Tax-free accounts
Can You Have More Than One TFSA in Canada?
Yes. You can hold TFSAs at several banks and brokers, but your contribution room is shared across all of them: the 2026 limit is $7,000 in total, not per account. How to move money between them without overcontributing.
Can I have two TFSAs?
Yes. There is no limit on the number of TFSAs you can open, and many people hold one for savings or GICs and another at a brokerage for investments.
What is limited is the total you put in. The CRA adds up your contributions to all of your TFSAs and compares the total with your room: the 2026 dollar limit of $7,000, plus unused room from earlier years, plus amounts you withdrew in earlier years.
Put it into practiceTFSA contribution limit 2026Is the TFSA limit per account?
No. The $7,000 annual limit applies to you, across every TFSA you hold. Putting $7,000 into one TFSA and $7,000 into another in 2026 is an overcontribution of $7,000 unless you have unused room from earlier years.
Someone who was 18 or older and resident in Canada in 2009 and has never contributed has $109,000 of room in 2026. Check your own figure in CRA My Account, remembering that it may not yet show contributions made this year.
What happens if I overcontribute across two TFSAs?
The CRA charges a tax of 1% a month on the highest excess amount for every month it stays in your accounts. Remove the excess as soon as you notice it.
| Excess amount | 1 month | 6 months | 12 months |
|---|---|---|---|
| Top$1,000 | $10 | $60 | $120 |
| $5,000 | $50 | $300 | $600 |
| $10,000 | $100 | $600 | $1,200 |
An excess of $5,000 left in for six months costs about $300 in tax. The CRA may send a TFSA return to complete, and the tax applies even if the overcontribution was accidental.
How do I move money from one TFSA to another?
Ask the institution receiving the money for a direct transfer. A direct transfer does not count as a withdrawal or a contribution, so it does not use any room.
Withdrawing the money yourself and depositing it into the other TFSA is not a direct transfer: the deposit is a new contribution, and the room from the withdrawal only comes back on January 1 of the next year. Some institutions charge a transfer fee, and some will cover it.
Why would I want more than one TFSA?
To keep short-term savings separate from long-term investments, to use a higher savings or GIC rate at another bank, or to split money between institutions for deposit insurance purposes.
CDIC deposit insurance covers eligible deposits held in TFSAs up to $100,000 per member institution, separately from your other deposit categories. Investments such as stocks and ETFs are not covered by CDIC.
Keep reading
Tax-free accountsTFSA Contribution Limit 2026The 2026 TFSA limit is $7,000. Total room for someone eligible since 2009 is $109,000. Every year’s limit, how room works, and where to hold your TFSA.- Tax-free accountsTFSA vs RRSP: Which Is Better?When a TFSA beats an RRSP and vice versa, by income level, with the 2026 limits and the rules that decide it.
Tax-free accountsHow to Transfer a TFSA to Another Bank in CanadaTo move a TFSA without affecting your contribution room, ask the new institution for a direct transfer. Why you should never withdraw and re-deposit it yourself, plus fees and timing.- Tax-free accountsTFSA Withdrawal Rules in CanadaTFSA withdrawals are tax-free and can be made at any time, but the room only comes back on January 1 of the next year. How to withdraw without creating an overcontribution.
Official sources and further reading
- CRA: requesting a TFSA transfer ↗
- CRA: watch your limit when contributing to your TFSA ↗
- CRA tax tip: Tax-Free Savings Account ↗
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