![]() ![]() It has been my observation that many of us do not have that financial discipline. The easy accessibility of TFSAs will require us to be disciplined if we are not to squander the funds we sock away. In contrast, TFSAs are inviting with limited barriers to protect you from yourself. I have written a couple times that one of the indefinable benefits of a Registered Retirement Savings Plan (“RRSP”) is that it acts as an invisible barrier to protect you from yourself, as some (not all) people treat their RRSP as sacrosanct and only consider withdrawing money for emergencies, or income smoothing purposes. However, my concern is once that money is withdrawn, many people will not re-contribute, especially in respect of discretionary withdrawals where the money provided personal gratification. One of the great things about a TFSA is that you have the option to re-contribute any money you withdraw from your TFSA beginning January 1st of the following year. The reason could be financial, for example to help purchase a house, or purely for personal indulgence, such as to go on your dream vacation or buy that sports car you always wanted. TFSAs allow you to withdraw your money at any time for any reason. In fact as little as 10% of the cost of the coffee shop (which may charge £2.50 for a latte when you can make it at home with The Barista Club for 23p).As there have already been numerous articles discussing the advantages of the increased limit and who will benefit the most (here are links to two very good articles by Rob Carrick of The Globe and Mail and Adam Mayers of the Toronto Star), today I thought I would take a different tact and discuss how the increased TFSA limit will test our human behavioural traits.Įase of Access, Discipline and RetirementĮase of Access - A Good Thing or a Bad Thing? Wouldn't you prefer a Barista machine that grinds fresh beans every day than a capsule or pod machine? And now its much more affordable too. The Barista Club service is cheaper per day than other coffee subscription services for the same amount of cups of coffee. ![]() The cost per single shot espresso is 28p.The £45 gets you a Jolie&Milk capsule machine (worth £129) machine and 160 single shot capsules.Initial order requires a minimum order spend of 10 packs of 16 capsules for £4.40 each totalling a £45 for the first month. ![]() Lavazza launched a subscription service called MyWay that allows you to pay a monthly fee for coffee capsules and get your Lavazza capsule machine for £1.
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