Key Tax Numbers for 2026
- TFSA contribution limit: $7,000 (cumulative max $102,000 if eligible since 2009)
- RRSP contribution limit: 18% of earned income, max $32,490
- Basic personal amount: $16,129 (federal)
- CPP maximum pensionable earnings: ~$71,300
- EI maximum insurable earnings: ~$65,700
Tax-Saving Strategies for Canadians
The most effective legal strategies to reduce your tax bill in Canada include:
- Max out your TFSA: All growth is tax-free forever. Even at 5% interest with KOHO, your earnings are sheltered.
- Contribute to your RRSP: Get an immediate tax deduction and defer tax until retirement when your rate may be lower.
- Income splitting: If you have a spouse, consider pension income splitting or spousal RRSP contributions.
- Claim all deductions: Moving expenses, childcare, home office, union dues, and more.
Save More with the Right Accounts
Tax strategy works best when paired with high-interest accounts. KOHO offers a $20 signup bonus + $100 per referral, and when held in a TFSA-eligible structure, your growth is completely tax-free. Sign up with code 45ET55JSYA for a bonus.