2025 RRSP, TFSA, and FHSA Contribution Limits

Three registered accounts form the backbone of Canadian tax-advantaged saving: the RRSP, the TFSA, and the newer FHSA for first-time buyers. Here are the 2025 limits and rules for each.

RRSP — Registered Retirement Savings Plan

2025 RRSP Contribution Limit

The annual RRSP dollar limit for 2025 is:

$32,490

This is up from $31,560 in 2024, an increase of $930. The dollar limit is indexed to average wage growth (not CPI), so it tends to rise each year. The CRA announces each year’s limit in advance, typically the previous autumn.

How Your Personal RRSP Limit Is Calculated

Your personal deduction limit is not simply $32,490. It is the lesser of:

18% of your 2024 earned income
$32,490

Plus any unused RRSP room carried forward from previous years.

Earned income for RRSP purposes includes employment income, net self-employment income, and rental income — but not investment income, pension income, or EI benefits.

Example: If you earned $100,000 in 2024, your 2025 RRSP room from this year’s earnings is 18% × $100,000 = $18,000. That is well below $32,490, so the 18% cap applies.

If you also have $20,000 of unused room from prior years, your total 2025 RRSP deduction limit is $38,000.

Where to Find Your RRSP Room

The CRA shows your exact deduction limit on:

The Notice of Assessment (NOA) from your 2024 tax return
CRA My Account online portal
Box A of your T1028 if the CRA mails you one

Pension Adjustment (PA)

If you belong to a Defined Benefit (DB) or Defined Contribution (DC) pension plan, your employer reports a Pension Adjustment on your T4. This amount is subtracted from the new room you earn each year, ensuring pension members and non-pension workers accumulate retirement savings on a comparable basis.

RRSP Spousal Contributions

You can contribute to a spousal RRSP using your own deduction room, directing the deduction to yourself while the plan grows in your spouse’s name. This is a powerful income-splitting tool in retirement: if your spouse will be in a lower tax bracket at withdrawal, combined taxes on retirement income are reduced.

The 3-year attribution rule applies: withdrawals from a spousal RRSP within two calendar years of the last spousal contribution are attributed back to the contributor and taxed in their hands.

Carry-Forward Rules

Unused RRSP room carries forward indefinitely. There is no limit to how much room you can accumulate. Canadians who could not afford contributions in lean years can make large catch-up contributions once income improves.

RRSP Contribution Deadline

To claim a deduction on your 2025 T1: contributions must be made by March 1, 2026 (60 days after December 31, 2025).

RRSP Maturity

An RRSP must be converted by December 31 of the year you turn 71. Options include converting to a RRIF, purchasing an annuity, or taking a lump-sum withdrawal (fully taxable).

TFSA — Tax-Free Savings Account

2025 TFSA Contribution Limit

The annual TFSA limit for 2025 is:

$7,000

This is the same as 2024. The TFSA limit is set in $500 increments based on CPI and has been $7,000 since 2023.

Cumulative TFSA Room (as of 2025)

For a Canadian who has been eligible since the TFSA was introduced in 2009 and has never contributed, the total available room in 2025 is:

Years	Cumulative Total
2009–2012 (4 × $5,000)	$20,000
2013	$5,500
2014	$5,500
2015	$10,000
2016–2018 (3 × $5,500)	$16,500
2019–2022 (4 × $6,000)	$24,000
2023–2024 (2 × $7,000)	$14,000
2025	$7,000
Total	$102,500

TFSA Carry-Forward and Re-Contribution Rules

Unused TFSA room carries forward indefinitely — it never expires
When you withdraw from your TFSA, that room is restored on January 1 of the following year (not immediately)
Over-contributing incurs a penalty of 1% per month on the excess amount

TFSA Eligibility

You must be:

A Canadian resident for tax purposes
18 years of age or older (19 in provinces where the age of majority is 19)
Hold a valid Social Insurance Number (SIN)

Non-residents who hold a TFSA and continue contributing face a 1% monthly tax on any contributions made while non-resident.

FHSA — First Home Savings Account

2025 FHSA Contribution Limit

The FHSA annual contribution limit is:

$8,000 per year

with a $40,000 lifetime maximum.

The FHSA launched in April 2023. Canadians who opened an account in 2023 and have not yet contributed the full annual limit can carry forward up to $8,000 of unused room to the next year — but only for one year. Unused room from 2023 expires if not used by end of 2024, and so on.

FHSA Eligibility

To open an FHSA you must be:

A Canadian resident
At least 18 years old (or 19 in provinces with a higher age of majority)
A first-time home buyer: you have not owned a qualifying home in the current calendar year or any of the preceding four years

FHSA Tax Treatment

The FHSA combines the best features of the RRSP and TFSA:

Feature	RRSP	TFSA	FHSA
Contributions tax-deductible	Yes	No	Yes
Investment growth tax-free	No (tax-deferred)	Yes	Yes
Qualifying withdrawals tax-free	No	Yes	Yes

Contributions reduce your taxable income (like an RRSP), and qualifying withdrawals to purchase a first home are completely tax-free (like a TFSA withdrawal).

Carry-Forward Rules for FHSA

Unused FHSA room from the prior year can be carried forward, but only one year at a time
Maximum carry-forward is $8,000
Combined with the current year’s limit, you can contribute up to $16,000 in a single year (if you have a full prior-year carry-forward)

FHSA and the Home Buyers’ Plan (HBP)

You can use both the FHSA and the Home Buyers’ Plan (HBP) to purchase your first home. The HBP allows you to withdraw up to $60,000 from your RRSP (as of 2024) tax-free, repayable over 15 years. Combining HBP and FHSA withdrawals can provide a significant down payment boost. Unlike HBP withdrawals, FHSA qualifying withdrawals do not need to be repaid.

FHSA Investment Options

Like RRSPs and TFSAs, FHSAs can hold stocks, bonds, ETFs, GICs, and mutual funds. Growth and income within the account are completely tax-sheltered.

FHSA Deadline

If you have not bought a qualifying home by December 31 of the year you turn 71, or after 15 years from the year you first opened an FHSA, the FHSA must be closed. You can transfer the balance to an RRSP or RRIF without affecting your RRSP room, or withdraw the funds (taxable).

Quick Comparison Table

Account	2025 Limit	Tax Deduction	Tax-Free Growth	Tax-Free Withdrawal
RRSP	$32,490 (or 18% of income)	Yes	No (deferred)	No (taxed at withdrawal)
TFSA	$7,000	No	Yes	Yes
FHSA	$8,000	Yes	Yes	Yes (qualifying)