If you go over your annual contribution limit, you’ll be taxed at a rate of 1% per month on the excess contribution amount until the excess amount is removed from your FHSA. If you don’t withdraw the over-contribution, it will be applied to next year’s total once January 1 rolls ...
Eligible Canadians can contribute, or transfer from their registered retirement savings plan (RRSP), up to $8,000 per year into their FHSA, up to a lifetime maximum of $40,000. If you contribute less than the $8,000 annual contribution limit, the unused contribution room would be added ...
taxable income and thereby reduce the amount of tax owed for the year. Contributions are considered eligible if they meet the annual contribution limits, with individuals able to contribute up to $8,000 per year and a lifetime contribution limit of $40,000 over the FHSA’s 15-yearlifespan....