Registered vs Non-Registered Accounts What’s the Difference?
What is a Registered Account?
A registered account is officially registered with the Canada Revenue Agency (CRA) and provides tax advantages to help you reach specific financial goals.
Common Registered Accounts in Canada
RRSP – Retirement savings with tax deductions
TFSA – Tax-free growth and withdrawals
FHSA – First home savings with tax benefits
RESP – Education savings with government grants
RDSP – Long-term savings for individuals with disabilities
What is a Non-Registered Account?
A non-registered account is a regular investment account that does not receive special tax treatment from the CRA.
Key Features of Non-Registered Accounts
Investment income is taxable:
Interest: fully taxable
Dividends: may qualify for dividend tax credit
Capital gains: 50% taxable
