First Home Savings Account

Taking a closer look at the First Home Savings Account

The currently proposed plan is that starting in 2023, the new FHSA will allow Canadians who are at least 18 to save up to $40,000 for their first home. If eligible, you can contribute up to $8,000 each year to the account but (and there's always a but, right?) you have to use these funds within 15 years of first opening an FHSA or before you turn 71 (whichever is earlier), otherwise the account would have to be closed. This new account is a great savings vehicle for your homebuying goals because you never pay a tax bill on these savings.*  It's the best part of both a Registered Retirement Savings Plan (RRSP), which gives you tax-deduction perks, and a Tax-Free Savings Account (TFSA), which lets your investments grow without a tax bill. This means that the money you put in and earn in this account goes towards the down payment of your first home.

Who's eligible for the First Home Savings Account?

So, who can use the new account? There are three important components to qualify for this investment vehicle.

• You need to be a resident of Canada
• You have to be at least 18 years of age (or the age of majority in your province or territory)
• You or your spouse can't own a home in which you lived, at any time in the year the account is opened or during the previous four calendar years. 

   

  Taking a closer look at the First Home Savings Account

  The currently proposed plan is that starting in 2023, the new FHSA will allow Canadians who are at least 18 to save up to $40,000 for their first home. If eligible, you can contribute up to $8,000 each year to the account but (and there's always a but, right?) you have to use these funds within 15 years of first opening an FHSA or before you turn 71 (whichever is earlier), otherwise the account would have to be closed. This new account is a great savings vehicle for your homebuying goals because you never pay a tax bill on these savings.*  It's the best part of both a Registered Retirement Savings Plan (RRSP), which gives you tax-deduction perks, and a Tax-Free Savings Account (TFSA), which lets your investments grow without a tax bill. This means that the money you put in and earn in this account goes towards the down payment of your first home.

   

  Who's eligible for the First Home Savings Account?

  So, who can use the new account? There are three important components to qualify for this investment vehicle.

• You need to be a resident of Canada
• You have to be at least 18 years of age (or the age of majority in your province or territory)
• You or your spouse can't own a home in which you lived, at any time in the year the account is opened or during the previous four calendar years. 

   

  Taking a closer look at the First Home Savings Account

  The currently proposed plan is that starting in 2023, the new FHSA will allow Canadians who are at least 18 to save up to $40,000 for their first home. If eligible, you can contribute up to $8,000 each year to the account but (and there's always a but, right?) you have to use these funds within 15 years of first opening an FHSA or before you turn 71 (whichever is earlier), otherwise the account would have to be closed. This new account is a great savings vehicle for your homebuying goals because you never pay a tax bill on these savings.*  It's the best part of both a Registered Retirement Savings Plan (RRSP), which gives you tax-deduction perks, and a Tax-Free Savings Account (TFSA), which lets your investments grow without a tax bill. This means that the money you put in and earn in this account goes towards the down payment of your first home.

   

  Who's eligible for the First Home Savings Account?

  So, who can use the new account? There are three important components to qualify for this investment vehicle.

• You need to be a resident of Canada
• You have to be at least 18 years of age (or the age of majority in your province or territory)
• You or your spouse can't own a home in which you lived, at any time in the year the account is opened or during the previous four calendar years. 

   

  Taking a closer look at the First Home Savings Account

  The currently proposed plan is that starting in 2023, the new FHSA will allow Canadians who are at least 18 to save up to $40,000 for their first home. If eligible, you can contribute up to $8,000 each year to the account but (and there's always a but, right?) you have to use these funds within 15 years of first opening an FHSA or before you turn 71 (whichever is earlier), otherwise the account would have to be closed. This new account is a great savings vehicle for your homebuying goals because you never pay a tax bill on these savings.*  It's the best part of both a Registered Retirement Savings Plan (RRSP), which gives you tax-deduction perks, and a Tax-Free Savings Account (TFSA), which lets your investments grow without a tax bill. This means that the money you put in and earn in this account goes towards the down payment of your first home.

   

  Who's eligible for the First Home Savings Account?

  So, who can use the new account? There are three important components to qualify for this investment vehicle.

• You need to be a resident of Canada
• You have to be at least 18 years of age (or the age of majority in your province or territory)
• You or your spouse can't own a home in which you lived, at any time in the year the account is opened or during the previous four calendar years. 

   

  Taking a closer look at the First Home Savings Account

  The currently proposed plan is that starting in 2023, the new FHSA will allow Canadians who are at least 18 to save up to $40,000 for their first home. If eligible, you can contribute up to $8,000 each year to the account but (and there's always a but, right?) you have to use these funds within 15 years of first opening an FHSA or before you turn 71 (whichever is earlier), otherwise the account would have to be closed. This new account is a great savings vehicle for your homebuying goals because you never pay a tax bill on these savings.*  It's the best part of both a Registered Retirement Savings Plan (RRSP), which gives you tax-deduction perks, and a Tax-Free Savings Account (TFSA), which lets your investments grow without a tax bill. This means that the money you put in and earn in this account goes towards the down payment of your first home.

   

  Who's eligible for the First Home Savings Account?

  So, who can use the new account? There are three important components to qualify for this investment vehicle.

• You need to be a resident of Canada
• You have to be at least 18 years of age (or the age of majority in your province or territory)
• You or your spouse can't own a home in which you lived, at any time in the year the account is opened or during the previous four calendar years. 

   

  Taking a closer look at the First Home Savings Account

  The currently proposed plan is that starting in 2023, the new FHSA will allow Canadians who are at least 18 to save up to $40,000 for their first home. If eligible, you can contribute up to $8,000 each year to the account but (and there's always a but, right?) you have to use these funds within 15 years of first opening an FHSA or before you turn 71 (whichever is earlier), otherwise the account would have to be closed. This new account is a great savings vehicle for your homebuying goals because you never pay a tax bill on these savings.*  It's the best part of both a Registered Retirement Savings Plan (RRSP), which gives you tax-deduction perks, and a Tax-Free Savings Account (TFSA), which lets your investments grow without a tax bill. This means that the money you put in and earn in this account goes towards the down payment of your first home.

   

  Who's eligible for the First Home Savings Account?

  So, who can use the new account? There are three important components to qualify for this investment vehicle.

• You need to be a resident of Canada
• You have to be at least 18 years of age (or the age of majority in your province or territory)
• You or your spouse can't own a home in which you lived, at any time in the year the account is opened or during the previous four calendar years. 

   

  Taking a closer look at the First Home Savings Account

  The currently proposed plan is that starting in 2023, the new FHSA will allow Canadians who are at least 18 to save up to $40,000 for their first home. If eligible, you can contribute up to $8,000 each year to the account but (and there's always a but, right?) you have to use these funds within 15 years of first opening an FHSA or before you turn 71 (whichever is earlier), otherwise the account would have to be closed. This new account is a great savings vehicle for your homebuying goals because you never pay a tax bill on these savings.*  It's the best part of both a Registered Retirement Savings Plan (RRSP), which gives you tax-deduction perks, and a Tax-Free Savings Account (TFSA), which lets your investments grow without a tax bill. This means that the money you put in and earn in this account goes towards the down payment of your first home.

   

  Who's eligible for the First Home Savings Account?

  So, who can use the new account? There are three important components to qualify for this investment vehicle.

• You need to be a resident of Canada
• You have to be at least 18 years of age (or the age of majority in your province or territory)
• You or your spouse can't own a home in which you lived, at any time in the year the account is opened or during the previous four calendar years.