Canada RRSP Calculator 2026 — Contribution Room, Growth & Tax Savings
A Registered Retirement Savings Plan (RRSP) lets your retirement savings grow tax-sheltered, and every dollar you contribute is tax-deductible — it lowers the income tax you pay today. Enter your age, balance and monthly contribution below to see what your RRSP could be worth at retirement, how much room you have under the CRA's 2026 limit of $33,810, and how big a tax saving your contributions could generate. No sign-up, and nothing you type is saved or sent anywhere.
Your details
Or type an amount: per month
A balanced portfolio has historically returned roughly 5–7% a year before fees. Returns are never guaranteed.
Your combined federal + provincial marginal rate. Most working Canadians fall between 20% and 45%. Not sure? Enter your income below for a rough estimate.
Leave blank to set the tax-rate slider yourself.
2026 contribution room check
New RRSP room each year = 18% of last year's earned income, up to the CRA dollar cap of $33,810 for 2026. Unused room carries forward indefinitely.
Find your exact figure on your latest CRA Notice of Assessment or in CRA My Account.
Your results
Projected RRSP value at retirement (age 65)
$936,187
You will have contributed
$220,000
Balance today plus monthly deposits
Investment growth
$716,187
Tax-sheltered inside the RRSP
Estimated tax saved on contributions
$63,000
New contributions × your marginal rate
Years of saving
35
From age 30 to 65
How the balance builds up, year by year
2026 RRSP & TFSA figures at a glance
$33,810
RRSP dollar limit for 2026 — your new room is 18% of 2025 earned income, up to this cap
18%
Of earned income becomes new RRSP room each year; unused room carries forward for life
$7,000
TFSA annual limit for 2026 — $109,000 cumulative if you've been eligible since 2009
60 days
After December 31 — contributions in the first 60 days of the year can still count for the previous tax year
How it works
- Your balance compounds tax-sheltered. The calculator grows your current RRSP balance and each year's contributions (your monthly amount × 12, added at each year-end) at your expected annual return until your retirement age. No tax is deducted along the way, because inside an RRSP, interest, dividends and capital gains are sheltered while the money stays in the plan.
- Contributions are tax-deductible. Every dollar you contribute reduces your taxable income for the year, so the estimated tax saving is your total new contributions multiplied by your marginal tax rate. You can claim the deduction right away or carry it forward to a higher-income year.
- Your room is checked against the CRA rules. New room for 2026 is the lower of 18% of your 2025 earned income and the $33,810 dollar limit, added to any unused room carried forward from earlier years. Contribute more than your room (beyond the CRA's $2,000 cushion) and a 1%-per-month penalty tax applies to the excess, so the calculator flags it.
- Withdrawals are taxed later. Money taken out of an RRSP is taxed as income in the year you withdraw it — the tax isn't avoided, it's deferred, ideally to retirement when your rate is lower. By the end of the year you turn 71 the RRSP must be converted to a RRIF or an annuity, or withdrawn.
Worked example
A 30-year-old with $10,000 already in their RRSP who contributes $500 a month at a 7% annual return until age 65 ends with about $936,187 — roughly $900,000-plus. Only $220,000 of that came out of their pocket; the other $716,187 is investment growth. At a 30% marginal tax rate, those contributions also generate roughly $63,000 in tax refunds over the 35 years. Try it: the calculator above is pre-filled with exactly these numbers.
Room check example: if that same person earned $80,000 in 2025, their new 2026 room is 18% × $80,000 = $14,400 — comfortably under the $33,810 cap, and it stacks on top of any room carried forward.
RRSP vs TFSA: which one first?
Both shelter your investments from tax while the money grows. The difference is when you pay tax:
| RRSP | TFSA | |
|---|---|---|
| Contributions | Tax-deductible — lowers this year's tax bill | Made with after-tax dollars — no deduction |
| Growth | Tax-sheltered | Tax-free |
| Withdrawals | Taxed as income | Completely tax-free |
| 2026 limit | 18% of earned income, up to $33,810, plus carried-forward room | $7,000 new room ($109,000 cumulative if eligible since 2009) |
| Room after a withdrawal | Lost permanently (except HBP / LLP repayments) | Restored on January 1 of the following year |
A common rule of thumb: if you expect a lower tax rate in retirement than today, the RRSP usually wins because you deduct at the high rate and withdraw at the low rate. If your rate today is low — early career, part-year work — the TFSA often makes more sense, and you can save your RRSP room for higher-income years. Many Canadians use both.
Frequently asked questions
What is the RRSP contribution limit for 2026?
Your new RRSP room for 2026 is 18% of your 2025 earned income, up to a maximum dollar limit of $33,810 — whichever is lower. On top of that, any unused room from previous years carries forward indefinitely, so your personal limit is shown on your CRA Notice of Assessment. For example, $80,000 of earned income in 2025 creates $14,400 of new room for 2026.
When is the RRSP contribution deadline?
You can contribute at any time, but to count a contribution against the previous tax year it must be made within the first 60 days of the new year — that is, by the start of March (March 2 in a year when March 1 falls on a weekend). Contributions made after that window can still be deducted, just against the current or a future tax year instead.
How much tax do I save with an RRSP contribution?
Roughly your contribution multiplied by your marginal tax rate. Contribute $6,000 in a year when your combined federal and provincial marginal rate is 30%, and your tax bill drops by about $1,800 — usually as a bigger refund. The trade-off is that withdrawals in retirement are taxed as income at whatever rate applies then.
What happens if I contribute more than my RRSP room?
The CRA allows a $2,000 lifetime over-contribution cushion with no penalty. Beyond that, excess amounts are taxed at 1% per month for every month they stay in the plan, and you may need to file a T1-OVP return. If the calculator above warns that your contributions pass your available room, reduce them or check your exact room in CRA My Account before contributing.
RRSP or TFSA — which should I use first?
It depends on your tax rates now versus in retirement. The RRSP is usually better if you're in a high bracket today and expect a lower one later; the TFSA usually wins if your income (and rate) is low today, or if you want flexible, tax-free access to the money. The 2026 TFSA limit is $7,000 of new room, and withdrawals are never taxed. Many people max the TFSA early in their career, then switch to the RRSP as their income rises.
When do I have to close my RRSP, and how are withdrawals taxed?
An RRSP must be wound up by December 31 of the year you turn 71 — most people convert it to a RRIF (Registered Retirement Income Fund) or buy an annuity rather than cashing out. Any withdrawal from an RRSP or RRIF is taxed as regular income for that year, and financial institutions withhold tax at source (10%, 20% or 30% depending on the amount, outside Quebec), which is credited against your final tax bill.
Estimates only — not financial or tax advice. This calculator uses the CRA's 2026 RRSP dollar limit of $33,810, the 18%-of-earned-income rule, and the 2026 TFSA limit of $7,000. Projections assume a steady return compounded annually with each year's contributions added at year-end; real returns vary year to year and fees, inflation and changes in tax law will affect your actual outcome. The income-based tax-rate estimate is a rough guide only — your true marginal rate depends on your province and full tax situation. Check your personal contribution room on your Notice of Assessment or in CRA My Account, and speak with a qualified financial or tax professional before making contribution decisions.
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