FHSA Calculator (2026)
The First Home Savings Account is the only Canadian account with an RRSP-style deduction AND tax-free withdrawals. See how much it could be worth for your first home.
How to use this calculator
- Enter annual contribution.
- Enter years to save.
- Enter expected annual return.
- Enter your current taxable income.
- Enter province or territory.
- Your results appear instantly below and update as you change the numbers.
How this calculator works
The FHSA, launched in 2023, combines the best features of an RRSP and a TFSA: contributions of up to $8,000 a year (maximum $40,000 lifetime) are tax-deductible, and both the investment growth and the withdrawal to buy your first home are completely tax-free. It's the only account with that double benefit. You can hold it for up to 15 years, and if you don't buy a home, you can roll the balance into an RRSP without using RRSP room. Worked example: saving the full $8,000 for 5 years at 6% grows to about $46,500 — and with a $90,000 Ontario income you'd also save roughly $2,370 in tax every year, adding about $11,850 of total tax savings on top of the $46,500.
Frequently asked questions
What are the FHSA limits for 2026?
$8,000 per calendar year, up to a $40,000 lifetime maximum. You can open an FHSA if you're 18+, a Canadian resident, and haven't owned a home in the year of opening or the previous four years. Unused room carries forward (up to $8,000 per year).
What happens if I never buy a home?
You can roll your FHSA balance into an RRSP tax-free without affecting your RRSP room, or withdraw it as taxable income. The account closes 15 years after you open it or when you turn 71, whichever comes first.
FHSA vs Home Buyers' Plan (RRSP)?
The FHSA is better for most first-time buyers: the withdrawal is permanently tax-free, whereas an HBP withdrawal must be repaid into your RRSP over 15 years or you're taxed on the shortfall. You can also use both — FHSA withdrawals plus up to $60,000 from an HBP.
Do I need a purchase agreement to use FHSA funds?
Yes — to withdraw tax-free you must provide a written agreement to buy or build your first qualifying home, and you can't have lived in a home you owned in the year of withdrawal or the previous four years. Once you use it, the account must be closed by December 31 of the following year.
Disclaimer: Results are estimates for general information only and do not constitute financial, tax, or legal advice. Figures reflect the current tax year and may change. Always confirm current limits and consult a qualified professional before making decisions. Official figures: canada.ca tax rates · CPP rates · CMHC mortgage insurance.