Reduce your taxable income each year you contribute.
Withdraw money for your first home without paying taxes.
Grow your savings through stocks, bonds, ETFs, mutual funds, or GICs.
Can be used alongside the Home Buyers’ Plan (HBP) and RRSP savings.
Helps first-time buyers develop disciplined savings habits.
Funds taken out are added to your income.
Withholding tax applies to non-qualified withdrawals.
Savings are limited by government-set thresholds.
Withdrawn amounts generally cannot be re-contributed.
Canadian residents who are first-time home buyers aged 18–71.
Up to $8,000 per year, with a lifetime limit of $40,000.
Yes, similar to an RRSP, reducing your taxable income.
No, if used to buy your first home.
Yes, unused room carries forward to future years once the plan open
Yes, both programs can be used for first-time home purchases.
Funds can be transferred to an RRSP or taxed as income.
You can contribute until December 31 of the year you turn 71.
No, each individual is allowed only one FHSA.
