TFSA Contribution limit

I moved to Canada in 2018. But from my CRA, my TFSA contribution started in 2010, and my contribution limit is more than 70K.
Is this accurate? I thought my contribution limit should start from the year I became a resident of Canada which is 2018 and my contribution limit should have been less than 30K as every year CRA adds 6k

You need to keep track of your own TFSA limit and contributions, it is not wise to rely on the amount in the MyCRA account.

And the allowance for each year varies (It’s not 6k every year), Wealthsimple has a calculator which I find helpful and I’m sure there are other online calculators too.

Your TFSA contribution limit is cumulative. Maximum cumulative contribution to 2022 is $81,500. You could have been contributing every year to reach the maximum or you can contribute up to your permitted cumulative maximum at one time. However, The TFSA contribution room will not accumulate for any year during which the individual is not a resident of Canada throughout the entire year.

The TFSA format started with fiscal 2009. The maximum contribution each year was;
The annual TFSA dollar limit for the years 2009 to 2012 was $5,000.
The annual TFSA dollar limit for the years 2013 and 2014 was $5,500.
The annual TFSA dollar limit for the year 2015 was $10,000.
The annual TFSA dollar limit for the years 2016 to 2018 was $5,500.
The annual TFSA dollar limit for the years 2019 to 2021 is $6,000.
The annual TFSA dollar limit for the year 2022 is $6,000
In your case, assuming you arrived “during” 2018, you would be eligible to accumulate contribution room for 2019/20/21 and 2022 = 4 X 6,000 = $24,000.

You missed $5500 for 2018 for them…

total would be $29500 if they were resident of canada in 2018 also… isn’t it…

No, 2018 doesn’t add to the allowance because he wasn’y here for the “entire” year.

You can contribute to a TFSA up to the date that you become a non-resident of Canada. The annual TFSA dollar limit is not prorated in the year of emigration or immigration.


one more:

Absolutely, says Simeen Gaidhar-Bhanji, a chartered accountant in Vancouver. As a starting point, she recommends that newcomers put their money into a tax-free savings account (TFSA).

Introduced in 2009 by the federal government, a TFSA lets Canadians save up to $5,000 a year without incurring taxes on interest earned or withdrawals. Unlike money put into an RRSP, TFSA contributions are not tax-deductible.

“You don’t need to have earned income to be able to contribute to a TFSA,” Ms. Gaidhar–Bhanji says. “So in their first year, even their first day in Canada, new immigrants can start contributing to a TFSA right away.


I don’t think there is any need to be “here for the entire year”. Atleast that’s my interpretation when I read the docs.

The TFSA dollar limit is not prorated in the year when an individual meets any of one of the following conditions:

  • turns 18 years of age
  • dies
  • becomes a resident or a non-resident of Canada

So if you become a resident of Canada at any point during the year then you get the full limit for that year. I’ve computed my TFSA limits with this interpretation in mind and the CRA hasn’t yet asked me about this aspect (at-least not yet). But when in doubt, best ask a professional.

A “Non Resident” may not contribute to a TFSA (With certain exceptions) and “Non Resident” is defined as a person resident in Canada for less than 183 days in any given year. Furthermore “The annual TFSA dollar limit is not pro-rated in the year of emigration or immigration.” So without knowing when Canadinland immigrated to Canada you would need to assume he is not eligible for the year in which he arrived. But, as always, you can find CRA regulations to contridict any conclusion. CONSULT A CPA.