I've got a bit of extra cash around, and I was thinking it would be a good time to pick up some TRP and T for the long term (as both are nicely priced right now). I'll be buying somewhat modest amounts though ($1000-1500 of each), as that's all I can afford.
I am a bit confused about where I should keep them -- in RRSPs, my TFSA or a non-registered account, as I know the tax benefits are distinct for each. I understand that it's best to keep US stocks, and interest producing investments inside RRSPs. Beyond that is where I get confused.
My income is about $40,000/yr, and from what I understand, with the dividend tax credit and because I'm in a lower tax bracket, I wouldn't have to pay tax on my dividends in a non-registered account, whereas I would pay full tax on them when withdrawing in retirement if I kept them in RRSPs.
That said, I should note that I don't have much in RRSPs right now and it would be nice to get the tax refund for dumping them in an RRSP.
I'm 28 and I expect my income in retirement to be about the same as it is now (hopefully advancing in the next fews years, but then getting smaller at retirement).
Any opinions as to what is best for my long term?