📋 Your HBP Details
📅 Your 15-Year Repayment Schedule
You must repay 1/15 of the withdrawal each year starting 2028. Each repayment is simply an RRSP contribution — it re-builds your retirement savings. Missing a payment means that year's share is added to your taxable income.
What happens if you miss a repayment?
The missed amount is added to your taxable income that year. At your marginal rate, missing one annual repayment of $0 costs you approximately $0 in extra tax. There are no penalties beyond the income inclusion — but it erodes your RRSP room permanently.
| Year | Repayment Due | RRSP Balance Start | Investment Growth | After Repayment | HBP Remaining |
|---|
📊 HBP vs. Keeping RRSP Invested
If you didn't use the HBP, your RRSP would continue growing. Here's the RRSP value comparison over 15 years — with and without the withdrawal.
💡 HBP Tips for Canadians
📅 The 90-Day Rule
Funds contributed to your RRSP must sit there for at least 90 days before you can withdraw under the HBP. Don't make a large "last minute" RRSP contribution right before you need the funds — plan at least 3 months ahead.
🏦 FHSA First, HBP Second
The FHSA is a better deal — contributions are deductible AND withdrawals are tax-free forever (no repayment required). Max your FHSA first, then use the HBP for any remaining down payment gap.
💰 Automate Your Repayments
Set up automatic RRSP contributions starting in the repayment year. Even $200–$400/month ensures you never accidentally miss a payment and face the income inclusion. Treat it like a mortgage payment.
🔄 Repayment = RRSP Contribution
Your annual HBP repayment is simply an RRSP contribution designated as "HBP repayment" on your tax return (Schedule 7). You don't get an additional tax deduction for it — it just reduces your HBP balance owing.