FHSA Tax benefits: By depositing money in a FHSA, you’ll reduce your taxable income and save on taxes. FHSA earnings are tax-free. Use for: The FHSA is specifically designed to help you save for the purchase of your first home. While withdrawals are tax-free, they become taxable if you withdraw money for a purpose other than buying a home. TFSA Tax benefits: TFSA earnings are tax-free. Use for: Saving and investing for short or medium-term projects: TFSAs aren’t tied to a specific savings goal,