1) Your little sister Tara just turned 16 years old and as usual, received money from your grandmother for her birthday. Your grandmother taught you both the importance of saving when you were young, and both have always put this money in a jar kept hidden in your closets. On March 11th, Tara will start her first job working a few hours on the weekend, which will turn into a summer job once school finishes in June. She wants to save her earnings and is going to the Bank of Montreal with her grandmother to talk to the bank manager about account options. Which accounts can Tara start making deposits in 2024?

Question

1) Your little sister Tara just turned 16 years old and as usual, received money from your grandmother for her birthday. Your grandmother taught you both the importance of saving when you were young, and both have always put this money in a jar kept hidden in your closets. On March 11th, Tara will start her first job working a few hours on the weekend, which will turn into a summer job once school finishes in June. She wants to save her earnings and is going to the Bank of Montreal with her grandmother to talk to the bank manager about account options. Which accounts can Tara start making deposits in 2024?

I. Savings Account
II. Registered Retirement Savings Account (RRSP)
III. Tax-Free Savings Account

a) I only
b) II and III
c) I and II
d) I and III
e) All the responses

Answer 1

d) I and III

Tara can start making deposits into a savings account and a Tax-Free Savings Account in 2024. She can't start making deposits into a Registered Retirement Savings Account (RRSP) until she has earned income and files taxes.