As the Communications Coordinator at my work, part of my job is to promote initiatives to students that will be beneficial to them. When the Federal government announced the Tax-Free Savings Account, I thought about what a great opportunity it would be for young people to put money aside now in order to save for bigger purchases later in life.
The problem in promoting this idea to students is many are more concerned with short-term priorities like paying off student loans. My suggestion to students is to invest even $50 or $100 of your monthly income into the TFSA when it opens in January ’09. By putting money into the account now, you are earning money from doing absolutely nothing. It may be hard to conceptualize saving money when you are swimming in pools of debt but in five to ten years you will have more money to pay off student loans if you invest it now.
For more information about the TFSA visit this site http://www.cbc.ca/news/background/budget2008/pdf/tax-free-savings-account.pdf