Sorry for the inactivity to our blog site over the past several weeks. The blog was down with problems and has just recently been repaired. Look for new updates to the many categories starting after the Canadian Thanksgiving Weekend.

Enjoy your turkey dinner and your family and or friends. Remember to give thanks for what YOU HAVE in your life. Happy Thanksgiving.

The Federal Government announced its plan to introduce a Tax Free Savings Account for Canadians.  This will assist all Canadians over the age of 18 with their different savings needs.  TFSA’s will allow a contribution of up to $5,000./year (inflation-adjusted annually) and will automatically accumulate each year.  Unused contribution room will be carried forward indefinitely to future years.  The real benefit to TFSA’s will be any withdrawls from the accounts will be added to future contribution room and thus you will never lose the accumulation period.  (Example :  Helen contributes $5,000. to her TFSA in 2009 and withdraws $2,000. in 2010.  She is still able to add an additional $7,000. to her TFSA in 2010 or $12,000. in 2011)  Seniors will benefit by these types of plans as the investments grow Tax-Free.  All interest, dividends or capital gains on the investments is Exempt from taxation.  The added benefits is that the investment earnings are not reported on your personal tax return.  Wow, what a benefit if one worried about clawback of old age security or clawback of income-tested benefits.  Tax Free Savings Accounts can be made up of GIC’s, money market mutual funds, term deposits and shelter the interest income from tax.  Dividends, capital gains will also be sheltered.  May different options will exist.  Look for more information later on these blogs as the Government releases more options for these new types of investments.