TFSA Contribution Limit
Know What Your Personal Contribution Limit Is For The Current Tax Year 

Couple happily putting away money for the rainy day.

Knowing the current TFSA contribution limit is very important to help you plan for how much you can invest in the tax year, shielded from the tax man. 

Since the Canadian TFSA started in 2009, the yearly maximum contribution allowed has gone up arbitrarily, gone up to account for inflation, as well as gone down as decided by the CRA. 

Here is a chart below that shows the TFSA Contribution Limit since inception. 

How To Find Your Tax-Free Savings Account Contribution Room Limit

Know your Tax-Free Savings Account (TFSA) contribution limit.

For your specific tax-free savings contribution limit, you can log into your CRA account if you have registered one and see for yourself directly.

If you do not have a CRA account yet, register for one . It is a very easy process. They will send you a code to electronically or by mail to confirm that you are who you say you're and once your identity is confirmed, you will be granted an online access to your CRA account to see what your personalised TFSA limit for this tax year and accrued years is. 

You can also get to know your TFSA contribution room or limit by contacting your accountant or contact the CRA Tax Information Phone Service (TIPS) at 1-800-267-6999.

The maximum amount you can contribute is determined by your existing contribution room.

Your contribution room in turn is determined by:

• The current year's TFSA contribution limit
• Your unused TFSA contribution room from previous years and 
• Any funds you had withdrawn from your TFSA in the previous year.

Knowing what you can still contribute into your TFSA account is important to help optimise your tax-free allowance and invest same into high yielding stocks, annuity etc as necessary. 

If you are non-resident of Canada for a whole year, you will have zero contribution room for that year. But remember that you could be outside Canada and still qualify as resident, if you own a home year, have your spouse here or even a driving license, credit card or bank account. Be sure to speak with your tax planner or accountant to help you clarify if you qualify as a Canadian resident for the year in question. 

Also remember that you do not have to be in Canada for the whole year to be eligible for the TFSA contribution limit for that year, as your contribution allowance is not prorated. 

Where To Invest Your TFSA

If you are starting out and looking for where to invest your TFSA, here are the top platforms for TFSA investment in Canada:

• Questrade 
• Wealthsimple
• Wealthsimple trade
• TD Direct Investment
• CIBC Investor Edge
  
• Scotia iTRADE®
  
• RBC Direct Investing
  

You will need to be the age of majority (18 years old for most provinces in Canada) and have a Social Insurance Number (SIN) to be eligible to open a TFSA account.