BalanceWise

TFSA Contribution Room Calculator

The Tax-Free Savings Account (TFSA) is a powerful registered account available to Canadians aged 18+.

Unlike an RRSP, contributions are not tax-deductible, but all investment growth (interest, dividends, capital gains) and withdrawals are 100% tax-free. Use this calculator to track your room and avoid penalties.

Calculate Your Room
Enter your details below to see your available limit.
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The annual limit for 2026 is $7,000.

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Check your CRA My Account for this amount.

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Withdrawals from the previous year are added back.

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Your Available Contribution Room

How it's Calculated

Your TFSA contribution room is the total of:

The TFSA dollar limit of the current calendar year
+
Any unused contribution room from previous years
+
Any withdrawals made the previous year
Any contributions already made this year
=
Your available contribution room

Stop guessing your limits

Avoid penalties and maximize your tax-free savings. BalanceWise tracks your exact carry-forward room so you never over-contribute.

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When to use it?

The TFSA is incredibly flexible depending on your financial stage.

  • Short-term goalsIdeal for emergency funds, vacations, or a car since withdrawals are penalty-free.
  • Long-term investingAggressive investments (stocks/ETFs) can grow tax-free for decades.

Pitfalls to Avoid

Even though it's "tax-free," there are rules that can cost you money.

The Re-Contribution Trap

Withdrawals sit in a "waiting period" until Jan 1st of the next year. If you replace withdrawn money too early without *existing* room, you will be penalized.

The 1% Penalty Tax

The CRA charges 1% per month on any excess amount in your TFSA. An over-contribution of $2,000 costs you $20/month until fixed.

Pro Tip

Invest, Don't Just Save

Despite the name "Savings Account," you should think of it as a "Tax-Free Investment Account." You can hold cash, GICs, bonds, stocks, and ETFs. Using it just for a low-interest savings account wastes its tax-free growth potential!

Official Sources & Disclaimer

Disclaimer: The information provided on this page and by this calculator is for educational and informational purposes only and does not constitute financial, legal, or tax advice. We make no representations, warranties, or guarantees, whether express or implied, regarding the accuracy, completeness, or timeliness of the information.

Rules and limits can change. Always verify your specific contribution room and eligibility directly with the Canada Revenue Agency (CRA) via your My Account portal or by consulting a qualified financial professional.