2020 RRSP & 2021 TFSA Contributions

2020 RRSP & 2021 TFSA Contributions

Here is a friendly reminder of the contribution limits and cut-off dates for RRSP and/or TFSA contributions if you are planning to make one this year, and have not already done so.

RRSP Contributions:
The cut-off date for your RRSP contributions to count toward reducing your income for 2020 is Monday, March 1, 2021. In order to meet this deadline, you should make your contribution by February 25th to allow for your deposit to clear your bank account. The 2020 contribution limit was 18% of your taxable income up to a maximum of $27,230, whichever is less. The 2021 contribution limit is $27,830. If you have unused contribution room from previous years, you may contribute more than the maximum, but one needs to be careful not to over-contribute.

TFSA Contributions:
If you would like to contribute to a TFSA for 2021 the limit is $6,000 for the year, unless you have not maxed out your contributions. The maximum one could have deposited into their TFSA account since 2009 is $75,500 as of 2021.

Contributions can be made through one of the following methods:

Transfer from Non-Registered Account: If you have a Non-Registered account set-up with enough funds in it, you can simply send us an e-mail indicating the amount you would like transferred from this account to your RRSP or TFSA. Instructions must be sent to us by 11:00am on Thursday, February 25 in order to meet the deadline.

Online Banking Transfer (Bill Payment): Add your Custodian (“Credential Securities” or “National Bank Financial”) as a “Payee” through your online banking and enter your account number as the bill account number. If you need assistance finding your account number or are unsure who your Custodian is, please contact our office. If you choose this method, please also notify us with the amount you are contributing, so we can have your Portfolio Manager watch for it. Please note this must be submitted before midnight on Friday, February 26 in order to meet the deadline.

EFT from your Bank: You will just need to sign an EFT form if you have not already done so, which allows your Custodian (Credential or NBIN) to take the money directly out of your account with your consent. Once you have signed the form, we will require an email from you indicating the one-time amount you are authorizing them to withdraw from your bank account and which account you would like it deposited to. We must receive these instructions by Thursday, February 25 at 3:00pm at the latest in order to process in time.

If you have any questions or would like to book a video or phone appointment to review your accounts, please contact our office.

BLACKBURN DAVIS FINANCIAL REBRANDING LAUNCH

BLACKBURN DAVIS FINANCIAL REBRANDING LAUNCH

You may have noticed we have adopted a new look. Some changes in Securities Regulations have made it necessary for us to hold ourselves out differently when discussing investment related activity as opposed to financial planning and insurance. As such, we have registered the names Blackburn Davis Wealth for investments and maintain Blackburn Davis Financial for our insurance and financial planning activity.

Because of this change we decided after almost 15 years, it was also time for a refreshed logo and brand. This new look has come with a new website and videos. We encourage you to browse our new website and would love to hear your feedback.

Please note that this is all that has changed. We remain the same people committed to your retirement and financial planning needs.

The Blackburn Davis Financial Team