deposit into cda

I deposited $3K as soon as I could - if you're married you should have baby bonus, so just dump that straight in - I deposited later because it was from the red packets given (not eligible for baby bonus) during my son's first month. You can read about why you should below! Deposit as fast as you can, but just enough to reach the maximum cap for dollar-to-dollar matching. This is a small hack, but you can earn much more interest if you make a full deposit right from the beginning! Here’s an example to illustrate. The CDA First Step would give you a $3,000 headstart. If you do not do any deposit of your own, your interest per annum would be 2% x $3000 = $60. Note that per annum = per year, so you’re taking only around $5 in interest every month! On the other hand, if you were to make a deposit of $3,000 on your own, the Government would match dollar-to-dollar for another $3,000 - giving you a total of $9,000 in your CDA. Your interest per annum would then be 2% x $9,000 = $180. That’s 3 times more per year, or $10 more per month - and it’s just the base amount because it’ll increase as your balance increases from all the additional interest per month. Stop at the maximum cap (depending on your child’s birth order) because the Government won’t do dollar-to-dollar matching after, so you’re better off leaving that extra cash for daily expenses or putting them into a savings account that you can still withdraw from when necessary.