@herlings Here's my ELI5: RRSP is great, TFSA is a bit better for most people. Unless you are a very high earner and expect to withdraw much less when retired, TFSA usually wins out.
This means TFSAs and RRSPs yield the identical outcome if you contribute and withdraw at the same marginal rate!
This is true in the abstract mathematical sense, but in reality there are complications.
First, TFSA has more flexibility. If there is a dire emergency and you need the money, TFSA can be used without any tax liability and the contribution room comes back next year. RRSP money would be taxed at your marginal tax rate and the contribution room is gone for good.
Second, RRSPs can only be as good or better than TFSAs if you contribute the up front tax savings that the RRSP gets you back into to the RRSP. e.g. You can contribute $3000 after tax dollars in a year and are in a 33% tax bracket. If $3000 is deposited into a TFSA, you are done. If it is deposited into an RRSP, you will get a $1000 back in taxes, which MUST be reinvested to have any chance of beating a TFSA. In fact, you should deposit $4500 into the RRSP and get a $1500 refund to make it a net deposit of $3000. In reality, a lot of people only put $3000 into the RRSP and spend the return on other things.
Third is the potentially very high average tax rate when withdrawing in retirement. OAS and GIS are income dependent, and RRSP/RRIF withdrawal count as income. when in the income bracket where the OAS or GIS is being clawed back, the marginal tax rate is over 50%. When combined with CPP income that's also taxable, RRSP withdrawals can put seniors in a terrible average tax rate from an income tax perspective. And it cannot be avoided indefinitely, because RRSPs need to be converted to a RRIF when you are 71 and are forced withdraw it. TFSA money can be withdrawn (or not) at any time without any tax implications.
Fourth is inheritance. If someone dies and does not have a living spouse or financially dependent child or grand-child to transfer the RRSP to, then the RRSP will be taxed in its entirety, which might be a higher tax bracket than the person ever had while alive. A TFSA is transferred without a tax burden.
IMHO, first max out any employer match, then max out TFSA, then max out RRSP. I would put away as much as you can asap, unless you KNOW that you will make a lot more in the next 5 years. You might give up a small, future differential in a tax return, but you will stay on track to save. There are many, many people in their older years with $100,000+ RRSP contribution room that has constantly grown over the years.