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Personal Finance in 2025: Key Changes to Tax Brackets and Capital Gains

The Globe and Mail

As inflation continues to slow down, the increase in federal tax brackets is also expected to slow down in 2025. With a 2.7 per cent rise across all five brackets, this represents a significant decrease 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 substantial impact in 2025, affecting personal finance and investment strategies. These changes are likely to influence financial planning, tax optimization, and investment decisions for individuals and families. With the new tax brackets and spending incentives in place, it's essential to stay informed about the latest developments in personal finance and wealth management to make the most of these changes. As the economy continues to evolve, staying up-to-date on tax planning and financial news will be crucial for navigating the complexities of personal finance in 2025. Key areas to focus on include tax brackets, capital gains, and investment strategies.