Overcontribution Penalty Calculator
Put too much into a TFSA, RRSP or FHSA? The CRA charges 1% a month on the excess. Estimate what it will cost and how much each extra month adds.
TFSA excess tax
Estimate the TFSA excess tax
RRSP excess tax
Estimate the RRSP excess tax
FHSA excess tax
Estimate the FHSA excess tax
How this calculator works
It multiplies the taxable excess by 1% and by the number of months the excess stays in the account. For the RRSP, the first $2,000 of excess is exempt, so only the amount above the cushion is taxed. Partial months round up, matching how the CRA counts them.
Step-by-step fixes and waiver advice are in our guides: TFSA overcontribution and RRSP overcontribution.
Frequently asked questions
How does the CRA calculate the overcontribution penalty?
The tax is 1% per month on the highest excess amount held in the account during that month. A single day over counts as a full month, and the tax repeats every month until the excess is withdrawn or new room opens up.
Is there a cushion before the RRSP penalty applies?
Yes. RRSP holders have a lifetime over-contribution cushion of $2,000. Only the part above it is taxed, though the excess is still not deductible. TFSA and FHSA have no cushion, so every dollar over the limit is taxed.
What are the 2026 limits?
TFSA: $7,000 of new room. RRSP: 18% of prior-year earned income up to $33,810, plus unused room. FHSA: $8,000 per year, $40,000 lifetime. Your personal room is on your CRA My Account.
How do I stop the penalty?
Withdraw the excess as soon as you find it. The tax is charged for each month the excess is present, so withdrawing before month end limits the damage. Then file the return the CRA requires for that account (see our guides) and, if the mistake was honest, ask the CRA to waive the tax.
Is this the exact amount I will owe?
No. The CRA taxes the highest excess in each month, so the real figure depends on the timing of your contributions and withdrawals. This tool assumes one constant excess for the number of months you enter, which is a good approximation for a single mistake.
Rules and limits used by this calculator
Last verified against the sources below on .
- CRA — MP, DB, RRSP, DPSP, ALDA, TFSA limits and the YMPE 2025 limit was $32,490; 2027 limit is $35,390.
- CRA — MP, DB, RRSP, DPSP, ALDA, TFSA limits and the YMPE Cumulative room: $5,000 (2009–12), $5,500 (2013–14), $10,000 (2015), $5,500 (2016–18), $6,000 (2019–22), $6,500 (2023), $7,000 (2024–26).
- CRA — Contributing to your FHSA
Disclaimer
This calculator provides estimates for education only and is not tax advice. Confirm your contribution room with the CRA and consult a tax professional for advice specific to your situation.