# Quick TFSA question



## Michel (Mar 7, 2014)

If I never took money out of a TFSA, what is the maximum amount of money that I could have in a TFSA *by the end of 2014* (not counting interest)? I figure it must be 31000$:

2009: 5000$
2010: 5000$
2011: 5000$
2012: 5000$
2013: 5500$
2014: 5500$

Total: 31000$

Is this correct?


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## heyjude (May 16, 2009)

Correct!


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## Michel (Mar 7, 2014)

Thanks!


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## Eclectic12 (Oct 20, 2010)

I'm confused ... what benefit is knowing the "maximum amount of money in a TFSA, not counting interest"?

I can only guess that the concern is over-contribution and the associated penalties. The penalty starts when the *contribution* is made.
So why not track the available TFSA contribution room at the time of the contribution and be done with it?

I treat it like balancing a cheque book.

Cheers


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## Retired Peasant (Apr 22, 2013)

I too am confused. There is no maximum one could *have* in a TFSA. The $31000 might be the maximum one could have *contributed* (depending on eligibility e.g. age). Furthermore, the amount could be less than $31000 if the investments had tanked.

I think the OP is asking the maximum contributed.?


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## BoringInvestor (Sep 12, 2013)

One further point OP - did you turn 18 or older in 2009?
If so, your maximum contribution is $31,000. If not, only start counting contribution room from the year you turned 18.

Also - as has already been pointed out, there is a large difference between maximum contributions ($31,000 excluding any withdrawn profits) and maximum balance/amount (which has no theoretical maximum).


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## Eclectic12 (Oct 20, 2010)

Retired Peasant said:


> I too am confused. There is no maximum one could *have* in a TFSA ...
> I think the OP is asking the maximum contributed.?


That's the only way I can make sense of what is asked ... if so - it seems a round about, confusing and complicated to approach the TFSA contribution limit.




BoringInvestor said:


> One further point OP - did you turn 18 or older in 2009? ...


I believe the other factor is being considered a resident for each year ... though likely only a few of those reading this need to be careful of this.


Cheers


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## Michel (Mar 7, 2014)

Retired Peasant said:


> I too am confused. There is no maximum one could *have* in a TFSA. The $31000 might be the maximum one could have *contributed* (depending on eligibility e.g. age). Furthermore, the amount could be less than $31000 if the investments had tanked.
> 
> I think the OP is asking the maximum contributed.?


Yes that is what I'm asking. I turned 18 earlier than 2009 so that's not a concern. I started contributing to a TFSA only last year and dindn't withdraw anything so in my case maximum contributed is a good approximation of how much I could have in total.


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## My Own Advisor (Sep 24, 2012)

Good of you to get saving to this account Michel, it's a gift, I mean tax-free investing!


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## Eclectic12 (Oct 20, 2010)

Re: Yes ... the maximum TFSA contributions is what is being asked

So why not keep it simple by taking the earned TFSA contribution room and subtract the contributions made?

Surely you are receiving statements from the one or more TFSA accounts so it should be easy to pick off the contribution amounts to figure out the date/amount of contribution and subtract from the total. If you only started contributing in 2013 ... this is a maximum of twenty three statements to review when finding the contribution amounts.

Using the current value is likely going to be a lot more complicated as you've have remove the growth part (stated as interest) accurately.


The other concern is that if/when more volatile investments such as stocks are chosen, the complication will likely increase with factors such as dividends to separate out. 


I'd recommend switching to keeping a spreadsheet that tracks available TFSA contribution room, contribution made including date plus account, withdrawals including date plus account - where one can see an updated TFSA contribution room number as fresh as the last update.


Cheers


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## humble_pie (Jun 7, 2009)

Michel said:


> Yes that is what I'm asking. I turned 18 earlier than 2009 so that's not a concern. I started contributing to a TFSA only last year and dindn't withdraw anything so in my case maximum contributed is a good approximation of how much I could have in total.



lol i think he's from quebec, this is how we talk here, but i can see how it's confusing for the ROC each:

i believe what he means in the above quote is "maximum that could be contributed"

subjunctive & conditional tenses are difficult to navigate in a foreign language

he got it straight up in his first post
& heyjude answered him straight up
so all is well


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## Eclectic12 (Oct 20, 2010)

^^^^

I suppose ... though it seems complicated to be comparing "what is the maximum that could be contributed" versus the TFSA account balance minus any growth as a trackng method.


Cheers


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## humble_pie (Jun 7, 2009)

Eclectic12 said:


> I suppose ... though it seems complicated to be comparing "what is the maximum that could be contributed" versus the TFSA account balance minus any growth as a trackng method



but he's not tracking. He's not doing anything fancy at all. He said he only started contributing last year, now he just wants to confirm that the max that could be contributed is $31k & luckily heyjude said Yup.

see, it's a language thing. You should come visit here, eclectic, you'd love the culture.


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## heyjude (May 16, 2009)

I guess I ignored the subtleties of syntax because it seemed obvious what Michel's question really was. My bad! I'm usually a grammar nazi! 😄


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## humble_pie (Jun 7, 2009)

the thing is, jude, you got the drift

i think his actual idea would have come out more clearly in french. You know the french, if they can write 900 words to say what the english will say in 9 words, they will always take the 900 words


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