Home Buyers' Plan (HBP) Calculator
Calculate how much you can withdraw from your RRSP tax-free under the Home Buyers' Plan. See your 15-year repayment schedule, the cost of missed payments, and how HBP pairs with FHSA.
HBP Details
Max $60,000
5-year grace period (temporary 2022-2025 relief)
Withdrawal Summary
15-Year Repayment Schedule
| Year | Min. Repayment | Remaining Balance |
|---|---|---|
| 2030 | $4,000 | $56,000 |
| 2031 | $4,000 | $52,000 |
| 2032 | $4,000 | $48,000 |
| 2033 | $4,000 | $44,000 |
| 2034 | $4,000 | $40,000 |
| 2035 | $4,000 | $36,000 |
| 2036 | $4,000 | $32,000 |
| 2037 | $4,000 | $28,000 |
| 2038 | $4,000 | $24,000 |
| 2039 | $4,000 | $20,000 |
| 2040 | $4,000 | $16,000 |
| 2041 | $4,000 | $12,000 |
| 2042 | $4,000 | $8,000 |
| 2043 | $4,000 | $4,000 |
| 2044 | $4,000 | $0 |
Cost of Missed Repayments
If you don't repay the minimum in a year, the shortfall is added to your taxable income.
| Years Missed | Shortfall / Year | Total Shortfall | Extra Tax / Year | Total Extra Tax |
|---|---|---|---|---|
| 1 | $4,000 | $4,000 | $1,186 | $1,186 |
| 2 | $4,000 | $8,000 | $1,186 | $2,372 |
| 3 | $4,000 | $12,000 | $1,186 | $3,558 |
Opportunity Cost Analysis
If you left $60,000 in your RRSP at 6% annual return for 15 years:
However, these funds help you purchase a home now — the home's appreciation and the benefit of using tax-free RRSP dollars may offset this opportunity cost.
Net Benefit Analysis
The HBP gives you immediate access to tax-sheltered funds without paying tax on withdrawal. The trade-off is the lost tax-deferred growth in your RRSP. If your home appreciates or you avoid paying rent, the net benefit can be substantial.
Maximize Your First Home Savings
Combine FHSA ($40,000 lifetime) with HBP ($60,000 per person) for up to $100,000 per person in tax-advantaged funds for your first home.
FHSA contributions are tax-deductible and withdrawals are tax-free — with no repayment required. HBP withdrawals are tax-free but must be repaid over 15 years.
How it works: The Home Buyers' Plan (HBP) lets first-time home buyers withdraw up to $60,000 from their RRSP tax-free to buy or build a qualifying home. The amount must be repaid to your RRSP over 15 years. For withdrawals made in 2024 or later, repayment begins in the 5th year after withdrawal (previously the 2nd year). If you miss a repayment, the shortfall is added to your taxable income for that year. RRSP contributions must have been in the account for at least 90 days before withdrawal. You must intend to occupy the home as your principal residence within one year.
HBP Basics
The Home Buyers' Plan (HBP) lets first-time home buyers withdraw up to $60,000 from their RRSP tax-free to buy or build a qualifying home. Couples can each withdraw $60,000 from their own RRSPs.
Eligibility: You must be a first-time home buyer (not owned a home in the current year or the 4 preceding calendar years). RRSP contributions must have been deposited at least 90 days before withdrawal. You must have a written agreement to buy or build a qualifying home and intend to occupy it within 1 year.
Repayment: The full amount must be repaid to your RRSP over 15 years. For withdrawals made between 1 January 2022 and 31 December 2025, repayment starts in the 5th year (temporary relief). For withdrawals before 2022 or from 2026 onward, it starts in the standard 2nd year. If you miss a payment, the shortfall is added to your taxable income.
2024 changes: Budget 2024 increased the withdrawal limit from $35,000 to $60,000 per person (effective 16 April 2024), and temporarily extended the repayment grace period to 5 years for withdrawals made between 1 January 2022 and 31 December 2025 — withdrawals from 2026 onward revert to the standard 2-year grace period.