Aditya RaghunathMay 17, 2024 at 9:15 p.m.·4 min readWritten by Aditya Raghunath at The Motley Fool CanadaThe Tax-Free Savings Account (TFSA) is a popular registered account in Canada. According to a Bank of Montreal report, 62% of Canadians have a TFSA. The TFSA was introduced in 2009, and its tax-advantaged status allows individuals and households to grow their wealth over time while gaining exposure to a variety of asset classes.However, BMO’s annual investment survey revealed that TFSA usage declined in 2023 as challenging economic conditions negatively impacted the finances of Canadians. For instance, TFSA usage in 2023 fell to 62% in 2023, down from 66% in 2022 and 69% in 2018.ADVERTISEMENTAccording to the report, basic monthly expenses rose by $397 year over year in 2023, due to which over 50% of Canadians are spending less on discretionary items such as eating out, travel, and shopping. Around a quarter of the Canadians surveyed also said they would avoid investing in 2024 and w...
