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TFSA Calculator

Check your 2025 contribution room and project how your Tax-Free Savings Account could grow over time.

Contribution Room

year
CAD
CAD
2025 annual limit: $7,000. Cumulative room since 2009 is $102,000 (to 2024) + $7,000 (2025) = up to $95,000 if eligible since 2009. Withdrawals create new room the following calendar year.

Growth Projection

CAD
CAD
%
yrs

Projected Tax-Free Value

TFSA balance after projection
$0

How the TFSA works

The Tax-Free Savings Account lets you invest and earn returns — interest, dividends, or capital gains — completely tax-free. Unlike the RRSP, contributions are made with after-tax dollars but all withdrawals are tax-free, and withdrawals add back to your room the following January 1.

The annual dollar limit for 2025 is $7,000. The cumulative limit for someone eligible since 2009 is $95,000 as of January 1, 2025 (rising to $102,000 by end of 2025 once the year's $7,000 is added). Over-contributing triggers a 1% per month penalty tax — track your room carefully if you withdraw and re-contribute in the same year.

TFSA vs RRSP: The TFSA is generally better if you expect to be in the same or higher tax bracket in retirement, or if you want flexible, penalty-free access to savings. The RRSP is better if your income is high now and you expect lower income in retirement.

FAQ

What is the 2025 TFSA limit?
$7,000 for 2025. The cumulative limit for someone who was 18 or older in 2009 and has never contributed is $95,000 as of January 1, 2025.
Can I re-contribute after a withdrawal?
Yes — but not until January 1 of the following year. If you withdraw $10,000 in November 2025, you can re-contribute that $10,000 starting January 1, 2026 (in addition to the 2026 annual limit).
Is TFSA income taxed?
No — all growth, dividends, and capital gains inside a TFSA are completely tax-free, both while held and when withdrawn. There is no impact on income-tested benefits like OAS or GIS.
Can non-residents contribute to a TFSA?
Non-residents can hold a TFSA but any contribution made while a non-resident is subject to a 1% per month penalty tax. It is usually best to stop contributing while outside Canada.