GST holiday break: Is it good for Canada’s economy? + MORE Nov 22nd

The federal government’s “meaty” move to pause federal sales tax on a long list of items and send cheques to millions of Canadians this spring could factor into an improving outlook for growth in 2025, economists say. The plan, which will cost about $6.3 billion, could put some upward pressure on inflation, Bank of Montreal chief economist Doug Porter said in an interview Thursday.

“It’s important to point out just how meaty this is. It’s quite a substantial move and it’s important to note that the much bigger impact here will not be on the high-profile GST holiday. It’s much more on the (rebate cheques),” he said.

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Ontario rebates + GST holiday: tax savings or inflation booster?

When combined with provincial government rebates promised in Ontario, Porter said the money is likely to offer a significant boost to incomes and consumer spending at the start of the new year…

Working with a financial advisor or financial planner can help you understand your financial picture and improve your financial well-being—but first, you need to choose the right one for your needs and goals. Let’s look at what financial advisors and planners do, what credentials they may have, and how to choose the right one for you.

Financial advisor or financial planner—what’s in a name?

Many Canadians use the terms “financial advisor” and “financial planner” interchangeably, but advisors and planners may provide a range of services and specialize in different areas. Certain provinces have rules around who can use these titles.

Ontario

As of March 28, 2022, only people who have earned certain credentials from an approved credentialling organization can use the titles “financial planner” and “financial advisor.”

Financial planner 

Certified Financial Planner (CFP)

Chartered Financial Planner (added in March 2024)

Qualified Associate Financial Planner (QAFP)

Chartered Life Underwriter (CLU)

Personal Financial Planner (PFP)

Registered Retirement Consultant (RRC)

Financial advisor

Professional Financial Advisor (PFA)

Designated Financial Services Advisor (DFSA)

Registered Financial and Retirement Advisor (RFRA)

Registered Retirement Analyst (RRA)

Individuals in Ontario using the title “financial planner” or “financial advisor” before Jan…

Buying life insurance in your 20s can feel like an added cost to an already long list of expenses. But experts say it can safeguard loved ones if life doesn’t go as planned.

Do young Canadians need life insurance?

There can be a “very high temporary insurance need” for younger Canadians, said Andrea Thompson, a certified financial planner at Modern Cents, in an interview. That’s because mortgage debt and lost income earning potential over their lifetime creates a need to protect their family’s financial interests.

While life insurance often doesn’t take priority for a carefree 20-something-year-old, it can help protect families and co-signers from incurring that debt suddenly if the young person dies unexpectedly.

“Life insurance is mostly for legacy, taxes and loved ones,” said Jeffrey Talor, director of sales at Canwise Life Insurance Services.  “You want to make sure that your family is not exposed in the event of your passing.”

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