TFSA Calculator
Calculate your Tax-Free Savings Account (TFSA) growth. All investment income is completely tax-free. Uses current Canadian contribution limits for accurate projections.
Current TFSA
Contributions
2024 annual limit: $7,000
Settings
Future TFSA Value
$299,112
after 20 years
Estimated Tax Savings
$40,234
Tax saved on investment growth (30% marginal rate)
Understanding TFSAs
A Tax-Free Savings Account (TFSA) is a Canadian registered account that allows you to earn investment income completely tax-free. Unlike RRSPs, TFSA contributions are not tax-deductible, but all growth and withdrawals are tax-free, making it an excellent savings vehicle for any goal.
2024 TFSA Contribution Limits
- Annual limit: $7,000 for 2024
- Cumulative room: $95,000 (if 18+ since 2009)
- Unused room: Carries forward indefinitely
- Withdrawals: Create new contribution room next year
- No tax on: Interest, dividends, capital gains, or withdrawals
TFSA vs RRSP
TFSAs are often better for lower-income earners, those who need flexible access to savings, or for goals other than retirement. RRSPs are generally better for higher-income earners who will be in a lower tax bracket in retirement. Many Canadians use both accounts as part of a comprehensive savings strategy.
Important Disclaimer
This calculator provides estimates for educational and informational purposes only. Results should not be considered as financial, investment, or tax advice. Actual TFSA contribution limits and investment returns will vary.
TFSA contribution limits change annually. Always verify your personal contribution room with CRA and consult a qualified financial advisor.