Sarah, aged 35, has never contributed to a TFSA. What is the maximum amount she can contribute to her TFSA in 2024 if the annual TFSA limit was $5,000 for 2009-2012, $5,500 for 2013-2014, $10,000 for 2015, $5,500 for 2016-2018, $6,000 for 2019-2022, and $6,500 for 2023, and $7,000 for 2024?

Question: Sarah, aged 35, has never contributed to a TFSA. What is the maximum amount she can contribute to her TFSA in 2024 if the annual TFSA limit was $5,000 for 2009-2012, $5,500 for 2013-2014, $10,000 for 2015, $5,500 for 2016-2018, $6,000 for 2019-2022, and $6,500 for 2023, and $7,000 for 2024?

Answer options:

• $95,000
• $92,500 ✅ $90,500
• $88,000

Correct answer: $90,500

Explanation: The cumulative TFSA limit is calculated by summing the annual limits from 2009 up to the current year. For Sarah, this is: (4 * $5,000) + (2 * $5,500) + $10,000 + (3 * $5,500) + (4 * $6,000) + $6,500 + $7,000 = $20,000 + $11,000 + $10,000 + $16,500 + $24,000 + $6,500 + $7,000 = $95,000. Sarah turned 18 in 2009, making her eligible for the full cumulative limit. She can contribute $95,000.