Do you have cash\/GICs in your TFSA? Wish it was stocks\/bonds\/mutual funds you were sheltering instead? Or are you invested in an account with one institution and want to move it without having to pay transfer fees? This may be a good time to withdraw from your TFSA so you can recontribute in the new year. This is known as the December Shuffle. <\/p>\n
Any withdrawals you make from your TFSA get added back to your TFSA room the following calendar<\/em> year. This makes the December Shuffle handy: you can withdraw near the end of December, wait just a few days for January to roll around, and deposit back into your TFSA at a new institution. <\/p>\n You can of course transfer at any point during the year you want to, but many institutions charge more for a transfer than they do for a withdrawal, which makes this strategy useful in that way. PC Financial for example, charges $50 to transfer your money out to another TFSA, but you can make (at least, AFAIK) one free withdrawal per year. And trying to withdraw and re-contribute can mean waiting a long time outside of the TFSA at other times of the year — a withdrawal in January may mean waiting almost a whole year until you can put it back in the following January. <\/p>\n Remember that you’ll get another $5000 of TFSA in the new year [at the time of this post; $6000 as of 2021], so be ready to contribute (and potentially re-contribute) in January.<\/p>\n","protected":false},"excerpt":{"rendered":" Do you have cash\/GICs in your TFSA? Wish it was stocks\/bonds\/mutual funds you were sheltering instead? Or are you invested in an account with one institution and want to move it without having to pay transfer fees? This may be a good time to withdraw from your TFSA so you can recontribute in the new […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16],"tags":[],"_links":{"self":[{"href":"https:\/\/www.holypotato.net\/index.php?rest_route=\/wp\/v2\/posts\/910"}],"collection":[{"href":"https:\/\/www.holypotato.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.holypotato.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.holypotato.net\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.holypotato.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=910"}],"version-history":[{"count":2,"href":"https:\/\/www.holypotato.net\/index.php?rest_route=\/wp\/v2\/posts\/910\/revisions"}],"predecessor-version":[{"id":2393,"href":"https:\/\/www.holypotato.net\/index.php?rest_route=\/wp\/v2\/posts\/910\/revisions\/2393"}],"wp:attachment":[{"href":"https:\/\/www.holypotato.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=910"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.holypotato.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=910"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.holypotato.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=910"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}