{"id":520904,"date":"2026-06-27T08:16:42","date_gmt":"2026-06-27T08:16:42","guid":{"rendered":"https:\/\/www.newsbeep.com\/ie\/520904\/"},"modified":"2026-06-27T08:16:42","modified_gmt":"2026-06-27T08:16:42","slug":"how-much-canadians-typically-have-in-a-tfsa-by-age-55","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ie\/520904\/","title":{"rendered":"How Much Canadians Typically Have in a TFSA by Age 55"},"content":{"rendered":"\n

Written by Tony Dong, MSc, CETF\u00ae<\/a> at The Motley Fool Canada <\/p>\n

According to Canada Revenue Agency (CRA) statistics released in 2025 covering the 2023 contribution year, Canadians aged 55 to 59 held an average Tax-Free Savings Account (TFSA) fair market value of approximately $37,600. <\/p>\n

That is a meaningful amount of money, especially when you consider that many Canadians in this age bracket are juggling multiple financial priorities at once. Some are helping children through post-secondary education. Others are paying down mortgages, caring for aging parents, or accelerating retirement savings as they move closer to the finish line. <\/p>\n

It is also worth remembering that the TFSA is only one piece of the puzzle. Many Canadians in their late 50s also have Registered Retirement Savings Plans (RRSPs), workplace pension plans, non-registered investments, and home equity that do not appear in TFSA statistics. Looking at the TFSA balance alone rarely captures a household’s full financial picture. <\/p>\n

Why the TFSA becomes even more important later in life <\/p>\n

Still, as retirement approaches, the TFSA often becomes one of the most valuable accounts a person owns. One reason is flexibility. While Canadians can begin collecting Canada Pension Plan (CPP) benefits as early as age 60, doing so results in a permanently reduced benefit. As a result, many retirees choose to defer CPP until age 65 or even age 70 to maximize future payments. <\/p>\n

The TFSA can help bridge that gap. Instead of being forced to claim CPP early, retirees can draw tax-free income from their TFSA while allowing government benefits to continue growing. The same principle applies to other retirement income sources. <\/p>\n

Old Age Security (OAS) generally begins at age 65, while Registered Retirement Income Fund (RRIF) withdrawals do not become mandatory until later. A TFSA provides a clean source of retirement cash flow that does not create taxable income and does not affect eligibility for government benefits. <\/p>\n

That flexibility can be particularly useful for Canadians who want to retire early, transition into part-time work, or simply reduce their workload before fully retiring. In many cases, the TFSA acts as a bridge account, helping investors navigate the years between full-time employment and traditional retirement income sources. <\/p>\n

One ETF that may fit the bill <\/p>\n

For investors seeking a balanced TFSA holding, iShares Core Balanced ETF Portfolio (TSX:XBAL<\/a>) is worth considering. <\/p>\n

XBAL maintains a target allocation of approximately 60% equities and 40% fixed income, making it less aggressive than all-equity funds but still growth-oriented enough to help combat inflation over the long term. <\/p>\n

The portfolio provides exposure to Canadian stocks, U.S. stocks, international developed markets, emerging markets, and a diversified mix of bonds through a collection of underlying iShares funds. <\/p>\n

Everything is managed and rebalanced automatically. That means investors do not need to decide when to buy or sell individual asset classes or worry about maintaining target allocations themselves. <\/p>\n

XBAL also remains reasonably affordable with a management expense ratio of approximately 0.19%. For investors approaching retirement who want a globally diversified portfolio with a moderate risk profile, XBAL offers a simple all-in-one solution. <\/p>\n

The post How Much Canadians Typically Have in a TFSA by Age 55<\/a> appeared first on The Motley Fool Canada<\/a>. <\/p>\n

Should you invest $1,000 in iShares Core Balanced ETF Portfolio right now? <\/p>\n

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* Returns as of June 15th, 2026 <\/p>\n

More reading <\/p>\n

Fool contributor Tony Dong<\/a> has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy<\/a>. <\/p>\n

2026 <\/p>\n","protected":false},"excerpt":{"rendered":"Written by Tony Dong, MSc, CETF\u00ae at The Motley Fool Canada According to Canada Revenue Agency (CRA) statistics…\n","protected":false},"author":2,"featured_media":520905,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14],"tags":[72,27248,115898,17515,27250,10939,176,222039,61,60,3752,174,175,1830,98256],"class_list":["post-520904","post","type-post","status-publish","format-standard","has-post-thumbnail","category-personal-finance","tag-business","tag-canada-pension-plan","tag-canada-revenue-agency","tag-canadians","tag-cpp","tag-fair-market-value","tag-finance","tag-financial-priorities","tag-ie","tag-ireland","tag-motley-fool","tag-personal-finance","tag-personalfinance","tag-retirement-savings","tag-tfsa"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/520904","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/comments?post=520904"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/520904\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media\/520905"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media?parent=520904"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/categories?post=520904"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/tags?post=520904"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}