Mozaic Finance glossary Registered accounts

FHSA: the First Home Savings Account, explained

The FHSA is the best of both worlds for a first home: you deduct contributions like an RRSP, and withdraw tax-free like a TFSA, as long as the money goes toward a qualifying first home.

A First Home Savings Account (FHSA) is a registered account introduced in 2023 to help Canadians save for their first home. It is the only registered account that gives you both a tax deduction going in and a tax-free withdrawal coming out.

How an FHSA works

  • You can contribute up to $8,000 per year, to a lifetime maximum of $40,000.
  • Unused annual room carries forward, but only up to $8,000 can be carried into the next year.
  • Contributions are tax-deductible, like an RRSP.
  • A qualifying withdrawal to buy a first home is completely tax-free, like a TFSA.
  • You must be a first-time home buyer and a Canadian resident aged 18 or older to open one.
  • An FHSA can stay open for up to 15 years, or until the end of the year you turn 71, whichever comes first.

How Mozaic tracks your FHSA

In Mozaic, FHSA is a first-class account type. Connect it through SnapTrade or Plaid, or add it by hand, and its balance and holdings roll into your net worth in your base currency.

Because the FHSA rules are public and depend only on when you opened the account, Mozaic publishes a free FHSA contribution room calculator. It does not file with the CRA, so confirm your official room in CRA My Account before you contribute.

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Frequently asked

You can contribute up to $8,000 per year, to a lifetime maximum of $40,000. Unused room carries forward, but only up to $8,000 can be added to the next year's limit.
The FHSA is unique because it combines an RRSP-style deduction with a TFSA-style tax-free withdrawal for a first home. Which account wins depends on your situation; our FHSA vs RRSP vs TFSA guide walks through the trade-offs.
Yes. Mozaic publishes a free FHSA contribution room calculator based on the year you opened your account, and tracks your FHSA balance and holdings. Confirm your official room in CRA My Account before contributing.