FHSA Contribution Limit 2026
The 2026 FHSA annual participation room is $8,000, with a $40,000 lifetime limit — the same as every year since the program started in 2023. Unlike the TFSA and RRSP, these figures aren't indexed to inflation, so they don't move each year.
Calculate your exact FHSA numbers
This page covers the CRA limit and rules. To see your personal tax savings, growth, and available room, use the calculators.
Why the FHSA limit doesn't change every year
The TFSA dollar limit is explicitly indexed to inflation and rounded to the nearest $500 each year ( $7,000 for 2026). The RRSP dollar limit rises with average wage growth via the money purchase limit formula ($33,810 for 2026). The FHSA is different: its $8,000 annual and $40,000 lifetime figures are flat dollar amounts written directly into the Income Tax Act when the program launched in 2023. No CRA page describes an indexation formula for them — they only change if Parliament amends the legislation.
That's why this page and the 2027 edition can both state the same $8,000/$40,000 figures with equal confidence, while a year-ahead TFSA or RRSP limit page has to wait for a CRA/Finance Canada confirmation.
| Account | 2026 limit | Indexed to inflation? |
|---|---|---|
| FHSA | $8,000/yr ($40,000 lifetime) | No — fixed by statute since 2023 |
| TFSA | $7,000/yr | Yes — nearest $500 |
| RRSP | $33,810 (or 18% of earned income, if lower) | Yes — average wage growth |
See the full TFSA limit page and RRSP limit page for year-by-year tables.
Carryforward: how unused room rolls forward
Unused room carries forward — but only after you open an account, and only up to $8,000. You don't accumulate FHSA room before opening your first account (unlike the TFSA, which accrues room from age 18 whether or not you've opened one).
Worked example: say you opened your first FHSA in 2025 and didn't contribute anything that year. Your 2025 room of $8,000 goes unused and carries forward in full (it's under the $8,000 cap). Your 2026 room is then the 2026 base of $8,000 plus the $8,000 carried forward — $16,000 total you could contribute or transfer in 2026 alone.
The carryforward is capped at $8,000 even if you skip multiple years — it does not stack indefinitely the way TFSA room does. The most you can ever contribute or transfer in a single calendar year is $16,000 ($8,000 base + $8,000 maximum carryforward), and you're still bounded by the $40,000 lifetime limit overall.
Over-contribution penalty
If your contributions and transfers in a year exceed your available FHSA participation room, the CRA charges a tax of 1% per month on the highest excess amount in each month you're over your room. The tax keeps accruing until the excess is eliminated — either by new room opening up on January 1 or by making a designated withdrawal or transfer using Form RC727.
You must also file Form RC728 (First Home Savings Account Return) and Schedule A to report and pay the tax. Use the FHSA over-contribution penalty calculator to estimate the cost before it compounds.
How long your FHSA stays open
Your maximum participation period runs from the day you open your first FHSA until December 31 of the year the earliest of these happens:
- the 15th anniversary of opening your first FHSA,
- you turn 71 years old, or
- the year following your first qualifying withdrawal.
Before that date, either directly transfer any remaining property to an RRSP or RRIF (tax-deferred), or withdraw it as a taxable withdrawal included in that year's income. Property still sitting in the account after the period ends loses its FHSA status and is deemed received as taxable income automatically.
What about the 2027 limit?
Because the FHSA limit is fixed by statute rather than indexed, the 2027 figures are already known — see the 2027 FHSA contribution limit page for the confirmed $8,000/$40,000 figures and the same worked examples.
Frequently asked questions
What is the FHSA contribution limit for 2026?
The 2026 FHSA annual participation room is $8,000, and the lifetime limit is $40,000 — both unchanged from every year since the program launched in 2023. Unlike the TFSA and RRSP dollar limits, the FHSA figures are fixed by the Income Tax Act and are not indexed to inflation.
Does FHSA contribution room carry forward?
Yes, but only from the year immediately after you first become eligible — you don't accumulate room before opening an account. Unused room carries forward up to a maximum of $8,000, so if you opened an FHSA last year and contributed nothing, this year's room is $16,000 ($8,000 this year's base plus $8,000 carried forward).
What happens if I over-contribute to my FHSA?
The CRA charges a tax of 1% per month on the highest excess FHSA amount in each month you're over your participation room, until the excess is eliminated by new room opening on January 1 or by a designated withdrawal or transfer. You must also file Form RC728 (and Schedule A) to report and pay the tax. Use the FHSA over-contribution penalty calculator to estimate the cost.
Is the FHSA contribution limit indexed to inflation like the TFSA?
No. The TFSA dollar limit ($7,000 for 2026) is explicitly indexed to inflation and rounded to the nearest $500 each year, and the RRSP dollar limit ($33,810 for 2026) rises with average wage growth. The FHSA's $8,000/$40,000 figures are flat dollar amounts written into the Income Tax Act — they only change if Parliament amends the Act, which is why we can state the 2026 and 2027 figures with equal confidence.
How long can I keep an FHSA open?
Your maximum participation period ends on December 31 of the year in which the earliest of the following occurs: the 15th anniversary of opening your first FHSA, you turn 71, or the year following your first qualifying withdrawal. Before that date you must either use the funds, transfer remaining property to an RRSP or RRIF tax-free, or withdraw it as a taxable withdrawal.