Highlights:
- If your paycheque is your only source of money for your investments, you’re missing out
- The simple way to take the pressure off of maxing out TFSA contributions
- How to stack your financial assets for faster growth
What if your yearly TFSA or RESP contributions were covered, without taking anything (or much) from your paycheque?
You might be able to do this with a strategy called return recycling.
This is where you take the earnings (interest, dividends, gains) from one asset and strategically put them to work in another.
Let’s break it down!
Here’s how it works
Jan and Raj have a $60,000 emergency fund sitting in a high-interest savings account earning 4%.
That brings in about $2,400 a year in interest - just for keeping their emergency funds safe and ready.
Instead of letting that interest sit there unused, Jan decided to put it toward her daughter’s RESP.
She added just $100 from her regular paycheque to top it up, reaching a full $2,500 annual contribution.
Because of that, Jan also qualified for the maximum $500 government grant - giving her daughter an even bigger head start for the future.
In total they put $3,000 into their daughter’s RESP, and it only “cost” them $100!
Ways to do this:
• Roll emergency fund interest into your TFSA
• Use GIC interest to top up your RRSP
• Invest credit card cash rewards
• Redirect dividends from margin accounts to registered accounts
Stack your assets for smarter growth
Jan’s story is a perfect example of how to make your money work twice.
Instead of leaving returns on the sidelines, she’s using them to build momentum - stacking one asset on top of another to grow her family’s financial future faster.
This strategy is even easier with Passiv!Anytime you add cash to your account - whether it’s interest, dividends, or a top-up from your paycheque - Passiv tells you exactly how to put that money to work based on your investment plan.
No spreadsheets. No guesswork. Just smarter growth.
Get started with Passiv for free!
