thinking about taxes. We still have a few months to the deadline, but preparing now can save you from scrambling later. We’ll be doing our part by mailing out your tax receipts soon. We’ll be mailing the following by Friday, February 20:

– Contribution Receipts – 2014
– T5 – Statement of Investment Income
– RL3 – Investment Income / Revenus de placement
– NR4 – Interest – Statement of Amounts Paid or Credited to Non-Residents of Canada
– NR4 (RRSP & RRIF) – Statement of Income From a Registered Retirement Income Fund
– T4RSP – Statement of RRSP Income
– T4RIF – Statement of Income From a Registered Retirement Income Fund
– RL2 – Retirement and Annuity Income / Revenus de retraite et rentes
– T4A (TFSA) – Retirement and Annuity Income / Revenus de retraite et rentes

And by Tuesday, March 31 we will mail contribution receipts for the first 60 days of 2015.

Depending on your location, please expect to receive your receipts within two weeks from the date they are mailed.


Calgary—we’re moving!

We’re a couple days away from completing our move in Calgary. From February 2, our new address is:

507–10 Ave. SW
Calgary, AB
T2R 0A1

Please ask Security in the main lobby to call us when you arrive. In late Spring our new Oaken storefront will open in the same building.


Vancouver—we’re coming!

We’ve been at the Vancouver ZoomerShow before, and we’ll be there again in March. (This will be our third time, for those of you who are counting.) The ZoomerShow is the country’s largest consumer and lifestyle expo for Canadians over 45. There will be music, entertainment, tips on staying in shape, financial advice, free giveaways and more!

We’d love to see you at our booth, so please stop by for a chat. You can also enter our draw to win a $500 GIC. The details are as follows:

Saturday, March 21, from 10 a.m. to 5 p.m.
Sunday, March 22, from 11 a.m. to 5 p.m.
Vancouver Convention Centre, 1055 Canada Place.

For more information go to zoomershow.com. For free tickets, click here .


New Year’s reading

To ease you into the financial planning mode after the holidays, we’re providing three articles for some light reading.

From MoneySense, a comparison of three different retirement budgets that can help you plan your own.

Toronto Star takes a closer look at index-linked GICs.

And from the Globe and Mail, advice about avoiding a “tax trap” that can come from maximizing your RRSP contributions.

The information, materials and opinions contained in this Blog are provided for your information only. This Blog does not constitute legal, financial or other professional advice and you should not rely on it as an alternative to specific advice based on your particular circumstance.

This blog contains links to third party websites. These links are provided for information and convenience; Oaken does not endorse the content of any third party website, and it makes no representation or warranty as to the information on such third party sites. By clicking on any link to a third party site, you leave Oaken’s website and do so at your own risk.

Oaken disclaims all liability for any damage or loss that results from your access to or reliance on information contained in this Blog or any third party site.

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