A Tax-Free Savings Account (TFSA) is a flexible, government-registered account available to Canadians that allows money to grow without being taxed. You can hold investments like cash, stocks, or mutual funds inside it. Unlike other accounts, any gains鈥攚hether from interest, dividends, or capital growth鈥攁re not taxed, even when you withdraw the money. There鈥檚 a yearly limit to how much you can add, but unused room carries forward. Withdrawals don鈥檛 count as income and don鈥檛 affect government benefits. You can also re-contribute amounts you've withdrawn, starting the following year. TFSAs are useful for both short- and long-term financial goals.
