Canadian individual tax form T1 close-up
© minichka / 123RF Stock Photo

The TFSA contribution limit for 2019 is $6,000, up from $5,500 in 2018.

With the TFSA limit at $6,000 for next year, the total room available in 2019 for someone who has never contributed and has been eligible for the TFSA since its introduction in 2009 is $63,500.

The annual TFSA dollar limit is indexed to inflation and rounded to the nearest $500. The Canada Revenue Agency’s indexation increase for 2019 is 2.2%.

For clients who have withdrawn from TFSAs, their crystallized gains and losses from withdrawals are factored in to their TFSA room. Here’s the formula:

Unused TFSA contribution room to date + Total withdrawal made in this year + next year’s TFSA dollar limit = TFSA contribution room at the beginning of next year

Tax bracket thresholds for 2019 have also been released. The federal 33% tax bracket will begin at $210,371 in 2019, up from $205,842 in 2018. On the low end, the basic personal amount for 2019 is $12,069, up from $11,809 in 2018.

Go here for Advisor.ca’s handy summary of essential tax numbers, freshly updated for 2019.