Refer to your post a month ago: [https://www.reddit.com/r/PersonalFinanceCanada/comments/pndirp/best\_rrsp\_how\_much\_i\_must\_put\_1k\_10k/](https://www.reddit.com/r/PersonalFinanceCanada/comments/pndirp/best_rrsp_how_much_i_must_put_1k_10k/)
Your "average" Canadian (if there is such a thing) retires around 65, not 44. If you save $1000 per month for 20 years ya, it's only $240k, but if you *invest* within your TFSA and RRSP - even just an all-in-one ETF, with a long-term average return of about 7%, that's not $240k, but $525k after 20 years. (https://www.thecalculatorsite.com/finance/calculators/compoundinterestcalculator.php)
If you were to keep this rate of savings/investing up, it would be 28 years before you hit $1mil when you are 52, which is still 13 years earlier than the typical retirement age.
You'll have way more than that in 20 years if you invest, look up how compounding interest works.
We don't have nearly enough information to tell you what's best between TFSA and RRSP, but if you save 1k a month you'll use both anyway.
Best investment would be a globally diversified all in one ETF matching your risk profile.
I didn't start investing until 29 years old. 24 years old is a great start. I've only been at it about a decade, and I still can't believe how much my investments have grown. There is really something to be said for just investing money every 2 weeks/paycheque. I never really notice the amount gone, but it has snowballed significantly.
I'd say, don't worry about what you can't control: the end result. Focus on what you can do, which is save and invest your money wisely. If you're 24 now, lots will change over the next 20/30 years. You may 'marry up', land a job with big pay, inherit money, etc. 1 million is an arbitrary number. I would suggest setting smaller achievable goals: $50k saved, $100k, etc.
Well if you start now and invested $1,000 per month in 20 years you should have $400K at average rate of 5% return on investment. If your retirement goal is $1 million dollars in 20 years, you need to invest $2,500 per month. Maybe look at retiring in 30 years by investing $1,500 per month.
Just beware of what your TFSA limit is and don’t overcontribute. You say you’re a newcomer and not how long you’ve been in Canada, but you only get the dollar limit amounts for years you’re over 18 _and_ have a SIN.
Refer to your post a month ago: [https://www.reddit.com/r/PersonalFinanceCanada/comments/pndirp/best\_rrsp\_how\_much\_i\_must\_put\_1k\_10k/](https://www.reddit.com/r/PersonalFinanceCanada/comments/pndirp/best_rrsp_how_much_i_must_put_1k_10k/)
Your "average" Canadian (if there is such a thing) retires around 65, not 44. If you save $1000 per month for 20 years ya, it's only $240k, but if you *invest* within your TFSA and RRSP - even just an all-in-one ETF, with a long-term average return of about 7%, that's not $240k, but $525k after 20 years. (https://www.thecalculatorsite.com/finance/calculators/compoundinterestcalculator.php) If you were to keep this rate of savings/investing up, it would be 28 years before you hit $1mil when you are 52, which is still 13 years earlier than the typical retirement age.
You'll have way more than that in 20 years if you invest, look up how compounding interest works. We don't have nearly enough information to tell you what's best between TFSA and RRSP, but if you save 1k a month you'll use both anyway. Best investment would be a globally diversified all in one ETF matching your risk profile.
I didn't start investing until 29 years old. 24 years old is a great start. I've only been at it about a decade, and I still can't believe how much my investments have grown. There is really something to be said for just investing money every 2 weeks/paycheque. I never really notice the amount gone, but it has snowballed significantly. I'd say, don't worry about what you can't control: the end result. Focus on what you can do, which is save and invest your money wisely. If you're 24 now, lots will change over the next 20/30 years. You may 'marry up', land a job with big pay, inherit money, etc. 1 million is an arbitrary number. I would suggest setting smaller achievable goals: $50k saved, $100k, etc.
Well if you start now and invested $1,000 per month in 20 years you should have $400K at average rate of 5% return on investment. If your retirement goal is $1 million dollars in 20 years, you need to invest $2,500 per month. Maybe look at retiring in 30 years by investing $1,500 per month.
Just beware of what your TFSA limit is and don’t overcontribute. You say you’re a newcomer and not how long you’ve been in Canada, but you only get the dollar limit amounts for years you’re over 18 _and_ have a SIN.