FHSA Calculator Canada 2026 — First Home Savings Account Tax Savings
Calculate FHSA tax savings in seconds. The First Home Savings Account lets you save up to $8,000/year ($40,000 lifetime) with tax-deductible contributions—like an RRSP for your first home. See federal and provincial tax savings by province. First-time home buyers only—free, no sign-up.
Key Takeaways
- $8,000/year, $40,000 lifetime. Tax-deductible contributions, tax-free growth, tax-free withdrawal for first home.
- Tax savings = contribution × your marginal rate. Example: $8,000 at 40% = $3,200 saved.
- Must be 18+ and a first-time home buyer (no ownership in 5 years).
- Can combine with RRSP and TFSA. FHSA has its own contribution room.
How to Use the FHSA Calculator
- Enter income and province — Your taxable income and province determine your marginal tax rate.
- Enter FHSA contribution — Up to $8,000 per year, $40,000 lifetime. Unused room carries forward.
- Get your tax savings — See federal and provincial tax savings. Pair with our Canada Tax Refund Calculator for full refund estimates.
Annual limit: $8,000. Lifetime limit: $40,000. Must be first-time home buyer.
FHSA calculator by province
What is the FHSA?
The First Home Savings Account is a registered account for first-time home buyers. Contributions are tax-deductible, growth is tax-free, and withdrawals for a qualifying first home are tax-free. Combines RRSP and TFSA benefits for home purchase.
FHSA Tax Savings Example
Your tax savings depend on your marginal tax rate (federal + provincial). Formula: Tax savings = FHSA contribution × marginal rate. Examples:
| Marginal Rate | $8,000 Contribution | $40,000 (5 years max) |
|---|---|---|
| 25% | $2,000 saved | $10,000 saved |
| 35% | $2,800 saved | $14,000 saved |
| 45% | $3,600 saved | $18,000 saved |
Higher-income Canadians in top brackets save more. Use the calculator above with your province and income for an exact estimate.
FHSA vs RRSP vs TFSA for First Home
FHSA — Tax deduction on contribution, tax-free growth, tax-free withdrawal for first home. Combines RRSP and TFSA benefits. $8K/year, $40K lifetime. First-time buyers only. RRSP — Tax deduction, growth taxed on withdrawal. Home Buyers' Plan lets you borrow $35K (repay over 15 years). TFSA — No deduction, but tax-free growth and withdrawal. No first-home restriction. For first-time buyers, max the FHSA first for the deduction plus tax-free withdrawal, then consider RRSP (HBP) or TFSA. You can contribute to all three.
FHSA Limits & Rules
- Annual limit: $8,000 (indexed to inflation in future years)
- Lifetime limit: $40,000
- Unused room carries forward (max $8,000 per year carryforward to the next year)
- Must be 18+ and a first-time home buyer (no ownership in year of opening or four prior years)
- Maximum participation period: 14 years from opening; must make qualifying withdrawal or transfer to RRSP/RRIF before it ends
Disclaimer: This calculator is for planning only. FHSA rules are governed by the Income Tax Act and CRA guidance. Consult the CRA or a tax professional for your situation. We do not provide tax or financial advice.
References & Official Sources
- CRA — First Home Savings Account (FHSA)Official FHSA eligibility, limits, and tax treatment.
- FCAC — First Home Savings AccountFinancial Consumer Agency of Canada overview.
- Income Tax Act — Section 146.6 (FHSA)Legislative reference for FHSA rules.