New to Canada
A practical order of operations for your first two years in the Canadian financial system.
Who it is forNewcomers, permanent residents and anyone filing a first Canadian return.
- 01
Read your first paycheque
Federal tax, provincial tax, CPP and EI come off before you see anything. Two provinces can differ by thousands a year on the same salary.
Do thisCompare your province against the others to understand what you are paying for.
Salary and taxIncome & tax - 02
Build a budget in Canadian costs
Housing, transit, phone and insurance are the lines that surprise newcomers most.
Do thisSet the budget on net pay, and include a line for the first tax filing.
Budget plannerIncome & tax - 03
Open a TFSA first
Contribution room starts accumulating in the year you become a resident of Canada and turn 18 — not back to 2009.
Do thisConfirm your own room in CRA My Account before contributing; over-contributions are penalised monthly.
TFSA, RRSP and FHSA roomSaving & investing - 04
Open an FHSA if a home is the goal
Deductible going in, tax-free coming out, and the room begins only once the account exists.
Do thisOpen it early even with a token deposit.
FHSASaving & investing - 05
Build credit deliberately
Canadian lenders want domestic history. A secured card used lightly and paid in full each month is the standard on-ramp.
Do thisKeep utilisation under 30% and never carry a revolving balance.
Balance transferDebt
One thing to check before you contribute
TFSA room does not accrue for years you were not a Canadian resident, and the penalty for over-contributing is 1% a month on the excess. Your exact room appears in CRA My Account — use it rather than the cumulative figure you may read elsewhere.
Run it on your own numbersTFSA, RRSP and FHSA roomContribution room since 2009, wrapper comparison, and the FHSA deduction.