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1 in 4 Canadians Can Only Afford the Minimum Payment on Their Credit Card

  Published August 24, 2026 · Canadian Money Brief A new survey from Equifax Canada puts a hard number on something a lot of us have felt creeping up all year: credit cards are doing more of the heavy lifting in Canadian budgets, and fewer people are paying them off. Of more than 1,500 Canadians surveyed, a quarter said they expect to make only the minimum monthly payment on their credit card, and another 7% think they'll fall behind entirely. That leaves just over half — 56% — who expect to pay their balance in full each month. The survey also found that 40% of respondents are spending more overall than they were a year ago, more than double the 18% who say they're spending less. Nearly 3 in 10 said they're leaning more heavily on credit cards to cover essentials like groceries and utilities, and close to a quarter are dipping into savings to keep up with everyday costs. More than a third have cut back on contributions to savings, investments, or education funds to make ro...
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Five Key Tax Changes Coming in 2026: What Canadians Need to Know

 

As 2026 approaches, Canadians can expect several important updates to the federal tax system. These changes affect retirement planning, income tax brackets, and a range of credits that influence how much individuals and families will owe—or save—when filing their returns. Here’s a quick look at five of the most notable adjustments.

1. Higher RRSP Contribution Limits

Canadians will be able to contribute more to their Registered Retirement Savings Plans (RRSPs) in 2026, thanks to inflation indexing. The increased limit gives savers more room to reduce taxable income while building long‑term retirement security.

2. Updated Federal Tax Brackets

Income tax brackets will shift upward to reflect inflation. This means more of your income will be taxed at lower rates, helping offset rising living costs and preventing “bracket creep,” where inflation pushes taxpayers into higher tax brackets without real income gains.

3. Increased Basic Personal Amount (BPA)

The Basic Personal Amount—what every Canadian can earn tax‑free—is set to rise again. This change provides broad tax relief, especially for low‑ and middle‑income earners.

4. Adjustments to Canada Pension Plan (CPP) Contributions

CPP contribution rates and maximum pensionable earnings will increase in 2026 as part of the multi‑year CPP enhancement plan. While workers and employers will pay slightly more, the long‑term goal is to provide stronger retirement benefits.

5. Changes to Various Tax Credits

Several federal credits—including those related to families, caregivers, and disability support—will be indexed or updated. These adjustments aim to maintain the value of benefits in the face of inflation and evolving economic conditions.

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