TFSA Calculator | Free Tax-Free Savings Account Calculator - Parsevault

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TFSA Calculator

Estimate how much your Tax-Free Savings Account (TFSA) could grow over time and the potential tax savings.

Your Information

Where you live determines the estimate of your provincial marginal tax rate.

$

Used to estimate your combined federal & provincial marginal tax rate.

$

Maximum $102,000 (2024 TFSA contribution limit).

$

Making regular contributions increases your potential for greater returns.

Maximum 15%. This is the annual increase as a percentage of your investment.

Maximum 50 years. The longer you invest, the more your savings may grow through compound returns.

Results

Estimated total value of your TFSA in 10 years:

$0

Growth Projection

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Contribution vs. Growth

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Tax Savings

$0

Estimated tax savings compared to a non-registered account at your marginal tax rate (25%).

Key Insights

  • Your total contributions over 10 years will be $31,000.
  • Your investment earnings will be approximately $10,950.
  • At 5% return, your money will grow about 35% through compound growth.

Understanding Your TFSA

Everything you need to know about Tax-Free Savings Accounts

What is a TFSA?

A Tax-Free Savings Account (TFSA) is a registered account where your investments can grow tax-free. Unlike an RRSP, contributions are not tax-deductible, but all withdrawals—including investment earnings—are tax-free.

Tax Benefits

All investment income earned in a TFSA—including interest, dividends, and capital gains—is completely tax-free, even when withdrawn. This makes TFSAs particularly valuable for long-term growth.

Contribution Limits

The annual TFSA contribution limit for 2024 is $7,000. Unused contribution room accumulates from 2009 (when TFSAs were introduced) onward, and any withdrawals create additional contribution room in the following calendar year.

Investment Options

TFSAs can hold various investments, including cash, GICs, stocks, bonds, mutual funds, and ETFs. The flexibility to invest in growth-oriented vehicles while maintaining tax-free status makes TFSAs powerful wealth-building tools.