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Ottawa Wants to Raise Your Deposit Insurance to $250,000: What Changes (and What Doesn’t)

  For more than 20 years, the federal guarantee on your savings has been stuck at $100,000. In Thursday's budget, Ottawa proposed to raise it to $250,000. Here is what would change, what wouldn't, and why you shouldn't move a dollar yet. Today (unchanged since 2005) $100,000 per deposit category Proposed in Budget 2026 $250,000 per deposit category What Budget 2026 actually proposes The Canada Deposit Insurance Corporation (CDIC) protects your deposits if a member bank fails. The budget proposes amendments to the CDIC Act that would do four things: Raise the limit from $100,000 to $250,000 per deposit category, the first increase in more than two decades. Remove the limit entirely for eligible deposits held in registered and tax-free accounts. Today, the limit is $100,000 per account type at each institution. Add temporary high-balance coverage for life events such as selling a home. Require a review of the deposit insurance framework every 10 years. It isn't law yet. ...
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Canada’s Income Tax Brackets for 2023: A Comprehensive Guide

 

Quickly find your federal and provincial tax brackets to help you prep for your 2023 income tax return.

As we approach the end of the year, it’s important to start thinking about your 2023 income tax return. One of the most important things to understand is which federal and provincial tax brackets your income falls into. This information lets you estimate how much tax you owe on your 2023 income, and helps you figure out whether to increase your registered retirement savings plan (RRSP) contributions, with the aim of reducing your notice of assessment (NOA) balance owing to $0—and maybe even score a refund.

Canada has a progressive tax system instead of a flat system where everyone pays the same percentage. So, here, people with lower incomes pay a lower percentage, and rates increase progressively for higher income earners through different tax brackets. In other words, the more you make, the more tax you pay on your earnings.

Canada has five federal tax brackets with different tax rates, and because we also pay taxes to the provincial or territorial government where we live, they each have their own tax brackets.

Here’s a quick summary of Canada’s federal income tax brackets for 2023:

  • 15% on the first $50,197 of taxable income
  • 20.5% on the next $50,198-$100,394 of taxable income
  • 26% on the next $100,395-$151,978 of taxable income
  • 29% on the next $151,979-$216,511 of taxable income
  • 33% on taxable income over $216,511

It’s important to note that these tax brackets are subject to change from year to year, and the income ranges are usually adjusted annually for inflation.

To figure out your estimated provincial/territorial tax, follow steps similar to those explained above for the federal tax brackets.

Knowing where you fit within the tax brackets can help you anticipate whether you will owe taxes in April or you will receive a tax refund. And if you owe money, it’s better to find out earlier than later. That way you can save up the money ahead of the May 2, 2023, tax payment deadline and avoid having to pay interest and penalties on overdue taxes. (Normally, the payment deadline is April 30, but in 2023 that falls on a Sunday.)


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