How Much Do You Need to Retire in Canada?
Project your own retirement savings (RRSP, TFSA, or non-registered) based on your age, monthly contribution, and expected return, in Canadian dollars — on top of your future CPP and OAS. Free, no sign-up.
Your Details
At Retirement — Age 65
Projected Savings
$732,355
35 years · 6% annual
💬 In Simple Words
If you keep saving $400/mo from now (age 30) until age 65, you could have around $732,355 by the time you retire — this is on top of any CPP and OAS you'll receive separately. You'll have contributed $188,000, and the rest, $544,355, is return that money generated on its own. Using the "4% rule" as a reference, that savings could support roughly $2,441/mo without running out in the short term.
| Age | Balance |
|---|---|
| 35 | $54,885 |
| 40 | $101,940 |
| 45 | $165,409 |
| 50 | $251,020 |
| 55 | $366,497 |
| 60 | $522,258 |
| 65 | $732,355 |
This projection estimates only your own invested savings — it does not include CPP, OAS, inflation, or taxes. Check your CPP statement via My Service Canada Account, and consult a certified financial advisor before making decisions.
How This Calculator Works
👋 Simple Explanation
Most working Canadians build retirement income from three layers: CPP (based on your contribution history), OAS (based on residency, income-tested), and your own savings — RRSP, TFSA, and non-registered accounts. This calculator only projects the third layer: what you decide to save and invest on your own.
The calculator combines two formulas: the future value of your current savings (growing at the expected rate) and the future value of your continued monthly contributions.
FV = P × (1+r)ⁿ + PMT × [(1+r)ⁿ − 1] / r
Where P = current savings, r = monthly return rate (annual ÷ 12), n = months until retirement, and PMT = monthly contribution. The estimated monthly income uses the 4% withdrawal reference: annual income = 4% × final balance.
RRSP vs. TFSA: How to Choose in Canada
An RRSP contribution is deducted from your taxable income now — you get a tax refund today, and pay tax on withdrawals later. Your contribution room is 18% of your previous year's earned income, up to an annual maximum set by the CRA, plus any unused room carried forward.
A TFSA contribution isn't tax-deductible, but every dollar of growth is completely tax-free, forever — including at withdrawal, with no effect on income-tested benefits like OAS. The annual TFSA dollar limit is also set by the CRA and indexed periodically.
A common approach: contribute to your RRSP when you expect to be in a lower tax bracket in retirement than you are today, and lean on your TFSA when you want flexibility or expect a similar or higher tax bracket later. Many people use both.
Frequently Asked Questions
- How much money do I need to retire in Canada?
- There's no single number — it depends on how much you spend each month and how many years you expect to live off your savings. A common reference (the '4% rule') suggests that savings equal to 25 times your expected annual spending can support withdrawals for about 30 years. This calculator estimates your own invested savings, on top of whatever CPP and OAS you'll be entitled to.
- Does this calculator include CPP and OAS?
- No. CPP (Canada Pension Plan) and OAS (Old Age Security) are separate, government-administered benefits with their own eligibility rules and payment amounts, based on your contribution history and age. This calculator only projects the savings you build yourself, in accounts like a TFSA, RRSP, or a non-registered investment account — check your CPP statement of contributions and OAS eligibility separately via My Service Canada Account.
- Should I use my RRSP, TFSA, or both to save for retirement?
- An RRSP contribution is tax-deductible now, and you pay tax on withdrawals later — useful if you expect to be in a lower tax bracket in retirement than you are today. A TFSA contribution isn't deductible, but growth and withdrawals are completely tax-free, with no impact on income-tested benefits like OAS. Many people use both, since each has its own annual contribution limit set by the CRA.
- What return rate should I use to plan my retirement?
- It depends on your investment mix and involves a trade-off between risk and time horizon. A GIC (Guaranteed Investment Certificate) offers a fixed rate known in advance; a diversified equity portfolio may return more over the long term, with more short-term volatility. For a conservative projection, use a lower rate.