Because “they” usually won’t tell you, investing in retirement savings collectively, as a nation, is cheaper and more effective than individual savings, like RRSPs and TFSAs that only the richer set are able to use.
Only the pretty well-off have cash to invest in RRSPs and TFSAs, and since over half of Canadians are a couple paycheques away from homelessness, most Canadians don’t use them.
Doubling the CPP payout for retirees, in contrast, only costs about a 3% increase in contributions because the CPP Investment Board is so successful.
RRSPs and TFSAs are tax cuts for the rich, by stealth.
And now, even a big TFSA champ is saying that they didn’t accomplish the goals they were “supposed” to.
Shock!
As we pivot to a new world of economic dignity for all, let’s stop buying into the rhetoric of welfare for the wealthy!
Economist who championed tax-free savings accounts now says they were a bad idea and public pensions better https://t.co/uVBYqUH9rt #cdnpoli
— Michal Rozworski (@michalrozworski) February 27, 2017
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