TFSA vs RRSP
The calculator compares a single contribution to a TFSA and an RRSP on an after-tax basis.
If the tax rate when you make an RRSP contribution is the same as your tax rate when you make
a withdrawal, TFSAs and RRSPs work out to be the same. If your tax rate is lower when you
withdraw than when you contribute, the RRSP is the better option. But if your tax rate is higher
when you withdraw, then the TFSA will be the better choice.
Where do you live?
Taxable income when you contribute
Taxable income when you withdraw
Invest or spend your RRSP tax refund?
Years of growth
Rate of return
Contribution in pre-tax $'s
Contribution in after-tax $'s
Net investment value after withdrawal
[No canvas support]
surtaxes into account and the basic personal tax credit. The calculations do not factor in the effect of RRSP
withdrawals on Old Age Security and other government benefits and credits.
The TFSA contribution limit is $5,500 for 2014. The RRSP contribution limit is $24,270 for 2014.
This calculator is for illustration purposes only and is not intended to calculate your actual tax liability.
We recommend that you seek out your own legal, accounting, tax or professional advice regarding your
personal tax situation.