The 2024 Federal Budget and How It Will Impact Canadian Retirees
Vložit
- čas přidán 7. 06. 2024
- On April 16 the Minister of Finance delivered the 2024 Federal Budget in the House of Commons. The budget contained a long list of new spending initiatives and also included new tax measures that will have a big impact on individual Canadians and businesses. In this video I am going to focus on 4 items in the budget that I believe will have an impact specifically for retirees and their families.
1. The New Capital Gains inclusion rates
2. Amendments to the Home Buyers Plan
3. New RESP rules
4. Automatic Tax Filing
5. My personal thoughts on the budget to close
Aaron Hector on Twitter - / 1782239414716088375
budget.canada.ca/2024/home-ac...
Email Mark : mark@walhoutfinancial.ca
📅 Book an Introductory Call with Mark
outlook.office365.com/owa/cal...
🗞️😄 RETIREMENT ROUNDUP🗞️😄
To get a weekly video newsletter with retirement news, planning insights, and investment lessons, consider subscribing to "Retirement Roundup" below:
mailchi.mp/walhoutfinancial/r...
📓📋 Retirement Spending Planner
mailchi.mp/walhoutfinancial/s...
TIMESTAMPS:
0:00 - Introduction
0:48 - Capital Gains Changes
3:49 - Home Buyers Plan Changes
5:03 - RESP Changes
6:25 - Automatic Tax Filing
7:40 - My Personal Thoughts
If you want every aspect of your life controlled. Your freedom of speech, freedom to move about and travel, freedom of ownership. Basic income to buy your bowl of rice while Trudeau lives like royalty then keep voting liberal.
No fucking way
What about the seniors trying to live on 25,000? Many cases could not save for retirement because they barely had enough to get their kids through college or maybe not even that. What on earth will the government do for people without wealthy?
Thanks for the overall assessment and for providing your own, personal, expert insights, which is most interesting.
OMG thank you
Thanks Mark, good summary.
Thank you!
In 2013 I couldn't do my income tax return by phone anymore. I had to use a CRA approved software. Best thing to happen to me. Now I can file my taxes easily. I can also use the software to precisely predict the impact of withdrawing any amount of RRIF for the present year or the next year.
All this for the exhorbitant cost of $17.25...
Software for the win!😀
Nicely worded
Thanks Bob!
So if you have to pay capital gains tax on a secondary property can you then claim the repair and upgrade cost against the capital gains tax? No fairness at all if you can’t claim say maybe $100,000 in costs. I’ll never be in this position just curious.
Capital improvements and certain transaction costs can be added to ACB and reduce your capital gain. For example, the cost of a new roof, new windows, and real estate fees. Make sure to have backup records in case of audit (receipts and photos). www.canada.ca/en/revenue-agency/services/tax/individuals/topics/about-your-tax-return/tax-return/completing-a-tax-return/personal-income/line-12700-capital-gains/calculating-reporting-your-capital-gains-losses/adjusted-cost-base.html
@@WalhoutFinancial even for a cottage, second residence, not investment property? Yes I know costs are deductible on an investment but on personal recreation property I did not know you could claim expenses.
@@TripReviews Yes, even for a cottage. Again be careful about the difference between capital improvements and maintenance costs. Maintenance costs (ie. utilities) can be deducted against rental income for a rental property. For a cottage that is not used for rental income, regular ongoing maintenance CANNOT be deducted and it CANNOT increase the ACB of the cottage and reduce capital gains taxes owing on sale. Capital improvements (ie. roof, windows, etc.) CAN increase ACB and reduce capital gains taxes owing on sale. It's a very important distinction. I hope this helps.
@@WalhoutFinancial it does. But this is still a highway robbery of all the capital improvements done by the owner himself. His/her labour is simply stollen as it cannot be proved by an invoice.
Next time around, I want to be a politician or a criminal.
🤣
Difference?
Maybe you can be both at the same time.
New spending-hire more staff. Wacko.
The proverb that the road to hell is paved with good intentions cannot be more useful here.
A bit more than a third of the family doctors in Québec are of post-retirement age. Most of them operate as small corporations. Being taxed at 67% is not an incentive to continue to work. The situation with the family doctors is grave as it is. Imaging cutting them by a third in few months! Replacing them with foreigh-trained professionals is not possible as the draconian rules for equivalent of a foreign diploma take years and years.
Landlords - with practically no protection against the professional thieves pretending to be tenants, with the courts inactive and judgements being delayed for years, losses averaging into 20K and 30K per property - why bother, if this property will be taxed at crazy rates due to the crazy inflation that inflates the prices on a daily basis? Small landlords are done, no matter what the interest rates will say. So instead of providing more lodging, there will be less in the mom-and-pop operated busineses. And the corporations charge through the nose - as there is no other place to go.
Businesses coming from abroad? Now this is going to be a big laugh! Couple the taxes with the trade unions, practically non-existent trade training, the retirement age of the skillful workers, the skyrocketing fuel prises, practically no railway transport and any sane investor will run as far as they can with their bag of money.
Good intentions?? I do not see that.
So this capital gains tax would also impact anyone inheriting a home
Hi Johnny - if the home being inherited is the deceased's primary residence, the principal residence exemption can still be used and the new capital gains tax would not have an impact.
@@walhoutfamily4727 ? If I inherit my parents home, what happens?
See above 😊
@@walhoutfamily4727 But is it only a matter of time before these Politicians go after primary residence capital gains?
@@walhoutfamily4727I'm one of the new generation Army Vet. After WW2, with almost half of the age group having been in uniform, the govt of the time was forced but the demographic to provide benefits. In 2006, as more of those WW2 Vets died, the benefits were changed and almost halved. I'm a firm believer that, as the baby boomers die off as a voting bloc and Millennials are the dominant group, rules will be changed to disadvantage the Baby boomers versus the younger groups.
I LIVE IN A SMALL STUDIO, NEXT STEP IS THE STREET.
Won't be long.
Like sending out notices to all that have paid more then $3000.00 in two consecutive years to make three equal prepayments of “assumed” tax owed for the upcoming year with the first payment due in March. If you are late or don’t pay they charge a 10% late penalty.
They want tax on my OAS and CPP, presumed gains on any non registered investment income accounts. I’m retired you criminals, I am living off my investments you promoted so I could retire gracefully. I let you use my CPP contributions for 45 years, certainly I owe tax on that, but you want me to prepay you ahead of year end.
They also penalize capital disposition by sending an unexpected "balance owe" of penalty plus giant interest.
According to their tax agent, their office does not know one type of income from the other, but urge you to pay the giant "balance" anyway, so as not to get on their wrong side. After, send a petition to try to get your money you never owed back, by explaining that it was a capital gain disposition. - It is getting to a point that one is tax filing perpetually, ad infinitum, having to neglect family life and health, while prostrating oneself in front of the steamroller.
It is simply SURREAL.
Spelt budget wrong in the title.
Thank you! I would fire my editor, but that’s me.
And you spelt ‘spelled’ wrong, lol. Spelt is a variety of wheat grown in Saskatchewan.
@@rayray8687 haha thanks RayRay
@@WalhoutFinancial: No problem! And thanks for the tax info!!
2024 budget decree: "There will be no retirees in 2025. The master of Trudeau, the World Economic Forum has spoken."
I'm sorry, you're not going to evoke sympathy from me for those wealthy enough to have investments that garner capital gains of over $250,000.
That’s a fair statement.
Hey. Some people have worked their ass off / and crimped and saved to make that money. It's not the governments job to rob you of your well earned wealth.
@@charmainekirk1512 Hey. Capital gains have, for years, been a tax break for the wealthy. Many who work their asses off are not in a position to invest in anything that garners capital gains, yet their entire income is taxed. I think it's only fair to tax capital gains, including those less than $250,000.
@@charmainekirk1512 Well said.
Then have sympathy for their kids. They will take the hit.