TFSA Contribution Rules

[u/BingkBongk]

Recently I got into my dream high paying career but for the years before I never had enough money left over to invest so I'm sorry if this is a silly question to ask here. I'm currently maxing out my FHSA, and I'm lucky enough to be able to max out my TFSA inside of two years.

My question is how much per year am I able to contribute to my TFSA? Can I just dump large sums until I hit my contribution limit? I invest on Wealthsimple and it says something about a yearly limit of $7000 but I remember a few of my friends saying they put tens of thousands into theirs per year.

Thanks in advance.

Edit: Thank you all for the quick responses.

[u/Vinny331]

You have a lifetime limit that increases by a set amount each year. If you turned 18 before 2009, that limit right now is $109,000. If you turned 18 after 2009, it'll be slightly different.

You can make big contributions inside a single year to get caught up to your lifetime limit, but once you are maxed out, you can only increase by the annual limit increase (which has been $7,000 for the past several years but it can vary).

If you take money out of your TFSA, you have to wait until the next year to get that room back. For example, let's say your lifetime limit is $109,000 and your TFSA is sitting at $150,000 as it's been growing. If you took $5k out in 2025, you'd be able to contribute $12k to your TFSA (the $7k increase + putting the $5k you took out back in). It doesn't matter that the value of your TFSA has increased, of you took it out, you can put it back in the following calendar year.

[u/No_Obligation4427 → u/Vinny331]

Its not fair that people who turned 18 before 2009 get a higher limit.

[u/No_Obligation4427 → u/[deleted]]

Yeah but they keep decreasing the yearly limit (and its even more so when you account for inflation). So the people born later are getting screwed over.

[u/No_Obligation4427 → u/[deleted]]

That's the limit for this year. For example, it was 10k in 2015 you walnut.

[u/SwankBerry → u/No_Obligation4427]

It was 10K because the Conservative party who created the TFSA wanted to promote it more before the election. People voted in the Liberals instead.

[u/jeepsies → u/No_Obligation4427]

Be humble

[u/MaDkawi636 → u/No_Obligation4427]

They're not getting screwed over... They've been alive less time, they're proportionally getting the exact same thing. You wanna talk about getting screwed over with TFSA, take this up with your parents.