TFSA Growth Calculator Canada

A TFSA grows exactly like any other investment account, with one Canadian advantage: every dollar of growth comes out tax-free. This calculator projects a starting balance plus monthly contributions, and splits the result into money you contributed and growth you keep in full.

Current TFSA balance ($)Monthly contribution ($)Years to growExpected annual return (%)

Projection only: monthly compounding, end-of-month contributions, steady return. Check your personal TFSA room in CRA My Account before contributing; over-contributions are penalised 1% per month.

How it works

The math is ordinary compound growth: your balance earns a return, and next month the return itself earns a return. What makes the TFSA special is the exit. When you withdraw, neither the contributions nor the growth is taxed, and the amount you withdraw is added back to your contribution room on January 1 of the following year.

Your contribution room is personal. It depends on the years you were 18 or older and resident in Canada since 2009, minus everything you have ever contributed, plus withdrawals added back. This calculator projects growth only; it does not track your room.

Worked example

The calculator’s own output for a $10,000 starting balance, $300 a month for 20 years at a 6% annual return:

Item	Amount
Starting balance	$10,000.00
Monthly contribution	$300.00
Years / return	20 years at 6%
Total contributions	$82,000.00
Investment growth	$89,714.31
Final balance, all tax-free	$171,714.31

Frequently asked questions

How much TFSA room do I have in 2026?

Room is personal and cumulative since 2009 for years you were 18+ and resident in Canada. The only reliable figure is the one in your CRA My Account or on your notice of assessment; financial institutions do not report your room to you in real time.

Is TFSA growth really tax-free?

Yes, for ordinary Canadian investments held in the account. Interest, dividends and capital gains inside a TFSA are not taxed, and withdrawals are not taxed either. Day-trading or business activity inside a TFSA is an exception the CRA can tax.

What happens when I withdraw?

The amount comes out tax-free and is added back to your contribution room on January 1 of the next year, not immediately. Re-contributing the same year only works if you already had spare room.

Can I lose TFSA room by investing badly?

Yes. If investments fall and you withdraw the smaller amount, only that smaller amount is added back. Losses inside a TFSA permanently shrink the room you get back.

Is a TFSA better than an RRSP?

For growth you will withdraw at a lower or equal tax rate, the RRSP can win; for flexibility and a guaranteed tax-free exit, the TFSA wins. Many Canadians use both.

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For education only. This calculator gives estimates, not financial, tax or legal advice. Figures use 2026 rates where a rate is built in; confirm your own numbers before making a decision.