How New Canadians Can Build Financial Success

Moving to a new country brings many priorities at once, and money is often one of the most confusing. A few early steps can make your financial life in Canada much easier.

Set up the essentials

• Apply for your Social Insurance Number, which you need to work in Canada and to access many government programs
• Open a Canadian bank account for your everyday income and spending
• File a Canadian tax return each year, even if your income is low, because it can give you access to benefits and helps track your savings room

Start building your credit history

Your credit history from another country usually doesn't transfer to Canada. A credit card used carefully and paid on time is a common way to begin. A good history can matter when you rent a home, finance a car or apply for a mortgage.

Learn the registered accounts

Canada offers registered accounts that encourage saving. Rules apply to each, so check your own room and eligibility before contributing.

• A Tax-Free Savings Account (TFSA) is generally available to Canadian residents aged 18 or older with a valid Social Insurance Number
• A Registered Retirement Savings Plan (RRSP) is based on income earned in Canada
• A Registered Education Savings Plan (RESP) can help you save for your children's education, with government grants available and tax-deferred growth
• A First Home Savings Account (FHSA) is for first-time home buyers, with tax-deductible contributions and tax-free withdrawals for eligible home purchases

Consider mutual funds for long-term goals

A mutual fund gives you a professionally managed, diversified portfolio, and can suit long-term goals. Its value can rise and fall, so it's important to choose funds that match your goals and your comfort with risk. SHE Legacy offers consulting on mutual funds, to help you see how they could fit into your plan.

Remember your finances abroad

If you still have property, savings or family obligations in another country, these may affect your Canadian taxes and your plans. It's worth getting professional advice early, so that you report everything correctly and avoid surprises.

Plan for the life you came here to build

Once the basics are in place, think about your longer-term goals, such as buying a home, educating your children or supporting family. A clear plan helps you decide what to do first.