Home Buyers' Plan (HBP) Calculator

Understand the Home Buyers' Plan: withdraw up to $60,000 from your RRSP for a down payment, interest-free. Calculate your repayment schedule and true opportunity cost.

Loading calculator...

How the Home Buyers' Plan Works

Eligibility: The 4-Year Rule

You must be a first-time homebuyer, meaning you (or your spouse) haven't owned and lived in a home during the past 4 calendar years plus the current year up to 30 days before withdrawal.

Eligible if: (Today - Last Home Ownership) > 4 years

RRSP 90-Day Rule

Funds must be in your RRSP for at least 90 days before you can withdraw them under HBP. This prevents last-minute contributions solely for HBP purposes.

(Withdrawal Date - Contribution Date) ≥ 90 days

Withdrawal Limits

Each person can withdraw up to $60,000. Couples can withdraw a combined total of $120,000 from their respective RRSPs.

Max Individual: $60,000 | Max Couple: $120,000

Grace Period Calculation

NEW: Withdrawals made between Jan 1, 2022 and Dec 31, 2025 get a 5-year grace period before repayment starts (instead of the usual 2 years). This was introduced in the 2024 federal budget to help recent homebuyers.

Grace Period = 5 years (2022-2025) or 2 years (other years)

Annual Repayment Amount

You must repay 1/15th of the total withdrawal each year over 15 years, starting after the grace period ends.

Annual Minimum = Total Withdrawal ÷ 15 years

Missed Payment Penalty

If you don't repay the minimum amount in any year, the shortfall is added to your taxable income for that year and taxed at your marginal rate.

Tax Penalty = (Minimum Payment - Actual Payment) × Marginal Tax Rate

Opportunity Cost

The real cost of HBP is the compound growth you lose by removing funds from your RRSP. This calculator shows the difference in RRSP value at retirement with and without using HBP.

Lost Growth = (RRSP Without HBP × (1 + return)^years) - (RRSP With HBP × (1 + return)^years)

Calculation Notes

• The 4-year rule applies to BOTH you and your spouse/common-law partner

• You can repay more than the minimum amount in any year (accelerated repayment)

• The FHSA (First Home Savings Account) is often better than HBP because you never have to repay it

• You can use HBP again if you've repaid your previous HBP balance and meet the 4-year rule

• Spousal RRSP withdrawals for HBP are exempt from the 3-year attribution rule

• Track your HBP balance through My CRA Account at canada.ca/my-cra-account

About This Calculator

v1.0

Updated: January 2025

The Home Buyers' Plan (HBP) lets first-time homebuyers withdraw up to $60,000 from their RRSP to put toward a down payment. While it's interest-free, you must repay it over 15 years. This calculator helps you understand eligibility, repayment obligations, and the real cost in terms of lost RRSP growth.

Key Features

Interactive eligibility checker with 4-year rule validation
Withdrawal planner for individuals and couples (up to $120K total)
15-year repayment schedule calculator
Grace period tracker: 5 years for 2022-2025 withdrawals, 2 years otherwise
Missed payment tax impact calculator
Opportunity cost analysis: compare retirement RRSP with vs without HBP
FHSA comparison and spousal RRSP strategies

When to Use This Calculator

First-Time Homebuyer Planning: Check if you qualify under the 4-year rule and determine how much you can withdraw from your RRSP.
Repayment Strategy: Understand your annual minimum payment and plan a repayment schedule that avoids tax penalties.
Opportunity Cost Analysis: See how withdrawing from your RRSP today impacts your retirement savings 20-30 years from now.
Couple Optimization: If you're buying with a partner, see how to maximize your combined $120,000 HBP limit strategically.

Free to Use

Canadian-Specific

No Registration Required

Real-Time Calculations