Personal Finance Update 2025: Capital Gains, Tax Brackets, and More
As inflation continues to slow down, the increase in federal tax brackets is also expected to decrease. For 2025, all five tax brackets will experience a modest rise of 2.7 per cent, a notable reduction from the 4.7 per cent increase seen in 2024. Additionally, two major spending incentives announced by Ottawa in November are set to have a significant impact in 2025, shaping the landscape of personal finance. With these changes, individuals can expect a more stable financial environment, allowing for better planning and management of their finances. Key areas to focus on include tax planning, investment strategies, and financial planning, all of which will be influenced by the new tax brackets and spending incentives. As the economy continues to evolve, staying informed about these changes will be crucial for making informed decisions about personal finance and investments. With the right knowledge and strategies, individuals can navigate the upcoming changes and make the most of the new financial landscape in 2025.
