If you contribute over $8,000 in a year, resulting in excess FHSA amounts, you can remove the excess amounts as designated withdrawals. These transactions will not be considered a form of income.

There’s also a tax on excess FHSA amounts. Generally, you have to pay a tax of one per cent per month on the highest excess FHSA amount in that month. You will continue to pay the monthly one per cent ...

Savings vehicles like a first home savings account (FHSA) can make it easier for you to overcome one of the largest barriers to home ownership — squirreling away that sizable down payment.

If the renovation will not be immediate, consider putting the excess into your TFSA if you have room so that any interest remains tax-free. Your plan to invest tax refunds from your FHSA and RRSP ...

“For anyone even considering home ownership, the FHSA should be the first place they look to,” Mr. Giovannetti says. “It’s the best tool for first-time buyers,” he adds. FHSAs offer the ...