FHSA | First Home Savings Account
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Unlock your home ownership dreams with an FHSA
The First Home Savings Account is a tax-advantaged registered plan designed to help Canadian residents save for the down payment on their first home. Contributions to an FHSA are tax-deductible, and earnings are tax-sheltered in the plan. Qualifying withdrawals from an FHSA for a qualifying first home purchase are non-taxable.
The annual contribution limit is $8,000 with a lifetime maximum of $40,000.
- You can carry forward up to $8,000 of unused contribution room.
- Your FHSA can be open for up to 15 years.
- Funds can be transferred from your RRSP to your FHSA, subject to applicable limits; the transferred amount will reduce your available FHSA room.
- Always check your CRA notice of assessment to confirm your contribution and participation room.
You can open an FHSA if you are:
- 18 years of age or older (cannot be older than 71 on December 31st of the year your FHSA is opened),
- A Canadian resident with a valid Social Insurance Number,
- A first-time home buyer. You are a first-time home buyer if you have not lived in a home, you or your spouse/common-law partner owned, in the current year or the past four years.
Maximize Your Savings
The FHSA empowers you to save efficiently for your first home. With tax-deductible contributions and tax-free growth, your savings can multiply faster. We recommend that every eligible Member take advantage of this valuable savings tool and open an account at Parama as soon as possible.
A Parama FHSA is another great way for you to save money!
For additional details visit the Canada Revenue Agency FHSA website.
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