FHSA guide: the rules in plain English
The First Home Savings Account gives first-time buyers $8,000 of room a year, up to $40,000 over their lifetime. Here's how the room works, who can open one, and the mistakes that cost money. Checked against the CRA on October 8, 2026.
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Who can open one
You need to be a resident of Canada and at least 18. In provinces and territories where you have to be 19 to sign a contract, it's 19. You also can't be older than 71 on December 31 of the year you open it.
And you need to be a first-time home buyer. That means you didn't live, as your main home, in a home you owned or jointly owned this year or in the previous four calendar years. If you have a spouse or common-law partner, the same goes for a home they owned.
How much you can put in
You get $8,000 of room in the year you open your first FHSA. Your room starts then, so it doesn't build up from age 18.
Skip a year and unused room carries forward, but only up to $8,000. So if you open one and don't contribute, the next year's room can be $16,000. Over your lifetime, the cap is $40,000.
What uses your room
Contributions and transfers from your RRSP share the same room. Opening a second FHSA doesn't add room, because your room covers all your FHSAs combined. Growth inside the account, like interest or gains, doesn't use up room.
If you go over
Going over your room is taxed at 1% a month on the highest excess amount in each month, until you fix it. You'd also need to file Form RC728 to report it. Check your room in your CRA account before you deposit.
After you open one
Tell the CRA you opened an FHSA by filling out Schedule 15 with your tax return for that year, even if you didn't put anything in. After that, your room shows in your CRA account under Savings and pension plans.
Where Wealthsimple fits
You can open an FHSA at a bank, credit union, trust or insurance company, or an investing platform. Wealthsimple is one option. Compare fees and investment choices before you pick.
Related guides
Frequently asked questions
Does FHSA room build up from age 18?
No. Your room starts the year you open your first FHSA.
What's the most I can put in during one year?
Usually $16,000 at most: $8,000 for the year plus up to $8,000 carried forward from the year before.
Do RRSP transfers count?
Yes. Transfers in from your RRSP use the same FHSA room as contributions.
Does opening two FHSAs double my room?
No. Your room is shared across all your FHSAs.
What happens if I put in too much?
You pay a 1% tax each month on the highest excess amount in that month until it's fixed, and you file Form RC728.
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Last verified October 5, 2026. Official terms always take priority.