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QTQuebecTaux

    Investments

    Pick the account before the investment , not after.

    TFSA, RRSP, FHSA or GIC: the posted return is not the one you keep. Look at the horizon, the tax treatment and the fees before you pick the account.

    Rates

    GIC rates recorded

    GIC rates recorded
    ProductRateSource and date
    1-year GIC (average posted rate)Banque du Canada2.45%Source · October 7, 2026
    3-year GIC (average posted rate)Banque du Canada3.20%Source · October 7, 2026
    5-year GIC (average posted rate)Banque du Canada2.75%Source · October 7, 2026

    Recorded on (19 days ago). How we record rates

    Average of posted rates at chartered banks, published by the Bank of Canada. A specific GIC can offer more or less.

    Tools

    Put numbers on your situation

    Compound interest
    Future value$51,721
    Total contributed$40,000
    Interest earned$11,721

    For information only: not an approval, and not a rate offer.

    How we calculate

    Future value of the initial deposit plus that of the regular contributions, with interest compounded each period, in one closed-form formula.

    Assumptions

    • The rate is nominal and constant; compounding is monthly by default.

    Limits

    • No tax, no inflation, no rate change along the way.
    GIC ladder
    Value at maturity$28,165
    Total interest$3,165
    Per rung$5,000One rung matures each year.

    For information only: not an approval, and not a rate offer.

    How we calculate

    The amount is split into equal parts placed at 1, 2, … n years. Each part grows at its rate, compounded annually; a weighted average yield follows.

    Assumptions

    • Rates by term are the ones you enter; maturities are not reinvested.

    Limits

    • Rates vary by institution and by day; tax is not considered.
    Investment growth
    Future value$251,020
    In today's dollars$168,930What that sum will actually buy, after inflation.
    Total contributed$116,000
    Growth$135,020

    For information only: not an approval, and not a rate offer.

    How we calculate

    Future value of the initial amount plus that of the monthly contributions, at the return divided by twelve. The result is also shown in today’s purchasing power by removing inflation.

    Assumptions

    • Constant return and inflation, contributions at month end.

    Limits

    • A real return varies and can be negative in some years; this is not a forecast.
    Fee drag
    Cost of fees$141,220What the fees take out of the return, over the whole horizon.
    Net value$289,927
    Value with no fees$431,147
    Share of return lost48.5%

    For information only: not an approval, and not a rate offer.

    How we calculate

    The fee ratio is subtracted from the gross return, then growth is computed with and without fees. The difference is the cost of fees; it is also shown as the share of the gain absorbed.

    Assumptions

    • Constant gross return; fees come off every year as a lower net return.

    Limits

    • Trading and brokerage fees and tax are not included.
    What eats into the return

    The account, the fees and the tax matter as much as the investment

    The account, the fees and the tax matter as much as the investment
    ItemWhat it changesWhat to check
    Account typeTFSA, RRSP, FHSA or non-registered: the tax on gains differs.The account that fits your horizon.
    Management feesThey are taken every year, whatever the return.The fee ratio shown, in plain words.
    HorizonMoney needed soon cannot bear the same swings as retirement money.The date you will need it.
    Exit conditionsSome investments lock the money or charge for a withdrawal.What happens if you withdraw early.

    Every guide in this section

    Frequently asked

    What people ask most

    It depends on your situation. The FHSA is for saving with a deduction and a tax-free qualifying withdrawal. The HBP temporarily borrows from an existing RRSP and requires repayment. In some cases both can be combined. Have your plan checked.

    Put numbers on your decision

    Open the calculators

    For information only: not an approval, and not a rate offer.

    A question about your situation?

    A Quebec broker answers, with no commitment.