TFSA vs. Unregistered Savings

Key Assuptions: Combined federal and provincial tax savings based on a $200 monthly contribution for 20 years and a 5.5% rate of return. For unregistered savings, a 21% average tax rate on investment income is assumed, based on 40% interest, 30% dividends and 30% capital gains for a middle-income earning account holder. Source: Government of Canada, February 26, 2008