Finance

For travel-loving Canadians, other financial goals take a back seat to vacation spending

Published

7 months ago

June 1, 2025

For travel-loving Canadians, other financial goals take a back seat to vacation spending

Liza Akhvledziani Carew and her husband David Carew visited Kenya’s Masai Mara National Reserve on their honeymoon. The couple strategically use credit card points to help pay for their travel.Supplied

Driving through rolling savannah plains in Kenya’s Maasai Mara National Reserve on her honeymoon, Liza Akhvledziani Carew saw elephants, lions and giraffes. She was reminded of the sheer vastness of the world and felt her “own little life” put into context.

For Ms. Akhvledziani Carew, the chief executive officer of a startup that helps Canadians earn more credit card points, travel is a non-negotiable budget item.

“It’s a big part of our lifestyle. That’s probably what I would spend most of my money on,” she said, adding that the couple pays for part of their travel with a “sophisticated [credit card reward] points strategy.”

The cost of travelling has soared in recent years, driven by the postpandemic travel boom, inflation and new taxes imposed by destinations affected by overtourism.

But for many Canadians, travel remains a high-priority spending area, regardless of rising costs. And it’s clashing with other financial goals.

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Kathleen Daunt, a financial adviser with the New School of Finance in Toronto, works with clients who are saving for a major financial milestone, most commonly to buy a home.

When she sits down with her clients and calculates the amount they’d need to save each month to reach that goal – which usually means not spending on travel – they balk at the trade-off.

“People expect to have all the items on their list of priorities. If anything, it means you have to understand your priorities and have flexibility,” she said.

She also said roughly two in five new clients will cite annual travel as one of their top financial goals.

Ms. Daunt said she sees the desire for travel as a mix of social media-induced fear of missing out, widespread burnout and a societal view of vacations as a right – all of which can make it easier to justify overspending.

“You have that same old expectation [of being able to take vacations] but everything just feels more pricey,” she said. “It’s so much money for a family of four or more to do an on-a-plane vacation.”

Canadians’ overseas trips were up 32 per cent in the July-to-September period last year from the same period a year earlier, and up 6.5 per cent from 2019, according to Statistics Canada’s most recent national travel survey. The amount they spent abroad also jumped, rising 20 per cent in 2024 from a year earlier and nearly 40 per cent from 2019.

Tourism operators anticipate a strong summer as more Canadians avoid U.S. travel

Even the trade war with the United States and growing possibility of a recession have not dimmed Canadians’ vacation ambitions. While travel south of the border by plane and car is down, Transat A.T. Inc. chief executive officer Annick Guerard said on a conference call with analysts in March that Canadians’ spending on transatlantic flights has not been affected.

According to estimates by Barry Choi, a personal finance and travel expert at moneywehave.com and regular Globe and Mail contributor, a two-week European vacation costs about US$5,050 ($7,000), though he noted the estimate was for a solo traveller, so couples or families should expect to pay notably more. Timing can significantly affect costs, with June to August the most expensive months.

In contrast, according to the Canada Mortgage and Housing Corp., Canadians’ average monthly mortgage payment at the end of 2024 was $2,042 (and much higher in Toronto, at $3,006, and Vancouver, at $3,053).

Rachel Dodds, a professor at Toronto Metropolitan University’s Ted Rogers School of Hospitality and Tourism Management who studies overtourism and consumer motivations for travel, said social media plays a huge role in stoking travel interest. According to data from TikTok, as of mid-2024 the app had seen a 410-per-cent increase in travel content views since 2021.

“Everyone has a phone, everyone consumes [travel content] – if you see a reel on Instagram you’re like, ‘Oh, I wanna go there,’” Prof. Dodds said. That goes both ways: While on vacation, people are much more likely to post photos for the “instant gratification” of likes and comments. “There’s an emotional and sharing aspect of it that didn’t exist before 15 years ago.”

Relative to previous decades, travelling is now more affordable and is seen as a right rather than a privilege in Western countries, Prof. Dodds said. And that increase in affordability has come at a time when many people, particularly millennials and Gen Zers, have more disposable income but feel other large financial goals are out of reach.

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“Travel has become a substitute for those kinds of things,” she said.

Prof. Dodds said we are an increasingly lonely society, and many people are travelling to connect with others to have meaningful, authentic experiences of other cultures. That’s given rise to sustainable travel, and nature-based trips and community experiences, rather than the traditional resort-based vacations.

While Ms. Daunt said none of her clients have ultimately chosen travelling over other financial goals, some have opted to delay major purchases. She said she usually sees people negotiating within their new budgets to downgrade from a trip every year to once every two or three years, or from pricier international trips to smaller ones close to home.

“It’s hard, because we have the push from feeling burnt out and I would argue expecting vacations. We live in a country where we feel like, ‘I deserve to be able to have vacations,’ and there’s this other push on the home-buying side where there’s so much FOMO when it comes to home purchasing despite a bonkers overpriced market,” she said. “We’re still putting those expectations on ourselves.”

A strategy of making small regular contributions to a dedicated travel savings account can be an effective way to save for vacations without compromising other travel goals, she said.

For Ms. Akhvledziani Carew’s part, when she and her husband bought their home a few years ago after years of rigorous monthly savings goals that mimicked what they expected to spend on mortgage payments.

They also tapped their investments, and her husband sold a condo he previously owned. She said they did slightly less-elaborate trips, but their points strategy meant they didn’t have to cut back much.

“It was a different position we were starting from,” she acknowledged, but added later “you build your lifestyle around the thing that’s most important to you.”

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Finance

RFSD board approves financial assurances, reviews annual audit

Published

4 hours ago

December 18, 2025

Press Room

RFSD board approves financial assurances, reviews annual audit

The Roaring Fork School District Board of Education approved its annual financial accreditation assurances and reviewed the district’s 2024-25 audited financial statements during its meeting on Wednesday, according to a district news release.

The audit, presented by McMahan and Associates, found the district’s overall financial position to be stable and identified areas for continued improvement in internal controls and financial processes. The district’s General Fund balance remains above minimum levels required by board policy.

Chief Financial Officer Christy Chicoine said the audit reflects progress following prior concerns identified in earlier reviews.

“We have made significant improvements compared to the prior year’s audit as a Finance Department, and I am grateful for the finance team’s commitment towards those improvements as demonstrated in this audit,” Chicoine said. “While we still have work to do to continue to sustain and enhance the district’s fiscal management, the audit report indicates we are clearly headed in the right direction.”

Superintendent Anna Cole said the findings validate work undertaken over the past two years to rebuild internal systems and improve transparency.

“Over the past two years, our teams have worked diligently and transparently to rebuild internal financial systems that left the district at risk,” Cole said. “The outcomes of this audit are evidence that we are on track.”

Cole said the timing of the audit is significant as the district begins developing its budget for the 2026-27 school year and faces mounting external pressures.

“We couldn’t have stabilized internal systems at a better time,” she said. “As we begin the budgeting process for the 26/27 school year, we face external challenges like declining enrollment, instability of state and federal funding, and a rising cost of living that is outpacing staff and teacher salaries. This audit is an important confirmation that our finances are in order as we prepare to navigate oncoming challenges.”

Board President Lindsay DeFrates said the board is better positioned to plan ahead following the audit’s conclusions.

“We are grateful for the leadership of Chief Chicoine and the hard work of the district finance and human resources teams,” DeFrates said. “We are now in a much better place financially and will move forward with clarity, transparency and accountability, able to better navigate the challenges to come.”

Finance

UK’s Former Finance Minister George Osborne Joins Coinbase – Coinspeaker

Published

17 hours ago

December 18, 2025

Press Room

UK’s Former Finance Minister George Osborne Joins Coinbase – Coinspeaker

Key Notes

Former UK finance minister George Osborne is joining Coinbase’s Global Advisory Council.
Osborne will focus on crypto regulation, stablecoins, and tokenized assets across the UK and EU.
The exchange is also expanding beyond crypto trading as it steps into 2026.

Coinbase has appointed former UK finance minister George Osborne as chair of its Global Advisory Council. It is clear that the American crypto exchange wants to deepen its influence with governments outside the United States.

Earlier this week, Coinbase tested the waters in India as its deal to acquire a minority stake in local crypto trading platform CoinDCX was approved by the Competition Commission of India.

https://twitter.com/CCI_India/status/2000905244080034292

Coinbase Expands Policy Reach Beyond the US

Coinbase confirmed that Osborne will take a more active role in advising on government engagement worldwide, with a focus on Britain and the European Union.

Osborne, who first joined Coinbase as an adviser in January 2024, will be based in London. He will work closely with policymakers on issues related to crypto regulation, stablecoins, and tokenized assets.

Coinbase’s chief policy officer Faryar Shirzad said the crypto exchange has already become a powerful lobbying force outside the US. In the UK, the company is pushing for clearer rules on tax treatment, stablecoin payments, and the use of tokenized assets in capital markets.

Osborne’s Background

Osborne served as the UK’s finance minister from 2010 until 2016, stepping down after the Brexit referendum. Since leaving politics, he has built a broad private-sector portfolio.

He currently chairs the British Museum, is a partner at investment bank Robey Warshaw, and leads Lingotto Investment Management.

Just days before the Coinbase announcement, OpenAI named Osborne to support its overseas data centre expansion under its global infrastructure program. His appointment to Coinbase adds crypto and blockchain policy to an already wide-ranging list of responsibilities.

Expansion Across Crypto

According to an earlier report, at its recent System Update event, Coinbase revealed plans to expand into stock trading, prediction markets, custom stablecoins, tokenization platforms, and AI-powered investment advisers.

Coinbase has already launched stock trading and prediction markets on its platform and now rivals firms such as Robinhood and eToro. The exchange has also partnered with Kalshi to offer markets tied to real-world events such as sports, elections, and economic data.

The exchange’s long-term goal is to become an all-in-one financial platform that operates around the clock.

Meanwhile, Deutsche Bank recently initiated coverage with a buy rating, according to CNBC. Analysts expect the company’s broader new everything-in-one strategy to reduce its dependence on crypto trading volumes as it scales into 2026.

Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.

Coinbase News, Cryptocurrency News, News

A crypto journalist with over 5 years of experience in the industry, Parth has worked with major media outlets in the crypto and finance world, gathering experience and expertise in the space after surviving bear and bull markets over the years. Parth is also an author of 4 self-published books.

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Finance

Equipment finance outlook optimistic as legislation, investment bolster industry

Published

1 day ago

December 17, 2025

Press Room

Equipment finance outlook optimistic as legislation, investment bolster industry

After difficulties this year, next year looks to be better for the equipment finance industry as government legislation and investment in data centers and AI provide opportunities for financiers.

The U.S. economy heads into 2026 resilient, with real gross domestic product growth of 1.8% and a 6.2% increase in equipment and software investment, according to the 2026 Equipment Leasing & Finance U.S. Economic Outlook, released today by the Equipment Leasing and Finance Foundation. Strong equipment demand, AI-driven capital spending and equity market strength should drive growth for the industry.

ELFA 2026 Economic Forecasts — (Courtesy/Equipment Leasing and Finance Association)

Rather than a typical temporary cyclical downturn, after 2025 the equipment industry faces a systemic change, Michael Sharov, a partner in consulting firm Oliver Wyman’s Transportation and Advanced Industrials practice, told Equipment Finance News. Evolving channels, customer fragmentation, labor shortages, and digital and supplier realignment will drive change and create opportunities for dealers, lenders and OEMs.

“Systemic change is going to happen, but the industries are not going to fall apart.” — Michael Sharov, transportation and advanced industrial partner, Oliver Wyman

The equipment industry can still prosper because they serve “essential use” industries such as food, infrastructure and materials, “so there is high confidence in recovery, as long as everyone does not hunker down, but uses this downturn,” he said.

Amid restructuring, lenders face battles around asset transparency, uptime and service capacity, changing underwriting factors, longer trade cycles and elevated importance of used equipment, even with the strong long-term outlook, Sharov said.

In industries such as transportation, mergers and acquisitions will allow stronger players to pick up clients as capacity shifts across the industry, Anthony Sasso, head of TD Equipment Finance and senior vice president at TD Bank, told EFN.

“There are more opportunities for companies to pick up good clients for those companies that are financially sound and well-heeled,” he said. “We’re seeing that today.”

Equipment finance industry set for growth

Meanwhile, the equipment finance industry appears set for growth in 2026 alongside the U.S. economy’s recovery following a year plagued by economic uncertainty, Cedric Chehab, chief economist at economic research firm BMI, said during a Dec. 11 webinar.

Factors supporting industry growth include fiscal stimulus and bonus depreciation because of the One, Big, Beautiful Bill Act, additional Federal Reserve rate cuts that are anticipated, resilient corporate profitability and earnings, and especially, continued investment in AI and data centers, which could affect the economy on multiple levels, Chehab said.

“When you combine the huge strengths of AI and the software around AI and the LLMs and how they interact with machines and robotics, they could boost productivity even further,” he said. “Many economies, and in particular the U.S. economy, are pursuing aggressive industrial policy, driving investment in cutting-edge technology, which will not only foster greater competition to a degree, but really accelerate the pace of development of these technologies.”

Deductions, depreciation under OBBBA

A full year under the One Big, Beautiful Bill Act, which was signed by President Donald Trump on July 4, should spur equipment investment, especially for the equipment sectors in need of recovery, according to a Nov. 19 Wells Fargo research note.

“By making bonus depreciation permanent, firms can fully expense capital equipment, machinery and qualifying real estate improvements,” according to the note. “This change, along with other tax incentives, reduced policy uncertainty and lower borrowing rates, should provide support to investment growth next year and keep the CapEx cycle rolling.”

While increased deductions, bonus depreciation and financing can improve liquidity to help pay for replacement assets, weak trucking and finance fundamentals mean the incentives alone may not be enough to drive new equipment purchases, TD’s Sasso said.

“That’s probably one of the areas that, if you see an uptick in that, it may promote more CapEx spending, and this not only applies to the trucking vertical, but it’s for a number of other verticals,” he said. “If you see more CapEx spend, then you’d see the financing go along with that, and that’s where those benefits would kick in.”

Data centers boost construction

Investment in data centers and technology is also expected to continue in 2026, according to the Wells Fargo note.

“The race to build out the next generation of AI capabilities with the latest information processing equipment, software and new data centers has led capital spending to charge ahead despite elevated policy uncertainty,” according to the note. “But this concentration in tech spending glosses over undeniable weakness in more traditional CapEx categories, such as transportation equipment and commercial construction.”

Wells Fargo Tech Investment — (Courtesy/Wells Fargo)

Data centers also require significant capital, with financing for U.S. data centers projected to reach $60 billion in 2025, according to a Dec. 11 release from the Equipment Leasing and Finance Foundation focused on data centers.

In the wider construction segment, sentiment toward growth remains cautious in some regions, with nearly half of construction firms in the Minneapolis Federal Reserve region feeling more pessimistic than they did in mid-2025, Erick Luna, director of regional outreach for the region, said during a Dec. 12 webinar.

“Some of the same challenges showed up in this change of outlook, a slowdown in projects, reduced RFPs, tariffs, etc.,” he said. “Almost half [of the firms] expected backlogs to keep contracting, and in turn, [fewer] projects will be completed and so on.”

Equipment industry faces more challenges

Meanwhile, executives rated the state of the industrials market a 5.7 out of 10, down from 8 last year, according to Oliver Wyman’s 2025 State of Industrial Goods North America, Non-Road report, released on Dec. 3. The report surveyed 105 equipment manufacturer executives in conjunction with the Association of Equipment Manufacturers.

Exhibit 1: Rating of the current state of industrial goods sectors — (Courtesy/Oliver Wyman)

Looking ahead, indicators such as farm receipts, construction activity, residential starts and large data center projects will be central to assessing demand across agriculture and construction, Nate Savona, a partner in Oliver Wyman’s Transportation and Advanced Industrials practice, told EFN.

“What we got from the members that we worked with who are living and breathing the industry is there is cautious optimism, but they’re not feeling great right now. The original sentiment for the [State of Industrial Goods] report was done six months ago or so, and then we revisited the question in the past month, and the sentiment was the same, so it hasn’t gotten better yet.” — Nate Savona, transportation and advanced industrial partner, Oliver Wyman

While the outlook for 2026 does come with optimism, BMI’s Chehab pointed to several risk factors, including:

A weakening labor market;

Higher-than-expected inflation;

Limited Fed easing due to inflation;

Financial market volatility due to a potential AI bubble;

Escalating trade tensions; and

Political uncertainty tied to midterm elections.

Despite the challenges, there’s cautious optimism for 2026, with the potential rebound of the trucking industry on the back of improving values serving as a bellwether for the broader economy, TD’s Sasso said.

“When you look at values, we may be in a trough right now where we’ve hit the bottom, and hopefully those valuations, we’re going to see coming back up,” he said. “Overall, there’s much more optimism going into 2026, and hopefully that is the case that would benefit all businesses, including ours.”

Check out our exclusive industry data here.