Growing Wealth for Canadian Women

So many programs exist for Canadians to build wealth but they can feel like well guarded secrets. Unfortunately women especially are at a disadvantage. While content targeted to men might look like 'your top 5 investing tips of 2024', content targeted to women usually looks like 'your 5 easy meals of 2024'.

And this why are are here. See below for a quick glance at the things you need to need to be aware of to grow your wealth in Canada.

RRSP

This is your retirement savings account. Young women often think it's too early to think about retirement but here's the harsh truth: one day, you'll be thinking of retiring. You can choose now if you want to be retiring young and wealthy or forced to work until you're 70+. The choices you make today make a huge difference.

This is the advice I wish I had received at 20 that I'm giving you now. But know that it's never too late. There are so many advantages to contributing to your RRSP.

TFSA

Interest or gains you make on money you keep in a regular savings account will get taxed at the end of the year. The Tax Free Savings Account allows you to grow your money tax free.

Maximizing your TFSA contribution before any other non-registered savings account allows you to keep the most of your money.

RESP

The Registered Education Savings Plan allows you to save for your children's education with two main advantages

(1) similar to the TFSA the gains made on this money are exempt of taxes

(2) the government tops up your contributions by 20% (to a max of $500 per child). So if you contribute $2500, you get $500 free money.

FHSA

The First Time HomeBuyer Savings Account is relatively new. It works similarly to TFSA but you can withdraw from it tax free to buy your first house.

TAX 101

As you are starting to see, tax has a big impact on your ability to grow your wealth. Not everyone has an accountant advising them. This section will clarify a few simple concepts to help you minimize the taxes you need to pay on your income and your gains so you can grow wealth faster.

HOW TO START INVESTING

All those accounts are great, but how do you open them and start growing your wealth?