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Greg has $385 in his bank account and has $86,750 in his Registered Retirement Savings Account (RRSP account). Gregs Notice of Assessment from CRA indicates

Greg has $385 in his bank account and has $86,750 in his Registered Retirement Savings Account (RRSP account). Gregs Notice of Assessment from CRA indicates that he has $59,000 of unused RRSP contribution room. All of the money in this account is invested in GICs and Treasury Bills. He also has a Tax Free Savings Account (TFSA) with a current value of $6,250 which is intended as an emergency fund. The funds are invested in a Canadian equity mutual fund. He has provided you with the following activity in his TFSA account:

Year

Amount

Description

2015

$ 100

contribution

2016

$ 2,200

contribution

2016

$ 500

withdrawal

2017

$ 4,000

contribution

2018

$ 2,100

withdrawal

2019

$ 1,560

contribution

2020

$ 1,000

withdrawal

Calculate Gregs 2021 TFSA contribution room. (3 marks)

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