Thursday, July 9, 2026 Every July, a wave of federal benefit payments resets for the new benefit year — and 2026 brings one of the biggest shifts in years. Between a permanent 25% boost to the old GST/HST credit, a fresh Canada Child Benefit increase, and the largest quarterly OAS bump of the year, millions of Canadian households will see different numbers land in their accounts this month. Here's what actually changed, and what to check in your own CRA account. The GST/HST Credit Has a New Name — and a Bigger Payout The GST/HST credit has officially been replaced by the Canada Groceries and Essentials Benefit (CGEB) . It's not a new program from scratch — it runs on the same CRA infrastructure and eligibility rules — but the payment amounts are 25% higher, and that increase is locked in for five years. The first CGEB payment went out on July 3, 2026. Under the new structure: A single individual with no children can receive up to roughly $679 per year (about $170 per quart...
RESP: A Smart Way to Save for Schooling.
RESP is a great way to save for schooling. RESP stands for Registered Education Savings Plan. It is a government-sponsored investment account that helps parents save for their child’s post-secondary education. One of the key benefits of RESP is that it allows your savings to grow tax-free until the funds are withdrawn. This means that any investment income earned within the RESP is not subject to tax as long as it remains in the plan. Additionally, the government provides grants and incentives to encourage parents to save for their child’s education. For example, the Canada Education Savings Grant (CESG) matches 20% of the contributions made to an RESP, up to a maximum of $500 per year. This can significantly boost your savings over time.
RESPs offer flexibility in terms of investment options. You can choose from a wide range of investment products such as mutual funds, stocks, bonds, and guaranteed investment certificates (GICs). This allows you to tailor your investment strategy based on your risk tolerance and financial goals. Moreover, when it comes time to withdraw funds from the RESP, the earnings are taxed in the hands of the student, who typically has little or no income. Since students usually have a lower tax rate than their parents, this can result in significant tax savings.
In summary, RESP is an excellent way to save for schooling as it offers tax advantages, government grants, and investment flexibility. It provides parents with a structured and efficient means of saving for their child’s post-secondary education while maximizing their savings potential.
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