2025 in the Rearview: Your Money Reset for 2026

Another year, another financial journey. Whether 2025 felt like a win, a struggle, or somewhere in between, you made it through. And that deserves recognition.

This year brought Canadians continued economic pressure: interest rates stayed elevated longer than expected, grocery bills climbed, and housing costs remained a major stress point. But it also brought resilience. You adapted. You made tough choices. You kept going.

Now it's time to close the books on 2025 and set yourself up for a stronger 2026. This isn't about perfection, it's about progress. Let's reflect, reset, and build momentum.

A Personal Note: What 2025 Taught Me

This year, I lost. I won. I failed. I cried. I laughed. I loved.

And above all — I learned.

2025 wasn't the year I planned. It threw curveballs I didn't see coming, tested limits I didn't know I had, and revealed strengths I'd forgotten existed. Some financial goals hit the mark. Others? Not even close. There were moments of celebration and moments where I sat with my bank statement and just... breathed.

But here's what matters: I kept going. You kept going. We adapted, adjusted, and found ways forward even when the path wasn't clear.

That's the real story of 2025, not perfection, but persistence. Not flawless execution, but honest effort. And the lessons? They're the foundation we're building 2026 on.

So as we close this chapter together, I want you to know: wherever you are financially right now is exactly where you're supposed to be. No shame. No judgment. Just truth, compassion, and a plan to move forward.

Let's make your money work harder — join us.

What 2025 Taught Us About Money in Canada

The Cost-of-Living Crunch Continued

Inflation cooled from its 2022-2023 peaks, but everyday Canadians still felt the squeeze. Grocery prices stabilized but remained high. Rent and mortgage payments consumed larger portions of household budgets. The "new normal" became expensive.

Key lesson: Budgeting isn't optional anymore, it's survival. Those who tracked spending and cut non-essentials gained breathing room.

Interest Rates Started to Shift

After years of hikes, the Bank of Canada finally began easing rates in mid-2025. Variable mortgage holders saw some relief, but fixed-rate renewals remained painful for those locked in at pre-2022 lows.

Key lesson: Debt management matters more than ever. High-interest credit card balances became wealth killers. Those who prioritized paydown saved thousands in interest.

Emergency Funds Became Non-Negotiable

Job market uncertainty and unexpected expenses reminded Canadians why cash reserves matter. Three to six months of living expenses wasn't just financial advice, it was a lifeline.

Key lesson: If 2025 taught us anything, it's that flexibility comes from having savings. Even $500 set aside can prevent a crisis from becoming a catastrophe.

Your Year-End Financial Checklist (Do This Before Dec 31)

You have 48 hours left in 2025. Here's what to tackle now to maximize tax savings, close gaps, and start 2026 strong.

1. Max Out Your RRSP Contribution (If Possible)

You have until March 1, 2026, to contribute for the 2025 tax year, but why wait? If you have room and cash available, contribute now. Every dollar reduces your taxable income.

Action: Check your RRSP contribution limit on your CRA My Account. Even $1,000 can save you $200-400 in taxes depending on your bracket.

2. Top Up Your TFSA

The 2025 TFSA contribution limit was $7,000. If you haven't maxed it out, do it before year-end. Tax-free growth is one of the best wealth-building tools Canadians have.

Action: Log into your bank and transfer what you can. If funds are tight, prioritize TFSA over non-registered savings accounts.

3. Review and Donate (Tax Deduction Strategy)

Charitable donations made before December 31 qualify for 2025 tax credits. If you planned to give anyway, do it now.

Action: Donate to a registered Canadian charity and keep your receipt. Federal tax credits start at 15% for the first $200, then jump to 29% for amounts above.

4. Harvest Tax Losses (If You Invest)

If you have investments in a non-registered account that lost value, consider selling them to offset capital gains elsewhere. This strategy (tax-loss harvesting) can reduce your tax bill.

Action: Consult your advisor or accountant if you have taxable investment accounts. Don't do this in your TFSA or RRSP — it doesn't apply there.

5. Check Your Debt Situation

Pull your credit report (free from Equifax or TransUnion Canada) and review what you owe. High-interest debt should be your #1 priority in 2026.

Action: List all debts, interest rates, and minimum payments. Rank them from highest to lowest rate. That's your payoff roadmap.

3 Money Goals to Set for 2026

Forget vague resolutions. Here are three concrete, achievable goals every Canadian should consider.

Goal 1: Build (or Rebuild) a $1,000 Emergency Fund

If you don't have savings, start here. $1,000 won't cover everything, but it covers most small emergencies — car repairs, medical bills, last-minute travel.

How to get there: Set up an automatic transfer of $85/month into a high-interest savings account. You'll hit $1,000 by year-end 2026.

Goal 2: Pay Off One Credit Card

Pick your smallest balance or highest interest rate card. Focus all extra payments there while making minimums on the rest (debt avalanche or snowball method).

How to get there: Calculate how much extra you can throw at it monthly. Even $50/month creates momentum. Use a debt payoff calculator to see your finish line.

Goal 3: Increase Your Income by 10%

Whether it's a raise, side hustle, freelance gig, or selling unused items, aim to grow your income by 10% in 2026. More income = faster debt payoff and stronger savings.

How to get there: Ask for a performance review at work. Launch a small side business. Monetize a skill (tutoring, design, writing). Track progress quarterly.

Free Resource for Side Hustlers & Freelancers

If growing your income is part of your 2026 plan, you need to know what you can (legally) write off at tax time. We've compiled the ultimate guide:

37 Tax Deductions for Freelancers & Side Hustles in Canada (Free Download)

This comprehensive checklist covers:

✅ Home office expenses (the rules changed, know what qualifies)

✅ Vehicle and mileage deductions

✅ Technology and equipment write-offs

✅ Marketing and advertising costs

✅ Professional development and training

✅ Business meals and entertainment (yes, there are limits)

✅ Lesser-known deductions most freelancers miss

Whether you're driving for Uber, running an Etsy shop, freelancing on the side, or building a full-time business, this guide helps you keep more of what you earn.

Download it here: subscribepage.io/tax-checklist

Disclaimer: This guide provides general information for educational purposes. Tax situations vary, consult a professional or CRA resources for personalized advice.

Conclusion: Progress Over Perfection

You don't need to overhaul your entire financial life overnight. Small, consistent actions create big results over time.

2025 is done. 2026 is a blank page. Let's fill it with smarter decisions, stronger habits, and real progress.

I'm walking this path with you, not as someone who has it all figured out, but as someone committed to learning, growing, and building wealth one intentional choice at a time.

Ready to take control?

Book a free 30-minute consultation with The Money Wise and let's build your personalized 2026 money plan together.

https://calendly.com/themoneywise/30min

Let's get money-wise together!