There was a lot of news today on how there may be an announcement regarding our government sales tax here in Canada where during this Christmas shopping season certain essential items will be GST free which should mean savings for everyone. From what I read, this will target services such as Internet and mobile bills plus grocery store prepared meals. I suppose that’s good, but at the same time I have to wonder if this is just a case of delayed financial burden where we are all going to have to pay it back somehow through other means which would mean we didn’t really save anything.
It makes me think of paying off one’s debt for example where even though they could keep paying towards a debt one decides to stop for a month because they were say offered some kind of interest break for the month and so they instead spend that money on luxury items. Like there, I think it is wiser where since you are used to a certain payment routine to pay off your debts you could just keep going and use this as a way to speed up your repayment. Similar to if you just got a windfall of money while sitting on a lot of debt you should just dump that into the debt repayment pool in most cases versus treating it like extra money for recreation.
I personally don’t think It would make that much of a difference too personally a lot of essential items such as grocery items are already tax free. For myself it would simply be like finding an additional coupon for the purchase. There is no guarantee yet of course but it’s something to consider if you were planning to buy something expensive where this would now help you to save money.