< Back to Blog

Three things to look for in Tuesday's federal budget

New shoes buffed and shined, Canadian Finance Minister Bill Morneau is set to unveil the federal government’s 2016 budget. Much attention will surely be paid to the size of the deficit, but what else can Canadians expect to see included on Tuesday?
1. Canada Child Benefit: A key election promise, the Canada Child Benefit (CCB) would replace existing child benefit programs and provide the typical family of four with an average of $2,500 more in tax-free support each year compared to what they receive currently. According to the Liberal Party’s election platform, 90% of Canadians would receive more under the CCB than they do now. The Benefit is also tied to income, which means that it would provide greater support to lower-income families. Under the CCB, a two-child family with a household income of $45,000 would receive $9,850 tax-free each year.
2. Infrastructure spending announcements: In its election platform, the current government committed $125 billion over 10 years to an infrastructure plan. Details as to how and where this money will be spent—whether it be on public transit, affordable housing, or flood-mitigation systems—will certainly emerge in Tuesday’s budget. Speaking about the short-term, Prime Minister Trudeau has suggested that the program will begin with investments in modest but necessary projects, such as maintenance and upgrades.
3. Old Age Security eligibility: Prime Minister Trudeau has confirmed that the federal budget will restore the retirement age to 65—another election promise. Set to increase to 67 by 2023 under the previous government, eligibility for Old Age Security will remain at the current age level.
The federal budget will be announced on Tuesday, March 22, 2016.

Share:
Categorized in