First Home Savings Account (FHSA)
First Home Savings Account (FHSA)
The First Home Savings Account (FHSA) is a special savings account for Canadians who want to buy their first home. It helps you save money faster because the money you put in is tax-deductible, and when you take it out to buy your home, it is tax-free.
Key Features
- Contribute up to $8,000 per year, with a maximum total of $40,000 in the account.
- Money can be used for a down payment, closing costs, or other first-home expenses.
- Account is for first-time homebuyers who are residents of Canada.
- Keep your FHSA open until the end of the year you turn 71, or until you buy your first home.
- If not used for a home, funds can be transferred to an RRSP or RRIF without paying taxes.
The FHSA is a simple and smart way to save for your first home while getting tax advantages along the way.
