One of the ways to get ahead in 2026 is to develop better habits that will help you accomplish your goals this year. In this issue, I share a resource that can help you do this. As usual, I also share other useful articles on taxes and personal finance. Remember, I’m here to help. In 2026, my focus remains the same — helping you reduce unnecessary tax, bring clarity to your numbers, and build a financial strategy that supports the life you’re working so hard to create. You can use this link to book a FREE Tax Strategy call with me. Enjoy this issue and please remember to share this with everyone in your network:

1. How Better Habits Will Set You Up For Success In 2026

One of the books I re-read recently is Atomic Habits by James Clear. I believe this is the best book if you’re looking for an easy way to build better habits. If that’s you, then this book is a great way to begin your year with a focus on building habits that last. James Clear created a free course called 30 Days to Better Habits and it was designed to complement Atomic Habits. The course is laser-focused on helping you take action. When combined, the book and the course deliver a powerful 1-2 punch. This course is a simple step-by-step guide for forming habits that stick. The course will teach you the essential elements of creating and maintaining good habits in 11 concise email lessons. I highly encourage you to consider taking this course if you want to rock 2026. You can enroll here. While the book will cost you a few bucks, the course is FREE!

2. Tax-Deferred Is Not The Same As Tax-Free

This is often misunderstood. To be clear, “tax-deferred” does not mean the same thing as “tax-free.” Tax-deferred is something that must eventually have taxes paid on it. On the other hand, tax-free will not need any tax payments made. I discuss the differences in this short article here. And if you want further details on this and how you can take advantage of the tax code to accumulate both tax-free and tax-efficient wealth, then I encourage you to get a copy of my book, Tax-Efficient Wealth.

3. The "Hidden Math" of the 2026 Federal Tax Cut

As of January 1, 2026, the federal government has officially lowered the tax rate for the first income bracket from 15% to 14% (on income up to $58,523). While this is great news for your take-home pay, it creates a subtle "valuation drop" for your tax credits that you should plan for.

1. The Good: Direct Savings: Because the bottom rate has dropped, almost every Canadian taxpayer will see a reduction in their federal tax bill. Savings is approximately $420 per person (or $840 per couple) if you earn at least $58,523. Also, you should notice slightly lower federal tax withholdings on your pay cheques compared to the first half of last year.
2. The Catch: Lower Credit Value: Most "non-refundable" tax credits (like the Basic Personal Amount, Age Amount, or Tuition Credits) are calculated by multiplying the credit amount by the lowest federal tax rate. Previously, a $15,000 credit was worth $2,250 in actual tax savings ($15,000 x 15%). However, for 2026, the same $15,000 credit is now only worth $2,100 ($15,000 x 14%).

As such, if you rely heavily on large credits (like significant tuition carryforwards or medical expenses) to bring your tax bill to zero, you might find that they don't "go as far" this year as they used to.

4. Let Me Help You Get Ahead In 2026

If you’re looking to accelerate your results in 2026, particularly with optimizing taxes, building more cash flow, improving your business or simply elevating your personal financial situation, I encourage you to consider working with me. As I’ve shared in the past, it’s so tempting to think we know it all. We want to figure things out ourselves. We want to go on the journey solo, not realizing that we can only go so far. Whether it is our pride or ignorance, we hurt ourselves when we don’t seek help from those that have accomplished what we want to accomplish. If you’re looking to achieve a major breakthrough or to simply go further faster, I invite you to consider coaching or consultation with me. A good start is to book a FREE 15-minute Tax Strategy Session with me here to get a taste of the potential results you can get from coaching.

5. What I’m currently Reading and Learning

I believe in lifelong learning. At our firm, I like to say that if you choose to work at GMS, you’ve inadvertently chosen a life of lifelong learning. One of the ways we learn is through the book club we run at the firm. Each week, as part of our firm-wide meeting, we discuss a book we’re all reading together. We’re currently reading Your Money or Your Life by Vicki Robin. This is one of my favorite books in finance as it provides some great insights on how to transform your relationship with money in order to achieve financial independence. Vicki Robin noted that most of us picture financial independence as an unreachable fantasy of inexhaustible riches. She concludes that this is financial independence at a material level.

Vicki goes on to make the point that if we look at financial independence at the material level, it will only require us to be rich. But what exactly is rich? I share more details in this article titled “What The Heck is Financial Independence?”. Enjoy!