How the FHSA works
The First Home Savings Account (FHSA) lets a first-time buyer put in up to $8,000 a year, to a lifetime total of $40,000. Contributions are deductible like an RRSP, so they lower your taxable income and usually create a refund. A qualifying withdrawal to buy your first home is tax-free, like a TFSA.
If you open the account and don't use all of a year's room, you can carry forward up to $8,000 of unused room to the next year — so the most you can put in one year is $16,000. Room only starts building once the account is open, which is why opening it early matters even if you put in nothing yet.
How long the account can stay open
An FHSA can stay open for up to 15 years, or until the end of the year you turn 71, whichever comes first. If you don't buy a home, the money can move to your RRSP without using any RRSP room — so the tax refund you received is not lost.
What this calculator shows
Enter what you plan to contribute each year, for how many years, and your marginal tax rate. The calculator shows the projected value, what you put in, the tax refunds those contributions create, and the tax-free growth. The chart shows how the three build year by year.
Returns use the FP Canada 2026 projection guidelines and are shown after fees: Cautious 3.2 %, Balanced 4.5 %, Growth 5.1 % a year. You can change the return and the fee; a higher figure is an optimistic scenario, not a forecast.
The refund here uses the marginal rate you enter. For a refund worked out through the real federal and provincial brackets, use the RRSP and FHSA tax refund calculator.
A quick example
Contribution × marginal tax rate = refund. With a 30 % marginal rate, putting in the full $8,000 brings back about $2,400. Over five years that is $40,000 in and about $12,000 in refunds — before any growth. Putting each refund to work too, for example in a TFSA, adds to the result.
Common questions
How much can I put in an FHSA?
$8,000 a year and $40,000 in total. Up to $8,000 of unused room carries forward one year, so the most in a single year is $16,000.
What happens if I never buy a home?
You can transfer the money to your RRSP (or RRIF) without using RRSP room. The account must close within 15 years of opening or by the end of the year you turn 71.
Can I use the FHSA and the Home Buyers' Plan together?
Yes. A qualifying FHSA withdrawal and a Home Buyers' Plan withdrawal of up to $60,000 from your RRSP can be used for the same home. The Home Buyers' Plan must be paid back to your RRSP; the FHSA does not.