First Home Savings Account (FHSA)

A first home savings account (FHSA) is a registered plan allowing you, as a prospective first-time home buyer, to save for your first home tax-free (up to certain limits). You are able to open an FHSA as of April 1, 2023 however financial institutions are slowly rolling it out.

To qualify to open a FHSA you must be at least 18 years old, be a resident of Canada and be a first-time home buyer.

Your FHSA participation room for the year is the maximum amount that you can contribute to your FHSAs or transfer from your registered retirement savings plans (RRSPs)  to your FHSAs in the year without creating an excess FHSA amount . For more information about transfers, go to Transfers between FHSAs and other registered plans.

Your FHSA participation room in the year that you open your first FHSA =$8,000

The lifetime FHSA limit =$40,000

All contributions you make to your FHSAs and all transfers from your RRSPs to your FHSAs will reduce your remaining lifetime FHSA limit. If your contributions and transfers to your FHSAs in the year exceed your FHSA participation room for the year, you will have an excess FHSA amount. For more information about an excess FHSA amount, go to What happens if you contribute or transfer too much to your FHSAs.