TFSA is an acronym for Tax-free Savings Account, which allows Canadians aged 18 and older with a valid social insurance number to make annual contributions, up to a specified limit. Starting from Janaury 1st, 2016, the annual contribution limit for TFSAs has decreased from $10,000 (in 2015) to $5,500. Previous contributions have not been affected therefore the accumulated contribution room through 2016 is $46,500.
Be careful when making contributions as there is a 1% penalty per month on any excess contributions. Remember, money removed this year cannot be re-contributed until next year.
For more information regarding TFSAs, please refer to the CRA website on the topic: http://www.cra-arc.gc.ca/tfsa/
If you have any questions or feel that this might impact you feel free to contact us.