Types of TFSA Accounts
Choose Based on Your Goal
| TFSA Type |
Best For |
Expected Return |
| High-interest savings |
Short-term, emergency fund |
2-4% |
| GIC |
Guaranteed return |
3-5% |
| Investment account |
Long-term growth |
6-8%+ |
Not sure how much room you have? Use our TFSA contribution room calculator.
Best TFSA Savings Accounts
High-Interest TFSA Comparison
| Bank |
Rate |
Minimum |
Monthly Fee |
| EQ Bank TFSA |
3.00%+ |
$0 |
$0 |
| Oaken Financial |
3.50%+ |
$0 |
$0 |
| Motive Financial |
3.75%+ |
$0 |
$0 |
| Tangerine |
Variable* |
$0 |
$0 |
| Big banks |
0.01-0.5% |
Varies |
Varies |
*Promotional rates frequently available
EQ Bank TFSA
| Feature |
Details |
| Interest rate |
3.00%+ |
| Monthly fee |
$0 |
| Minimum balance |
$0 |
| CDIC protected |
Yes |
| Access |
Unlimited |
Best for: High everyday rate with easy access.
Oaken Financial TFSA
| Feature |
Details |
| Interest rate |
3.50%+ |
| Monthly fee |
$0 |
| Minimum balance |
$0 |
| CDIC protected |
Yes |
Best for: Set-and-forget higher rates.
Best TFSA GICs
Top TFSA GIC Rates
| Provider |
1-Year |
3-Year |
5-Year |
| EQ Bank |
4.00%+ |
3.75%+ |
3.50%+ |
| Oaken |
4.25%+ |
4.00%+ |
3.75%+ |
| Tangerine |
3.50%+ |
3.25%+ |
3.00%+ |
| Big banks |
2.50%+ |
2.75%+ |
2.50%+ |
*Rates fluctuate—check current rates
When GICs Make Sense
| Situation |
GIC Good Choice |
| Known short-term goal |
Yes |
| No market risk tolerance |
Yes |
| Holding 5+ years |
Consider investing instead |
| Emergency fund |
No (not liquid) |
Best TFSA Investment Accounts
For help deciding what to invest in, see our guide to ETFs and index funds for Canadian investors.
For DIY Investors
| Brokerage |
Trading Fee |
Account Fee |
Best For |
| Wealthsimple Trade |
$0 |
$0 |
Beginners |
| Questrade |
$0 ETF buys |
$0 |
DIY investors |
| TD Direct Investing |
$9.99 |
$25/qtr* |
TD customers |
| RBC Direct Investing |
$9.99 |
$25/qtr* |
RBC customers |
*Often waived with minimum balance
Wealthsimple Trade TFSA
| Feature |
Details |
| Trading commission |
$0 |
| Account fee |
$0 |
| Minimum |
$0 |
| Fractional shares |
Yes |
| Mobile app |
Excellent |
Best for: Beginners, small amounts, commission-free trading.
Questrade TFSA
| Feature |
Details |
| ETF buys |
$0 |
| Stock trades |
$4.95-$9.95 |
| Account fee |
$0 |
| Features |
Advanced trading tools |
Best for: ETF investors, more features than Wealthsimple.
Compare all options in our online brokers guide.
Best TFSA Robo-Advisors
Hands-Off Investing
| Provider |
Management Fee |
Minimum |
Best For |
| Wealthsimple Invest |
0.50% |
$0 |
Beginners |
| Questwealth |
0.25% |
$1,000 |
Lower fees |
| CI Direct Investing |
0.35% |
$0 |
Good features |
Robo-Advisor Pros & Cons
| Pros |
Cons |
| Automatic rebalancing |
Higher fees than DIY |
| Simple to use |
Less control |
| Professional management |
Limited customization |
Comparison: All TFSA Types
Which to Choose
| Your Situation |
Best TFSA Type |
| Emergency fund |
High-interest savings |
| Short-term goal (1-3 years) |
GIC or savings |
| Long-term (5+ years) |
Investment account |
| Hands-off long-term |
Robo-advisor |
| DIY long-term |
Brokerage (ETFs) |
Expected Returns Comparison
| TFSA Type |
10 Years |
20 Years |
30 Years |
| Savings (3%) |
$13,439 |
$18,061 |
$24,273 |
| GIC (4%) |
$14,802 |
$21,911 |
$32,434 |
| Investing (7%) |
$19,672 |
$38,697 |
$76,123 |
*Starting with $10,000, no additional contributions
TFSA Contribution Room
Limits
| Year |
Annual Limit |
| 2024 |
$7,000 |
| 2025 |
$7,000 |
| 2026 |
~$7,000 |
| Cumulative (18+ since 2009) |
~$109,000+ |
Multiple TFSAs Allowed
| Rule |
Details |
| Multiple accounts |
Yes |
| Total contribution |
Across all accounts |
| Example |
$30K at EQ Bank + $30K at Questrade = $60K total |
How to Open Each Type
TFSA Savings (EQ Bank Example)
| Step |
Action |
| 1 |
Visit EQ Bank website |
| 2 |
Select TFSA Savings |
| 3 |
Provide ID, SIN |
| 4 |
Fund account |
| 5 |
Start earning interest |
TFSA Investment (Wealthsimple Example)
| Step |
Action |
| 1 |
Download app |
| 2 |
Create account |
| 3 |
Select TFSA |
| 4 |
Verify identity |
| 5 |
Transfer money |
| 6 |
Buy investments |
Maximizing Your TFSA
Strategy by Age
| Age |
Suggested TFSA Strategy |
| 20s |
100% growth (VEQT/XEQT) |
| 30s |
80-100% growth |
| 40s |
60-80% growth |
| 50s |
40-60% growth |
| 60s+ |
Income/preservation |
Best Investments for TFSA
| Investment |
Why in TFSA |
| High-growth ETFs |
Max benefit from tax-free growth |
| REITs |
Distributions tax-free |
| US stocks |
No withholding in TFSA (some exceptions) |
Avoid These Mistakes
Common TFSA Errors
| Mistake |
Consequence |
| Over-contributing |
1% penalty per month |
| Day trading |
CRA may tax as business income |
| Keeping cash earning 0.01% |
Missing growth |
| Using for short-term |
Wasting tax-free room |