FHSA Calculator (2026)
Direct answer: A First Home Savings Account lets you contribute up to $8,000 a year and $40,000 over your lifetime. Contributions are tax-deductible like an RRSP, and a qualifying withdrawal for a first home is tax-free like a TFSA and never repaid. Unused room carries forward up to $8,000, so you can put in as much as $16,000 in one year. Enter your contribution, marginal tax rate and timeline above to see your tax refund and how much your FHSA grows by the year you buy.
What is the FHSA contribution limit for 2026?
You can contribute up to $8,000 per year to a First Home Savings Account, with a lifetime limit of $40,000 across all your FHSAs.
Is an FHSA tax-deductible?
Yes. FHSA contributions are deductible from your income like an RRSP, so a $8,000 contribution at a 30% marginal rate gives back about $2,400 in tax.
Can I carry forward unused FHSA room?
Yes, but only up to $8,000. After your first FHSA is open, unused room carries forward so the most you can contribute in one year is $16,000.
Are FHSA withdrawals taxed?
A qualifying withdrawal to buy your first home is completely tax-free and, unlike the Home Buyers' Plan, never has to be repaid.
FHSA Calculator (2026)
How does the FHSA work?
The First Home Savings Account (FHSA) is a registered account for first-time home buyers that combines the best features of an RRSP and a TFSA. It is the only account that is deductible going in and tax-free coming out.
- Open an FHSA if you are a first-time home buyer aged 18 to 71.
- Contribute up to $8,000 a year and deduct it from your taxable income.
- Invest inside the account, where growth is tax-free.
- Withdraw the full amount tax-free when you buy a qualifying first home.
What are the FHSA contribution limits for 2026?
The limits are fixed in legislation and apply across all the FHSAs you hold. Unused room carries forward, but only up to one extra year.
| Rule | Amount |
|---|---|
| Annual contribution limit | $8,000 |
| Lifetime contribution limit | $40,000 |
| Maximum carry-forward | $8,000 |
| Most you can contribute in one year | $16,000 |
| Over-contribution penalty | 1% per month on the excess |
How much tax does an FHSA save?
Because the contribution is deductible, it reduces your taxable income and generates a refund at your marginal tax rate. At a 30% marginal rate, the full $8,000 contribution saves about $2,400 in tax; at 43%, about $3,440. The calculator above multiplies your contribution by the marginal rate you enter, then projects the tax-free growth to the year you buy, so you can see the deduction and the compounding together.
FHSA vs RRSP vs TFSA: which is best for a first home?
For a first home, the FHSA usually wins because it is deductible like an RRSP and tax-free on withdrawal like a TFSA, with no repayment. The RRSP Home Buyers' Plan lets you withdraw up to $60,000 but you must repay it over 15 years. A TFSA is flexible but gives no deduction. Many buyers fill the FHSA first, then top up with the Home Buyers' Plan. Compare the alternatives with our RRSP calculator and TFSA contribution room calculator, or see your overall net pay with the Canada take-home pay calculator.
How long can I keep an FHSA open?
An FHSA has a maximum participation period: it must close by the earliest of 15 years after you open it, the end of the year you turn 71, or the end of the year after your first qualifying withdrawal. If you do not buy a home, you can transfer the FHSA to an RRSP or RRIF tax-free without using RRSP room, so the savings are never wasted.