Where should I save for my first home?

Compare the money you could have for the purchase, the tax savings and what you’d need to repay afterward.

2026 tax year · Planning estimate · No account required

Which path gets you ahead?

RRSP gives you $160 more upfront.

Compared with an FHSA. Using the RRSP means putting $1,871 a year back into it from 2031. An eligible FHSA withdrawal has nothing to repay.

Money for the home in Nov 2029

CAD

Each option starts with the same money and monthly savings.

FHSA

First Home Savings Account

$30,635

Estimated tax saving · 2026: $2,372
Repay after buying: Nothing

RRSP

Retirement savings used through the Home Buyers’ Plan

$30,795

Estimated tax saving · 2026: $2,520
Repay after buying: $1,871 / yearFrom 2031, over 15 years

Regular savings

Savings outside an FHSA or RRSP

$28,069

Estimated tax saving · 2026: None
Repay after buying: Nothing

The totals already include saved tax savings and their growth. Don’t add the tax amounts again.

Assumes 4% yearly growth for every option and that you qualify for the accounts selected below. Only 2026 tax savings are estimated; regular savings growth is before tax.

Where do these amounts come from?

FHSA

Qualifying FHSA withdrawal: $27,509
Regular savings & saved refund: $3,126

RRSP

HBP withdrawal: $28,069
Regular savings & saved refund: $2,726

Saved tax savings and their assumed growth are already included in the totals. A saved refund is added after 12 months, not on a predicted CRA payment date. Later years’ tax savings are not calculated.

RRSP buying cash can be limited by the HBP withdrawal cap. The rest remains invested for retirement. A larger repayment is money returning to your own RRSP, not interest or a purchase fee.

Your account limits & eligibilityWe’re using example limits. Change them to match your CRA account.

Your contribution limit is the most you’re allowed to put in. Each option fills that account first, then saves any extra in regular savings. Existing account balances aren’t included.

Can you use an FHSA for this home?

Opening an FHSA and taking money out tax-free have different rules. Confirm both with CRA.

Can you use the RRSP Home Buyers’ Plan?

This is separate from FHSA eligibility. Confirm your own HBP eligibility with CRA.

How much can you add to your FHSA?

Your available contribution room in CRA My Account. New room is added each January, within lifetime limits.

How much can you add to your RRSP?

Your available contribution room in CRA My Account, after contributions already made.

Total put into FHSAs so far

All past deposits and RRSP transfers, not today’s balance. Use 0 if you haven’t contributed.

Growth & tax refund settings

Investment growth / year

Same assumption for all options, after fees and before tax. Growth is not guaranteed.

Save the tax refund for the home?

Plan starts on

Sets the contribution calendar, refund timing and modeled purchase date.

Calculation details & sources

What “ahead” means here

More money available for the home on the modeled purchase date. The comparison does not project total wealth after buying or deduct future HBP repayments from purchase cash. Check the repayment commitment separately.

Repayments go back to you

Home Buyers’ Plan repayments rebuild your own retirement savings. They aren’t interest or a fee. Repay over 15 years; missed required repayments become taxable income. A qualifying FHSA withdrawal needs no repayment.

A fair starting point

The same new lump sum, monthly deposits and assumed return are used for each path. Existing FHSA, RRSP and savings balances are excluded. Money above contribution room goes to regular savings. This does not model a combined FHSA-then-RRSP strategy or a TFSA.

Tax and timing assumptions

This is an annual income estimate before unentered claims, not a complete tax return. It uses standard basic claims and the same province for employment and residence; refundable credits and benefit payments are not included in take-home pay.

Age-based credits and pension-contribution exemptions, spouse and dependant claims, disability, tuition, medical expenses, donations, northern deductions and other personal credits are not entered. Employment estimates assume a full year subject to ordinary CPP/QPP contributions and EI/QPIP premiums.

The timeline rounds to the nearest month. The projection starts on 2026-11-08; purchase is modeled on 2029-11-08, rather than an exact withdrawal date you entered. Monthly deposit dates follow that day, clamped to the month’s last day when needed; end-of-period deposits occur the day before the next anniversary. New room becomes available each January, not in advance. Regular savings growth is before tax; returns are assumptions, not guarantees.

Only the starting calendar year’s income-tax saving is included, using the selected tax-year rules and assumed income. If reinvested, it arrives 12 months after the plan starts; this is a cash-flow assumption, not an actual CRA refund date. Future refunds, pension adjustments, and changes to income or tax rules are not modeled.

This compares new cash contributions, not RRSP-to-FHSA transfers or previously unclaimed deductions. It assumes no previous qualifying FHSA withdrawal: contributions after that withdrawal are never deductible. FHSA opening and qualifying-withdrawal requirements differ from Home Buyers’ Plan requirements; the eligibility switches confirm each program separately. FHSA room must account for prior contributions and transfers, not investment growth. Confirm your available room and eligibility with CRA. HBP deductions apply the CRA 89-day contribution rule using this model’s entered start and monthly deposit dates; actual dates and the value remaining after withdrawal can change the deduction.

This projection assumes your purchase falls within your FHSA’s remaining participation period. The account ends on December 31 of the earliest applicable year: the 15th anniversary of opening your first FHSA, the year you turn 71, or the year after your first qualifying withdrawal. Age and account-opening date are not entered here.

You can use both accounts for the same home: fill FHSA room first, then add RRSP Home Buyers' Plan money on top.

Saving beyond your contribution room is modeled as regular savings, not as an over-contribution.

Give Fred a job. Watch him work.

Tell Fred when you’d like to buy your first home. Your financial copilot researches where to save and what you can put aside alongside your bills and other plans.

Your finances live in deezbills. Fred sets up your home goal, adjusts your budget and saves the plan you approve.

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Common questions

What does getting ahead mean here?

The comparison shows money available for the home on your modeled purchase date, using the same starting cash, monthly savings and growth assumption. It is not a projection of total wealth after buying. Future Home Buyers’ Plan repayments and any money left in the RRSP are shown separately.

Why might FHSA and RRSP buying money look similar?

Both can create a tax deduction, but annual room, deposit dates and the HBP withdrawal cap can change the amounts. A qualifying FHSA withdrawal has no repayment. Money withdrawn from an RRSP through the Home Buyers’ Plan generally has to be repaid over 15 years; missed required repayments become taxable income.

Can I use both accounts for the same home?

Yes, if you meet each program’s conditions. This calculator compares separate FHSA-first, RRSP-first and regular-savings paths. Each registered path sends money above its available contribution room to regular savings. A combined FHSA-then-RRSP strategy is not modeled.

What should I check before using the result?

Confirm contribution room and eligibility with CRA, including your FHSA participation period. The estimate includes only the starting calendar year’s tax saving and adds a saved refund after 12 months. It does not model tax on regular savings growth, later-year refunds or a TFSA. Recent RRSP contributions can lose their deduction under the HBP 89-day rule. Returns and future tax rules can change the result.