There are a few changes in federal policies that could affect Canadians' finances in the new year.<br> Brian Quinlan, a chartered professional accountant with Allay LLP, says many of the changes are routine. These include inflation-based adjustments to what tax bracket you fall into or what your TFSA contribution room looks like.<br> Other changes -- such as the capital gains tax changes that will be in effect for their first full year in 2025 -- may need more planning.<br> Here's a list of changes to be aware of:<br> For 2025, income tax brackets are increasing by 2.7 per cent in the new year to prevent higher prices from pushing Canadians into higher tax brackets. That comes after a 4.7 per cent increase in 2024.<br> For 2025, federal tax is 15 per cent for earnings up to $57,375; 20.5 per cent between $57,375.01 and $114,750; and 26 per cent between $114,750.01 and $177,882.<br> The tax rate is 29 per cent for earnings between $177,882.01 and $253,414, while anything more than that is taxed at 33 per cent.<br> "You're not paying more tax simply because of inflation, so (the adjustment) is good news for us all," Quinlan said.<br> "Even if you have the exact same amount of income in 2024 versus 2023, you will pay less tax because less is taxed at a higher rate," he added.<br> For the 2025 tax year, the basic personal amount -- on which you do not pay federal income tax -- ranges from $14,538 to $16,129, depending on your overall income.<br> That's up from 2024 figures, which range from $14,256 to $15,705. Those with lower incomes have a higher basic personal tax credit.<br> Some Canadian workers will see a little more taken off their paycheques because of a rising CPP contribution amount.<br> A multi-year pension revamp began in 2019 as both the Quebec Pension Plan and CPP began phasing in enhanced benefits intended to provide greater financial support for retirees. Individual contributions -- and the employer's matching portion -- ticked upward as the plan was implemented.<br> As of 2024, there are now two additional earnings ceilings beyond the base level, with higher income workers paying an additional premium on earnings within in a second tier before maxing out.<br> The earning ceiling for first-tier earners will go up to $71,300 in the new year from $68,500 in 2024. The second earnings ceiling will jump to $81,200 from $73,200 in 2024.<br> After 2025, the program will have been fully implemented and the base, first-tier and second-tier limits will increase in line with wage growth rather than with the larger jumps seen in recent years.<br> Anyone who worked and contributed to CPP from 2019 onward is eligible for a higher CPP payout upon retirement for income from that period.<br> There's some uncertainty here as the legislation hasn't yet passed, but the proposed changes to the capital gains tax are significant.<br> Quinlan said the changes require "serious thinking" for people considering selling assets in the new year, as it should be the first full year where a higher tax rate for gains over $250,000 is in effect.<br> Timing your sale of the assets is important, Quinlan said.<br> "As opposed to selling assets with a huge $300,000 gain in one year, you may want to sell some in one year and some in the following year," he said.<br> Once in effect, the changes will apply to any capital gains from June 24, 2024.<br> Under the new rules, a larger portion of an individual's capital gains -- the profit made on the sale of assets -- are considered taxable.<br> Previously, the government taxed 50 per cent of capital gains. While that amount stands for capital gains up to $250,000, it's being increased to two-thirds for gains in excess of $250,000.<br> For the 2024 fiscal year, Canadians can contribute to their registered retirement savings accounts until March 3.<br> The threshold for registered retirement savings will go up to $32,490 in the new year, from the previous $31,560, plus any contribution room from the previous years.<br> You can find the amount of your unused contribution room on last year's notice of assessment from the Canada Revenue Agency or your CRA online account.<br> <em>This report by The Canadian Press was first published Jan. 1, 2025.</em><br>The Shopping Trends team is independent of the journalists at CTV News. We may earn a commission when you use our links to shop. <b><a href="https://www.ctvnews.ca/shopping/about-us.html" title="About the Shopping trends team">Read about us.</a></b><br>The suspect who drove a vehicle at high speed into a crowd of revellers in New Orleans on New Year's Day was killed after a firefight with police, law enforcement officials told the AP.<br><br>There are a few changes in federal policies that could affect Canadians' finances in the new year.<br><br>Ukraine on Wednesday halted Russian gas supplies to European customers that pass through the country, almost three years into Moscow's all-out invasion of its neighbor, after a prewar transit deal expired at the end of last year.<br><br>From boosting child and disability benefits to increasing protections for workers, here’s a look at new measures coming into effect in 2025.<br><br>If you're thinking about making a New Year's resolution to quit smoking, it might help to know that new research says it could extend your life expectancy.<br><br>Most people understand the pain that comes with leaving a phone, wallet or umbrella behind on-board public transit and the despair of whether or not it'll ever be found again. Well, outside of those commonly forgotten valuables, items like a porcelain doll, Mac DeMarco vinyl record, mini-fridge, or a toaster oven with food still inside have also been left behind on public transit this year.<br><br>The woman who died after being set on fire in a New York subway train earlier this month was a 57-year-old from New Jersey, New York City police announced Tuesday.<br><br>As Canadians take time off to celebrate, many federal offices, stores and businesses will be closed across the country on New Year's Day.<br><br>Israeli strikes killed at least 12 Palestinians in the Gaza Strip, mostly women and children, officials said Wednesday, as the nearly 15-month war ground on into the new year.<br><br>As Canadians take time off to celebrate, many federal offices, stores and businesses will be closed across the country on New Year's Day.<br><br>Police say a North York financial institution has sustained “significant damage” after an excavator reportedly crashed into the building early Tuesday morning and an ATM was stolen.<br><br>Rocky View School Division (RVSD) on Tuesday identified the woman who was murdered Sunday night in Calgary as Ania Kaminski, an elementary school teacher in Cochrane, west of the city.<br><br>For nearly 60 years, the national Reach for the Top competition has been putting the wits of Canadian students to the test. In 2024, students from about 500 schools across the country participated in the competition.<br><br>The most iconic portion of a picturesque boardwalk in Telegraph Cove, B.C. was destroyed by fire on Tuesday morning.<br><br>Most people understand the pain that comes with leaving a phone, wallet or umbrella behind on-board public transit and the despair of whether or not it'll ever be found again. Well, outside of those commonly forgotten valuables, items like a porcelain doll, Mac DeMarco vinyl record, mini-fridge, or a toaster oven with food still inside have also been left behind on public transit this year.<br><br>The suspect who drove a vehicle at high speed into a crowd of revellers in New Orleans on New Year's Day was killed after a firefight with police, law enforcement officials told the AP.<br><br>Grieving relatives of the victims of the South Korea plane crash gathered at the site to pay respects to their loved ones on New Year's Day, as officials said they've extracted data from one of the retrieved black boxes to find the exact cause of the crash.<br><br>Taiwan President Lai Ching-te said on Wednesday that he welcomed equal, dignified, healthy and orderly exchanges with China.<br><br>Protesters led by university students gathered overnight in Belgrade and other Serbian cities to demand political reforms and justice in the Balkan country.<br><br>Ukraine on Wednesday halted Russian gas supplies to European customers that pass through the country, almost three years into Moscow's all-out invasion of its neighbor, after a prewar transit deal expired at the end of last year.<br><br>Israeli strikes killed at least 12 Palestinians in the Gaza Strip, mostly women and children, officials said Wednesday, as the nearly 15-month war ground on into the new year.<br><br>Pierre Poilievre's Conservatives are closing out 2024 hitting a new long-term high in ballot support, with a 26 point advantage over the Liberals amid calls for Prime Minister Justin Trudeau to resign.<br><br>From boosting child and disability benefits to increasing protections for workers, here’s a look at new measures coming into effect in 2025.<br><br>Manitoba Premier Wab Kinew is leaving the door open to financial support for people affected by possible tariffs and other actions that may be taken by United States president-elect Donald Trump.<br><br>If you're thinking about making a New Year's resolution to quit smoking, it might help to know that new research says it could extend your life expectancy.<br><br>A nurse from B.C.'s Lower Mainland has been given a suspension and reprimand after she was found to have improperly obtained and administered Botox.<br><br>Radon, an invisible, odorless and tasteless gas, is being found at dangerously high levels inside homes, affecting 17.8 percent or approximately one in every five Canadians.<br><br>The new year will bring a pair of lunar eclipses, but don't expect any sun-disappearing acts like the one that mesmerized North America last spring.<br><br>A toothy toadstool. A vegetarian piranha with a distinctive mark. And a pygmy pipehorse floating in the Indian Ocean shallows. These wild wonders were among the hundreds of previously unknown species of animals, plants and fungi that scientists named and described for the first time in 2024.<br><br>Venezuela’s Supreme Court on Monday issued a US$10 million fine against TikTok for “not implementing measures” to prevent viral video challenges that have allegedly led to the deaths of three Venezuelan children recently.<br><br>Angelina Jolie and Brad Pitt have reached a divorce settlement, ending one of the longest and most contentious divorces in Hollywood history but not every legal issue between the two.<br><br>'It Ends With Us' director Justin Baldoni sued The New York Times for libel on Tuesday over its story on allegations that he sexually harassed and sought to smear the reputation of the film's star, Blake Lively.<br><br>You might not remember it all, but CNN took note of every niche pop culture oddity and TikTok fad. And no, perennial history-maker Taylor Swift didn’t even make the cut this year. Helming the highest-grossing tour ever is probably enough recognition.<br><br>As the Canadian dollar loses ground against major global currencies, personal finance contributor Christopher Liew explains how current exchange rates can impact your travel plans, and shares tips to help you plan smarter and protect your wallet.<br><br>A simple copy and paste of your 2024 budget isn't enough to help you achieve your goals and maximize your finances for the new year, experts say.<br><br>Looking to expand into the U.S., Dani Kagan says she's concerned that incoming president Donald Trump's threat of a 25 per cent tariff on Canadian goods could stifle growth for local businesses.<br><br>The prospect of rising from the fog of holiday hustle, bustle and feasts to contemplate how to do better next year is welcomed by many, and resented by others.<br><br>In an attempt to reframe the thinking around new year goal-setting, a new wellness trend has popped up online called the 'Winter Arc.'<br><br>From Australia to the Americas, check out 10 of the top cities to visit if you love New Year’s Eve fireworks and parties.<br><br>Competing philosophies emphasizing the importance of offense versus toughness led to the Toronto Sceptres and Ottawa Charge completing the PWHL's most significant trade a month into the league's second season.<br><br>Jayson Tatum scored 18 of his 23 points in Boston's dominant third quarter, and the Celtics routed Toronto 125-71 on Tuesday, extending the Raptors' losing streak to 11 games.<br><br>Canadian tennis star Gabriela Dabrowski revealed Tuesday that she underwent two surgeries to treat breast cancer following a diagnosis in April.<br><br>Osamu Suzuki, the charismatic former boss of Suzuki Motor Corp. who helped turn the Japanese mini-vehicle maker into a globally competitive company, has died, the company said Friday. He was 94.<br><br>You may have noticed a few more vanity plates on Saskatchewan roads in recent years, and every one of them comes with a personal story.<br><br>Japanese automakers Honda and Nissan have announced plans to work toward a merger that would form the world's third-largest automaker by sales, as the industry undergoes dramatic changes in its transition away from fossil fuels.<br><br>Most people understand the pain that comes with leaving a phone, wallet or umbrella behind on-board public transit and the despair of whether or not it'll ever be found again. Well, outside of those commonly forgotten valuables, items like a porcelain doll, Mac DeMarco vinyl record, mini-fridge, or a toaster oven with food still inside have also been left behind on public transit this year.<br><br>For 100 years, a Regina butcher shop has been a reliable source of meat for generations of families.<br><br>A first-of-its-kind figurine is paying tribute to the founder of Manitoba.<br><br>An esteemed Winnipeg dancer graced the stage once again last week, more than eight decades after her debut.<br><br>In a move aimed at combatting the financial strain caused by payday loans, the City of Windsor is considering the launch of a comprehensive education campaign to promote alternative financial options.<br><br>A Port Elgin woman has been named one of three of Canada’s Favourite Crossing Guards in a recent contest.<br><br>For over 50 years, Stephen Lentzos and his family have celebrated Christmas Day with a street hockey game.<br><br>On Saturday, Barrie is testing the abilities of some of the fastest cube solvers from across the province and around the world.<br><br>A B.C. woman has been awarded nearly $750,000 in damages in a dispute with a contractor who strung her along for a year and a half and failed to complete a renovation, according to a recent court decision.<br><br>A maximum 20-per-cent home-flipping tax is among new regulations taking effect in British Columbia as of Jan. 1, with a promised middle-income tax cut arriving in the coming months as well as a spring carbon tax increase.<br><br>Thousands of people in B.C. will be running into the frigid ocean to ring in the New Year at events across the province Wednesday. But for others, every day brings a new chance to take a polar plunge.<br><br>An RCMP officer found himself in a lengthy, head-scratching standoff on a Vancouver Island highway over the weekend after a sea lion somehow made its way onto the road.<br><br>Hospitals in the Toronto area are welcoming some of the first babies born in 2025.<br><br>The suspect who drove a vehicle at high speed into a crowd of revellers in New Orleans on New Year's Day was killed after a firefight with police, law enforcement officials told the AP.<br><br>Most people understand the pain that comes with leaving a phone, wallet or umbrella behind on-board public transit and the despair of whether or not it'll ever be found again. Well, outside of those commonly forgotten valuables, items like a porcelain doll, Mac DeMarco vinyl record, mini-fridge, or a toaster oven with food still inside have also been left behind on public transit this year.<br><br>Rocky View School Division (RVSD) on Tuesday identified the woman who was murdered Sunday night in Calgary as Ania Kaminski, an elementary school teacher in Cochrane, west of the city.<br><br>Fireworks, a skating party and stilt-walkers at Prince's Island Park are all part of a city party that will celebrate the arrival of 2025 in Calgary.<br><br>One of the Calgary families who lost everything in an October explosion is thanking the community for a holiday season to remember.<br><br>Environment Canada’s forecast calls for 5 cm of snow today, with another 2-4 cm of snow tonight. The stretch of mild weather over the holidays will end heading into the weekend, with a low of -8 C on Thursday, -13 C on Friday and -19 C on Saturday, while daytime highs will be -11 C on Saturday and Sunday.<br><br>CTVNewsOttawa.ca takes a look at what's open and closed over the Christmas and New Year's holidays this year.<br><br>CTVNewsOttawa.ca looks at things to do in Ottawa on New Year’s Eve and New Year’s Day.<br><br>From a tragic death resulting from an overseas surgery to Celine Dion's epic performance to multiple stories involving travel horror stories, the range of what gets read the most is vast for CTV News Montreal.<br><br>Above-seasonal temperatures opened the gates to 2025.<br><br>There are a few changes in federal policies that could affect Canadians' finances in the new year.<br><br>With Christmas 2024 in the books, there's only one more holiday for families to enjoy before opening the 2025 cat calendar you received from a distant relative: New Year's Eve.<br><br>A multi-vehicle crash closed down a section of 178 Street at Stony Plain Road in Edmonton's west end for several hours on New Year's Eve.<br><br>The high cost of food can be highly demanding on a family's monthly budget. However, a St. Albert family of seven has found a way to reduce their spending.<br><br>As Canadians take time off to celebrate, many federal offices, stores and businesses will be closed across the country on New Year's Day.<br><br>Two men are dead following a crash in a creek in Moncton, N.B., Tuesday morning.<br><br>There are a few changes in federal policies that could affect Canadians' finances in the new year.<br><br>Winnipeg police are investigating three reports of animal cruelty in the west side of the city.<br><br>For nearly 60 years, the national Reach for the Top competition has been putting the wits of Canadian students to the test. In 2024, students from about 500 schools across the country participated in the competition.<br><br>A Manitoba judge has granted an injunction against a group protesting the clearing of a Winnipeg forest to build a development.<br><br>For 100 years, a Regina butcher shop has been a reliable source of meat for generations of families.<br><br>Dr. Chris E. U. Ekong has been named CTV Regina’s Citizen of the Year for 2024.<br><br>A locally owned grocery store has burned down in the Village of Pelly, Sask.<br><br>Downtown Guelph continues to be the focal point for concerns about drug use and its impact on local businesses.<br><br>A driver has been charged after a vehicle crashed into a fast food restaurant in Waterloo.<br><br>Several new laws and regulations in Ontario are taking effect this new year. Here's what residents in the province need to know.<br><br>Advocates against impaired driving are reminding people to find a safe ride home this New Years Eve.<br><br>At the end of each year, CTV Saskatoon asks you to help recognize someone who has made a significant contribution to our community — our Citizen of the Year.<br><br>Santa may be on a much-needed vacation, but Scott Moe is ending his year on the nice list.<br><br>Ontario Provincial Police are asking for the public's help in investigating a road rage incident Monday on Highway 11 near Temiskaming Shores.<br><br>A vigil will be held this evening in New Liskeard for a father and daughter who drowned Dec. 29 at Pete's Dam Park in the community of Temiskaming Shores.<br><br>Pierre Poilievre's Conservatives are closing out 2024 hitting a new long-term high in ballot support, with a 26 point advantage over the Liberals amid calls for Prime Minister Justin Trudeau to resign.<br><br>Emergency crews were called to a motor vehicle collision in the area of Highbury Avenue and Huron Street at around 5:00 p.m. on Tuesday evening.<br><br>A collision between a vehicle and pedestrian at the intersection of Adelaide Street north and Huron Street on Dec. 9 has proved fatal.<br><br>A spell of warm winter weather melted away a lot of the snow in London this week, but that hasn’t stopped Boler Mountain from keeping its hills running.<br><br>Several motorists face charges after a pickup truck rolled into a ditch in Collingwood on Tuesday, including two drivers who weren’t involved in the crash.<br><br>Provincial police say there is a growing trend of fraudsters attempting to cash in on municipalities using automated photo radar programs to scam drivers through text messages.<br><br>A 25-year-old Midland man accused of attempted murder related to an alleged hit-and-run over the summer is back behind bars after being arrested over the holidays while out on bail.<br><br>Windsor fire officials confirm there has been another fatal fire in the city.<br><br>The Riverfront Festival Plaza in Windsor may be on the verge of a major transformation, with city council set to debate a $20-million redevelopment plan at its first meeting of the new year.<br><br>Windsor fire officials say a smoke alarm was not functioning in a fatal fire on Sandwich Street.<br><br>The most iconic portion of a picturesque boardwalk in Telegraph Cove, B.C. was destroyed by fire on Tuesday morning.<br><br>There was some frustration for New Year's Eve travellers after BC Ferries was forced to cancel two sailings between the Lower Mainland and Vancouver Island.<br><br>Mounties in British Columbia are warning the public to be honest after a missing hiker's friends delayed reporting her disappearance to police.<br><br>More than 70 manmade beaver dams have been installed in Interior waterways since the B.C. Wildlife Federation project launched last year with the goal of building 100 dams by the end of 2025.<br><br>A resident of B.C.'s Interior has been charged with weapon and drug trafficking offences after an investigation launched by border agents at Vancouver International Airport earlier this year.<br><br>A B.C. woman has been awarded nearly $750,000 in damages in a dispute with a contractor who strung her along for a year and a half and failed to complete a renovation, according to a recent court decision.<br><br>New Year's Eve is one of the busiest nights of the year for most bars and restaurants, and many people heading out to celebrate will be drinking.<br><br>Brooks RCMP are investigating a robbery at the Royal Helium Recovery Production facility that took place on Christmas Eve.<br><br>Elections Alberta officially confirmed the results of the recent Lethbridge-West provincial byelection, declaring a win for NDP candidate Rob Miyashiro.<br><br>Two recent impaired driving cases on Manitoulin Island left two drivers in the ditch, both facing multiple charges.<br><br>A 29-year-old suspect has been charged after a robbery on Queen Street West on Sunday morning.<br><br>A heavy police in the 200 block of Cathcart Street in Sault Ste. Marie has ended, police said Monday afternoon.<br><br>An airport executive in Labrador hopes a new energy deal with Quebec could help attract a competing airline company to the northern region, where flights costs have climbed at more than three times the national rate.<br><br>A Canadian Coast Guard icebreaker is in central Labrador until Saturday to guide the Kamutik W ferry on its last freight deliveries of the season.<br><br>Canadian health officials say they're seeing spikes in whooping cough cases in parts of the country as the U.S. deals with case numbers not seen in more than a decade.<br><br>© 2024 <a href="https://www.bellmedia.ca/" class="c-quickArticle__footer__logo__link" target="_self" title="Bell Media"> <img class="c-quickArticle__footer_logo" src="/content/dam/common/logos/bellmedia/BellMedia.svg" alt="Bell Media logo"/> </a> All rights reserved. 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