Income tax is changing in 2025. Here's what's new... and what isn't

   • How to use a TFSA for retirement  

In this video, we discuss the recent changes announced by the Canadian government to income tax brackets and various benefits for 2025. These changes include a 2.7% increase to match inflation. While many benefits will see an increase, some elements such as the CPP death benefits and withholding tax system for RRIFs have remained unchanged for decades. Additionally, we examine other benefits like non-refundable tax credits, pension income amounts, and the Canada Education Savings Grant that have not kept up with inflation. Learn how these adjustments and untouched areas could affect your finances in the coming year.



00:00 Introduction to 2025 Tax Changes
00:38 Inflation and Tax Brackets
01:18 Understanding Tax Brackets
03:14 Non-Refundable Tax Credits
05:13 Unchanged Benefits and Credits
05:32 CPP Death Benefits
05:58 Withholding Tax System for RIFs
07:56 Pension Income Amount
08:35 Canada Education Savings Grant
09:41 Childcare Expense Deduction
10:19 First Home Savings Account
10:51 Conclusion and Next Steps