# First Home Savings Account (FHSA)

> The First Home Savings Account (FHSA) is a Canadian account for first-time home buyers that gives an RRSP-style tax deduction on contributions and TFSA-style tax-free withdrawals for a qualifying first home.

Canonical page: https://find.wellspent.co/glossary/fhsa/
Also called: FHSA, tax-free first home savings account

You get C$8,000 of room a year, up to C$40,000 over your lifetime. Unused room carries forward, but only up to C$8,000, so the most you can add in one year is C$16,000. An FHSA can stay open until the 15th anniversary of opening your first one or the end of the year you turn 71, whichever comes first.

Contributions are generally deductible, and a qualifying withdrawal to buy a first home is tax-free. If you don't buy, you can move the money directly to your RRSP or RRIF without tax and, in general, without using any RRSP room.

You can use an FHSA and the Home Buyers' Plan for the same home. FHSA money never has to be paid back; Home Buyers' Plan withdrawals do. Contributing more than your room costs 1% a month on the excess.

## How to check

Your FHSA participation room appears in CRA My Account and on your notice of assessment once you've opened an account and filed a return.

## Sources

- [Canada Revenue Agency, First Home Savings Account (page modified February 2, 2026)](https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/first-home-savings-account.html)
- [Canada Revenue Agency, Make the most of your first home savings account (2025 tax tip)](https://www.canada.ca/en/revenue-agency/news/newsroom/tax-tips/tax-tips-2025/make-most-your-first-home-savings-account.html)
- [Canada Revenue Agency, Definitions for FHSAs](https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/first-home-savings-account/definitions.html)
- [Canada Revenue Agency, Withdrawals and transfers out of your FHSAs](https://www.canada.ca/en/revenue-agency/services/tax/individuals/topics/first-home-savings-account/withdrawals-transfers-out-your-fhsas.html)

## Related terms

- [Home Buyers' Plan (HBP)](https://find.wellspent.co/glossary/home-buyers-plan.md)
- [Registered Retirement Savings Plan (RRSP)](https://find.wellspent.co/glossary/rrsp.md)
- [Tax-Free Savings Account (TFSA)](https://find.wellspent.co/glossary/tfsa.md)