TFSA Calculator
Project how a Tax-Free Savings Account could grow — and how much the tax-free part is actually worth. Free, no sign-up, plain English.
That is the amount added to everyone's room on January 1, 2026 (CRA limits table). Your personal room is probably higher — unused room carries forward and withdrawals are added back the next year. This tool does not guess your room: check CRA My Account, because over-contributing is penalised monthly.
We don't assume your tax rate — enter your own. It's used only to estimate what the same money might look like in a taxable account.
Compounded annually from the rates you enter. The taxable comparison assumes growth is taxed each year at the marginal rate you entered — a simplification, since real taxable accounts mix dividends, interest and deferred capital gains.
Why the tax-free part matters
Inside a TFSA, investment growth and withdrawals are not taxed and never get added to your income. The "TFSA advantage" figure above is simply the difference between sheltering that growth and paying tax on it each year — and it widens the longer you leave it alone.
Two rules cause most TFSA mistakes. First, withdrawn amounts come back as room on January 1 of the following year, not immediately — re-contributing too early is the classic over-contribution. Second, your room is personal and cumulative, so the annual limit is rarely your actual limit. Read what a TFSA is, compare with TFSA vs RRSP, or start with how to start investing in Canada.
Frequently asked
How much can I put in a TFSA in 2026?
The TFSA dollar limit for 2026 is $7,000. That amount is added to your contribution room on January 1. Your own total room is usually larger, because unused room carries forward from every year you were eligible, and any amount you withdrew is added back the following year.
How do I find my actual TFSA contribution room?
Check your CRA My Account, which shows your room as the CRA has calculated it. Be careful: it reflects information filed by your financial institutions and may lag contributions you made this year. This calculator deliberately does not guess your room, because over-contributing carries a monthly penalty tax.
Is growth inside a TFSA really tax-free?
Yes — investment income and capital gains earned inside a TFSA are not taxed, and withdrawals are not taxed or added to your income. That is the whole point of the account, and it is why the comparison in this calculator shows a gap against an equivalent taxable account.
What happens if I withdraw money from my TFSA?
Withdrawals are tax-free and the amount you took out is added back to your contribution room — but not until January 1 of the following year. Re-contributing it in the same calendar year is the most common way people accidentally over-contribute.
Is a TFSA better than an RRSP?
Neither is universally better; they differ in when you get the tax break. An RRSP gives you a deduction now and is taxed on withdrawal, while a TFSA gives no deduction but is never taxed again. Which suits you depends mostly on your tax rate today versus in retirement — see our TFSA vs RRSP guide.
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