Finance
Federal budget 2024: A personal finance report card
An unpopular government takes on today’s biggest personal finance challenges in the federal budget released Tuesday. Here’s a report card that grades the budget on how it affects you and your household.
Taxes: C-
The headline budget measure is an increase in the inclusion rate for capital gains to two-thirds from one-half for gains above $250,000, starting June 25. A capital gain occurs when you sell an asset for more than you paid. The inclusion rate is the portion of the gain that is taxable.
Raising the capital gains inclusion rate addresses tax fairness, given that wealthy people benefit more from capital gains than those with middle and lower incomes. But this is a move that complicates an already overly complex tax system and provides a disincentive to invest at a time when economic productivity and growth are weak. Also, there’s potential for a wide swath of the population to be affected.
The government estimates the change in the inclusion rate would affect 40,000 people in 2025, or 0.13 per cent of the population of tax filers, with average gross income, including capital gains, of $1.4-million. But among those who would potentially be exposed to the higher inclusion rate are people selling cottages and investment properties, as well as those with significant investments outside registered plans.
The capital gain on sale of a principal residence remains tax-free. Now, the government is providing a disincentive to invest in additional real estate. Introducing the higher inclusion rate in June gives people time to realize capital gains now and use the current inclusion rate.
Federal housing investments
since the 2008 global financial crisis
Billions of dollars
Note: Amounts for 2007-08 until 2022-23 are actuals, as available. Amount for 2023-24 is an estimate, and subject to change. Amounts are on a cash basis. Amounts include Canada Mortgage and Housing Corporation (CMHC) programming only, and do not include: homelessness programming; energy efficiency programs delivered through Natural Resources Canada; tax measures; cost-matching provided by provinces and territories; or investments that support distinctions-based Indigenous housing strategies.
THE GLOBE AND MAIL, SOURCE: BUDGET 2024
Federal housing investments
since the 2008 global financial crisis
Billions of dollars
Note: Amounts for 2007-08 until 2022-23 are actuals, as available. Amount for 2023-24 is an estimate, and subject to change. Amounts are on a cash basis. Amounts include Canada Mortgage and Housing Corporation (CMHC) programming only, and do not include: homelessness programming; energy efficiency programs delivered through Natural Resources Canada; tax measures; cost-matching provided by provinces and territories; or investments that support distinctions-based Indigenous housing strategies.
THE GLOBE AND MAIL, SOURCE: BUDGET 2024
Federal housing investments since the 2008 global financial crisis
Billions of dollars
Note: Amounts for 2007-08 until 2022-23 are actuals, as available. Amount for 2023-24 is an estimate, and subject to change. Amounts are on a cash basis. Amounts include Canada Mortgage and Housing Corporation (CMHC) programming only, and do not include: homelessness programming; energy efficiency programs delivered through Natural Resources Canada; tax measures; cost-matching provided by provinces and territories; or investments that support distinctions-based Indigenous housing strategies.
THE GLOBE AND MAIL, SOURCE: BUDGET 2024
Housing: B
The government has set a goal of building 3.9 million homes by 2031, which in pure economic terms should help affordability. Build supply to satisfy demand and prices should stabilize over time. For now, there are only niche measures to help first-time buyers cope with high mortgage rates and home prices that averaged just under $700,000 in the national resale market last month.
Extensive help to young buyers would result in home prices rising – that’s a done deal. But making 30-year mortgages available to rookie buyers purchasing newly built homes with a down payment of less than 20 per cent would typically save only $100 to $300 per month in rough terms. This measure takes effect Aug. 1.
Modest down payment help is coming through an immediate boost in the amount first-time buyers can withdraw from a registered retirement savings plan under the federal Home Buyers’ Plan. The limit goes to $60,000 from $35,000, and HBP users will temporarily have three years added to the current two-year grace period for starting repayment of money into an RRSP. The longer grace period applies to withdrawals under the HBP in 2022 through 2025.
Junk fees: C
Lots of talk about working with various parties to address nuisance fees in areas such as telecom, airline tickets and concerts, but also a few nuggets of concrete action. Examples include a prohibition on telecom companies charging an extra fee to customers to switch carriers, and a $10 cap on the amount banks can charge in non-sufficient funds fees. Banks would also have to alert customers the NSF fee is being charged and provide a grace period to avoid the fee by depositing additional funds.
Open banking: D
There were hopes the government would announce a legislative framework for open banking, which holds the promise of increasing competition in financial services and fostering new apps and tools to help people manage their money. However, the budget simply provided funding for a three-year study of open banking oversight by the Department of Finance. With open banking, consumers could securely share personal bank account data with other financial players.
In a somewhat more immediate move, the budget disclosed that the federal Financial Consumer Agency of Canada is in negotiations with banks to increase offerings of accounts with fees ranging from zero to $4 per month. One goal is to include more transactions in these accounts without extra costs.
Saving for a postsecondary education: A
File this one under small but helpful. Eligible children born in 2024 and beyond will have a registered education savings plan automatically set up for them by age 4. Kids who qualify would receive up to $2,000 in total via the Canada Learning Bond, which is available to low-income families to help save for a child’s postsecondary education. Eligibility for the CLB payment is based on parental income.
Are you a young Canadian with money on your mind? To set yourself up for success and steer clear of costly mistakes, listen to our award-winning Stress Test podcast.
Written by Jitendra Parashar at The Motley Fool Canada
Dividend investing can be one of the simplest ways to build long-term wealth while creating a steady stream of passive income. But in my opinion, a good dividend stock is about much more than just a high yield. Beyond dividend yield, investors should also look for companies with durable businesses, reliable cash flows, and a history of rewarding shareholders consistently over time.
That’s exactly why many investors turn to financial stocks. Banks and asset managers often generate recurring earnings through lending, investing, and wealth management activities, allowing them to support stable dividend payments even during uncertain market conditions.
Two Canadian financial stocks that stand out right now are AGF Management (TSX:AGF.B) and Toronto-Dominion Bank (TSX:TD). Both companies offer attractive dividends backed by solid financial performance and long-term growth strategies. In this article, I’ll explain why these two financial stocks could be worth considering for income-focused investors right now.
AGF Management stock continues to reward shareholders
AGF Management is a Toronto-based asset manager with businesses across investments, private markets, and wealth management. Through these divisions, the company offers equity, fixed income, alternative, and multi-asset investment strategies to retail, institutional, and private wealth clients.
Following a 59% rally over the last 12 months, AGF stock currently trades at $16.67 per share with a market cap of roughly $1.1 billion. At current levels, the stock offers a quarterly dividend yield of 3.3%.
One reason behind AGF’s strong recent performance is its increasingly diversified business model. The company has expanded its investment capabilities and broadened its geographic reach, helping it perform well across varying market environments.
In the first quarter of its fiscal 2026 (ended in February), AGF posted free cash flow of $36 million, up 14% year over year (YoY), driven mainly by higher management, advisory, and administration fees. These fees climbed to $92.5 million as demand for the company’s investment offerings strengthened.
AGF has also been focusing on expanding its alternative investment business and introducing new investment products. With strong cash generation and growing demand for alternative investments, AGF Management looks well-positioned to continue rewarding investors over the long term.
TD Bank stock remains a dependable dividend giant
Toronto-Dominion Bank, or TD Bank, is one of North America’s largest banks, serving millions of customers through its Canadian banking, U.S. retail banking, wealth management and insurance, and wholesale banking operations.
Finance
Martha Aguirre, former El Paso ISD interim superintendent, resigns as CFO as district finds ‘key financial challenges’
El Paso Independent School District Chief Financial Officer Martha Aguirre, who served as interim superintendent last year, resigned this week as the district said it had discovered “key financial challenges.”
The district issued a news release late Thursday afternoon that lacked details but indicated that a recent review had raised questions about the district’s fund balances, a key indicator of financial health.
“Through this process, key financial challenges were identified that must be addressed prior to closing out the 2025-26 school year including a current budget shortfall that is being actively addressed ahead of the district’s final financial presentation to the Board of Trustees in June,” the news release said.
A CFO is charged with developing a school district’s budget and overseeing its finance department. The EPISD Board of Trustees must adopt a budget for the 2026-27 school year by the end of the fiscal year June 30. The operating budget for the current school year is $547 million.
EPISD Deputy Superintendent David Bates will oversee the budget while the district searches for an interim and permanent CFO, district officials said in a statement.
EPISD Board President Leah Hanany said trustees were notified about Aguirre’s resignation this week. She said the district plans to give the public more information on the current year’s budget during a board meeting later this month.
“The board was also notified of a potential budget shortfall for the 2025 budget, but we don’t have final numbers yet. My understanding is that we are still primed to pass a balanced budget for fiscal year 2026-27 in June,” Hanany said in a statement.
Aguirre could not be reached for comment. EPISD’s CFO makes $148,200 to $209,900 a year, according to the district’s administrative pay plan.
She served as EPISD’s interim superintendent from June to December 2025 after the district’s former superintendent, Diana Sayavedra, resigned under pressure from the board. She returned to her position as CFO when Brian Lusk was hired as EPISD’s new permanent superintendent.
Aguirre’s resignation comes amid an uncertain budget season after a state funding calculation error tied to school property tax breaks caused EPISD to lose out on $17 million in projected revenue. In late April, EPISD officials estimated it would cause the district’s spending to exceed its revenue next year by $10 million.
The district is also considering calling for a bond election in November to upgrade its aging campuses as part of the larger 2024 Destination District Redesign initiative to close schools and improve the ones that remain open.
El Paso Teachers’ Association President Norma De La Rosa said Aguirre’s departure was unexpected.
“We’re right in the middle of the committee meetings for a possible bond and getting ready to get that budget to the June board meeting for next school year. So, to say that I’m highly surprised is an understatement,” De La Rosa told El Paso Matters.
Aguirre started working with the district in 1996 as a general clerk, according to a video published by the district.
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