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Passive Income: How to Invest Your $7,000 TFSA Limit


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Published in Stocks and Investing on by Thomas Matters   Print publication without navigation

The TFSA limit in 2025 will be $7,000. This is the same as it was for 2024. Anyone who has qualified to make TFSA contributions since the inception of the plan in 2009 will have up to $102,000 in cumulative TFSA contribution space in 2025.

The article from Fool.ca discusses strategies for investing the $7,000 TFSA (Tax-Free Savings Account) contribution limit for 2024 to generate passive income. It highlights the benefits of using a TFSA for tax-free growth and income, especially in retirement. The piece suggests diversifying investments across different asset classes like stocks, ETFs, and GICs (Guaranteed Investment Certificates). Specifically, it recommends investing in high-dividend stocks like Enbridge Inc., which offers a high yield, and BCE Inc., known for its consistent dividend increases. Additionally, it mentions the appeal of ETFs like the iShares Canadian Financial Monthly Income ETF (FIE) for a blend of income and growth. The article also touches on the importance of considering one's risk tolerance and investment horizon when choosing assets, and it emphasizes the long-term benefits of compounding within a TFSA.

Read the Full The Motley Fool Canada Article at:
[ https://www.fool.ca/2024/11/29/passive-income-how-to-invest-your-7000-tfsa-limit/ ]

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