GIC Calculator Canada
Calculate your Guaranteed Investment Certificate maturity value, interest earned, and effective yield. Covers all compounding frequencies.
📊 2026 Canadian GIC Rate Benchmarks
Approximate rates as of mid-2026. Actual rates vary by institution — always compare online brokerages, EQ Bank, Oaken, and credit unions for best rates.
| Term | Approx. Rate | $10,000 Earns |
|---|---|---|
| 30 days | 2.75% | +22.60 |
| 60 days | 2.9% | +47.67 |
| 90 days | 3.1% | +76.44 |
| 6 months | 3.4% | +170.00 |
| 1 year | 3.8% | +380.00 |
| 2 years | 3.65% | +365.00 |
| 3 years | 3.55% | +355.00 |
| 4 years | 3.45% | +345.00 |
| 5 years | 3.4% | +340.00 |
GIC Laddering — A Smarter Strategy
Instead of locking all your savings into one GIC, many Canadians use a GIC ladder: divide your total into equal portions and buy 1-year, 2-year, 3-year, 4-year, and 5-year GICs simultaneously. Each year, one GIC matures and you reinvest it at the current 5-year rate (or access the cash if needed). This gives you both higher average returns and liquidity.
Always compare GIC rates across multiple providers. Online banks (EQ Bank, Oaken Financial, Simplii) and credit unions typically offer 0.25%–0.75% more than the Big Six banks. CDIC coverage applies per category per institution, so spreading across multiple CDIC members increases your protected amount.
GIC Calculator — Frequently Asked Questions
As of July 2026, the best 1-year GIC rates reach about 3.60% and 5-year rates about 4.05%, mostly from online banks and credit unions such as EQ Bank, Oaken, and Achieva. Big-bank posted rates run 0.5%–1.5% lower.
Yes. GICs at CDIC member banks are insured up to $100,000 per depositor, per category, per institution. Provincial credit unions carry separate deposit insurance that is unlimited in several provinces. Your principal is guaranteed.
A non-redeemable GIC locks your money for the full term and pays the highest rate. A cashable GIC lets you withdraw early for a lower rate. Use non-redeemable only for money you won't need before maturity.
100% of GIC interest is taxed as ordinary income at your marginal rate. To avoid that, hold your GIC inside a TFSA, RRSP, RRIF, or FHSA where the interest grows tax-free or tax-deferred.
Simple-interest GICs pay interest out periodically; compound GICs reinvest it so you earn interest on interest. This calculator shows both. For rate shopping and laddering tips, see our GIC rates guide.
Where you hold a GIC matters more than the rate
GIC interest is fully taxable as ordinary income — the least favourable treatment in the Canadian tax system. Unlike capital gains, where only half is included, and unlike eligible dividends, which attract a credit, every dollar of GIC interest is taxed at your full marginal rate.
In a non-registered account at a 40% marginal rate, a 4% GIC nets about 2.4%. The same GIC inside a TFSA keeps the entire 4%. This is why GICs are usually the first thing that should go into TFSA room and among the last things to hold in a taxable account. There is also a trap for non-registered holders: interest on a multi-year compounding GIC is taxable annually as it accrues, even though you receive nothing until maturity — so you pay tax on money you cannot yet spend.
Cashable, redeemable, or locked
The word "guaranteed" refers to the principal and the rate, not to your access. Most GICs are non-redeemable: your money is genuinely locked until maturity, and there is usually no way out at any price. That is the trade-off for the higher rate.
Cashable and redeemable GICs let you exit early — cashable typically after a short waiting period at the stated rate, redeemable at a reduced early-redemption rate. Both pay noticeably less than a locked equivalent. Decide honestly whether you might need the money, because the discount for flexibility is smaller than the cost of being unable to access an emergency fund.
Deposit insurance, and why smaller issuers can pay more
CDIC covers eligible deposits up to $100,000 per category, per member institution. The category detail matters and is widely misunderstood: deposits held in your name, in a TFSA, in an RRSP, in a RRIF and in joint accounts are each separately insured to $100,000 at the same bank. So a couple can hold considerably more than $100,000 at one institution and remain fully covered.
Provincial credit unions are covered by provincial schemes instead, several of which insure deposits without limit. This is why an unfamiliar online bank or credit union can advertise a rate well above the big five and still be entirely safe — within coverage limits, the issuer's name carries no additional risk. Shopping beyond your own bank is usually worth 0.5–1.5 percentage points.
Laddering, and automatic renewal
A GIC ladder splits your money across one-, two-, three-, four- and five-year terms. Each year one matures and is reinvested at the five-year rate. You get most of the yield of long terms with annual access to a fifth of the money, and you stop having to guess where rates are heading.
Watch the automatic renewal clause. Many GICs roll over into a new term at the posted rate if you do nothing, and posted rates are usually well below what you could negotiate or find elsewhere. Diarise every maturity date. Compare against current market rates in our GIC rates guide, and remember that a GIC yielding less than inflation is losing purchasing power even though the balance rises.