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Tax Free Savings Account (TFSA) vs. RRSP
The Tax Free Savings Account (TFSA) vs. Registered Retirement Savings Plan (RRSP) calculator lets you compare how your assets would grow and what net proceeds you could expect if you saved for your retirement using a TFSA vs. an RRSP. The calculator takes into account the income taxes that you could expect to pay during the year of contribution and during the year of withdrawal by using the information that you provide (income, province, etc.). The calculator also takes into account income-tested benefits such as Old Age Security, the GST Credit and Canada Child Benefit (CCB) since the amount that you contribute or withdraw from your RRSP can impact these benefits.

The end result is a calculation tailored to your individual circumstances which answers the question: will I receive more money during retirement if I contribute to my TFSA or my RRSP now?

Note: This calculator assumes current tax rates and rules will continue as currently legislated into the future. While political and economic situations will change and cause changes to our current tax rates and rules which will impact where to contribute, a starting point is needed to make a decison as to where to contribute today. We think the most rational approach is to use known tax rates and rules and revisit the decision when things change. For more infornation on all of the assumptions we use, please click on 'Assumptions behind this Calculator' at the bottom of this page.

Tax Free Savings Account (TFSA) vs. RRSP
General Inputs

Planned Contribution this Year, before tax: $
Current Age:
Planned Age to Withdraw Investment Proceeds:
Expected Annual Return: %
Expected Inflation Rate: %

Information To Help Estimate Applicable Tax Rates

Your province:
Your Current Income: $
Expected Income in Retirement (as percent of current income): %

Government Income-tested Benefits to Consider

Eligible for Old Age Secuirity (OAS)?:
Do you receive the Canada Child Benefit (CCB) and do you want to include it in the computation?:
Do you want to consider the impact of the GST Credit?:

Family Details to Compute Impact on Government Benefit

Your Marital Status:
If married, Indicate Spouse's Estimated Annual Income: $
If married, Indicate Spouse's Income in Retirement (as percent of current income): %
How many children do you have currently under the age of 18:

Assumptions behind this Calculator

Related Article

TFSA: Stop Paying Taxes on Investments

TFSA vs. RRSP - Detailed Review

Related Calculators

TFSA vs. Non-registered Savings

Retirement Calculator: now with TFSA

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