RRSP vs Savings account

[sunshine]

Does anyone know more about the new legislation that will kick off January 2009 - we will all be able to set aside additional $5000,00 but are they going to be taxable and can we withdraw them at any time. What is the difference between the current RRSp and the new savings account?...

[Canadian]

I've never heard of this before. Where did you read about this new accounts? Is this for Canada or Ontario only?

[sunshine]

I've never heard of this before. Where did you read about this new accounts? Is this for Canada or Ontario only?

It is for all of Canada I believe.

[Canadian]

Does anybody have a link to a Canadian government website with more details on this new type of account? What are the benefits of having one? Please post here if you are familiar with the matter.

[heyjude]

I found it. It is called Tax-Free Savings Account

It starts in 2009 and you can contribute up to $5000 and the room can be carried forward which is great!
The contributions will not be deductable though. The withdrawals will be tax-free.


read more: http://www.budget.gc.ca/2008/plan/chap3b-eng.asp



p.s. it is great for people who have extra cash, but not me :(

[Canadian]

Thanks for the link!

I'll read the document tonight and I'll post here if I have any questions about this new account type.