GREY:XEBEQ - Post by User
Comment by
ZouZS3on Apr 11, 2021 3:33pm
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Post# 32974733
RE:RE:RRSP vs TFSA for retirement
RE:RE:RRSP vs TFSA for retirement
Marginal tax rate today 37% Marginal tax rate at retirement is 27% You invest 10k in your rrsp today you get back 3700$ So it's like if you invested 6,300$ but there is 10k in your rrsp Your rrsp grows by 20% So you are at 12,000$ at retirement. If you withdraw 12,000$ at retirement you pay back 3,240$ 8 in taxes. So you get 8760$ net. You invest 6,300$ in your TFSA which is the equivalent of what you actually invested of your own money in your RRSP because you got a return but there is still 10k invested, you make the same 20% return so you get 7,560$ net at retirement. Is this the way to look at it?