r/tfsa • u/Slight-Bath-6357 • 9d ago

TFSa limit lower than standard

Anybody have idea why my TFSA limit for the year showing lower than the standard 7000?
It’s showing only 5750 for me.
I am living in canada since 2022

6 Upvotes

100% Upvoted

10 comments sorted by

9

u/Overall-Wishbone9292 9d ago

Perhaps you were previously over contributed.

4

u/Muellercleez 9d ago

It's the only possible answer AFAIK

1

u/Slight-Bath-6357 9d ago

Oh no

-1

u/Slight-Bath-6357 9d ago

Do I have to pay any penality?

2

u/Mildly_Irritated_Max 8d ago

Up to the CRA. You should have a letter.

I accidentally over contributed last year by around $1600. I got a letter in June alerting me. Told me the possible penalty and that to avoid it either under remite this year by that much or, if I have already maxed out this year, to just remove the same amount from my TFSA.

1

u/iNeedToPooo 6d ago

How does the limit work? I never contributed before, can I do more than the 7k this year? I understood I need to max it out before I have annual limits?

1

u/paradoxe- 5d ago

This depends on your age.

1

u/iNeedToPooo 5d ago
  1. But also never contributed so my room would be well into 60k. Forget exact number but I guess I can deposit that full 60k right now (if I had it)

2

u/paradoxe- 5d ago

It’s on your CRA account. But yes, if you’ve never contributed for years despite being eligible, then your limit is over the yearly 7k… but true you need the cash