Bifalgorithm post

When can I withdraw from my first home savings account and will I have to pay tax on it? Here's what you need to know. You basically have three ways to get money out of your first home savings account. Now the first option is to use the account the way it was designed, which is to use that money to purchase your first home. All you have to do for this is make sure that you are eligible and that you are buying a qualifying home, but pretty much anything counts as long as you own it outright. Now the next option here is to do what's called a direct transfer, where the money goes directly from your first home savings account directly into your RRSP account. But you need to make sure that it's a direct transfer because if you take the money out, put it in a checking account and then back into your RRSP, it's going to have a whole bunch of tax implications. Other important thing to note is that when you put the money from your first home savings account into your RRSP account, it does not affect your RRSP contribution limits. Now the third option here is to just pull the money directly out of the account and put it wherever you want. Nobody's going to actually stop you from doing that, but you will be required to claim that amount as taxable income in that year. Make sure to follow if you want to learn more.

When can I withdraw from my first home savings account and will I have to pay tax on it? Here's what you need to know. You basically have three ways to get mon…