TFSA Contribution Tracker
Know the CRA TFSA Limits
The Tax-Free Savings Account is one of the most versatile savings shelters Canada offers, and mastering the way contribution room accumulates is essential to avoid accidental penalties. CRA regulations grant new TFSA room on January first of each year to every resident aged eighteen or older who holds a valid Social Insurance Number. Eligibility begins in the calendar year you turn eighteen, or in 2009 when the program launched, whichever is later. For 2024 the annual dollar limit is $7,000, and an individual who has been eligible since inception now has a cumulative limit of $95,000, assuming no previous contributions were made. Contribution room is not tied to employment or earned income, so even students, caregivers, and retirees can accrue full room while earning little or no taxable income. This makes TFSA space a precious asset that should be tracked with care, because once you over-contribute the CRA charges a one-percent monthly tax on the highest excess amount until the surplus is removed.
Understanding the historical pattern of limit increases helps you project future room. The federal government reviews the limit each year and typically indexes it to inflation in $500 increments. Periodic jumps, such as the 2015 increase to $10,000, reflect policy decisions rather than formulaic indexing. The table below summarizes the annual TFSA dollar limit from launch through 2024 and highlights the cumulative room available to someone eligible in each year. This table mirrors the data used in the calculator and provides a quick reference if you are reconciling CRA statements.
| Year | Annual Limit (CAD) | Cumulative Room Since Eligibility Began (CAD) |
|---|---|---|
| 2009 | $5,000 | $5,000 |
| 2010 | $5,000 | $10,000 |
| 2011 | $5,000 | $15,000 |
| 2012 | $5,000 | $20,000 |
| 2013 | $5,500 | $25,500 |
| 2014 | $5,500 | $31,000 |
| 2015 | $10,000 | $41,000 |
| 2016 | $5,500 | $46,500 |
| 2017 | $5,500 | $52,000 |
| 2018 | $5,500 | $57,500 |
| 2019 | $6,000 | $63,500 |
| 2020 | $6,000 | $69,500 |
| 2021 | $6,000 | $75,500 |
| 2022 | $6,000 | $81,500 |
| 2023 | $6,500 | $88,000 |
| 2024 | $7,000 | $95,000 |
The calculator leverages these values to compute your eligible room based on the year you entered adulthood. Mathematically, the base room is the sum of every annual limit from your eligibility year through the present, with additional room generated by withdrawals made in the prior year. The following MathML expression captures the CRA's logic:
Because withdrawals only regenerate room the following January first, making a mid-year withdrawal and recontributing before the calendar flips can trigger an over-contribution tax. The calculator flags that risk by comparing the remaining room against your planned deposit, letting you coordinate withdrawals, deposits, and transfers across multiple financial institutions.
Stay on the Right Side of Over-Contribution Rules
The over-contribution rules are strict yet manageable with accurate data entry. The form prompts you to enter the year you turned eighteen because that date determines when your room began accumulating. If you were a non-resident at any point, remember that room does not accrue during years of non-residency even if you were over eighteen, so you may need to consult CRA correspondence for adjustments. The “Total TFSA Contributions to Date” field should include every deposit ever made into all TFSA accounts registered under your SIN, regardless of the financial institution or whether you have since transferred assets. Transfers between TFSAs at different institutions do not affect total contributions when processed as direct transfers, but if you withdrew funds and redeposited them in the same year, you must include both transactions in your total contributions figure.
Next, enter the withdrawals you made in the previous calendar year. CRA rules add those amounts back to your room on January first of the current year, so they can be recontributed immediately once the year changes. Recording accurate withdrawals is especially important for investors who use their TFSA as an emergency fund or for short-term goals like a vehicle purchase. The calculator combines your base room and prior-year withdrawals to display current-year availability. When you input contributions already made this year, the tool subtracts them to determine remaining room, then checks whether your planned contribution would breach the limit. If the planned deposit is too high, a clear warning appears explaining the one-percent monthly penalty and encouraging you to adjust the amount or wait until new room opens next January.
The 1% penalty is assessed on the highest excess balance each month, so eliminating a small overage quickly can minimize the cost. However, repeated over-contributions may prompt CRA to demand corrective action through Form RC243 and can jeopardize the tax-free status of gains generated by the excess amount. Our tracker empowers you to simulate different deposit schedules and avoid these pitfalls. Use the Copy Summary button to share your results with a spouse or advisor, ensuring that household contributions remain coordinated even when you manage multiple accounts across various banks and credit unions.
Estimate Tax Savings From TFSA Shelter
While the RRSP delivers deductions today, the TFSA shines by exempting future earnings from tax entirely. The calculator's final fields model that benefit by asking for your expected annual investment income and marginal tax rate. Estimate how much interest, dividends, or capital gains the assets would generate in a taxable account, and the tool will compute the taxes avoided when those assets sit inside a TFSA instead. For example, if you expect $1,200 of dividends and face a 28% combined marginal rate, the tax savings are approximately $336 every year, compounding as returns are reinvested. Adjust the assumptions to reflect different asset mixes, comparing the benefits of holding high-yield income securities in the TFSA versus using the space for growth-oriented equities.
Think beyond annual savings when planning your TFSA strategy. Sheltering income in a TFSA accelerates compounding because you never pay tax on growth, even when you withdraw funds. Over decades, the difference can amount to tens of thousands of dollars compared with investing in a taxable account. Use the tracker to plan a contribution schedule that fills room gradually through automatic monthly deposits or lump-sum transfers after bonuses, tax refunds, or matured Guaranteed Investment Certificates arrive. Because TFSA withdrawals are tax free, you can confidently tap the account for large purchases or bridge financing, knowing that the room will come back the following year for future contributions.
Investors with both RRSPs and TFSAs should coordinate their contributions to optimize lifetime tax results. Younger savers in lower tax brackets often prioritize the TFSA because withdrawals have no impact on future government benefits such as Old Age Security. Meanwhile, higher earners may still prefer the RRSP for the large upfront deduction. Our companion RRSP calculator, linked below, helps you weigh those trade-offs. Additionally, consider spousal TFSA strategies: each spouse or partner has their own room, so funding a partner's TFSA, even if they have no income, can double the household's tax-free growth potential without triggering attribution rules, provided the funds are gifted rather than lent at below-market rates.
Finally, stay alert for CRA announcements. Annual limit adjustments are usually confirmed in November or December for the upcoming year. By visiting this tracker regularly, you can update the start year and inputs to reflect new room as soon as it is available. Consider bookmarking the page or subscribing to our newsletter for reminders when new limits take effect, ensuring your TFSA strategy evolves alongside the official rules.
Related Canadian Planning Tools
Coordinate your retirement picture by checking your remaining room with the RRSP Contribution Room Calculator and projecting future CPP income using the CPP Retirement Benefit Estimator. Together, these tools provide a holistic snapshot of your registered accounts so you can make confident, tax-smart decisions year after year.