Tax-Free Savings Account (TFSA) Calculator — South Africa
Project your TFSA growth and compare it against an equivalent taxable account — see exactly how much tax you save.
Last updated: May 2026
Your Details
Enter as decimal — e.g. 0.085 for 8.5%
Interest exemption on taxable account: R23,800/yr
Enter your details and click Calculate
Results show your TFSA value vs an equivalent taxable account, plus your total tax saving.
Wondering how TFSA compares to a Retirement Annuity?
Run both side-by-side with a single set of inputs and get a clear recommendation.
Projects how a Tax-Free Savings Account grows over time. All interest, dividends, and capital gains earned inside a TFSA are completely tax-free — for life.
Key inputs explained
- Annual contribution
- Maximum R36 000/year (R3 000/month). Unused allowance does not carry forward to future years.
- Growth rate
- Expected annual return on your TFSA investment. Equity unit trusts have historically returned 10–14% before fees.
- Term
- Number of years until you plan to withdraw.
The TFSA lifetime limit is R500 000. Once you've contributed R500 000 in total, you cannot add more. Starting earlier lets your money compound longer inside the tax-free wrapper.
Frequently Asked Questions
The annual TFSA contribution limit is R36,000 per tax year. The lifetime limit is R500,000. Contributions over the annual limit are taxed at 40% by SARS on the excess amount. Unused annual limits do NOT roll over to future years — use it or lose it each year.
You can hold unit trusts, ETFs, fixed deposits, savings accounts, and listed shares inside a TFSA. Most TFSA platforms offer a range of local and offshore ETFs. The key constraint is that direct offshore assets in foreign currency may be restricted depending on your product provider.
Yes — all interest, dividends, and capital gains earned inside a TFSA are exempt from income tax and capital gains tax, for life. This is more powerful than an RA for some investors because there is no tax on withdrawal, no mandatory annuity purchase, and no restriction on when you can access funds.
You can withdraw at any time, but withdrawals do NOT restore your annual or lifetime contribution room. If you contributed R36,000 and withdrew R36,000 in the same year, you cannot re-contribute that R36,000 — it counts against your lifetime limit permanently. Withdrawals are therefore strongly discouraged.
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