We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type |
---|---|---|---|
Canadian Imperial Bank of Commerce | NYSE:CM | NYSE | Common Stock |
Price Change | % Change | Share Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|
0.43 | 0.92% | 47.31 | 47.46 | 46.83 | 47.26 | 753,409 | 00:59:59 |
While some Canadians plan to save more, others say they don't have the savings to take advantage of the higher limit
TORONTO, May 26, 2015 /CNW/ - A recent CIBC (TSX: CM) (NYSE: CM) poll finds that one-quarter (27 per cent) of Canadians plan to contribute more annually to their Tax-Free Savings Account (TFSA) following the federal government's decision to increase the annual contribution limit to $10,000 from $5,500.
The poll, conducted less than two weeks after the April 21 Federal Budget announcement, also found that another third (34 per cent) say they simply don't have the funds to take advantage of the new maximum.
Highlights of the poll include:
The poll also found that Canadians aged 55 and over demonstrated much stronger awareness (84 per cent) about the new contribution limit than younger Canadians aged 18-34 (55 per cent). Canadians 55 and over were also twice as likely as younger Canadians to say they typically contribute the maximum to their TFSAs, while those in their highest spending years (35-54) were least likely to contribute.
"It's encouraging to see Canadians are well aware of the increased TFSA limit, and that some are focused on increasing their contribution, though not everyone is able to," says Veni Iozzo, Senior Vice President, Deposits, GICs and Client Solutions at CIBC. "Awareness and intentions don't always translate into action, which is why creating a savings plan and following it is so important."
According to the poll, some Canadians say they already had trouble reaching the $5,500 limit; others are saving in their RRSPs and RESPs instead; or they just don't have enough extra money. Many others don't have a TFSA.
Previous CIBC research has found that Canadians are still focused on reducing household debt. A recent CIBC poll found that only 13 per cent of those expecting a tax refund this year plan to save or invest their windfall.
"Some people might not understand that, little by little, you can put money away in a TFSA - whether it's for your emergency fund, a down payment on a home or for retirement - even as you're working on other financial priorities," added Ms. Iozzo. "All of your investments grow tax free - and you can withdraw the money when you need it."
Tips for TFSA investors
The new TFSA contribution limit means Canadians can save significant amounts over time through a variety of investments, including savings accounts, GICs, mutual funds, stocks, bonds and certain shares of small business corporations. Here are a few tips:
Consult with your financial advisor or Canada Revenue Agency for more information at http://www.cra-arc.gc.ca/tx/ndvdls/tpcs/tfsa-celi/menu-eng.html. You can also find out more about TFSAs on the Tax-Free Savings Account page on CIBC.com.
KEY POLL FINDINGS:
Awareness: Canadians aware that the Federal Government increased the Tax-Free Savings Account (TFSA) contribution limit from $5,500 to $10,000 a year, by age:
Age | ||||
All Canadians | 18-34 | 35-54 | 55+ | |
Yes | 70% | 55% | 68% | 84% |
No | 27% | 39% | 29% | 14% |
I don't know | 3% | 5% | 3% | 2% |
Awareness: Canadians aware of the new TFSA limit on whether they will take advantage of the increase:
Are aware of the new $10,000 limit |
|
I haven't yet, but I intend to | 38% |
No, and I don't intend to | 31% |
No I have not because I don't have a TFSA | 27% |
Yes, I've topped up my TFSA and have contributed $10,000 | 4% |
Savings goals: The impact the new $10,000 annual TFSA contribution limit on Canadians' savings goals:
All Canadians | ||
Canadians who say they will save more in their TFSAs as a result of the TFSA contribution limit increase |
27% | |
I typically contribute the maximum and will now contribute $10,000 a year | 10% | |
I will try to increase my contribution above $5,500 | 17% | |
Canadians who say they don't have the funds to contribute more to their TFSA: |
34% | |
The increase will not affect me, I will probably contribute less than $5,500 | 18% | |
I won't contribute to a TFSA because I contribute to other savings instead (e.g., RRSP, RESP) | 4% | |
I won't contribute to a TFSA because I don't have enough savings this year | 12% | |
Other | 39% | |
I don't have a TFSA, and have no plans of getting one | 20% | |
I don't have a TFSA, but plan on looking into/getting one now | 7% | |
I don't know | 10% | |
Other | 2% |
On April 30 and May 4, 2015, an online survey was conducted among 3,011 randomly selected Canadian adults who are Angus Reid Forum panelists. The margin of error - which measures sampling variability - is +/- 1.8 per cent, 19 times out of 20. The results have been statistically weighted according to education, age, gender and region (and in Quebec language) Census data to ensure a sample representative of the entire adult population of Canada. Discrepancies in or between totals are due to rounding.
About CIBC
CIBC is a leading Canadian-based global financial institution with
nearly 11 million personal banking and business clients. Through our
three major business units - Retail and Business Banking, Wealth
Management and Wholesale Banking - CIBC offers a full range of products
and services through its comprehensive electronic banking network,
branches and offices across Canada with offices in the United States
and around the world. You can find other news releases and information
about CIBC in our Media Centre on our corporate website at www.cibc.com.
SOURCE Canadian Imperial Bank of Commerce
Copyright 2015 Canada NewsWire
1 Year Canadian Imperial Bank o... Chart |
1 Month Canadian Imperial Bank o... Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions